|
|
Exercise restraint before signing the deal
|
|
|
|
| Top Stories |
 |
|
|
|
Bikky Khosla | 01 Jun, 2010
Did you get an offer from a buyer that is too good to believe? Well then, you must be a victim of one of the many scams in the world today and being a businessman this is the last thing you would ever want to happen. While companies critically examine supposed business proposals coming from countries like Nigeria and a couple of other African countries, there are other nations from where scam mails have started coming and have already duped many Indian businesses. Of late, a couple of alleged fraud companies from China have raised their ugly heads and there are reports too where unexpected companies have been victims.
An interesting but equally dangerous case was unearthed by us, when an exporter client of ours was asked to take along gifts for its staff if he wanted to get the order. While it is not always true that small startup companies invariably are fraudsters, fraud remains a danger even among apparently reputable companies - not to forget the Satyam Computer Services Ltd. case.
It is thus extremely essential to exercise diligence, both before signing a deal and on an ongoing basis, to ensure that the buyer continues to adhere to the agreed terms. Exporters/ suppliers must draft contracts for maximum enforceability that can help in getting judgment against a foreign party that has no assets outside its country.
It is also very important to go for verified companies...difficult? Not really. Today B2B portals have come up with some tools like the ones we have - Trust Stamp, wherein companies are verified and doing business with an unknown company becomes a smooth affair and does away with a lot of unnecessary hassle.
In addition, it's not advisable to fall prey to goodies usually offered by fraud companies. Safe business is more important than earning more profits. Usually exporters fall for emails that promise inflated profits and they thus end up getting cheated.
|
|
|
| |
|
|
|
|
|
|
|
Greed Has no Limit
KESHAV | Wed Jun 2 15:55:02 2010
This fraud Is at least 40 years old, only during last 5-7 years,has become great. Now even being practiced by many from India - I have recvd. some e-mails from there. In 1972-73 I recvd. first tlx msg. from Nigeria from a man who wanted 10000 pcs.of My product whereas I had sold only 2500pcs. till that time in India and abroad. In 1974 when I went to Nigeria for some technical projects, my contact - a UK qualified CA, took me round and was surprised that I did not fall prey to this man whom we found living in a shack. Many others who even sent women photos along with their proposals and who were not replied to by me were those who could not speak a word of English. Last year I read a news that an Indian Bank Manager has filed a police complaint for having been cheated by such people. A SENIOR BANK MANAGER!! I felt he was served right. Today there is no country from where such e-mails dont come. Another fraud is a person asking medicines to be used for animals, which some Indian produces and sells through a south African in UAE. This e-mail from last 2 years says his co. in UKbuys it at over 700 Pound sterling for 10ml and his partner can give at 250 or 300 pounds and the difference is to be shared 50:50. He sends an order for 5000 or more such bottles. His supplying partner will call saying he is calling from South Africa and can come to UAE to deliver. If you ask him his trade licence no. or bank's name, he WOULD WANT CASH. HERE U R ??
Should ask for full info
Kusshal | Wed Jun 2 08:30:38 2010
Dear Sir, I totally agree with you. I am an enterpreneur & started my business in 2008. Last month i recd. a mail from an agent in nigeria, who asked me about few fasteners required by the tender board in ghana. Initially the volume of the lot was 16 containers. After quoting the rates, they increased the volume to 74 containers. I frequently asked them for the formalities for the tenders & the bidding papers, but the agent said there is no such formalities, he will handle it. I just need to send the documents to them like performa invoice * letter of intent. After sending the documents i recd. a mail to deposit the processing fee for the bidding papers. I asked the agent that why didn't he told me about the fees earlier, he said he forgot, then i asked him to deposit on my behalf, he said he can't as he is facing financial crisis.Then i checked the website of the tender board, there was no such tender available for allottment.
So my point is one must check all the formalities before taking any step, even if it is govt.tender & anything else& should check the status of the company through every means either by internet, phone calls or through any associate in other countries.
Regards
Have a safe business.
Excercise Restraint
S K Agrawal, Fusion Resources | Wed Jun 2 08:12:04 2010
Dear Sir,
You are very much to the point. I have also recd few enquiries thru Tradeindia which did not make sense. May those were genuine. They wanted to export ovens to china?.This is not hightechnology item and lmanufacturing cost in hina is less. We have to be careful. Thanks for the mail.
Regards
take more atttention
Rachel | Wed Jun 2 06:16:09 2010
the most Important is,to be more and more careful in business.
|
|
Re: take more atttention
Neelam Jain | Wed Jun 2 07:44:50 2010
How do we check the crediblity of the buyer we pick from trade india?
|
|
Great Note! Couldnt agree more.
Shishir, CEO, reqSmart Consulting | Wed Jun 2 00:03:57 2010
I am a business owner based in India and this happens so often that one needs to be very very careful. Even at a personal level. I dont know how many emails I receive daily saying there is millions of dollars/pounds waiting for my claim - from companies faking to be wealthy companies, individuals and event govt. representatives of countries. Many saying they have inherited wealth and want to donate to charity and will share part of it, others saying they need help with blocked funds, and others saying they need to pay up on old contract which you signed with them.
Beware. There are lots of people trying to make quick money by scams. Wonder if there is a way to trace web email addresses and domains from where these emails are generated and if something can be done about it.
Shishir
|
|
Re: Great Note! Couldnt agree more.
Milan Mehta, Mumbai | Wed Jun 2 04:35:21 2010
Same here...Maybe all Exporters are regularly targeted. I remember my first such offer was recd. late in 1997. It was by normal letter. Then offers came by Fax. Then emails now.
GREED is the reason why people get conned. If you can control that, no one can fool / cheat you.
Last week I recd. similar offer from Chinese company. They went through our website and came to know we are NEEM TREE SPECIALISTS. Hence they gave a unbelievable offer of buying 4000 Tns. Neem Cake, without negotiation provided I go to China to sign contract ! I told them if they come to India to sign the same, I would give them 5 % discount. Naturally there was no response later on..
|
|
|
|
Re: Great Note! Couldnt agree more.
Jigna | Wed Jun 2 06:11:44 2010
its very true, lot of spam mails we are rcvg from overseas to claim for lottery money or claim for business parternership for perticular country or industy... its all fake...
But As Mr. Mehta,given a good idea of checking credibility of buyers, we need to do some prank to check the credibility of buyers as well as suppliers...
|
|
|
|
|
|
|
|
|
| |
| Customs Exchange Rates |
| Currency |
Import |
Export |
US Dollar
|
66.20
|
64.50 |
UK Pound
|
87.50
|
84.65 |
Euro
|
78.25
|
75.65 |
| Japanese
Yen |
58.85 |
56.85 |
| As on 13 Aug, 2022 |
|
|
| Daily Poll |
 |
 |
| PM Modi's recent US visit to redefine India-US bilateral relations |
|
|
|
|
|
| Commented Stories |
|
|
|
|
|
|
| |
|
