Danish company OW Bunker, the world’s largest ship-fuel supplier, has declared bankruptcy and reported two employees at its Singapore subsidiary to the police following fraud allegations.
The company, based in Aalborg, northern Denmark, said Wednesday it had lost around $275 million through a combination of poor risk management and fraud committed by senior executives at its unit Dynamic Oil Trading in Singapore. It didn’t immediately provide more details about the fraud allegations.
OW Bunker owes 13 banks $750 million and cannot survive without new credit, which banks have refused to provide.
The company’s chairman, Niels Henrik Jensen, said late Friday the company filed for bankruptcy at a court in Aalborg after it was established that it was “not possible to save the remaining business.”