GRETNA – A German metal trading company is suing an international trader and a shipper over a botched metal deal.
Thyssen Krupp Mannex GMBH (TKM) filed suit against Siderurgica Do Para (COSIPAR) and American Metals Trading USA Inc. (AMT) in the 24th Judicial District Court on Dec. 28.
TKM claims it executed advance contracts with AMT for more than $32.4 million worth of pig iron to be delivered over numerous dates beginning in 2010. The plaintiff alleges that the defendant did not make any delivery pursuant to the contracts. TKM asserts that it entered into a structured settlement with AMT which would require the full repayment of the contracted amount plus legal interest.
TKM alleges that $18 million of the contracted amount was agreed to be paid by COSIPAR and USIPAR that were both indebted to AMT and that TKM went to court in Brazil to seize tons of pig iron from COSIPAR to settle the debt. However, COSIPAR is alleged to have shipped the pig iron to Louisiana for sale to a company unaffiliated with TKM, which TKM is now trying to recover within the state.
The defendants are accused of breach of contract.
Damages in the amount of $3.6 million sought or the pig iron currently being held in port in Louisiana.
TKM is represented by Machale A. Miller of New Orleans-based Miller & Williamson.
The case has been assigned to Division P Judge Lee V. Faulkner.
Case no. 722-480.