The Case

A Chinese textile manufacturer has been in business for over a year with an Italian wholesaler

The wholesaler used to place small orders and to pay the goods according to agreed terms of payment.

Suddenly, the Italian wholesaler placed an order for a huge amount of fabric demanding however a term of payment of 60 days after the receipt of the original document.

Chinese suppliers, due to the consolidated business with the wholesalers, decided to deliver the goods accepting also the payment term.

However, once the goods arrived at their destination and were picked up, the wholesaler  disappeared and became completely unreachable.

Our Intervention

WayOut Strategy had been entrusted with the collection in the case.

All attempts to contact debtors were not successful at all, telephone numbers were not active and there was no reaction to the lawyers’ letters.

WayOut Strategy continued its investigation deciding to pay a visit to the registered office of debtor and found that there was no trace of the company.

A few days after the verification, the debtor company entered into voluntary liquidation.

From the results of the investigation and from more information gathered by WayOut Strategy, it was clear that this was a fraud against the producer.

WayOut Strategy has informed its client by sending all the collected data (photographs, names, contact details etc.).

The client was put in a position to decide the strategy with his insurance company, limiting the damage.

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