"Vietnamese-American’s $8.3 Million Money Laundering Scandal Shocks Singapore: What You Need to Know!"
A 61-year-old Vietnamese-American, Nguyen Duy Khiem, has been charged with multiple money laundering offences in Singapore, involving approximately US$8.3 million (S$10.8 million). The charges stem from allegations that he facilitated an overseas investment scam by orchestrating complex financial transactions through Singaporean companies.
The Allegations
Nguyen Duy Khiem is facing eight charges related to possessing direct or indirect benefits from criminal activities. According to the Commercial Affairs Department, Khiem allegedly orchestrated the creation of two Singapore-based companies and their associated bank accounts.
In 2019, Khiem reportedly enlisted two Vietnamese women, Hoang Dinh Phuong Thao and Hoang Thi Thuy Hang, to set up the companies Kaloca Asia and Wellington York Partners, respectively. He is accused of having these women establish bank accounts for the companies, which subsequently received substantial funds.
Between December 2019 and October 2020, the bank accounts associated with these companies received significant sums: approximately US$457,500 and US$7.8 million. The police suspect these funds originated from international investment scams.
Key Figures and Transactions
The most notable transaction involves a sum of US$5.3 million allegedly held in a UOB bank account under Wellington York Partners between July 1 and July 30, 2020. Khiem is accused of failing to provide a satisfactory explanation for this large sum, which is suspected to be a benefit from criminal conduct.
In addition to the funds linked to Khiem, the charges also reference a figure identified as “David Edwards.” Some of the funds were allegedly derived from Edwards’ involvement in unspecified criminal activities.
Legal Proceedings and Potential Consequences
Nguyen Duy Khiem has pleaded not guilty to the charges and plans to engage legal representation. He was granted bail of S$120,000 and is scheduled to return to court in October for further proceedings.
Under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act (CDSA), Khiem faces severe penalties if convicted. These include up to three years in prison, fines up to S$150,000, or both, for possessing direct criminal benefits. If found guilty of possessing property believed to be from criminal conduct, the potential penalties increase significantly to up to ten years in prison, fines up to S$500,000, or both.
Next Steps and Implications
The case underscores Singapore’s rigorous enforcement of financial regulations and its commitment to combating money laundering and other serious financial crimes. The upcoming court proceedings will be closely watched as they may shed light on broader issues related to international financial crimes and regulatory enforcement.