Trafigura identifies potentially major nickel scam

The commodity trader Trafigura says it uncovered a systematic fraud with damages of more than half a billion US dollars. Supposed nickel deliveries from companies owned by Indian businessman Prateek Gupta did not contain nickel but only inferior material.

According to the company, a thorough review is still ongoing. Since only a “small proportion of the containers” was actually inspected so far, the “majority of the shipments remain in transit awaiting further inspection. Nonetheless, the Group recorded a USD577 million charge in the first half of 2023 for Trafigura Group”, which is how Trafigura reached the above-mentioned number.

reuters.com, trafigura.com

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