Public procurement · Trade finance

Verify the tender winner before you open the LC.

A performance bond covers 2–5% of the contract. The Letter of Credit covers 100%. Vanguard Verify closes the gap between the two.

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Where public money is exposed

Payment against forged documents

Banks pay an LC against documents, not cargo. A forged bill of lading or inspection certificate can collect the full contract value, and the bond covers only a fraction of the loss.

Misuse of the instrument

Once an LC or SBLC is issued, it can be discounted, transferred or pledged with third-party financiers to raise far more than the bond is worth, before any cargo exists.

Costs paid upfront

LC opening and amendment charges are paid at once. A failed award means a re-tender and delayed supply.

Seen in practice: an offshore supplier with flawless documents, directors in two countries and a bank account in a third, positioned to discount an LC before any cargo existed. A performance bond of 2–5% would have covered almost none of the loss. (Real case, details removed.) Read the cases ›

What we check, between provisional award and LC opening

The supplier's registration, directors and beneficial owners, plus sanctions screening.
That the cargo exists and the supplier controls it: on-site visits by our field officers, with GPS-tagged photographs.
That inspection reports, certificates of origin and bills of lading are genuine, checked with the issuing bodies.
That the beneficiary account and bank letters match the contracting entity, with bank instruments authenticated through the agency's own bank (bank to bank), and that the LC wording leaves no room for misuse.

Result: a written Trade Passport report with a clear proceed / do-not-proceed recommendation. It supports your existing tender rules; it does not replace them.

What your agency gains

Fairer prices: genuine bidders are not undercut by unrealistic offers.
Faster awards, with fewer re-tenders.
No bank charges wasted on suppliers who cannot deliver.
Protection well beyond the performance bond.

For banks and credit insurers

Outsourced counterparty, document and cargo checks for trade-finance desks, plus access to the shared document registry pilot.

Engagement

Single tender verification

Priced per award.

Annual Enterprise subscription

From USD 6,000/month.

Email me the public-procurement brief

Request a briefing

Vanguard Verify never verifies a transaction in which any Vanguard entity is a buyer, seller or broker. All findings remain confidential.

Vanguard Trade Capital Goods Wholesalers DWC-LLC
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trade@vtcgw.com · WhatsApp +1 (431) 538-0157 · www.vtcgw.com