Zhong Jun says it's able to repay banks

[HONG KONG] Zhong Jun Resources (S) Pte Ltd, the overseas arm of a Chinese firm linked to a suspected metal financing fraud at Qingdao port, has asked a court in Singapore to reject a liquidation order sought by HSBC Holdings, saying it has enough cash and assets to repay banks.

The lawsuits relating to the complex funding transactions, which are common in China, are being closely watched by banks and trading firms doing business in the country, the world's top commodities buyer.

In an affidavit to the court seen by Reuters yesterday, metal trading firm Zhong Jun says it is a profitable business.