KENNETH Low Si Ren, an executive director of Allied Technologies, was called in by the Commercial Affairs Department on Wednesday and released on a bail bond the same day, the Catalist-listed company disclosed in a bourse filing on Friday night.
According to Mr Low, no formal charges have been filed, the company said. The board has not been provided with further details.
The Business Times had reported Mr Low's arrest earlier on Friday evening. Mr Low has been named as the co-accused in five of the charges that former lawyer Jeffrey Ong Su Aun is facing for the alleged misappropriation of the Allied Tech's escrow funds.
Two years ago, Allied Tech reported to the police that over S$33 million held in escrow by JLC Advisors had gone missing while Ong, who was then the law firm's managing partner, became uncontactable.
Ong has since alleged that Mr Low and Allied Tech's substantial investor Lin Tah Hwa had directed the release of the escrow funds.
Ong is seeking to be bailed out to pursue civil action against the individuals he claims to be responsible for the misappropriated funds. His bail review application will be heard in court on Tuesday.