PETALING JAYA: A Singaporean man was ordered by the Kuala Lumpur High Court to return RM28 million to 122 Malaysian investors following their lawsuit against him.
The defendant’s operation was proven by the plaintiffs as illegal after it was found that the Singaporean did not obtain approval from the Securities Commission of Malaysia (SC) to collect investment funds, according to High Court Judicial Commissioner Datuk Mohd Arief Emran Arifin.
Free Malaysia Today reported that the defendant, Chan Cheh Shin, founded a company reportedly known as Fulda Malaysia Bhd, holding the post of director and introduced various investment products through his roadshows and seminars.
The 122 Malaysian investors paid their share from 2016 onwards, to Fulda Malaysia Bhd and another company called Palau Capital Ltd, based in Singapore where Chan was also a director of.
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Arief, in his online ruling, also ordered Chan to pay the interest collected from the 122 Malaysians at 5% per annum from the date the case was filed right up until the settlement of the judgement sum.
In the plaintiffs’ statement of claim, they said Chan had “persuaded” them, as quoted, to invest in several investment products, even overseas ones, promising “them multiple returns”, as quoted.
They stated that Chan, who reportedly had credentials as a “leading banker”, as quoted, specialising in finance and investments, had also convinced them that he would cautiously manage their investment schemes and assured he would renumerate their losses if said investments failed.
The plaintiffs, however, had not received returns from the investment.
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Following that, they filed a lawsuit in 2022 to recover their funds spent for the investments.
Lawyers M. Manian and R Gajelan represented the investors while Chan was represented by lawyers Ravi Nekoo and Sarah Anthony.
According to Chan’s lawyer, Ravi, he reportedly “had instructions”, as quoted, to file an appeal.
