Stiff sentences on manipulators show Singapore's resolve in safeguarding its capital markets

This was stated in a joint statement issued by the Attorney-General's Chambers (AGC), Singapore Police Force (SPF), and Monetary Authority of Singapore (MAS) in relation to the sentencing of Malaysian businessman Soh Chee Wen, and co-conspirator Quah Su-Ling by the republic's High Court on Wednesday to a total of 36 and 20 years imprisonment respectively.

Both were found to have, among other things, orchestrated an elaborate scheme to manipulate the shares of Blumont Group Ltd, Asiasons Capital Ltd, and LionGold Corp Ltd. between August 2012 and October 2013, and cheated two financial institutions.

"We will not tolerate any attempts to subvert our criminal justice system," said Chief Prosecutor Tan Kiat Pheng.

"We will continue to work closely with our law enforcement agencies and regulator to safeguard Singapore's reputation as an international financial centre," he added.

Earlier this year on May 5, 2022, Soh and Quah were convicted of a total of 180 and 169 charges respectively after trial.

The High Court found the duo guilty of charges relating to market manipulation and price manipulation, engaging in deceptive practices against financial institutions and cheating two financial institutions.

In addition, Soh was found guilty of witness tampering charges, and charges for being concerned in the management of the three companies whilst being an undischarged bankrupt.

Meanwhile, Director of the Commercial Affairs Department (CAD) of SPF David Chew said the department took a serious view of criminals who manipulate the stock market as their conduct undermines the integrity of Singapore's capital markets.

"In order to protect the integrity of our capital markets, the authorities will vigorously pursue and prosecute criminals who manipulate or conspire with others to manipulate our capital markets," said Chew.

The joint statement also noted that Soh and Quah each indicated that they will be filing a notice of appeal against the conviction and the sentences imposed, save that Soh will not be appealing against the conviction for the charges under Section 148 of the Companies Act.

The charges under Section 148 of the Companies Act were related to " being concerned in the management of Blumont, Asiasons, and LionGold whilst being an undischarged bankrupt," said the statement.

"The elaborate scheme masterminded by the offenders to manipulate shares listed on SGX led to large losses by investors and harmed public confidence in the integrity of Singapore's capital markets," Assistant Managing Director, Policy Payments and Financial Crime of MAS, Loo Siew Yee, said.

"The successful prosecution and stiff sentences leave no doubt as to the authorities' resolve in acting against such misconduct."

MAS, Loo said, will continue to work in partnership with AGC, CAD, and the industry to effectively detect, deter and prosecute bad actors, with the objective of ensuring that the republic's capital markets remain fair, orderly, and transparent.