China's Bank of Tianjin faces $121m fraud

AFP, SHANGHAI: China's Bank of Tianjin has been defrauded of more than $120 million, it said, the third such giant crime against banks in the country this year.
A "risk incident" at a Shanghai branch involved 768 million yuan ($122 million) and was related to its notes business, the bank said in a statement to the Hong Kong stock exchange.
Notes, also known as bills of exchange, are securities issued by financial institutions, often as short-term financing tools, and payable to the bearer.
Financial magazine Caixin said that the notes had been sold to the bank as part of a repurchase agreement.
The bank "paid the money when buying the notes, but the notes went missing when the time came to resell", Caixin quoted people familiar with the matter as saying, leaving the bank unable to recoup its funds.
A number of bank employees who handled the bills had turned themselves in to police, it added.

Chinas Bank of Tianjin faces $121m fraud

AFP, SHANGHAI: Chinas Bank of Tianjin has been defrauded of more than $120 million, it said, the third such giant crime against banks in the country this year. A risk incident at a Shanghai branch involved 768 million yuan ($122 million) and was related to its notes business, the bank said in a statement to the Hong Kong stock exchange. Notes, also known as bills of exchange, are securities issued by financial institutions, often as short-term financing tools, and payable to the bearer. Financial magazine Caixin said that the notes had been sold to the bank as part of a repurchase agreement. The bank paid the money when buying the notes, but the notes went missing when the time came to resell, Caixin quoted people familiar with the matter as saying, leaving the bank unable to recoup its funds. A number of bank employees who handled the bills had turned themselves in to police, it added.