First Brands’ Fall Renews Concerns Over Murky Trade Finance (1)

When the auto-parts supplier First Brands Group filed for bankruptcy on Sunday, one name popped up in the documents again and again: Raistone.

The little-known firm helps businesses secure short-term financing as they wait for customer payments to come through or seek to delay paying suppliers. On Tuesday, the New York-based company let go dozens of its workers as the deals it worked on for First Brands came under scrutiny.

Read more: Finance Firm Raistone Cuts Workers After First Brands Collapse

The collapse of First Brands is only the most recent instance of a firm like Raistone facilitating apparently ...