S$1b nickel scam has 'limited' impact on fund-management industry: MAS
Fraud case involving nickel deals that didn't materialise has embroiled fund managers; lawyers among alleged victims
Singapore
THE Monetary Authority of Singapore (MAS) has assessed investments by three licensed fund managers into an entity linked to a S$1 billion fraud scheme, and determined the impact on the fund-management industry to be "limited", it said on Monday. READ MORE:
Envysion Wealth Management, Vickers Venture Partners and Sun Hope Capital had invested into Envy Global Trading, one of two entities allegedly used by Singaporean businessman Ng Yu Zhi to swindle investors with nickel deals that did not materialise.
They informed MAS that they did not raise monies from the retail public for the investments, and invested less than S$100 million in total on behalf of fewer than 250 investors. These were accredited investors, institutional investors, employees, shareholders or directors of the fund managers themselves.
The MAS is now conducting supervisory reviews of the fund managers to ascertain if there were any governance or risk-management failures. It said it would "take firm actions where appropriate".
On Monday, Ng was slapped with 13 new charges for cheating, fraudulent trading and forgery, in addition to 18 similar charges he was already facing.
The director of Envy Asset Management and Envy Global Trading is accused of criminal breach of trust involving more than S$200 million.
Several notable names in the legal fraternity were among the alleged victims named in the new charges.
They include the general counsel for Temasek Holdings Pek Siok Lan, criminal lawyer Sunil Sudheesan and ex-president of the Law Society Thio Shen Yi.
The lawyers were allegedly cheated of S$5.5 million, S$1 million and S$87,000 respectively.
Other notable names allegedly cheated by Ng include the chairman of Vickers Capital Group Finian Tan and chief executive officer of Chuan Hup Holdings Terence Peh. The charge sheets state that the investment professionals were swindled of US$19.2 million (S$25.8 million) and S$3 million respectively.
The list of alleged victims also includes founder of Amos International (which has been acquired by Gaylin Holdings) Danny Lien Chong Tuan.
As of last month, at least four lawsuits had been filed by investors seeking to claim some S$50 million from Envy Global Trading and Ng.
The Commercial Affairs Department has seized about S$100 million of assets from him.
Neither of Ng's firms is licensed by the Monetary Authority of Singapore.
It stated in March that it had been informed that Envy Asset Management claimed that it was applying for a licence, even though no application had been submitted.
Ng is out on bail of S$1.5 million.
He is expected to be back in court on July 5 for a bail review. THE STRAITS TIMES
