The wreath just looks wrong to me, it looks like an add on that lacks detal. Maybe some close ups will help
"In all my years as a soldier, I have never seen men fight so hard." - SS Obergruppenfuhrer Wilhelm Bittrich - Arnhem
Going by the poor details, the poor lettering and stippling on the reverse, the unusual two tone wreath/medal combination and the fake ribbon, I'm going to say fake for this one.
Looking for LDO marked EK2s and items relating to U-406.....
Agreed: a fake which someone has polished the wreath. (I actually like the gilt / bronze look, but totally wrong historically)
...... ...... !