Mizuho Radiant Credit Tied to Invalid Invoices
Mizuho Bank provided one hundred million dollars in credit to iron ore trader Radiant World secured by invoices Glencore later stated were invalid. Glencore has since stopped all business with Radiant World as police investigate the commodity firm.
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MIZUHO FINANCIAL GROUP INC provided $100M in credit to iron ore trader Radiant World in June, secured by invoices later flagged as invalid. The financing arrangement between the banking arm of the Japanese lender and the commodity trader has not been previously reported. The fallout exposes vulnerabilities in commodity trade finance as major counterparties sever ties.
