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A Transferring bank has transferred a credit where the expiry date is the same as that of the transferable credit and the transferred credit is available in the country of 2nd beneficiary by negotiation,the documents of the 2nd beneficiary were negotiated within the expiry date but have been received by the transferring bank two days after the expiry.The first beneficiary submit their substituted docs which are received on the third day after expiry.The transferring bank refused the docs of the first beneficiary due to expired credit and the first beneficiary objects on the ground that having the same expiry date as in the transferred credit ,for which bank agreed to transfer with this condition,allows them to substitute after the expiry date without the risk of refusal for credit expired.who is correct or not correct in this regard?

Hi Pal,

I read that the transferred l/c was available at the 2nd beneficiary place , so documents have to be presented there. The transferring bank is responsable to have indicate an expiry date that is the same than the original l/c date of expiry. IMHO the presentation is correct, second beneficiary presented documents in time.
Other comments appreciated
Ciao