The Monetary Authority of Singapore (MAS) has banned a former representative of AIA Singapore Private Limited, an insurance company, on accounts of committing fraud against a non-English speaking client. The man, Tan Peng Khoon, has been subjected to prohibition orders for a period of eight years.
During the suspension period, Khoon is banned from carrying out business or management of any insurance deal under the Insurance Act of Singapore and providing any financial advisory service. He also cannot act as the director or shareholder of any financial firm under the Financial Advisers Act.
In a statement, the MAS has said that during his time as an insurance representative, Khoon had deceived a customer who cannot speak English. He had convinced her to sign documents which surrendered her personal life policy of$2,018. He also made her take a policy loan of $6,500.
Not only this, Tan used the fake documents to get two cheques from AIA on the customer's name, comprising of a total sum of $8,518. He also cheated the customer into making him a joint holder of her bank account by saying that he needed to deposit money in the account to repay a loan that was owed to the customer. Using this ruse, he deposited AIA's cheques into the joint account and withdrew it in cash.
The culprit was convicted in the State Courts of Singapore on April 27, 2015, on charges under Section 420 and Section 468 of the Penal Code. He was also sentenced to 18 months of jail term on November 27, 2015.
Now, prohibition orders have been issued against him under Section 35V of the Insurance Act and Section 59 of the Financial Advisers Act.
The maximum sentence under Section 406 of the Penal Code for criminal breach of trust is up to seven years of jail term, fine, or both. Section 420, on the other hand, says that "Whoever cheats and thereby dishonestly induces the person deceived to deliver any property to any person, or to make, alter or destroy the whole or any part of a valuable security, or anything which is signed or sealed, and which is capable of being converted into a valuable security shall be punished with imprisonment for a term which may extend to 10 years, and shall also be liable to fine."
The maximum punishment for forgery on document or electronic record is up to 10 years of jail time and an additional fine.