Radiant World axes more jobs as legal pressure mounts

Radiant World axes more jobs as legal pressure mounts

Radiant World and affiliated iron ore trader Sapphire Minmetals have cut more jobs across Asia and Europe as mounting lawsuits, frozen assets and the loss of trading partners squeeze their operations.

Radiant World has lost nearly half its iron ore traders in China and Singapore, while staff have also departed its London and Geneva offices, Bloomberg reported on Tuesday, citing people familiar with the matter. Some employees were dismissed and others resigned. Sapphire Minmetals has also reduced staff in China and Singapore.

The retrenchment follows a $499 million worldwide freezing order imposed by a London court at the request of a fund managed by Jefferies Financial Group, which alleges Radiant World and Sapphire Minmetals falsified iron ore invoices as part of a fraudulent scheme.

Radiant World has previously denied wrongdoing and said it conducts its business according to the highest commercial and legal standards.

The dispute threatens what was once a sizeable commodity trading operation as lenders, counterparties and employees retreat. Major trading houses including Vitol Group, Cargill and Glencore (LON: GLEN) moved to c...