Cases OW Bunker
OW Bunker is a Danish marine fuel bunker company. On 20 March 2014, the company’s shares were introduced on the Copenhagen NASDAQ OMX exchange. On 7 November 2014, less than 8 months after its IPO, the company filed for insolvency, resulting in steep losses for its shareholders.
According to OW Bunker, its demise was primarily caused by huge losses arising from a serious fraud conducted by its Singapore-based subsidiary Dynamic Oil Trading as well as certain problems with its internal risk management. However, Deminor’s investigation has resulted in the discovery of multiple serious irregularities in the period leading up to OW Bunker’s IPO, as well as during and after the IPO.
Upon discovery of these irregularities, Deminor proposed that the investors affected by OW Bunker’s insolvency seek recovery for the losses they suffered on their investments in OW Bunker in court. In early October 2017 an action for damages was filed with the Danish courts on behalf of 21 institutional investors, represented by Deminor.
The defendants in the action are investment banks Morgan Stanley and Carnegie. In addition, our clients have reserved their rights to initiate future actions towards a large group of other parties involved in the circumstances surrounding the OW Bunker case. The total loss that our clients have suffered amounts to approximately EUR 70 million.