Aurubis, Europe’s Leading Copper Producer, Affected by Enormous Metals Fraud

Aurubis, Europe’s Leading Copper Producer, Affected by Enormous Metals Fraud


(Bloomberg) — Europe’s top copper producer Aurubis AG warned it may face losses in the hundreds of millions of ‌euros after​ being hit by ⁤a massive scam involving⁢ shipments​ of scrap⁤ metal that it uses in⁢ its ⁢recycling business.

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Shares in the​ company plunged ‍as much as 18% after⁢ it announced ⁢it⁤ found a​ significant metal shortfall and said it no longer expects to meet ‍its ‍profit forecast for the year.‌ Aurubis believes some of its suppliers have manipulated details about the⁤ scrap metal they provided‍ and had been ‍working with employees in the company’s‍ sampling department to cover it ‌up.

The global metals industry has been​ rocked ⁤in recent years by​ a series ⁣of scandals, including‍ the shock revelation by commodities‍ trader Trafigura Group that it⁣ was the victim of ‌a massive alleged nickel ​fraud. The incident will raise concerns⁢ about Aurubis’s security controls, ​particularly after the company said ‍in June that it had uncovered a theft‍ ring⁤ targeting products…

2023-09-01 03:22:02
Article from finance.yahoo.com
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