Con man caused loss of over $700,000 to 14 investors

This article is more than 12 months old

A 44-year-old who ran an unlicensed fund management business caused 14 people to lose more than $700,000, with one victim being cheated of $248,000.

Ore Boon Leong, a former polytechnic lecturer, managed the illegal fund between 2004 and Feb 11, 2011, after which he continued to collect money from investors.

Instead of investing it, a District Court heard yesterday that he used the money to pay the mortgage of his matrimonial home and his previous investors.

Judge Jasvender Kaur jailed him for five years and four months after he admitted to 12 of 38 charges, including criminal breach of trust, cheating, fraudulently using as genuine a forged trading statement and impersonating a public servant.

Deputy Public Prosecutor Suhas Malhotra told the court Ore quit his job in 2004 to start an investment business, using his own money as well as funds solicited from friends.

Ore, who ran the fund alone, collected at least $245,000 from five investors between 2004 and 2010, and gave them quarterly reports. During the next two years, he misappropriated $452,855 from 13 investors.

In early 2012, he stopped his reports to the investors, some of whom found out he was going through a divorce and asked to withdraw their investments.

In July that year, he convinced five investors there were $1 million and US$76 (S$100) in his Phillip Futures' trading statement for June 2012 and claimed he could not withdraw it due to divorce proceedings. The trading statement was forged and Ore actually had only $10 and US$76 in his trading account.

A year after Ore was declared bankrupt, he met Mr Lui Kum Sum in March 2014 on WeChatand told him that he was operating an investment fund.

Mr Lui signed seven contracts with Ore and made nine payments totalling $278,000 between March 2014 and November 2015. Ore spent the money.