A Singapore court ruling indicates that Deutsche Bank was likely defrauded by iron ore trader Radiant World. In early August, Vitol Group told the bank that contracts purportedly signed by its CFO were not genuine. Radiant had used the contracts to support loans.
Deutsche Bank had purchased seven receivables from Radiant, supposedly backed by invoices for iron ore sales to Vitol and Glencore. After learning of the issue, the bank demanded that Radiant repurchase the receivables.
Deutsche Bank said its maximum exposure to Radiant World is US$102.59 million. It is pursuing all available options to recover the funds.