All terms

Scam patternsdutch-procedure

Dutch-style procedure

A fake procurement process used by oil-trade scammers to create the illusion of a Rotterdam-based deal.

A "Dutch-style procedure" (or "Rotterdam procedure") is a fictitious process used by oil-trade scammers to lend credibility to non-existent Russian/Turkmen cargoes. The theatre typically involves: POP (Proof of Product) via Tank Storage Receipt, Dip Test Authority (DTA), ATB (Authorisation to Board), and a demand that the buyer open a confirmed LC before any inspection.

No legitimate Rotterdam-based oil trade follows this procedure. Real Rotterdam cargoes trade on Platts assessments with standard SGS inspection and MT700 LCs.

Related: Virgin D2, Rotterdam.

Frequently asked

What does Dutch-style procedure mean in oil and commodity trading?
A fake procurement process used by oil-trade scammers to create the illusion of a Rotterdam-based deal.
How do I check a counterparty that uses Dutch-style procedure in a deal?
The term itself is not enough to clear or condemn a deal. What matters is the counterparty behind the pitch. Screen that name for free against 8 sanctions lists plus PEP and OilFlow's first-party cluster corpus in seconds, or order the full 7-step dossier for $25, and confirm identity documents and banking details independently before you transact.

See also

virgin-d2rotterdam

Seen this term in a live pitch?

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