Special Report - (Namazone):
The banks of the UAE and the Gulf region are facing a new shock, after the announcement of the liquidation of the Phoenix Commodities Group, which specializes in agricultural trade, at a time when banks are still facing the repercussions of the NM crisis. Si Healthcare.A document reported by Reuters recently reported that Phoenix Commodities BVT, owned by Indian businessman Gaurav Dhawan, has offices in Dubai and Singapore, subject to liquidation, after it accumulated It has potential losses of more than $ 400 million.
The document prepared by liquidation officials says Phoenix blames the obligations on currency fluctuations caused by the emergence of the Corona virus, which has affected dollar-related derivatives and other currencies. p>
Executives from the restructuring companies Quantumah LLP and KRS Global were appointed as joint liquidation officials, and a notification was sent to the company's creditors. On April 24, according to the document.
The document shows that a notification was sent to creditors of a meeting with the liquidators, noting that prior to the appointment of the liquidators, the group had available $ 1.6 billion in bank facilities with a number of Banks based in Singapore, Britain and Dubai. The document confirmed that, after a quick review of the company's financial records, it was found that it had faced commitments of about $ 400 million as a result of accumulating losses incurred by the financial derivatives trading division at Phoenix Global de. MCC Sources told Reuters that Gaurav Dawan, the company’s main shareholder and CEO of the trade group, recently left Dubai for London.Phoenix Global DMCC is the arm of the Dubai-based company that trades commodities through the DMCC.
Phoenix Quantum senior management advised that it should avoid $ 450 million in the company's profit and loss account as of March 31, 2020 from trading losses.
no exposure
A group of banks in the UAE and the Gulf rushed in announcing that they would not be exposed to the debts of the Phoenix Commodities Group, while other banks announced the extent of their exposure to the group's debts.
>Commercial International Bank and Abu Dhabi Islamic Bank revealed that they have no exposure to the Phoenix Commodities group and its subsidiaries.
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