Director of 186 companies gets fined after scammers used one firm to launder $3.2m

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SINGAPORE - A jobless Singaporean who became nominee director of 186 companies here was on Wednesday (Sept 27) fined for failing to exercise reasonable diligence in his duty as director, the second person in three days to be taken to task for the offence. Singaporean Er Beng Hwa got to know a Chinese national in 2020 during the Covid-19 pandemic,...

SINGAPORE - A jobless Singaporean who became nominee director of 186 companies here was on Wednesday fined for failing to exercise reasonable diligence in his duty as director, the second person in three days to be taken to task for the offence.

Er, also known as Adrian, was fined $4,000 after he pleaded guilty to one charge of failing to exercise reasonable diligence in his duty as a director. He was also disqualified from being a company director for three years.On Monday, Chinese national and permanent resident Liang Jiansen was fined $9,000 under the same Companies Act and disqualified from being a company director for four years.

Zheng, a chartered accountant, owned several corporate secretarial companies including Atoms Global, a firm in Singapore that helps clients incorporate companies here. He was then registered as local director and secretary of Singapore company Rui Qi Trading, which was incorporated on Aug 3, 2020. DPP Ong said large sums of money were transferred to the two bank accounts, and transferred out shortly after.

The other victims were Texas Capital Bank, which transferred US$1.2 million, and Abu Dhabi Ports, which transferred US$979,086.

 

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