Global Credit Solutions (GCS Group) head office located in Melbourne, Australia, has advised a number of its clients in China, who have been exporting to India and Pakistan, to take care with regards to payments of accounts.
A number of cases, placed for collection through GCS China Co Limited, for collection in both India and Pakistan, have resulted in investigations, which revealed an alarming trend in the both countries, a company release claimed on Thursday.
Chinese manufacturers, receiving orders for goods, were shipping the products out on a PoD or LC basis, and on arrival into India or Pakistan, the buyer was refusing to accept the delivery of the ordered goods on spurious grounds, usually related to some quality issues, it said.
It further said after the expiry of three months, the goods were then auctioned off to the public with the same buyers purchasing the product under assumed identities at a fraction of the real value.