Information on the case studyThe case study will be prepared in groups and students will have to apply the theory covered in class to a real situation.The subject of the study case study is: Identify and discuss four recent risk management disasters (less than 15 years old) related to the use of derivatives or financial innovation. Your article should clearly: · describe the steps that led to each disaster, · discuss the financial risk management lessons that can be learned from these disasters, and · examine why these disasters recur despite lessons learned from previous disasters. Case studies must be submitted by 25 April 2014 to Ms S Naidoo's office, where a record will be kept. Late submissions will be penalized. Your submission should not exceed five (5) pages typed using Times New Roman 12 font, with 1.5 line spacing. All charts and graphs should be included in the main body of the text. You can include as many relevant annexes as necessary. You will be required to give a group presentation of the case study, which will contribute to your case study grade. All sources must be properly referenced according to the Harvard referencing method. Each group must consist of a minimum of seven (7) members and a maximum of ten (10) members.CHINA AVIATION OIL:China Aviation Oil (Singapore) Corporation Ltd (CAO) is the Singaporean subsidiary of China Aviation Oil ( The Professional Risk Managers, 2008). The company specializes in oil supply and trading and at the time monopolized China's jet fuel industry. CAO gained attention in 2005 when then-CEO Chen Juilin was embroiled in a business scandal that led to losses estimated at $550 million...... middle of paper.. .... There are always traders who are willing to take the risk of imprisonment and/or pay a fine in order to make that extra profit. The potential gains are so great that the temptation is often too great to avoid and even pushes some people to contradict their moral values ​​and beliefs. END OF TEXT REFERENCE David M. Currie (2008). Handbook of frauds, scams and scams. United States: CRC Press. Alan N. Peachey (2006). Great financial disasters of our time. 3rd ed. USAPwC. (2005). PwC investigation into oil trading losses. Available: http://www.caosco.com. Last accessed April 16, 2014Deloitte. (2006). The debacle of Chinese aeronautical oil. Available: http://www.deloitte.com/view/en_US/us/Insights/Browse-by-Content-Type/podcasts/7905453ae710e110VgnVCM100000ba42f00aRCRD.htm. Last accessed April 13 and 20 2014.