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Draft Not Presented. Is It A Discrepancy?

Posted: Sat Feb 02, 2013 9:09 pm
by Goody
We are the advising bank. The LC is sight negotiation. The issuing bank in 742 c stated Draft drawn at issuing bank. No draft was enclosed. The issuing bank considered this as discrepancy, is it correct?

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Posted: Sun Feb 03, 2013 7:18 pm
by picant
H Pal,

presentation of draft is not mandatory, as it is not requested in field 46 MT700.
IMHO it represents a receipt of the money only,having not a specific meaning.
Please ask the issuing to quote the UCP 600 article on which the discrepancy is based.
Other comments appreciated
Ciao


PS Suggestion is to provide a correct draft, but only to avoid correspondance between banks.