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Lawyer for Dynamic Oil Trading chief says he denies 'illegal activities'

Lawyer for Dynamic Oil Trading chief says he denies 'illegal activities'
The lawyer acting for Lars Moller ceo of Dynamic Oil Trading at the centre of the OW Bunker scandal denies there were any illegal activities.

Danish media Finans reported lawyer Arvid Andersen saying that the alleged related fraud involved “credit sleeving”.

Credit sleeving is where a third party helps a partner to fund a purchase it does not have enough access to credit to complete. In this case the partner is reported to be Tankoil Marine Services.

Speaking to Reuters Andersen said Moller denied there were any illegal activities that what had happened was due to an "untimely lack of care" and that OW Bunker has been too quick to jump to conclusions about the situation.

"The case is not that somebody has stolen money, billed fictitious trades or given kickbacks. The case is that a big credit given to one customer was built up," Andersen said.

Andersen said it was only a question was to whether internal guidelines were broken.

On Wednesday OW Bunker reported a $125m fraud at Dynamic, as well as a $150m risk management loss, which combined led to its syndicate of banks pulling their support and the Danish bunker firm filing for bankruptcy 48 hours later.