REPORT ON COIR MAT GOLDEN STONE IMPORT FRAUD

Hello, We are Coco Hitech.

Our company suffered significant losses due to a coir mat import fraud case in December 2023. This incident had a major impact during an economically challenging time, so we decided to disclose this matter to warn against dealing with unreliable coir mat import companies in Korea.

Overview of the Coir Mat Import Fraud Case

On September 21, a Korean company named Golden Stone ordered two containers of coir mats from Coco Hitech. Although we had planned for the containers to arrive at the South Korea Sea Port by October 6, we informed Golden Stone by phone that there was a high possibility of delays and that the goods might arrive later than expected due to various objective reasons from the shipping company. On September 22, Golden Stone completed the deposit payment for these two containers. Coco Hitech arranged the shipping schedule for the goods to arrive on October 1. However, as expected, the ship was delayed, and the two containers arrived at Incheon port on October 16.

From October 17, we informed Golden Stone that the goods had arrived and sent the relevant documents. However, after the goods arrived, contact from Golden Stone gradually diminished. On October 25, we reached out to Golden Stone again, and they asked us to wait until the 31st. However, it was not until early November that we received another response. On November 6, Golden Stone promised to make the payment that week. Given our previous transaction relationship with Golden Stone and having received the deposit, we did not suspect anything and continued to wait. However, once again, they did not keep their promise, and contact was cut off.

On November 24, Golden Stone promised again to handle the payment the following Monday. However, by December 4, we still had not received the payment. At this point, the free container storage period had ended, and port storage fees began to accrue. We urgently proposed the option to return the two containers to Golden Stone in Vietnam, but they assured us that would not happen and continued to delay the receipt of the goods. Details can be checked in the photos of the KakaoTalk chat group.

On December 27, we were shocked to learn that the storage fees for the two containers had reached approximately 8,000 USD. The remaining 70% payment for the two containers was only about 6,000 USD, but the storage fees had already exceeded the remaining 70% payment amount. Finally, when we contacted Golden Stone for the last time, they informed us that they could not pay the storage fees and decided to abandon the two containers, leaving us devastated.

Doubts About Golden Stone

These two containers of coir mats were ordered to be used immediately for construction after receiving the goods. However, upon hearing about the ship delay, Golden Stone purchased mats from a domestic supplier (in Korea) as a replacement. During the conversation, they mentioned that they had not received payment for that batch of goods. This indicates that even if the two containers had arrived on time, Golden Stone did not have the money to pay. If they had planned to import, they should have prepared the remaining amount for the two containers. It is puzzling why they could not handle the remaining payment for the first container they had purchased earlier.

Another significant point is the doubt about the customs declaration. When we tried to transfer the two containers to another company, we discovered that Golden Stone had never declared customs for these two containers. Customs declarations must be made within 10 days after the goods arrive and incur no fees, only requiring document submission. If not declared within 10 days, each container can incur a fine of 1,000-1,500 USD. We had sent all the documents to Golden Stone, but when asked why they did not declare customs, they used health issues as an excuse and cut off communication.

Handling the Two Containers

After Golden Stone abandoned the two containers, we struggled for a month to transfer these containers. Thanks to the support and encouragement from our partners, we successfully transferred the two containers to another partner. However, the storage fees over three months were very high, and due to not declaring quarantine after the goods arrived, each container was fined 1,000 USD. Despite our efforts to negotiate with the shipping company, we still incurred a loss of up to 6,562 USD.

Golden Stone’s Response

During the process of transferring the two containers, Golden Stone promised to compensate for the loss with future orders. But when the transfer process was completed and the loss amount was determined, the CEO of Golden Stone left the chat group. When we invited the CEO back to discuss compensation, they left the group again without saying a word. We were deeply disappointed and disheartened by Golden Stone’s irresponsible attitude.

Golden Stone’s Empty Promises

After we announced that we would disclose all information about this incident on forums, Golden Stone responded in the chat group. Instead of apologizing, they threatened to sue us if we disclosed the information, saying that we would suffer more damages. However, we attempted to renegotiate to resolve the issue amicably.

Subsequently, we proceeded with compensation negotiations, and Golden Stone agreed to compensate 50% of the loss, equivalent to 3,281 USD. We prepared and submitted the documents as per their request. Despite their confirmation, when asked about the payment schedule, they repeatedly delayed. Initially, we requested a response by April 15, but Golden Stone extended it to the end of April. However, each time we inquired about the payment schedule, they avoided giving a clear answer.

Finally, by May 2, we still had not received a definite response regarding the payment schedule. Concluding that Golden Stone was unable to pay the compensation, we decided not to demand compensation any further and to disclose this incident.

Information About Golden Stone

Below is the information about Golden Stone. Please be cautious if you receive contact or orders from this company.

• Company Name: Golden Stone (Golden Decor Corporation)
• Address: 478-2, Ban San-dong, Siheung-si, Gyeonggi-do
• Address 2: LH Apartment, 1902-dong,19 Danji, 426-2 Siheung Janghyeon, Janggok-dong, Siheung-si, Gyeonggi-do, Republic of Korea
• Contact: 010-3138-0190
• Representative: Jung Ho Seop
• Email: hosup6108@naver.com

Coco Hitech guarantees that the above information is accurate, and we are responsible for this content.

We hope that by disclosing this matter, other companies will be more careful when trading and will not face unjust situations like ours.

Thank you for reading.