Radiant World misses salary payments for employees in September

Some employees of Radiant World have yet to receive their September salaries, a delay that reveals underlying issues as the iron ore trader's operations come under the supervision of court-appointed managers. Workers based in Singapore, China, and Europe reported that they had not been paid their wages during the customary fourth week of the month and were unaware of any colleagues who had received payments as of October 5th.

Multiple employees mentioned previous delays, with salaries occasionally reaching them as late as a few days into the new month. However, they expressed growing concern among staff due to numerous legal actions filed against the company. Several banks have severed ties with Radiant World following Bloomberg's reporting in July, which highlighted creditor concerns over the trader's use of falsified documents to raise funds.

Employees, who requested anonymity due to the private nature of the issue, stated that in recent months their salaries had been deposited into a Dubai-based company account. It was unclear what caused the delay or if the salaries would ultimately be paid. Radiant World's spokesperson and KPMG, appointed as interim judicial manager in September, did not provide comment on the matter.

Multiple lenders accused Radiant World of using falsified documents, with Mizuho Bank initiating legal proceedings in August to remove the management of the company's key operating entity in Singapore. The court granted this request in September, appointing KPMG as interim manager. Restructuring executives from the firm have begun reaching out to current and former employees to conduct interviews.

Mizuho Bank stated in a court filing that it had substantial reasons to believe it was a victim of fraud committed by Radiant World. The Singapore judge overseeing the case ruled that the trader was, or was likely to become, insolvent. Radiant World denied any wrongdoing.