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Singapore: Dynamic Oil Trading claiming USD 103 million from Deloitte & Touche over alleged negligence

Deloitte issued a ‘clean, unqualified opinion’ for DOT’s financial year ended 31 December 2013 on 31 March 2014 in its Audit Report and did not raise any issues or concerns regarding DOT’s financial statements.
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Lawyers representing Dynamic Oil Trading (Singapore) Pte Ltd (in creditors’ voluntary liquidation and receivership) (DOT) and Deloitte & Touche LLP (Deloitte) were scheduled to be present at the General Division of The High Court of the Republic of Singapore on 11 April 2023.

DOT was looking to claim USD 103 million from Deloitte, which was engaged to perform audit of DOT’s financial statements ending 31 December 2013, due to alleged negligence, according to the Statement of Claim (dated January 2020) obtained by bunkering publication Manifold Times.

Background of KMPG involvement

KPMG Services Pte. Ltd. (KPMG) was appointed as joint and several provisional liquidators of DOT on 18 November 2014 and appointed as joint and several liquidators of DOT on 13 February 2015.

Prior to the development, Deloitte issued a “clean, unqualified opinion” for DOT’s financial year ended 31 December 2013 on 31 March 2014 in its Audit Report and did not raise any issues or concerns regarding DOT’s financial statements, highlighted KPMG in the Statement of Claim.

As such, DOT was unaware of misconduct by any of its senior management, officers, employees, and agents for its financial year ending 31 December 2013. 

“Based on this, DOT had, at all material times, been led to believe Deloitte did meet its audit obligations in respect of DOT for the 2013 Audit,” stated KPMG.

Issues between DOT, Petrotec and Tankoil

Petrotec Pte. Ltd. (Petrotec) was DOT’s primary trading partner from October 2012 to March 2013 and Tankoil Marine Services Pte Ltd (Tankoil) was its primary trading partner from March 2013 to early November 2014; both firms were collectively involved in approximately 85% of DOT’s business in 2013.

Tankoil was gradually wound up by DOT and ING Bank N.V. on 31 July 2015 and DOT has not been able to recover the overdue net balance of Tankoil’s liability to DOT amounting to approximately USD 156.3 million as of 18 November 2014 (the date when DOT entered into provisional liquidation).

KPMG, amongst discoveries, found a delay in the booking of invoices raised by DOT to Tankoil in DOT’s financial management systems giving rise to a misleading picture of DOT’s credit exposure in relation to Tankoil.

“Deloitte failed to carry out the necessary inquiries and investigations which would have led it to uncover the nonbooking or delayed booking of DOT’s invoices to Tankoil, which in turn would have enabled Deloitte to form the view that DOT did not keep proper accounting or other records and/or that its financial statements were not consistent or supported by DOT’s accounting or other records,” it stated.

When DOT entered provisional liquidation on 18 November 2014, DOT’s trade receivables amounted to approximately USD 330.5 million, of which approximately USD 222.9 million was due from Tankoil – where the gross balance due from Tankoil amounted to almost 70% of DOT’s total trade receivables.

“DOT’s trade receivables from Tankoil kept increasing in the course of 2013. This should have alerted Deloitte to make further inquiries and/or request further audit evidence as to how DOT was managing these trade receivables and why these trade receivables were not being collected,” said KPMG.

“Deloitte failed to raise issues or concerns with DOT with respect to the stated trade receivables and issued a clean, unqualified opinion.”

According to KPMG, a general trading pattern existed between Tankoil and DOT where Tankoil consistently charged DOT a unit price for bunker oil less than the unit price DOT charged Tankoil for bunker oil; essentially making a loss within this trading arrangement.

KMPG auditors further noted Lars Møller, the former managing director and finance manager of DOT, being charged with aggravated criminal breach of trust under the Danish Criminal Code on 12 July 2017 and convicted of the same on 30 May 2018 by the Court of Aalborg in Denmark. His conviction was enhanced by the 1st Division of the Danish Western High Court on 14 June 2019 to that of fraudulent abuse of a particularly gross nature.

“Had DOT been aware of its true financial position and/or the weaknesses in the design or operation of the accounting and internal control system, the full extent of the impairment of receivables due from Tankoil and/or the unlawful actions by Lars and/or any other officer, employee or agent of DOT would have been discovered earlier and in any event before November 2014 (when the OWB Group collapsed globally) or any earlier date on which DOT knew the extent of impairment of receivables and/or DOT would not have carried on trading with Tankoil and/or DOT’s shareholders would have placed DOT in liquidation earlier and would have avoided incurring further substantial amounts of unpaid receivables,” stated KPMG in the legal document.

KPMG auditors estimated DOT incurred a loss of approximately USD 103 million, being the difference between:

  • Approximately USD 127 million, being DOT’s net liabilities (excluding irrecoverable Tankoil balances) as at the date of liquidation on 18 November 2014; and
  • Approximately USD 24 million, being DOT’s net liabilities (excluding irrecoverable Tankoil balances) as at 31 December 2013 as stated in reflected in the audited accounts dated 31 March 2014.

In November 2018, Deloitte was the subject of investigations led by the Danish Business Authority regarding “significant deficiencies in the work performed” in the auditor’s statements of the O.W. Bunker group.

Stakeholders of the defunct bunkering firm O.W. Bunker A/S (currently in insolvency proceedings) launched a similar claim against Deloitte for damages over “breach(es) of their contractual obligation(s) and/or dut(ies) in their audit of the financial statements of Dynamic Oil Trading (Singapore) Pte Ltd (now in creditors’ voluntary liquidation and receivership), thereby resulting in the Plaintiffs suffering loss and damage.”

Related: O.W. Bunker USA and affiliate O.W. Bunker North America reaches USD 23.5 million settlement with creditors
Related: Dynamic Oil Trading liquidators publish notice of dividend to unsecured creditors
Related: Dynamic Oil Trading liquidators plan to declare interim dividend to unsecured creditors
Related: Singapore: O.W. Bunker A/S stakeholders take Deloitte & Touche LLP to court over alleged negligence
Related: Danish Business Authority finds fault with OW Bunker auditors
Related: O.W. Bunker verdict: Prison sentence for Lars Moller
Related: OW Bunker: High Court explains reviewed judgement of Lars Moller
Related: OW Bunker: Public Prosecutor planning to review judgement
Related: OW Bunker: Judgement to be appealed
Related: OW Bunker verdict: Prison sentence for Lars Moller
Related: OW Bunker: Verdict to be out on Wednesday
Related: Dynamic Oil trial: Lars Moller provides testimony
Related: All eyes on Dynamic Oil criminal trial at Denmark
Related: Dynamic Oil criminal trial set to begin in April

 

Photo credit: Manifold Times
Published: 25 April, 2023

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Mass Flowmeter

Hong Kong backs MFM adoption with voluntary scheme to boost bunkering competitiveness

Hong Kong’s Marine Department launched the Quality Bunker Operator Scheme to encourage bunker operators to install and use mass flow meter systems on their bunker vessels.
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Hong Kong’s Marine Department (MD) on Wednesday (3 June) launched the Quality Bunker Operator Scheme to encourage bunker operators to install and use mass flow meter systems (MFM systems) on their bunker vessels.

MD said the scheme aims to enhance Hong Kong’s bunkering service quality and the competitiveness of Hong Kong ports, thereby further consolidating Hong Kong’s position as an international maritime centre and a major bunkering port.

Under the Scheme, bunker operators of traditional maritime fuel and biodiesel that install and use MFM systems on their bunker vessels, with the MFM systems inspected and certified by an accredited body in accordance with the International Organization for Standardization’s ISO 22192 Standard or equivalent requirements, can apply to the MD for inclusion in the scheme’s “List of Quality Bunker Vessels”, provided they meet the relevant technical and operational requirements. 

Details of the bunker vessels successfully included in the List will be published on a dedicated page on the MD’s website for reference by shipping companies and relevant stakeholders.

Participation in the Scheme is voluntary. In addition to receiving recognition from the MD, participating bunker operators will benefit from enhanced corporate image and competitiveness through the adoption of MFM systems, thereby boosting customers’ confidence and helping to create new business opportunities.

 A spokesman for the MD, said: “As an international maritime centre supported by our country, Hong Kong has a strategic location adjacent to major international fairways. Coupled with years of development in marine fuel bunkering, Hong Kong possesses rich experience and talent in the field. For many years, Hong Kong has consistently ranked as the seventh-largest bunkering port globally, the second-largest in our country, and the largest in the Greater Bay Area, providing reliable and competitive fuel bunkering services to ocean-going vessels from around the world. 

“As the international shipping industry has an increasing demand for accuracy and transparency in bunkering services, service quality and measurement precision in bunkering operations have become important indicators of a bunkering port’s competitiveness. The Scheme will enhance bunkering accuracy and transparency, further enhancing the quality of Hong Kong’s bunkering services.

The spokesman added that comprehensive port services are one of Hong Kong’s key advantages as an international maritime centre.

“We will also mandate the use of MFM systems on all methanol bunker vessels this year to ensure that Hong Kong continues to provide high-quality bunkering services in the era of green maritime fuels.” 

Note: The application form for the Scheme can be found on the MD’s website. Interested bunker operators can download the application form from the website or contact the MD’s Green Maritime Fuel Team via email ([email protected]) for details.

 

Photo credit: Manifold Times
Published: 4 June, 2026

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Alternative Fuels

MPA and MSC ink MoU to support adoption of alternative bunker fuels

MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency.
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MPA and MSC ink MoU to support adoption of alternative bunker fuels

The Maritime and Port Authority of Singapore (MPA) on Wednesday (3 June) said it signed a Memorandum of Understanding (MoU) with MSC Mediterranean Shipping Company to strengthen collaboration in maritime decarbonisation, digitalisation, innovation, and manpower development. 

The MoU was signed on 25 May 2026 by Mr Ang Wee Keong, Chief Executive of MPA, and Mr Soren Toft, Chief Executive Officer of MSC.

The MoU underscores the shared commitment of MPA and MSC to foster a sustainable, digital, and future-ready maritime sector, while enhancing MSC’s operational and business activities in Singapore. This year also marks the 30th anniversary of MSC establishing its Asia Regional Office and local office in Singapore.

Under the MoU, MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency and operational performance.

MPA and MSC will also collaborate on maritime digitalisation initiatives to improve operational efficiency, including streamlining vessel arrivals and port operations. 

On manpower development, MSC will support internship and scholarship opportunities through Singapore Maritime Foundation’s Maritime Outreach Network (MaritimeONE) platform, an industry-led tripartite partnership comprising industry, government and institutes of higher learning that aims to raise awareness of the maritime industry and attract quality talent into the maritime sector.

Mr Ang Wee Keong, Chief Executive of MPA, said: “This partnership reflects the strong collaboration between MPA and MSC in driving sustainability and digitalisation in the maritime sector. By working together on decarbonisation, operational efficiency and talent development, we aim to strengthen Maritime Singapore’s position as a trusted and future-ready global maritime hub.”

Mr Soren Toft, Chief Executive Officer of MSC, said: “Singapore is a strategically important hub for MSC and a key gateway to the broader Asia region. As we mark 30 years in Singapore, this MOU reinforces our long-term commitment to strengthening our presence here. MSC and Singapore are closely aligned on the priorities shaping the future of global shipping, and we look forward to deepening this partnership to drive the continued growth and resilience of the maritime industry.”

 

Photo credit: Maritime and Port Authority of Singapore
Published: 4 June, 2026

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Emissions reporting

StormGeo and OceanScore link emissions data, compliance workflows

Cooperation combines StormGeo’s expertise in operational vessel and emissions data with OceanScore’s expertise in emissions compliance workflows across EU ETS, FuelEU Maritime and UK ETS requirements.
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StormGeo and OceanScore link emissions data, compliance workflows

Weather intelligence and decision support solutions provider StormGeo and Hamburg-based technology platform OceanScore on Wednesday (3 June) said they have deepened their ongoing cooperation through the signing of a collaboration agreement during Posidonia 2026 in Athens on 2 June.

The cooperation combines StormGeo’s expertise in operational vessel and emissions data with OceanScore’s expertise in emissions compliance workflows across EU ETS, FuelEU Maritime and upcoming UK ETS requirements.

Together, the companies aim to help shipping companies seamlessly navigate increasing regulatory complexity more efficiently — from emissions reporting and data validation to compliance exposure management, pooling and financial settlement.

As emissions regulation becomes an increasingly important part of commercial shipping operations, the need for reliable operational data and streamlined compliance processes continues to grow. The cooperation between StormGeo and OceanScore is designed to support shipping companies with more connected, transparent and actionable processes across operational and commercial teams.

“From the outside, companies like StormGeo and OceanScore may sometimes be perceived as competitors because both operate around emissions and compliance workflows,” said Albrecht Grell, Managing Director at OceanScore. 

“But in reality, the industry increasingly needs both perspectives working together: trusted operational emissions data on one side and commercial compliance execution on the other. Our cooperation reflects that shipping companies are no longer looking for isolated solutions — they need connected processes, automated across different systems and reliable decision-making throughout the full compliance chain.”

By connecting validated operational emissions data with commercial compliance management, the cooperation supports workflows across:

  • emissions reporting and validation 
  • compliance management across EU ETS, FuelEU Maritime and upcoming UK ETS requirements
  • exposure visibility and cost transparency
  • pooling, settlement and financial processes 

The cooperation also aims to improve commercial transparency and coordination across operational and commercial stakeholders.

“StormGeo plays a central role in helping shipping companies turn operational vessel and emissions data into trusted, decision-ready insights,” said Espen Martinsen, Chief Commercial Officer at StormGeo. 

“As emissions regulations become more complex, this data is essential for transparent and efficient compliance management. By working with OceanScore, we can help customers connect StormGeo’s validated operational data with commercial compliance processes, creating a more integrated and practical approach to emissions management.”

The signing ceremony took place at the StormGeo booth during Posidonia 2026 in Athens and was attended by representatives from both companies.

Both companies expect the cooperation to continue evolving alongside upcoming regulatory developments, including FuelEU Maritime, EU ETS, the upcoming UK ETS and future emissions-related frameworks affecting global shipping.

 

Photo credit: StormGeo
Published: 4 June, 2026

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