Uncategorized RETRANSFER OF CREDIT By Mr Old Man Posted on July 2, 2010 1 min read 0 0 2,316 Share on Facebook Share on Twitter Share on Google+ Share on Reddit Share on Pinterest Share on Linkedin Share on Tumblr QUERY Is the first beneficiary allowed to retransfer the transferred portion under a transferred LC that has expired without utilization? ———- COMMENT Hi, The first beneficiary may retransfer the transferred portion under a transferred LC that has expired without utilization if: – There is a confirmation from the second beneficiary that he has not utilized and will not utilize the transferred LC. If the transferred LC was advised through another advising bank, the transfering bank should request that advising bank to notify that the transferred LC expired without utilization. – The original LC has not yet expired. – Last but not least, the transferring bank agrees to retransfer. Even if the transferred LC has not expired but the second beneficiary confirms to the transferring bank that he will not utilize the transferred portion and/or that he agrees to retransfer the unutilized portion to the first beneficiary, the first beneficiary may also transfer that unutilized portion to another second beneficiary. Best regards,Mr. Old Man:cool:
IS THE NOMINATED BANK REQUIRED TO VERIFY WHETHER THE BENEFICIARY HAS AUTHORIZED THE PRESENTING BANK TO PRESENT THE DOCUMENTS?
IS THE NOMINATED BANK REQUIRED TO VERIFY WHETHER THE BENEFICIARY HAS AUTHORIZED THE PRESENTING BANK TO PRESENT THE DOCUMENTS?