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Singapore Law Watch
30-07-2025
- Business
- Singapore Law Watch
9 ex-directors, employees ordered to repay almost S$900m to Envy companies in fraudulent nickel trading suits
9 ex-directors, employees ordered to repay almost S$900m to Envy companies in fraudulent nickel trading suits Source: Business Times Article Date: 30 Jul 2025 Author: Tay Peck Gek Two of them are jointly and severally liable for the total sum of S$593 million, US$192.2 million and 880,000 euros. The High Court has ordered nine former directors and employees of the insolvent Envy group of companies – at the centre of the S$1.5 billion nickel trading fraud allegedly perpetrated by Ng Yu Zhi – to return almost S$900 million to the group for eventual distribution to creditors. The nine were sued by Envy Global Trading, Envy Asset Management and Envy Management Holdings, as well as their three liquidators in a bid to claw back the various payments – including commissions, directors' fees and salaries – made to them. The group of companies was insolvent from their inception. In a 180-page judgment published on Tuesday (Jul 29), Judicial Commissioner Mohamed Faizal found that ex-directors Lee Si Ye (also known as Rhiya) and Ju Xiao were jointly and severally liable for the total sum of S$593 million, US$192.2 million and 880,000 euros (S$1.3 million). Lee, a trained accountant, is fully liable for the entire sum, while Ju is responsible for up to 40 per cent of the quantum, the judge ruled. Meanwhile, Cheong Ming Feng, an administrative executive, has to repay S$1.9 million but is allowed to have his salary payments and corresponding Central Provident Fund contributions set off against this liability. In another judgment released on the same day, the judicial commissioner ruled that six other former employees – who the liquidators accepted were unaware of the fraud – were liable for about S$42 million in total, with each person's payments ranging from S$370,882 to S$17.9 million. The six are Lau Lee Sheng, Benjamin Teo Wei Wen, Shen Xuhuai, Koh Hong Jie, Guo Yujia and Jordan Chua Wei Jian. They were employed in various capacities – including as sales directors, sales associates and financial accountants – by Envy Asset Management or Envy Management Holdings. The sums claimed were paid to them as commissions, profit-sharing payment, referral fees or their investment returns from the purported nickel trading. Lee and Ju breached director duties Lee had been serving as a director and signatory of the Envy group for almost the entirety of its existence. She was a former director of Envy Asset Management and Envy Management Holdings until 2021, and is still a director of Envy Global Trading. The 37-year-old held a minority stake in the Envy group. Ju was a director of Envy Global Trading for less than a year when he resigned in late 2020, but he continued to be head of trading of the Envy group until May 2021. The judge found that Lee and Ju had breached their duties as directors. In particular, Lee was 'shockingly derelict in her duties as a director' and her culpability was extremely high, despite the judge finding that she did not know fraudulent acts were taking place. Had it not been for Lee's negligence, the losses of the Envy group would not have materialised. 'There were multiple red flags that should have put her on inquiry, and if she had acted diligently at any of those points in time, the losses could have been avoided, or at least minimised,' commented the judge. She did not check or verify whether a company owned by Ng was legitimate or not, with the Envy group sending over S$400 million to that company. Ju, meanwhile, was aware of, or at least wilfully blind about, the hollow nature of the scheme, concluded the judge. He was aware that the purported trading was amiss and also forged four contracts on Ng's instructions even though there were no genuine underlying transactions. He misapplied investors' monies to conduct proprietary trading as well – a custodial breach of his fiduciary duties, noted the judge. Cheong's forgery Cheong, however, is not liable for fraudulent trading, dishonest assistance or unlawful conspiracy, thus there is no basis for him to be jointly or severally liable for the sums sought. Cheong knew that he was creating forgeries and that these were being circulated to internal employees and external investors, but he did not know that such actions were to prop up a non-existent scheme. All the payments (including for profit sharing and commission, allowance, bonus and reimbursements, Lee's director's fees and dividends) to Lee, Ju and Cheong, as well as Ju's basic salary, may be clawed back as these payments were eroded from the Envy group and from the reach of their creditors. Lee and Cheong were allowed to keep their basic salaries as they had acted in good faith and provided adequate value for the payments. The basic salary payments were contractual obligations which were not contingent on the Envy group being profitable. 'The employee or director's breach of their duties would not disentitle them to their salary,' the judge reasoned. In contrast, Ju was aware of the fraudulent nature of the scheme, and thus would not be able to pocket his basic salary. The commission and profit sharing payments, on the other hand, hinged on whether there were profits or returns from the investments into the purported trading, but it was a scheme that had no 'profits' or returns to speak of. Six other defendants Among the other six former employees found liable, Envy Asset Management and Envy Management Holdings sales directors Lau and Teo were ordered to repay the largest sums of S$17.9 million and S$10.2 million, respectively. However, these six defendants may set off any excess income tax they paid as a result of their receipt of the payments against the sums they are now ordered to repay in this judgment. This was because they had incurred an increase in income tax as a result of receiving the payments now being sought. Shook Lin & Bok acted for the plaintiffs in both suits. Largest Ponzi scheme in Singapore Between 2015 and April 2020, Envy Asset Management purportedly engaged in physical nickel trading by purchasing quantities of London Metal Exchange Nickel Grade Metal at a discounted rate, before selling the metal at a higher price to third-party buyers. After the Monetary Authority of Singapore placed Envy Asset Management on its investor alert list for being wrongly perceived as being licensed to carry out such trading, the business was transferred to Envy Global Trading, owned by Envy Management Holdings. The largest Ponzi scheme in Singapore's history attracted about S$1.5 billion in funds from investors that included financiers and lawyers. About S$854 million is still owed to them. Ng, the apparent protagonist and mastermind of the scheme, held a majority of the stakes in the Envy companies, and was a director of Envy Asset Management and Envy Global Trading. He was declared bankrupt in 2022 after the liquidators received a partial summary judgment – which was passed in their favour without having gone through a trial – for about S$416.4 million and US$17.6 million over his alleged acts. Source: The Business Times © SPH Media Limited. Permission required for reproduction. Print
Business Times
29-07-2025
- Business
- Business Times
9 ex-directors, employees ordered to repay almost S$900 million to Envy companies in fraudulent nickel trading suits
[SINGAPORE] Nine former directors and employees of insolvent Envy group of companies – at the centre of the S$1.5 billion nickel trading fraud allegedly perpetrated by Ng Yu Zhi – have been ordered by the High Court to return almost S$900 million to the group. In a 180-page judgement published on Tuesday (Jul 29), Judicial Commissioner Mohamed Faizal found that ex-directors Lee Si Ye (also known as Rhiya) and Ju Xiao were jointly and severally liable for the total sum of S$593 million, US$192.2 million and 880,000 euros (S$1.3 million). Lee is fully liable for the entire sum, while Ju is responsible for up to 40 per cent of the quantum, the judge ruled. Lee was a former director of Envy Asset Management and Envy Management Holdings until 2021, and is still a director of Envy Global Trading. Ju was a director of Envy Global Trading until he resigned in late 2020, but he continued to be head of trading of the Envy group until May 2021. Cheong Ming Feng, an administrative executive, has been ordered to repay S$1.9 million but is allowed to have his salary payments and corresponding Central Provident Fund contributions set off against this liability. In another judgement also released the same day, the judicial commissioner ruled that six other former employees were liable for about S$42 million in total, with each person's payments ranging from S$370,882 to S$17.9 million. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The six are Lau Lee Sheng, Benjamin Teo Wei Wen, Shen Xuhuai, Koh Hong Jie, Guo Yujia and Jordan Chua Wei Jian. They were employed in various capacities, including sales directors, sales associates and financial accountants, by Envy Asset Management or Envy Management Holdings. Largest Ponzi scheme in Singapore Between 2015 and April 2020, Envy Asset Management purportedly engaged in physical nickel trading by purchasing quantities of London Metal Exchange Nickel Grade Metal at a discounted rate, before selling the metal at a higher price to third party buyers. After the Monetary Authority of Singapore placed Envy Asset Management on its investor alert list for being wrongly perceived as being licensed to carry out such trading, the business was transferred to Envy Global Trading, owned by Envy Management Holdings. The largest Ponzi scheme in Singapore's history attracted about S$1.5 billion in funds from investors that included financiers and lawyers. About S$854 million is still owed to them. Ng, the apparent protagonist and mastermind of the scheme, held at least 80 to 90 per cent of the stakes in the Envy companies, and was a director of Envy Asset Management and Envy Global Trading. He was declared bankrupt in 2022 after he was ordered by the court to repay about S$416.4 million and US$17.6 million over his alleged acts.
CNA
07-07-2025
- Business
- CNA
S$1.5b nickel fraud trial: Accused swindler Ng Yu Zhi declines to testify, defence closes case
SINGAPORE: Ng Yu Zhi, the businessman at the heart of an alleged nickel investment fraud involving almost S$1.5 billion (US$1.17 billion), declined to testify in his case on Monday (Jul 7). Ng, 38, who ran Envy Global Trading and Envy Asset Management, chose to remain silent and accepted that the judge could draw an adverse inference from his choice to do so. He made this decision after speaking with his lawyers for under an hour on Monday morning. Defence lawyers Hassan Esa Almenoar and Nichol Yeo had no other witnesses to call, and the defence closed its case. Both the prosecution and defence are to file their closing submissions on whether or not Ng should be convicted, with a verdict to be given later. Lead prosecutor Gordon Oh said he had discussed the matter with the defence and it would be "preferable" to have the verdict on Aug 22. Judicial Commissioner Christopher Goh took note of that but said he would give the verdict date at a later time in case of any further developments or queries he may have. Ng went on trial in November facing 42 charges, including forgery, handling benefits from criminal conduct, cheating, fraudulent trading and criminal breach of trust. He has another 66 outstanding charges, but these were stood down or set aside for the time being while this trial goes on. THE CASE The prosecution's case is that Ng attracted hundreds of investors over five years from February 2016 with his companies' purported physical nickel trading. They said Ng was the scheme was Ng's "brainchild", but the nickel trading was "fiction" that he conveyed to investors either personally or through his sales representatives. Alleged victims of the scheme include lawyers and a venture capitalist, who testified about how he was "impressed" by Ng. Ng then lived lavishly on the proceeds of the fraudulent scheme, alleged the prosecutors, withdrawing at least S$201.2 million from Envy Global Trading to his personal bank accounts. He spent it on expensive artworks, property, cars and jewellery, charged the prosecutors. Over six years, Ng's companies received a total of S$1.46 billion in investments from 947 investors. Of this, about S$482 million was channelled to Ng's personal bank accounts. Ng was initially on bail running into the millions, but he was remanded after breaking bail conditions by allegedly committing fresh offences. His latest request for bail was rejected by the court last week.
Business Times
25-04-2025
- Business
- Business Times
Ossia CEO sold rare Pagani supercar to Ng Yu Zhi for S$7.3 million and invested over S$20 million in billion-dollar nickel scheme
[SINGAPORE] Businessman Steven Goh Ching Huat, who sold a rare supercar to alleged fraudster Ng Yu Zhi for S$7.3 million, had invested millions in Ng's billion-dollar nickel trading scheme. Goh, chief executive of lifestyle products retailer Ossia International, told the High Court on Apr 24 that he invested more than S$20 million in Ng's Envy companies from 2018 until Ng was arrested in 2021. Goh got back about S$10 million and lost about S$11 million, he said through a Mandarin interpreter. He was testifying in Ng's ongoing criminal trial for 42 charges of cheating, forgery, criminal breach of trust, money laundering and fraudulent trading. The 37-year-old is accused of masterminding a scam which attracted S$1.46 billion from 947 investors over six years. Over the past two weeks, the court has heard evidence of Ng's lavish purchases, which the prosecution alleges were funded by his ill-gotten gains. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up They include millions spent on multiple luxury cars for his wife and girlfriends, US$965,000 (S$1.27 million) on a 20.25-carat yellow diamond ring, S$8 million on a semi-detached house and S$2 million on 41 works of art. On Apr 24, Goh testified about a blue Pagani Huayra Coupe that he sold to Ng for S$7.3 million in March 2020. The sports car is among the assets listed in two money laundering charges. Goh said only 100 units of this model were produced. He had bought the car directly from the Italian manufacturer and it was the only one in Singapore, he added. Ng paid Goh a total of S$7.1 million for the car between March and August 2020. Goh said that for one of the payments, Ng deposited only S$800,000 when he was supposed to pay S$1 million. 'I told him it's all right, you deposit the remaining S$200,000 as an investment for me.' The S$200,000 was invested in Envy Global Trading, the court was told. Under cross-examination by Nicholas Narayanan, one of Ng's lawyers, Goh could not recall when he bought the car, but said he paid 'a few million dollars' for it. When asked, Goh said he had sold the car to Ng at a higher price than the price he had paid, but that it was 'normal', and he agreed with the defence lawyer that the car had tremendous value that appreciates over time. Narayanan asked Goh if he knew Ng had tried to become the distributor for Pagani for the Singapore and Malaysia market, but the businessman said he did not know about this. The trial continues. Ng's nickel scheme was first offered through Envy Asset Management in February 2016. After the firm was placed on the Monetary Authority of Singapore's investor alert list, the scheme was moved to Envy Global Trading from Apr 2020 to March 2021. Ng allegedly told investors he could buy nickel at a discount and then sell the metal for profit. The prosecution's case is that the purported nickel trades did not exist, and that earlier investors were paid with money put in by other investors. THE STRAITS TIMES
Singapore Law Watch
25-04-2025
- Business
- Singapore Law Watch
CEO who sold rare supercar to Ng Yu Zhi for $7.3m had also invested in billion-dollar nickel scheme
CEO who sold rare supercar to Ng Yu Zhi for $7.3m had also invested in billion-dollar nickel scheme Source: Straits Times Article Date: 25 Apr 2025 Author: Selina Lum Mr Steven Goh Ching Huat, chief executive of Ossia International, sold a blue Pagani Huayra Coupe to Ng Yu Zhi for $7.3 million in March 2020. Businessman Steven Goh Ching Huat, who sold a rare supercar to alleged fraudster Ng Yu Zhi for $7.3 million, had invested millions in Ng's billion-dollar nickel trading scheme. Mr Goh, chief executive of lifestyle products retailer Ossia International, told the High Court on April 24 that he invested more than $20 million in Ng's Envy companies from 2018 until Ng was arrested in 2021. Mr Goh got back about $10 million and lost about $11 million, he said through a Mandarin interpreter. He was testifying in Ng's ongoing criminal trial for 42 charges of cheating, forgery, criminal breach of trust, money laundering and fraudulent trading. The 37-year-old is accused of masterminding a scam which attracted $1.46 billion from 947 investors over six years. Over the past two weeks, the court has heard evidence of Ng's lavish purchases, which the prosecution alleges were funded by his ill-gotten gains. They include millions spent on multiple luxury cars for his wife and girlfriends, US$965,000 (S$1.27 million) on a 20.25-carat yellow diamond ring, $8 million on a semi-detached house and $2 million on 41 works of art. On April 24, Mr Goh testified about a blue Pagani Huayra Coupe that he sold to Ng for $7.3 million in March 2020. The sports car is among the assets listed in two money laundering charges. Mr Goh said only 100 units of this model were produced. He had bought the car directly from the Italian manufacturer and it was the only one in Singapore, he added. Ng paid Mr Goh a total of $7.1 million for the car between March and August 2020. Mr Goh said that for one of the payments, Ng deposited only $800,000 when he was supposed to pay $1 million. Mr Goh said: 'I told him it's all right, you deposit the remaining $200,000 as an investment for me.' The $200,000 was invested in Envy Global Trading, the court was told. Under cross-examination by Mr Nicholas Narayanan, one of Ng's lawyers, Mr Goh could not recall when he bought the car, but said he paid 'a few million dollars' for it. When asked, Mr Goh said he had sold the car to Ng at a higher price than the price he had paid, but that it was 'normal', and he agreed with the defence lawyer that the car had tremendous value that appreciates over time. Mr Narayanan asked Mr Goh if he knew Ng had tried to become the distributor for Pagani for the Singapore and Malaysia market, but the businessman said he did not know about this. The trial continues. Ng's nickel scheme was first offered through Envy Asset Management in February 2016. After the firm was placed on the Monetary Authority of Singapore's investor alert list, the scheme was moved to Envy Global Trading from April 2020 to March 2021. Ng allegedly told investors he could buy nickel at a discount and then sell the metal for profit. The prosecution's case is that the purported nickel trades did not exist, and that earlier investors were paid with money put in by other investors. Source: The Straits Times © SPH Media Limited. Permission required for reproduction. Print
