Singapore — Recent financial failures and scandals of Singapore’s commodities traders, triggered by the oil price crash this year, highlight a lingering loan-loss risk facing major banks in the city-state. At least four commodities traders in Singapore – Hin Leong Trading (Pte.) Ltd., Zenrock Commodities Trading Pte. Ltd., Hontop Energy (Singapore) Pte. Ltd. and Agritrade Interntional Pte. Ltd. – were put under receivership or judicial management by their creditors this year, according to company statements and media reports. The sudden and sharp decline in oil prices induced by the pandemic has hit their cashflows or uncovered allegedly fraudulent practices.
