SINGAPORE: A man was jailed eight months on Monday for deceiving the Bank of East Asia into giving him a S$3 million loan under a share financing facility, which he was later unable to pay back.
Choy is the first to plead guilty out of four co-accused allegedly involved in the scheme. He admitted to one count of cheating the Bank of East Asia. Another count of cheating Maybank over a S$650,000 loan was taken into consideration for sentencing.The court heard that in November 2012, Goh asked Choy to apply for a share financing facility with the Bank of East Asia to obtain loans that he wanted to use for personal trading. Choy agreed as a favour.
In fact, Choy had made no such payment. Despite this, an off-market transfer of the Skyone shares to Choy's Central Depository account was made a few days later, allegedly arranged by Goh. The Bank of East Asia then disbursed the S$3 million loan to the share financing account. Choy handed control of the account to Goh, who used a significant amount to purchase Skyone shares on Dec 31, 2012 and Jul 10, 2013, intending to manipulate share prices.