Skip to content
Search

Latest Stories

Trafigura, which sued Prateek Gupta for 'systematic' fraud, pays record dividend

Trafigura, which sued Prateek Gupta for 'systematic' fraud, pays record dividend

COMMODITY trading firm, Trafigura, has paid a record $3 billion (£2.4bn) dividend to its 1,200 private shareholders after registering record profits, reported The Times.

The Singapore-based company booked a £459 million charge for the first half of this year because of what it said was 'systematic fraud' by a group of companies controlled by Indian tycoon Prateek Gupta, including TMT Metals and the UD Trading Group.


Trafigura initiates legal proceedings against Gupta after it alleged there was no nickel in some containers it had bought from his companies.

Despite this, the company’s net profits more than doubled from £1.4bn to £4.4 bn in the six months ended March 31. It also generated earnings before interest, tax, depreciation and amortisation of £6.4bn.

However, revenues fell by 23 per cent to £104.5bn amid a decline in commodity prices and lower trading volumes, The Times report further said.

Trafigura's CEO and executive chairman, Jeremy Weir, emphasised the indispensable role of the industry in achieving a low-carbon economy. With its extensive knowledge in global supply chain management and their investment in low-carbon fuels like hydrogen and transition metals, Trafigura is poised to play a crucial part in facilitating this transition, Weir added.

Trafigura trades billions of barrels of oil and petroleum products every year and is a leading trader of metals and minerals.

Nickel is essential for stainless steel and lithium-ion batteries. For many years, Trafigura has been trading with Gupta companies. However, the trader became suspicious about its cargos when some were delayed last year.

Independent investigators hired by Trafigura discovered lower-value products in a container delivered to Rotterdam. Later, Trafigura clarified no involvement of its employees, while Gupta's representatives assert they are preparing a strong response to the fraud allegations.

Earlier this month, reports said that Gupta plan to ask a London court for a two-week extension to file a challenge to a £497m global freezing order on him.

Last month, a London judge agreed to extend a freezing order on assets of the wife of Gupta, Ginni, in addition to the freezing order which was already in place.

Lawyers for both sides agreed that Ginni was not alleged to have committed any offences, although a Trafigura lawyer added they did not believe she was "a wholly innocent bystander".

The freezing order on Gupta was imposed on April 25 on two assets, a house in Dubai in which the couple are believed to live, and Silver Star SPC, a Cayman Islands investment fund, a court document by Trafigura's lawyers said.

A London court imposed the first freezing order on February 8 on bank accounts and other assets tied to Gupta and seven companies Trafigura said are controlled by him, including in Britain, Singapore, Malaysia and Switzerland.

The group employs more than 8,500 people across 80 offices worldwide and also owns shipping, logistics and industrial operations.

More For You

modi-trump-getty
Modi shakes hands with Trump before a meeting at Hyderabad House in New Delhi on February 25, 2020. (Photo: Getty Images)

India open to tariff cuts on £17.7 bn worth of US imports: Report

INDIA is considering cutting tariffs on more than half of US imports valued at £17.7 billion as part of ongoing trade negotiations, two government sources told Reuters.

The move, which would be the most significant tariff reduction in years, is aimed at countering reciprocal tariffs.

Keep ReadingShow less
tata-steel-green

Artist’s impression of Tata Steel’s state-of-the-art Electric Arc Furnace facility being built in Port Talbot. (Image credit: Tata Steel)

Tata Steel

Tata Steel hires local firms for Port Talbot project, creating 300 jobs

TATA STEEL has appointed three South Wales contractors to support its £1.25 billion investment in green steelmaking at Port Talbot. The contracts will create over 300 skilled jobs in the local supply chain.

Bridgend-based Darlow Lloyd & Sons will oversee excavation, recycling, infrastructure, and drainage work for the transition to Electric Arc Furnace (EAF) steelmaking.

Keep ReadingShow less
 Survey Reveals More Britons Reducing Everyday Spending

About 43 per cent of consumers said they were cutting back on everyday purchases, while more than a third reported increasing their savings as a precaution. (Photo: Getty Images)

Getty Images

Survey shows more Britons cutting back on everyday expenses

CONSUMERS in the UK are reducing spending on everyday items as confidence in the economy declines ahead of chancellor Rachel Reeves’s spring statement, according to a KPMG survey.

The survey, conducted among 3,000 UK consumers, found that 58 per cent believed the economy was worsening in the three months to February, up 15 percentage points from the previous quarter, The Guardian reported.

Keep ReadingShow less
23andMe

Many users trusted 23andMe with some of their most sensitive personal information

Getty Images

DNA data of millions at risk as 23andMe declares bankruptcy

The recent Chapter 11 bankruptcy filing by genetic testing company 23andMe has raised serious concerns about the privacy and security of the DNA data of millions of users. Founded in 2006, 23andMe has long been a leader in consumer genetic testing, offering individuals insights into their predisposition to various diseases and the possibility of connecting with unknown relatives. However, with the company now seeking buyers in bankruptcy proceedings, the sale of this genetic data has become a source of alarm for privacy advocates and experts.

Many users trusted 23andMe with some of their most sensitive personal information, their DNA. However, as the company faces financial struggles, privacy experts warn that the future handling of this data may be far less secure. Tazin Kahn, CEO of the nonprofit Cyber Collective, which promotes privacy and cybersecurity for marginalised groups, expressed deep concern about the potential consequences. “Folks have absolutely no say in where their data is going to go,” she said. “How can we be so sure that the downstream impact of whoever purchases this data will not be catastrophic?”

Keep ReadingShow less
uk construction

The construction sector accounts for around 6 per cent of gross domestic product and supports growth in other industries.

iStock

Government pledges £600 million to address construction skills gap

BRITAIN will invest £600 million to train construction workers and address skills shortages that could affect its plan to build 1.5 million homes by 2029 and support economic growth, the government announced on Saturday.

Housebuilding and infrastructure development are central to the Labour government’s growth strategy. The construction sector accounts for around 6 per cent of gross domestic product and supports growth in other industries.

Keep ReadingShow less