Singapore court freezes up to US$499m in Radiant World assets, caps founder’s spending at £4,000 a week

Singapore's judiciary has placed a global freeze on up to US$499.2 million in assets tied to iron ore trader Radiant World, while also capping founder Pinkesh Nahar's weekly living expenses at £4,000. These measures, revealed in unreported court filings, stem from a worldwide freezing order issued by a London court. Sapphire Minmetals Corporation Ltd and its chairman Rakesh Sethi are also under the order, with Sethi similarly restricted to a £4,000 weekly budget.

Jefferies subsidiary Point Bonita, a fund managed by Jefferies, is suing Radiant World Corporation Pte Ltd, the firm's principal Singapore operating entity, its Hong Kong subsidiary Radiant World Holding Ltd, Nahar, Sapphire Minmetals, and Sethi. The lawsuit claims Radiant World falsified iron ore invoices in a "fraudulent scheme" worth over US$500 million.

In the UK proceedings, Jefferies alleges the defendants attempted to remove, dispose of, or dilute the value of assets in Singapore worth up to US$499.2 million. The Asian jurisdiction's order prohibits the defendants from removing, disposing of, or reducing the value of these assets. However, they may make reasonable payments for legal fees and continue managing their affairs in the normal course.

Radiant World maintains it adheres to the highest commercial and legal standards. Singapore police raided the firm's office last month and are probing the company, Bloomberg reported. The region boasts a significant presence for Radiant World, with its main operating unit incorporated there.