Jefferies-linked fund says Radiant World may hold just $10,000 in cash

• LAM Trade Finance Group II claims a $190+ million discrepancy exists between Radiant World's audited cash balances ($200 million) and actual holdings (allegedly just $10,000)
• The fund alleges it purchased iron ore receivables from traders like Glencore and Vitol that either did not exist or were not validly assigned, with defendants using 'debit notes to paper over the cracks'
• Radiant World faces lawsuits seeking more than $2 billion in Singapore and is under police investigation regarding concerns over potentially invalid invoices provided to banks

Summary: Jefferies-Linked Fund Claims Radiant World Cash Holdings Severely Misrepresented

Key Development:

Iron ore trader Radiant World Corporation may hold only $10,000 in cash, despite audited financial statements showing cash balances exceeding $200 million for the year ending September 30, 2025. This dramatic discrepancy was revealed by lawyers representing LAM Trade Finance Group II during London High Court proceedings on September 17, 2026.

The Fraud Allegations:

LAM Trade Finance Group II, in which U.S. investment bank Jefferies holds a minority stake, alleges it purchased iron ore receivables from Radiant World-linked entities—purchasing rights to payments from major traders including Glencore and Vitol. However, LAM claims these receivables either didn't exist or were invalidly assigned. Judge Simon Bryan noted defendants allegedly used "debit notes to paper over the cracks" until "the well has now run dry."

Legal Actions:

• LAM obtained freezing orders against Radiant World, founder Pinkesh Nahar, and others in London (August 2026), Hong Kong, and Singapore
• Radiant World faces a separate lawsuit in Singapore seeking over $2 billion
• Singapore police launched an investigation into the company last month

Company Response:

Radiant World has strongly denied allegations that invoices provided to banks were invalid. The company did not immediately comment on the latest cash balance claims.

Market Implications:

This case highlights significant risks in trade finance and receivables financing, particularly involving commodity traders. The involvement of major counterparties like Glencore and Vitol, combined with the massive discrepancy between stated and actual assets, raises concerns about due diligence practices and potential systemic exposure in trade finance markets.