People's Bank tried to modify LOC terms, alleges Qingdao Seawin

COLOMBO (News 1st); China's Qingdao Seawin Biotech Group Co., Ltd alleged that the People's Bank of Sri Lanka repeatedly tried to modify the terms of the letter of credit issued for the organic fertilizer consignment, after the first shipment department facility.

In a statement seen by News 1st, Qingdao Seawin Biotech Group Co., Ltd says that the people's Bank of Sri Lanka issued an irrevocable letter of credit to Seawin.

Noting that the People's Bank had violated International Regulation, Qingdao Seawin Biotech Group Co., Ltd says that that bank is only responsible for reviewing whether the documents provided by Seawin meet the requirements of the letter of credit, and if all documents meet the requirements, they should pay unconditionally.

The statement noted that after Seawin departed the first shipment, the people's Bank of Sri Lanka has repeatedly tried to modify the terms of the letter of credit, trying to change the irrevocable letter of credit into a collection, and changing the bank credit into commercial credit, so that the buyer can refuse payment at will.

It also added that according to the conventional international trade practices, Seawin sent samples to Sri Lanka twice on July 22 and August 16, 2021 before signing the trade contract.

"Before export, Seawin obtained the export plant quarantine certificate and the export license. Obviously, Seawin has more than 20 years of international trade experience and strictly abides by the international trade process," it added.

"It is someone from Sri Lanka who deliberately does not follow the international trade process, deliberately delays the sample testing, and does not inform the supplier of the fact that he has not obtained the import license. The supplier was not informed until 

four days after the departure of the goods," the statement further said.