Chinese state-owned company Wuchan Zhongda Group Co has announced that it is investigating the disappearance of a shipment of copper from Russia, whose monetary value amounts to 110 million yuan ($15 million).
Disappearance investigation
According to Bloomberg News, the Chinese company bought 2,000 tons of refined copper from a Russian company last month, but the shipment never reached its destination. Following media reports about its copper business, the company has carried out a preliminary review and announced that it is a case related to an international trading subsidiary.
“The company has a strong internal control system that can effectively manage and control risks related to business operations,” indicated in his statement. Furthermore, he stated that the value involved is small compared to the group’s revenue last year, which exceeded 580 billion yuan, and that the incident “will not have a significant impact on the company’s operations.”
Buy from a Russian company
The cargo was purchased late last year from a Russian company called Regional Metallurgical Co, according to people close to the case. However, records from the shipping line that handled the shipment indicate that the metal was listed as much cheaper granite, and likely ended up in Turkey, added the sources who preferred to remain anonymous due to the sensitivity of the matter.
