SC charges five individuals for perpetrating a scheme to defraud, causing wrongful losses

December 13, 2022

SC charges five individuals for perpetrating a scheme to defraud, causing wrongful losses

KUALA LUMPUR: The Securities Commission Malaysia (SC) recently filed a suit against five individuals for allegedly perpetrating a scheme to defraud and causing wrongful losses.

The claim is valued at RM120.6 million to four public-listed companies.

The SC said the five individuals are Tey Por Yee, Lim Chye Guan, See Poh Yee, Francis Tan Hock Leong and Faizatul Ikmi Abdul Razak.

The companies involved are Nexgram Holdings Bhd, R&A Telecommunication Group Bhd, Asdion Bhd and Ire-Tex Corp Bhd.

The SC alleged that Tey, Lim, See and Tan, in their various capacities as directors and officers of the four public-listed companies, siphoned out the proceeds of the companies’ fundraising exercises while Faizatul Ikmi aided or abetted the siphoning.

The conduct described above of these individuals, which took place between December 2013 and July 2014, is in contravention of sections 317A and 179 of the Capital Markets and Services Act 2007 (CMSA), it said.

“To prevent the dissipation of the defendants’ assets, the SC had, on December 1, 2022, obtained an injunction from the Kuala Lumpur High Court to restrain Tey, Lim, See and See and Faizatul Ikmi from dealing with the monies in their respective bank accounts.

“The SC did not seek an injunction against Tan as he is an undischarged bankrupt,” it said.

The High Court had initially fixed December 12, 2022, for the defendants to respond to the injunction application.