Legal

Founder OK Lim grilled by prosecutors on his involvement at Hin Leong Trading

Prosecutors accused Lim, who is accused of alleged cheating and forgery charges involving USD 111.7 million (SGD 148.7 million), of lying and playing down his involvement in the company’s dealings.

Published

10 months ago

November 22, 2023

Admin

Prosecutors grilled Hin Leong Trading (Pte) Ltd Founder Lim Oon Kuin, who is accused of alleged cheating and forgery charges involving USD 111.7 million (SGD 148.7 million), over his role in the company at the Singapore State Courts on Monday (20 November), according to The Business Times.

Prosecutors accused him of lying and playing down his involvement in the company’s dealings.

During cross-examination, Deputy Public Prosecutor (DPP) Christopher Ong questioned Lim of his involvement in the company’s day-to-day operations until he stepped down as the managing direction in April 2020.

Lim said Hin Leong traders would inform him only “as a matter of formality” when asked if he would give approval to them for trades they conducted.

“If the deal is profitable and they are earning money for the company, of course they can do (the deals). They just informed me as a matter of formality that they have completed the deal,” Lim said as quoted by The Business Times.

In June, Hin Leong’s general manager for trading Wong See Meng had testified in court that he would get approval or in-principle approval from Lim or members of the Lim family for any deal that he wished to carry out. He added that he would get approval from Lim for deals involving gas oil and aviation fuel.

When asked by DPP Ong whether Wong had asked Lim for directions on whether sale deals should proceed, Lim disagreed.

Lim said: “He is holding such a senior position. If he needed to ask me before he could proceed, then what is the point of employing him?”

DPP Ong then suggested that Lim was lying when he said he did not approve the trades that Hin Leong conducted. Lim disagreed.

Lim also denied knowing what the term “discounting” meant when queried on discounting facilities that Hin Leong had with several banks including HSBC.

DPP Ong asked Lim whether he was aware that Hin Leong had a facility with HSBC where Hin Leong could present invoices for oil sales that it had made, and the bank would pay the company before payment from the buyer was due.

Lim said such things were “accounts matters”, and that he was never involved in accounts matters.

“I put it to you that your claim not to have known what discounting was, all the way up to April 12, 2020, is completely incredible,” DPP Ong said, to which Lim disagreed.

DPP Ong suggested that Lim knew about discounting “long before” 2020.

“I put it to you that you are lying about when and how you found out about the two discounting applications that had been made to HSBC,” DPP Ong said. Lim disagreed.

DPP Ong then suggested that Lim was “making up” evidence that his former personal assistant Serene Seng, whose last position at Hin Leong was manager of corporate affairs, approached him to do more trades when Hin Leong’s cashflows were low.

“I put it to you that you are trying to pretend that you had no involvement in dealing with Hin Leong’s low cash situations when they occurred,” said DPP Ong, to which Lim disagreed.

In April, the Singapore State Court heard Seng confess to lying during investigations by Commercial Affairs Department (CAD), when she said she was unable to recall events connected to a transaction that is related to Lim Oon Kuin’s criminal charges.

The 61-year-old who had worked at Hin Leong Trading for close to 30 years and whose last position was Manager of Corporate Affairs, testified against her former boss, Lim.

More than 100 other charges against Lim have been put on hold while this trial is in progress.

The 81-year-old went on trial when prosecution proceeded on three charges out of the total of 130 charges: Two counts of cheating the Hongkong and Shanghai Banking Corporation (HSBC) and one count of instigating a contracts executive of Hin Leong Trading to forge a false record.

The 130 charges were for the offences of cheating, abetment of forgery of a valuable security, and abetment of forgery.

The three charges relate to HSBC previously alleging Lim had falsified documents in order to obtain credit from the bank. In October, HSBC filed for legal action against the Lim family and a Hin Leong employee to recover USD 85.3 million of its USD 111.7 million exposure to Hin Leong.

In its filing, HSBC alleged that it was “fraudulently deceived” into lending USD 111.7 million by signing off a forged invoice for cargo sold to China Aviation Oil (CAO) for USD 56 million, the other for cargo sold to Unipec Singapore for USD 55.7 million.

An extensive coverage by Singapore bunkering publication Manifold Times regarding the fall of Hin Leong can be found below:

Photo credit: Manifold Times
Published: 22 November, 2023

Related Topics:Legal - Corruption Legal - Crime

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Singapore: Vietnam-flagged tanker “GT Unity” placed under Sheriff’s arrest again

Ship was added to list of vessels under Sheriff’s arrest in Singapore’s court system and it is currently held at Raffles Reserved Anchorage; arrest was made on behalf of Resource Law LLC.

Published

16 hours ago

September 10, 2024

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Vietnam-flagged oil and chemical tanker GT Unity was arrested for the third time in Singapore waters on Thursday (5 September).

The 7,631 DWT vessel was added to the list of vessels under Sheriff’s arrest in Singapore’s court system.

According to the list, the vessel was arrested at 10.45am and the arresting solicitor listed was law firm Resource Law LLC. The ship is currently held at Raffles Reserved Anchorage.

No further details regarding the reason behind the arrest were provided in the list.

Manifold Times previously reported GT Unity was arrested in the republic on 6 December, 11 October and 10 March last year.

Related: Singapore: Vietnam-flagged tanker “GT Unity” arrested again, bulk carrier also detained
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Photo credit: Manifold Times
Published: 10 September, 2024

Winding up

Singapore: Annual general meeting set for Xihe Holdings subsidiary

Annual general meetings will be held on 23 September for Nan Chiau Maritime to receive an update on firm’s liquidation, according to Government Gazette notice.

Published

16 hours ago

September 10, 2024

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A notice was published on the Government Gazette on Monday (10 September) regarding the annual general meetings to be held on 23 September for Xihe Holdings subsidiary Nan Chiau Maritime Pte Ltd.

Annual general meetings for Nan Chiau Maritime are to be held at the following times:

For the company: 2pm
For the creditors: 3pm

The agenda for all the meetings are:

To receive an update on the liquidation.
To receive an account of the Liquidators’ acts and dealings, and of the conduct of the winding up.

The following are the details of the liquidator:

Ho May Kee
Liquidator
c/o 8 Marina View
#40-04/05 Asia Square Tower 1
Singapore 018960

Xihe Holdings Pte Ltd and its subsidiaries are owned by the Lim family, who are also the owners of the embattled Hin Leong Trading.

Manifold Times previously reported several resolutions for the firm were passed by written means, including winding-up the company.

Manifold Times also reported directors of Nan Chiau Maritime declaring the company’s inability to continue business.

Related: Singapore: Xihe Holdings subsidiary Nan Chiau Maritime to be wound up
Related: Directors declare inability of Nan Chiau Maritime to continue business, liquidators to be appointed
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Photo credit: Jo_Johnston from Pixabay
Published: 10 September, 2024

Winding up

Singapore: Notice of preferential dividend issued for Otto Marine

First and final preferential dividend will be payable from 27 September, according to latest Government Gazette notice.

Published

1 day ago

September 9, 2024

Admin

A notice of preferential dividend for Otto Marine Limited, which is in liquidation, was published on the Government Gazette on Friday (9 September).

The following are details of the notice:

Name of Company : Otto Marine Limited (In Liquidation)
Company Registration No. : 197902647M
Address of former registered office : 9 Temasek Boulevard, #33-01 Suntec Tower Two, Singapore 038989
Court : High Court of the Republic of Singapore
Number of matter : HC/CWU 213/2018
Amount per centum : 100 per centum of all admitted preferential claims pursuant to Section 328(1)(b) to (f) of the Companies Act 1967
First and final or otherwise : First and final
When payable : 27 September 2024
Where payable : Via bank transfer for local payees and telegraphic transfer for overseas payees (all remittance charges shall be borne by the recipient of the dividend payment)

In October 2016, it was reported that offshore services provider Otto Marine announced it would delist from Singapore Exchange (SGX) on 7 October 2016.

Otto Marine was principally engaged in offshore vessel construction, repair and conversion, fabrication, chartering, management and leasing of vessels as well as subsea activities.

Related: Singapore: Liquidators arrange creditors meeting for Otto Marine Limited

Photo credit: Drew Beamer
Published: 9 September, 2024