Vietnam exporters fret over possible $7 mln cashew nut scam

By An Le
Thu, March 10, 2022 | 5:14 pm GMT+7
Vietnam is one of the world's largest cashew exporters. Photo by VnExpress/An Le.

Vietnam is one of the world's largest cashew exporters. Photo by VnExpress/An Le.

Five exporters in Vietnam are 'sitting on fire' as they are at risk of losing 36 containers of cashew nuts already dispatched to a buyer in Italy, or $7 million, in a suspected scam.

According to the Vietnam Cashew Association (Vinacas), through a Vietnamese broker, several exporters signed contracts to export 100 containers of cashew nuts to Italy. They have received no payment to date, though some containers have arrived in Italy while others are on the way.

Bach Khanh Nhat, Standing Vice Chairman of Vinacas, said after detecting signs of fraud, five companies withdrew export documents and prevented many shipments to Italy. “Therefore, only 36 containers are currently out of control, with a total value of over $7 million”.

When the exporters reported a scam, Vietnamese banks immediately asked the buyer’s bank in Italy to send back the original documents. The Italian bank replied that it had received only copies of the bills of lading, not the original versions, causing concerns among the exporters as the whereabouts of the original documents remain unknown. Anyone with the original documents can present them to the transporters for the release of the goods.

Nhat noted that the Italian banks all have the same regional code.

Meanwhile, it is recorded that two containers were sent to Turkey. However, the sellers reported that there are changes made to the SWIFT code in the documents of collection sent from Vietnamese banks to those allegedly representing the importer in Turkey. The Turkish banks declared the buyer is not their client and said they had sent back the documents.

As all the five exporters experienced the same problem in just one month, Vinacas believes this is most likely a large-scale scam, especially given that in Italy someone already registered to receive the containers. However, the collection was prevented, and the containers are still in the port.

At a press conference on Wednesday, answering questions about the responsibility of broker Kim Hanh Viet Co.Lt., Nhat said this enterprise has been operating as a broker for 10 years. "Vinacas had not received any information condemning this company in the past."

“As far as I know, Huynh Kim Hanh (legal representative of the company) lives in the US and has not returned to Vietnam, but she still keeps in touch with Vietnamese businesses.”

Vinacas has sent an urgent notice to the Vietnamese Embassy and the Vietnam Trade Office in Italy, as well as a number of ministries and the State Bank of Vietnam, to ask for their support.

Vietnamese agencies in Italy and agencies in Vietnam have been coordinating with competent authorities in Italy to protect the interest of the five exporters.

The association believes that the current situation is very urgent because 2-3 containers have arrived at the port, and the remaining more than 30 containers will arrive in Italy in March 2022.

Vinacas recently sent meeting invitations and official documents to the international carriers that transport the containers, asking for support. “The only freighter met us is Cosco (China). However, Cosco said it would follow international practices and only deliver the containers to those having original documents. Vinacas will send a document to Cosco’s headquarters in Shanghai,” Nhat said.

To avoid this situation, Vinacas has actively contacted the Vietnam Chamber of Commerce and Industry (VCCI) and the court. However, it said there needs time for collecting enough documents and for negotiations between the victims and the petitioners to take place.

As the time is too short, Vietnamese enterprises are proposing to use the rulings by the International Court of Arbitration in case of emergency without the presence of the person claiming/proving that they have the original documents, he said.

Comments (0)
  • Read More
Vietnams steel major Hoa Phat 'confident' about China competition

Vietnams steel major Hoa Phat 'confident' about China competition

Senior officials of major Vietnamese steel maker Hoa Phat are confident that the company can deal with Chinese competition, given the attention they’ve paid to their costing.

Companies - Thu, March 28, 2024 | 4:00 pm GMT+7

FTSE retains Vietnam in watch list for reclassification to emerging market status

FTSE retains Vietnam in watch list for reclassification to emerging market status

FTSE Russell, one of global index providers, has kept Vietnam in its watch list for possible reclassification to a secondary emerging market from a frontier market currently.

Finance - Thu, March 28, 2024 | 3:39 pm GMT+7

HCMC firms in the market for larger office spaces: Knight Frank

HCMC firms in the market for larger office spaces: Knight Frank

Rising demand for larger office spaces and a willingness to invest in them speak to the confidence and potential of the Ho Chi Minh City office market, wrote analysts from consulting firm Knight Frank.

Real Estate - Thu, March 28, 2024 | 3:10 pm GMT+7

Vietnam, Northern Territory complementarities present huge investment, cooperation potential: experts

Vietnam, Northern Territory complementarities present huge investment, cooperation potential: experts

Several complementarities between Vietnam and Australia’s Northern Territory present significant investment and cooperation potential in multiple sectors including animal breeding, meat processing, tourism and vocational training, experts say.

Industries - Thu, March 28, 2024 | 2:25 pm GMT+7

Malaysia aims to develop semiconductor industry

Malaysia aims to develop semiconductor industry

Malaysian Deputy Minister of Investment, Trade and Industry (MITI) Liew Chin Tong said the government is committed to developing the semiconductor industry which is now a strategic income source for the country.

Southeast Asia - Thu, March 28, 2024 | 12:10 pm GMT+7

'Good time' for Vietnam firms to increase presence in Australia’s Northern Territory

'Good time' for Vietnam firms to increase presence in Australia’s Northern Territory

Australia’s Northern Territory has great potential for development, and Vietnamese businesses should stand ready to increase their presence in the territory, said Nguyen Ngoc My, vice chairman of the Vietnam's Association of Foreign Invested Enterprises (VAFIE) and chairman of the Northern Territory-Vietnam Business Council (NTVBC).

Industries - Thu, March 28, 2024 | 11:39 am GMT+7

Bosch exec appointed new EuroCham Vietnam chair

Bosch exec appointed new EuroCham Vietnam chair

The European Chamber of Commerce in Vietnam (EuroCham) has appointed Dominik Meichle, managing director of Bosch Vietnam, as its new chairman.

Economy - Thu, March 28, 2024 | 10:40 am GMT+7

Quang Binh province seeks investor for $32 mln high-end urban area

Quang Binh province seeks investor for $32 mln high-end urban area

Vietnam's central province of Quang Binh is seeking an investor for the VND800 billion ($32.3 million) Quan Hau luxury urban area in Quang Ninh district.

Real Estate - Thu, March 28, 2024 | 10:25 am GMT+7

Vietnam’s FIE association, UK delegation discuss sustainable green growth

Vietnam’s FIE association, UK delegation discuss sustainable green growth

The Vietnam's Association of Foreign Invested Enterprises (VAFIE) and a delegation of the Forest Governance, Markets and Climate (FGMC) program under the British government have been discussing sustainable and green growth in Vietnam.

Economy - Thu, March 28, 2024 | 9:56 am GMT+7

Vietnam FDI remains robust as Chinese firms step up

Vietnam FDI remains robust as Chinese firms step up

Foreign direct investment (FDI) flow to Vietnam has continued to grow since the start of this year with Chinese businesses taking the lead in terms of new projects.

Economy - Thu, March 28, 2024 | 9:27 am GMT+7

Northern Territory investment cooperation seminar follows upgrade in Vietnam-Australia relations

Northern Territory investment cooperation seminar follows upgrade in Vietnam-Australia relations

Following the recent upgrading of Vietnam-Australia ties to that of a Comprehensive Strategic Partnership, The Investor and the Vietnam-Northern Territory Business Council (NTVBC) will organize a seminar in Hanoi on Thursday.

Economy - Thu, March 28, 2024 | 7:12 am GMT+7

Real estate recovery reflects optimistic outlook for Vietnam: economists

Real estate recovery reflects optimistic outlook for Vietnam: economists

Vietnam was well placed to seize growth opportunities and tap global trends, leading economists said at a forum on Tuesday, citing real estate market recovery as an indicator.

Economy - Wed, March 27, 2024 | 10:50 pm GMT+7

Jewelry major PNJ aims for $81 mln after-tax profit in 2024

Jewelry major PNJ aims for $81 mln after-tax profit in 2024

Vietnam’s Phu Nhuan Jewelry JSC has targeted VND2.09 trillion ($80.65 million) in after-tax profit this year, up 6% from 2023 and a new record for the firm, according to its leadership.

Companies - Wed, March 27, 2024 | 5:34 pm GMT+7

Vietnam central bank slows down cash withdrawal as exchange rate remains stable

Vietnam central bank slows down cash withdrawal as exchange rate remains stable

The State Bank of Vietnam (SBV), the country’s central bank, has reduced the volume of T-bills put up for auction as the USD/VND exchange rate stays stable.

Banking - Wed, March 27, 2024 | 5:14 pm GMT+7

Finnish parliament speaker joins inauguration of $57 mln waste-to-energy plant in northern Vietnam

Finnish parliament speaker joins inauguration of $57 mln waste-to-energy plant in northern Vietnam

The Thang Long-Bac Ninh waste-to-energy plant in the northern province of Bac Ninh was inaugurated Tuesday in the presence of Finnish parliament speaker Jussi Halla-aho.

Energy - Wed, March 27, 2024 | 5:04 pm GMT+7

FPT Retail to open 400 Long Chau pharmacies, 100 vaccination centers in 2024

FPT Retail to open 400 Long Chau pharmacies, 100 vaccination centers in 2024

FPT Retail has targeted pre-tax profits of VND125 billion ($5 million) this year, overturning last year’s loss of VND294 billion.

Companies - Wed, March 27, 2024 | 4:10 pm GMT+7