Indian origin citizen jailed in Singapore (symbolic)
A Singapore resident of Indian origin has been sentenced to jail for defrauding 20 people. Indian-origin Murali Krishnan Naidu was sentenced to seven years and four months in jail on Monday for fraud of Rs 15 crore (2.5 million Singapore dollars or 1.8 million US dollars).
Naidu was earlier convicted in 17 cases of defrauding nine people of a sum of S$2.5 million between 2008 and 2013. According to The Straits Times, 43 other charges, including those of the remaining victims, were also considered during sentencing, during which Naidu did not pay any restitution.
Accused of defrauding 20 people
In all, Naidu, a 53-year-old Singapore citizen, defrauded 20 people, including family friends and acquaintances, of about S$2.5 million in an investment scam between 2008 and 2013. He tricked most of his victims, who withdrew money from their retirement savings for “investment” into the belief that their money would be invested in a loan business set up by his wife. But Naidu cheated people’s money.
read this also
The prosecution said that in August 2006, Naidu’s wife formed a licensed money lending company in Singapore called San Tea Credit (STC), of which she was the sole owner, while Naidu was the manager of the company. Before setting up STC, Naidu had worked at another money lending company called Diamond Credit from 2003 to 2006 and had knowledge of how such companies raise money.
How was the thug executed?
Deputy Public Prosecutors (DPP) Jordan Lee and Yew Xuan said that Naidu was aware that it was common for money lending companies to borrow cash from investors through investment agreements. Then they used to lend this money to their customers. Companies will pay investors interest on the amount borrowed, which is less than the interest they charge on loans.
The prosecution said Naidu told the victims that their money would be invested in STC’s loan business. He would usually promise victims returns of between 2.5 percent to 3 percent every month along with repayment of their investment capital for one year from the date of the investment agreement. After taking money from the people, it stopped giving dividends to the people in the beginning of 2013.
On the other hand, the court documents also did not reveal how he committed any wrongdoing, although Naidu was charged in the court in 2019. The DPP had requested the court to sentence him to at least 7 years and 10 months in jail.