Legal8 Aug 2025, 02:52 pm
Mangalam Cement Limited Suffers Loss of USD 5,371,263.92 Due to Non-Delivery of Green Delayed Petroleum Coke
AI Summary
Mangalam Cement Limited (MCL) has entered into an arrangement with AUM Commodities FZCO for procuring 55,000 (+/- 10%) Green Delayed Petroleum Coke at the price of USD 99.90 per MT CIF. The cargo was insured, and the Company opened four irrevocable letters of credit in favour of AUM for a total sum of USD 53,98,255. However, the cargo has not been delivered to Kandla despite several assurances by the Proprietor of AUM/Seller. MCL has suffered a loss in the amount of the Cargo Payment Sum in relation to the non-delivery of the Cargo. MCL has lodged a formal Claim under the Policies on Liva and is also taking steps to preserve and exercise its rights under the BLs against the carrier as a potential subrogee of its claim.
Key Highlights
- MCL entered into an arrangement with AUM Commodities FZCO for procuring Green Delayed Petroleum Coke.
- The cargo was insured, and the Company opened letters of credit in favour of AUM.
- The cargo has not been delivered to Kandla despite several assurances by the Proprietor of AUM/Seller.
- MCL has suffered a loss in the amount of the Cargo Payment Sum.
- MCL has lodged a formal Claim under the Policies on Liva and is taking steps against the carrier.