Man charged with cheating after getting $4 million from investors by guaranteeing 40% return

A man was charged in court on Jan 24 with cheating after getting $4 million from investors by guaranteeing a 40 per cent return on investment.

Between Jan 1 and 22, the police received several reports alleging that the man failed to honour his agreements which purportedly had a guaranteed return on investment.

Police officers from Bedok Police Division established the identity of the 23-year-old man and arrested him on Jan 22.

A mobile phone and a notebook were seized as case exhibits.

Preliminary investigations revealed that the man was believed to be running Ponzi-Like schemes and enticed investors with a guaranteed 40 per cent return.

Since 2020, the man had allegedly taken investment funds amounting to about $4 million from more than 40 people and subsequently misappropriated the funds as he was unable to honour his obligations.

Further investigations also revealed that the man does not have a licence to carry out investment schemes which is a regulated activity.

The offence of cheating carries an imprisonment term of up to 10 years and a fine.

You are advised to exercise caution when dealing with investment opportunities. Before committing to an investment, always Ask, Check and Confirm.

• ASK as many questions as you need to fully understand the investment opportunity. If the company or person is unable to, or avoids answering any of your questions, be wary.
• CHECK on the company, its owners, directors and management members to assess if the opportunity is genuine.
• CONFIRM the company’s and representatives’ credentials by using available resources, including the Financial Institutions Directory, Register of Representatives and Investor Alert List on the Monetary Authority of Singapore’s website (www.mas.gov.sg).