Cargo misappropriation

Since the early 90ties we were frequently instructed for cargo misappropriation investigations; large (commodity) parcels suddenly seem to have disappeared from warehouses. Cargo has sometimes been sold by the company that takes care of storage of the commodity. At times, goods were stored in such a way that nobody noticed that they were not actually there anymore, while according to official documents the cargo should still be stored in the indicated warehouse. Commodities like grains, oil products and metals, are highly vulnerable to misappropriation, as they are difficult to identify.

Sometimes sudden unexpected market changes, or an economic downturn, stops pyramid games, ponzi schemes or other fraudulent set-ups, when the insured is requesting delivery of their cargo and finds out that a large problem has been hidden for a much longer period.

We were involved in many large to very large cargo misappropriation cases in Romania, Hungaria, Bulgaria, Russia, Ukraine, Kazachstan, Nigeria, Liberia, Zambia, South Africa, Brasil, Paraguay, Malaysia, Indonesia and China. Also in West European countries like Spain, Italy and the UK we were involved in such claims. In many cases our investigations on the spot lead to unexpected results. Often it appears that circumstances are different than initially assumed and that several parties can be held responsible for the loss of the cargo, or that cargo had never been actually stored.

By local investigations we can obtain a better overall view of the physical and documentary checks that were done before and after the purchase of the cargo, the supervision during the storage period and other circumstances around the misappropriation. Besides that, if the facts are clear, preventive measures can be taken to prevent repetition in the future.