London Metals Exchange Hit by Another Nickel Scam
News Analysis
The London Metal Exchange (LME) on March 17 revealed that the bags of nickel stored in its licensed warehouse contained stones. The LME is supposedly the most trusted and secure minerals trading platform; however, it has had its share of trouble with nickel.
The LME announced that nine nickel shipments found in one of its licensed warehouses did not meet the standards, so the warrants were invalidated, and deliveries could not be made under their contract.
According to The Wall Street Journal, the warehouse is located in Rotterdam, Netherlands, and is owned by local logistics company Access World Group. The two-ton bags did not contain nickel; instead, it was stones….