HWZ Forums

Login Register FAQ Mark Forums Read

MAS bans six individuals for mis-selling investment products

Like Tree1Likes
  • 1 Post By kehyi4
Reply
 
LinkBack Thread Tools
Old 17-05-2018, 09:22 PM   #1
Honorary Member
 
mrclubbie's Avatar
 
Join Date: Oct 2008
Posts: 106,747
MAS bans six individuals for mis-selling investment products

MAS bans six individuals for mis-selling investment products

https://www.straitstimes.com/busines...tment-products

SINGAPORE - The Monetary Authority of Singapore (MAS) has issued prohibition orders (POs) against six individuals for the mis-selling of investment products.

They are:

David Hiah Xinkai, a former representative of Prudential Assurance Co Singapore Pte Ltd (Prudential);
Heng Goid Hoon, a former representative of AIA Singapore Pte Ltd (AIA);
Koh Mei Ling, a former representative of AIA;
Jane Yeo Hui Rong, a former representative of AIA;
Nigel Chua Bingquan, a former representative of Prudential; and
Zheng Xuemei, a former representative of Citibank Singapore Limited.

The POs will prohibit these individuals from providing any financial advisory service and from taking part in the management, acting as a director or becoming a substantial shareholder of any financial advisory firm for periods ranging between two to seven years.

Following a series of investigations from the MAS, these individuals were found to have committed one or more of the following types of misconduct: forgery; making false or misleading statements to clients when providing financial advice; making false or misleading representations to the insurer; providing financial advice without due consideration of clients' financial situation; and‚ improper switching.

The MAS said that the misconduct committed by Mr Hiah and Ms Heng involved vulnerable clients. Mr Hiah is prohibited for a period of seven years while Ms Heng is prohibited for a period of four years.

"Representatives who mis-sell investment products to vulnerable clients will face stiffer action and this has been reflected in the lengthier durations of the POs issued against Mr Hiah and Ms Heng."
__________________
huat huat huat huat huat huat huat huat
huat huat huat huat huat huat huat huat
mrclubbie is offline   Reply With Quote
Old 17-05-2018, 09:56 PM   #2
Senior Member
 
kehyi4's Avatar
 
Join Date: Aug 2010
Posts: 988
CNA has more details:

https://www.channelnewsasia.com/news...tment-10242812

MAS issues prohibition orders against former Prudential, AIA, Citibank representatives
Updated: 17 May 2018 07:05PM

SINGAPORE: The Monetary Authority of Singapore (MAS) announced on Thursday (May 17) that it has issued prohibition orders against six people for the mis-selling of investment products.

The individuals were former representatives of Prudential Assurance Company Singapore (Prudential), AIA Singapore (AIA) and Citibank Singapore, MAS said in a media release.

Their misconduct includes forgery, making false or misleading statements to clients, improper switching of policies and providing financial advice without due consideration of a client's financial situation.

A total of 29 clients were affected, including two vulnerable clients.

The prohibition orders prevent them from providing financial advisory service, as well as from taking part in the management, acting as a director or becoming a substantial shareholder of any financial advisory firm, for between two and seven years, MAS said.

One of the individuals is also prohibited from performing any regulated activity under the Securities and Futures Act, and from taking part in the management, acting as a director, or becoming a substantial shareholder of any capital market services firm, for a period of two years.

In the first of these cases, David Hiah Xinkai, who was working for Prudential at the time, was issued a seven-year prohibition order for forgery and providing false or misleading information to the insurer.

Hiah had forged the signatures of several policyholders to "effect fund switches in their investment-linked policies" without their knowledge or consent, said MAS.

"Mr Hiah did so as he was concerned that the policyholders would surrender their policies and that he would face disciplinary action by Prudential if the surrenders took place," added the authority.

In addition, he intentionally provided false or misleading information relating to his clients' personal details to Prudential when arranging insurance contracts for his clients.

This resulted in his clients losing their policy rights while Hiah earned commissions from the sale of the insurance contracts, said MAS.

Hiah's prohibition order took effect from May 14.

Meanwhile, former representative of AIA Heng Goid Hoon was issued a four-year prohibition order after advising a client to switch investment-linked policies without disclosing the switching costs to the client.

Heng also made "false declarations" on the client's policy application forms to avoid scrutiny from AIA, said MAS.

As a result, her client incurred "significant switching costs ... without any real benefit from the switch", said the authority.

"Ms Heng was also able to secure commissions from the switching by deliberately delaying the policy switch to circumvent industry prescribed rules that disallow commissions for early policy replacement," said MAS.

Heng's prohibition order took effect from Apr 30.

The misconduct committed by Hiah and Heng involved vulnerable clients, leading to stiffer action against the pair, said MAS.

4 OTHERS ALSO ISSUED PROHIBITION ORDERS

Apart from Heng, two other former representatives of AIA were also issued prohibition orders.

Koh Mei Ling and Jane Yeo Hui Rong were both issued three-year prohibition orders, both of which took effect from Apr 30.

Koh was issued a prohibition order after recommending an investment-linked policy to her client without "due consideration" of her client's financial situation, said MAS.

She also provided false information to AIA by "intentionally inflating her client's annual income" in the policy application.

"As a result, Ms Koh earned commissions from the sale of the investment-linked policy and the client purchased an investment-linked policy she could not afford," said MAS.

Meanwhile, Yeo made "false and misleading statements" to her clients about the features of their investment-linked policies, misrepresenting that their policies had guaranteed investment returns, when she knew this was not the case.

"Ms Yeo secured commissions from the sale of these policies and the clients did not earn the promised returns," said MAS.

In addition, Nigel Chua Bingquan (who was working for Prudential at the time) and Zheng Xuemei (who was working for Citibank Singapore) were both also issued prohibition orders by MAS for misconduct including making false or misleading statements to their clients, as well as making false declarations in the sales documents in order to avoid scrutiny from their respective companies.

Chua was issued a three-year prohibition order while Zheng was issued a two-year prohibition order. Both orders took effect from May 14.

AFFECTED AIA CUSTOMERS "REMEDIATED" FOR LOSSES

AIA Singapore said in response to queries from Channel NewsAsia that the customers affected by the misconduct of its three former representatives "have been remediated for any losses" they may have suffered.

"We strictly adhere to a zero-tolerance policy against any fraudulent acts by any of our representatives," it said.

"In the event that our customers’ interests are compromised as a result of misconduct by any of our representatives, AIA Singapore would ensure that appropriate actions are taken to remediate the affected customers," it added.

A Citi spokesperson also said that the bank does not tolerate such misconduct.

"The individual was dismissed in 2016. We do not tolerate any misconduct that goes against the laws of the country and/or the policies of the bank,” it said.

Mr Lee Boon Ngiap, assistant managing director for capital markets at MAS, stressed that financial institution representatives have a duty of care to their customers.

"Representatives of financial institutions who give advice on financial products have a duty of care to their customers," he said. "MAS will take stern action against representatives who betray the trust placed in them and provide false or misleading information or give irresponsible advice to their customers.”
oceanicmanta likes this.
kehyi4 is offline   Reply With Quote
Old 17-05-2018, 10:34 PM   #3
Master Member
 
ashethen's Avatar
 
Join Date: Jul 2005
Posts: 4,081
Fugging scum of society

Sent from Samsung SM-G930F using GAGT
ashethen is online now   Reply With Quote
Old 17-05-2018, 10:59 PM   #4
High Supremacy Member
 
Perisher's Avatar
 
Join Date: Jan 2015
Posts: 39,145
Well, not surprised if that’s just tip of iceberg...
__________________
Perisher is offline   Reply With Quote
Old 18-05-2018, 06:32 AM   #5
Honorary Member
 
mrclubbie's Avatar
 
Join Date: Oct 2008
Posts: 106,747
Well, not surprised if that’s just tip of iceberg...
Indeed. I wonder how many are not caught yet.

Some when selling endowment even dare to say every year confirm can get x% when even the BI and other pages dont state that...

For ILP, many dont mention the increasing insurance charges (found at the pages behind) and I noted that premium holiday is something easily misunderstood and mis-interpreted

In conclusion, for insurance, all you need is term + health + PA

Last edited by mrclubbie; 18-05-2018 at 06:42 AM..
mrclubbie is offline   Reply With Quote
Old 18-05-2018, 07:20 AM   #6
Senior Member
 
Join Date: Nov 2014
Posts: 1,007
With all these rogue agents, no wonder everyone avoid agents
blurpandasg2014 is online now   Reply With Quote
Old 18-05-2018, 07:28 AM   #7
Arch-Supremacy Member
 
havetheveryfun's Avatar
 
Join Date: Jul 2010
Posts: 10,628
Indeed. I wonder how many are not caught yet.

Some when selling endowment even dare to say every year confirm can get x% when even the BI and other pages dont state that...

For ILP, many dont mention the increasing insurance charges (found at the pages behind) and I noted that premium holiday is something easily misunderstood and mis-interpreted

In conclusion, for insurance, all you need is term + health + PA
agents will tell u otherwise

personal accident plan, investment plans. grow your money with them!
havetheveryfun is online now   Reply With Quote
Old 18-05-2018, 10:23 AM   #8
Honorary Member
 
mrclubbie's Avatar
 
Join Date: Oct 2008
Posts: 106,747
agents will tell u otherwise

personal accident plan, investment plans. grow your money with them!
We will help them grow their wealth instead
__________________
huat huat huat huat huat huat huat huat
huat huat huat huat huat huat huat huat
mrclubbie is offline   Reply With Quote
Old 18-05-2018, 10:47 AM   #9
Arch-Supremacy Member
 
akwl88's Avatar
 
Join Date: Feb 2016
Posts: 10,523
insurance agents - for you, with you, by you!

huat ah!
akwl88 is offline   Reply With Quote
Old 18-05-2018, 11:02 AM   #10
Arch-Supremacy Member
 
mikezuper's Avatar
 
Join Date: Apr 2002
Posts: 15,021
This is to protect the whole sg insurance industry as a whole.

Bad sheep could tarnish the whole achievements earned so far as words of mouth travel fast.
mikezuper is offline   Reply With Quote
Old 18-05-2018, 11:12 AM   #11
Senior Member
 
merlot6230's Avatar
 
Join Date: Jan 2005
Posts: 609
in fact there are more candidate but no resources to find them lah - even the policy holder make an official complaints.

i doubt the agents company will want to take action due to fear of tarnish their brand reputation.
merlot6230 is offline   Reply With Quote
Old 18-05-2018, 09:22 PM   #12
Honorary Member
 
mrclubbie's Avatar
 
Join Date: Oct 2008
Posts: 106,747
Hope more will be uncovered
__________________
huat huat huat huat huat huat huat huat
huat huat huat huat huat huat huat huat
mrclubbie is offline   Reply With Quote
Reply
Important Forum Advisory Note
This forum is moderated by volunteer moderators who will react only to members' feedback on posts. Moderators are not employees or representatives of HWZ. Forum members and moderators are responsible for their own posts.

Please refer to our Terms of Service for more information.


Thread Tools

Posting Rules

Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are On