UK markets closed
  • NIKKEI 225

    23,639.46
    +72.42 (+0.31%)
     
  • HANG SENG

    24,754.42
    +184.88 (+0.75%)
     
  • CRUDE OIL

    40.01
    -1.69 (-4.05%)
     
  • GOLD FUTURES

    1,926.60
    +11.20 (+0.58%)
     
  • DOW

    28,247.87
    -60.92 (-0.22%)
     
  • BTC-GBP

    9,647.95
    +1,113.61 (+13.05%)
     
  • CMC Crypto 200

    254.47
    +9.58 (+3.91%)
     
  • ^IXIC

    11,500.14
    -16.35 (-0.14%)
     
  • ^FTAS

    3,261.01
    -54.72 (-1.65%)
     

BP Singapore Oil Traders Leave After Probe on Disputed Deals

Serene Cheong and Alfred Cang
·2-min read

(Bloomberg) -- Four members of BP Plc’s Singapore-based crude oil trading team left the company this week after more than two months of internal investigations into their involvement in several disputed deals, said people with knowledge of the situation.

A manager in BP’s Asia trading team, two oil traders and an originator were placed on leave in July after their names were mentioned in court documents filed by banks that alleged suspicious transactions between other trading houses. They left the company on Sept. 30, said the people, who asked not to be identified as the information is private.

A BP spokesperson declined to comment on the matter. The affected staff held portfolios focused on the company’s oil sales to Chinese customers, while the manager oversaw crude trading in the region. Details of the findings from investigations remain unclear.

Their departures come amid intense scrutiny of highly-opaque practices in Singapore, an oil-trading and financing hub, following the collapse of Hin Leong Trading (Pte) Ltd. and ZenRock Commodities Trading Pte Ltd.

Internal investigations by the oil major began after the company and BP personnel were mentioned in court filings by units of CIMB Bank Bhd. and Natixis SA against Hontop Energy (Singapore) Pte. Ltd. and Sugih Energy International Pte. Ltd. -- now renamed as Aeturnum Energy International Pte Ltd.

Read: Burnt Banks Claim Fraud, Fabrications in Asian Oil-Trading Web

In some documents, their names appeared in email exchanges between trading counterparts, although the oil major said it never agreed to some of those purchases and no accusation of wrongdoing was ever made against it.

This week, BP also asked employees to stop using China’s WeChat app on their work phones as a communication method with market participants and counterparts, the people said. The recommendation follows a similar move by U.S. oil major Chevron Corp. in late-September.

(Adds details on court filings.)

For more articles like this, please visit us at bloomberg.com

Subscribe now to stay ahead with the most trusted business news source.

©2020 Bloomberg L.P.