INCOMING MESSAGE TYPE: FIN 700 ISSUE OF A DOCUMENTARY CREDIT

RECEIVED FROM: CITY BANK, NEW YORK BRANCH

NETWORK PRIORTY: NORMAL
SENDER: AMNECD2W
CITI GROUP, NEW YORK BRANCH
252 VINCENT STREET, NEW YORK, USA
RECEIVER: BFTVVNVX
VIETCOMBANK, HEADQUATER
14 TRAN QUAN KHAI STREET, HANOI, VIETNAM
40A: FORM OF DOCUMENTARY CREDIT: REVOCABLE
20: DOCUMETARY CREDIT NUMBER: 12345-678-90
31C: DATE OF ISSUE: 180515
31D: DATE AND PLACE OF EXPIRY: 180720 HSBC BANK, HANOI BRANCH
50: APPLICANT: SMITH SON LTD., COMPANY
3-5 VINCENT STREET, NEW YORK, USA
59: BENEFICIARY: GOLDFISH CORPORATION
179 NGUYEN THI MINH KHAI STREET, HO CHI MINH CITY, VIETNAM
32B: CURRENCY CODE, AMOUNT: USD 256000,00
41A: AVAILABLE WITH…BY…: HSBC
BY NEGOCIATION
42C: DRAFTS AT: BENEFICIARY’S DRAFT(S) AT SIGHT FOR FULL INVOICE COST
42A: DRAWEE: AMNECD2W
43P: PARTIAL SHIPMENTS: ALLOWED
43T: TRANSHIPMENT: NOT ALLOWED
44A: LOADING ON BOARD/DISPATCH/TAKING IN CHARGE AT/FROM: SAIGON PORT
44B: FOR TRANSPORTATION TO: NEW YORK, USA
44C: LATEST DATE OF SHIPMENT: 180615
45A: DESCRIPTION OF GOODS AND/OR SERVICES:
xxxxxxxxxxxxxxxxxxx
46A: DOCUMENTS REQUIRED:
- BENEFICIARY’S DRAFT AT SIGHT DRAWN ON CITI GROUP, NEW YORK BRANCH, 252 VINCENT STREET, NEW YORK, USA MARKED
“DRAWN UNDER CITI GROUP, NEW YORK BRANCH REVOCABLE LETTER OF CREDIT NUMBER 12345-678-90 DATED 120515”
- FULL SET 3/3 COPIES OF CLEAN ON-BOARD OCEAN BILLS OF LADING MADE OUT TO ORDER OF SHIPPER, MARKED “FREIGHT
PREPAID”.
- PACKING LIST 3 ORIGINALS AND 3 COPIES
- SIGNED COMMERCIAL INVOICE IN 4 COPIES
- CERTIFICATE OF ORIGIN FORM A IN 1 COPY
47A: ADDITIONAL CONDITIONS:
- SHIPMENT MUST BE EFFECTED CONTAINER ONLY
- THIRD PARTY B/L IS NOT ACCEPTABLE
71B: CHARGES:
ALL BANKING CHARGES OUTSIDE JAPAN ARE FOR BENEFICIARY’S ACCOUNT
48: PERIOD FOR PRESENTATION:
WITHIN 21 DAYS AFTER THE DATE OF SHIPPMENT BUT WITHIN THE VALIDITY OF THIS CREDIT
49: CONFIRMATION INSTRUCTORS:
WITHOUT
78: INSTRUCTIONS TO THE PAYING/ACCEPTING/NEGOCIATING BANK:
WE AGREE THAT THE DRAFT DRAWN IN CONFORMITY WITH THE TERMS OF THIS CREDIT SHALL BE FULLY HONOURED ON
PRESENTATION. WE SHALL EFFECT PAYMENT TO YOU ACCORDING TO YOUR INSTRUCTIONS. A DISCREPANCY FEE IS USD 54,00 SHALL
BE DEDUCTED FROM THE DRAWING AMOUNT. FOR EACH PRESENTATION OF DISCREPANT DOCUMENTS UNDER THIS DOCUMENTATY
CREDIT.
57A: ADVISE THROUGH: BFTVVNVX
VIETCOMBANK, HEADQUATER, 14 TRAN QUAN KHAI STREET, HANOI, VIETNAM
THIS CREDIT SUBJECT TO UCP DC 2007 REVISION ICC PUBLICATION No. 600
------------------------------------------------------------------end message--------------------------------------------------------------------------------------------------
Imaging you are the nominated bank where the L/C is available. You are checking the presented
set of commercial documents according to the documentary letter of credit given.
Requirement: Find information from the L/C and answer the following questions:
1. Is the L/C irrevocable or revocable?
2. Where and when the set of commercial documents is expiry?
3. Which documents are required and how many originals and copies of each document
required?
4. What is the time frame for presentation?
5. The set of commercial documents presented including the following documents. Will you
honor this set of documents? If not, indicate the discrepant content of these documents.
(1) Draft:
- Drawee: SmithSon Ltd., Company
- Drawer: GoldFish Company
- Currency code and Amount: AUD 252,000 (in figures) Two hundred thousand and
fifty-three US dollars (in words)
- DRAWN UNDER Citi Group, New York branch REVOCABLE LETTER OF
CREDIT NUMBER 12345-678-80 DATED 180520”
(2) Bill of lading:
- Latest On-board date: 20/6/2018
- Notation: clean on board/ freight collected
- Number of copies/originals: 3 originals and 3 copies
- Issuer: Freight Forwarder
(3) Invoice:
- Total value: USD 253,000
- Hasn’t been signed
- Term of Delivery conditions: CIF
- Number of copies/originals: 2 originals and 2 copies
(4) Certificate of origin
- Form B
- Number of copies/originals: 1 original
- Issuer: Chamber of Commerce and Industry of Vietnam, Hanoi Branch
(5) Certificate of insurance
- Insurance condition: C
- Insurance value: USD 278,300
- Number of copies/originals: 2 originals
- Issuer: Bao Minh Insurance Company