Business

Official: Aegean auditors alleges up to $300 million ‘misappropriated’

Principal beneficiary is Fujairah-based OilTank Engineering & Consulting contract with Aegean subsidiary.

Published

8 years ago

November 5, 2018

Admin

Up to USD $300 million of cash from New York-listed bunkering firm Aegean Marine Petroleum Network (Aegean)’s accounts and other assets were misappropriated through fraudulent activities, alleges its audit committee.

Earlier on June 2018, the committee believed that approximately USD $200 million of accounts receivable on the Aegean’s books and records at December 31, 2017 would need to be written off.

To date, it now believes up to USD $300 million of the company cash and other assets were misappropriated through fraudulent activities.

It claims the principal beneficiary of the misappropriation is OilTank Engineering & Consulting Ltd. (OilTank), a company based in Fujairah and incorporated on March 15, 2010 in the Marshall Islands.

On March 31, 2010 OilTank entered into a contract with Aegean’s subsidiary to oversee the construction of the Fujairah Oil Terminal Facility; the audit committee believes that this contract was used to misappropriate Aegean’s funds through inflated contracts and fraudulent pricing.

The audit committee has reason to believe that OilTank is controlled by a former affiliate of Aegean.

“As of December 31, 2017, the company and/or its subsidiaries had an aggregate of approximately USD$200 million in accounts receivable that arose from purported commercial transactions that occurred in 2015, 2016, and 2017,” states the audit committee.

“These transactions lacked economic substance as the relevant counterparties were shell companies with no material assets or operations and were owned or controlled by former employees or affiliates of the company.

“The audit committee believes that the receivables were improperly recorded as part of a scheme to facilitate and conceal an extensive misappropriation of company assets channelled to OilTank, but accounted for as transactions with these shell companies. The audit committee has further confirmed that the approximately US$200 million of receivables are uncollectible and will be written off.”

The Investigation also uncovered additional actions to defraud Aegean and/or its subsidiaries, including prepayment for future oil deliveries that were never made. These fraudulent activities appear to have commenced as early as 2010.

The misappropriation of Aegean’s assets, and the fraudulent accounting entries and fictitious documentation designed to conceal it, involved over a dozen company employees, including members of senior management.

The employees who directed the scheme, which involved the creation of falsified and forged documents, including bank statements, audit confirmations, contracts, invoices and third party certifications, among others, have been terminated.

“The audit committee believes that this misconduct occurred in part because a former affiliate of Aegean has exerted significant control over company personnel and assets through various inappropriate means, including threats of economic retaliation and physical violence,” it states.

“In addition, the former affiliate continues to have access to and control over the company’s electronic and physical files.”

The audit committee, meanwhile, says attempts to access relevant emails and other electronic data stored on Aegean’s server were and continue to be obstructed as a result of, among other things, the threats of retaliation against company personnel, and at least one attempt to delete and permanently erase documents from the company’s server through the remote installation of data deletion software by a person with administrator access.

The committee is also currently actively litigating a Hellenic Data Privacy Authority (HDPA) issued provisional order which prohibits the review or use of emails and other files were collected from Aegean’s Piraeus, Greece server in connection with the investigation, due to a 22 June 2018 complaint by the former affiliate and related parties.

Based on the above development, the audit committee has concluded Aegean’s financial statements for the fiscal years ended December 31, 2015 and December 31, 2016; the periods ended March 31, 2017, June 30, 2017, September 30, 2017; as well as the fourth quarter of each of 2015, 2016 and 2017 “should no longer be relied upon”.

Moving forward, it intends to work with Aegean’s auditors, PricewaterhouseCoopers S.A. (2016 and 2017) and Deloitte Certified Public Accountants S.A. (2015), to determine the individual and net effect of the inaccurate accounting entries and the theft of company assets.

A timeline organised list of events preceding the current development have been recorded by Manifold Times below:

Published: 5 November, 2018

Business

IBT Bunkering & Trading appoints Kevin Döhmen to lead Singapore expansion

Döhmen will lead the new Singapore office, with responsibility for managing and developing the operation and strengthening relationships with customers and partners.

Published

15 hours ago

August 13, 2026

Admin

IBT Bunkering & Trading appoints Kevin Döhmen to lead Singapore expansion

Hamburg-based marine fuels firm IBT Bunkering & Trading on Wednesday (12 August) said it has appointed Kevin Döhmen as Executive Vice President to lead the company’s new Singapore office.

Manifold Times previously reported the company announcing that it is opening its doors in Singapore and will be running a trading desk in the city-state after trading bunkers out of Hamburg since 1976.

The company said Kevin Döhmen will lead the new Singapore office, with theresponsibility for managing and developing the operation and strengthening relationships with customers and partners.

IBT said the Singapore office represents an important first step in strengthening its presence in Asia.

“At the same time, we are actively exploring further opportunities to expand our activities and establish new partnerships in this key maritime hub,” the company said.

Döhmen said: “Singapore is the heartbeat of global bunkering. Bringing IBT’s Hamburg roots — 50 years of them — onto the ground in this hub is a real privilege, and I couldn’t be more ready for it.”

IBT said it will maintain the service approach established through its Hamburg operations while building its activities in Singapore.

The company described the move as bringing together its Hamburg roots and Singapore presence through a global bunker network.

Photo credit: IBT Bunkering & Trading
Published: 13 August, 2026

Bunker Alerts

Low flashpoint found in Indonesia bunker fuels, alerts Maritec-Naias

Firm tested eight bunker samples representing LSMDO and B40 fuel grade from vessels that took fuel oil /bunkered in Indonesia ports, which indicated flashpoints as low as 39.5°C.

Published

15 hours ago

August 13, 2026

Admin

Bunker fuel testing and marine surveying business Maritec-Naias on Wednesday (12 August) issued an alert regarding bunker samples from vessels that took fuel oil/bunkered in Indonesia showing flashpoints as low as 39.5°C:

During the period of 21 July to 04 August 2026, Maritec-Naias tested eight bunker samples representing Low Sulfur Marine Distillate Oil (LSMDO) and B40 fuel grade from vessels that took fuel oil /bunkered in Indonesia ports, which indicated Flashpoints as low as 39.5°C.

All eight fuel samples tested were sourced from a single supplier.

Regulatory Implications:

Based on the results of the eight samples tested, the fuels do not comply with the minimum flashpoint requirement of 60 °C set by SOLAS and ISO 8217.

As per SOLAS requirements, the minimum flashpoint of any fuel carried in the tanks of a ship should be not less than 60 °C (with exception of fuel for lifeboats, which can be grade DMX with a flash point min of 43 °C).

ISO 4259 interpretation for tested flashpoint temperature is not taken into consideration here as the safety of onboard crew and vessel is of higher precedence.

Since 01 May 2024, it has been a MARPOL Annex VI requirement that the Bunker Delivery Note (BDN) includes either the actual flashpoint of a fuel as supplied or a declaration that its flashpoint has been determined as being at or above 70°C.

From 1 January 2026, SOLAS amendments clarified that the flashpoint requirement applies to fuels, which were specifically intended to have a flashpoint not less than 60°C as required under SOLAS II‑2/2.1.1 These amendments now align with MARPOL by requiring flashpoint details to be recorded on the BDN. Additionally, prior to bunkering, suppliers must provide the ship’s representative with a signed declaration confirming that the fuel meets the SOLAS flashpoint standard.

MARITEC-NAIAS RECOMMENDATIONS

When ordering fuels from Indonesia it is advised to insist on getting the actual flash point values from the supplier. If your vessel has bunkered a low flashpoint fuel it is prudent to observe/implement the precautions below:

Flame screens on tank vents should be maintained in good condition and there should be no sources of ignition in the vicinity of the vents. This will assist in safe natural ventilation of volatile components in the fuel.
No Smoking, no naked flame and no hot work must be allowed at any areas near to tank air vents.
Send additional tank(s) samples upon arrival in port to check the fuel properties and flash point results especially if there has been co-mingling of fuels in bunker tanks
If the vessel is out at sea, it may be possible to obtain dispensation from your Flag State Administration up to the next arrival port.
Put the supplier on notice promptly and notify your P&I club.

Photo credit: Shaah Shahidh on Unsplash
Published: 13 August, 2026

Methanol

China: Xiamen issues safety guidelines for methanol bunkering operations

New guidelines establish safety requirements across the full methanol bunkering process, supporting the expansion of green marine fuel supplies at Xiamen Port.

Published

15 hours ago

August 13, 2026

Admin

Xiamen Free Trade Zone on Monday (10 August) said its Administrative Committee recently jointly issued the Safety Guidelines for Marine Methanol Fuel Bunkering in Xiamen Waters with Xiamen Port Authority and Xiamen Maritime Safety Administration, establishing a framework for methanol bunkering operations in the port.

The guidelines are the first safety operating standard in Fujian province specifically covering marine methanol fuel bunkering. They apply to methanol bunkering operations conducted by bunker vessels in Xiamen waters and set out safety requirements covering the entire operation, from preparation through completion.

The guidelines specify requirements for bunkering companies, equipment and materials used on bunker vessels, hose inspection intervals, personnel certification and personal protective equipment.

They also require operators to conduct dedicated risk assessments and prepare emergency response plans before operations begin. During bunkering, operators must maintain continuous monitoring and comply with specified weather restrictions. After completion, pipelines must undergo procedures including purging and inerting.

Xiamen Port has previously carried out ship-to-ship bunkering of biofuels and LNG. The new guidelines provide a regulatory framework and operational basis for methanol bunkering and are intended to support the safe and orderly conduct of such operations.

The move is also expected to help Xiamen Port expand its market and bunkering capacity for green marine fuels.

Photo credit: Woo Winter on Unsplash
Published: 13 August, 2026