MAS issues prohibition orders against six individuals for mis-selling investment products
Singapore, 17 May 2018… The Monetary Authority of Singapore (MAS) announced today that it has issued prohibition orders (POs) against six individuals for the mis-selling of investment products. The individuals are:
- Mr David Hiah Xinkai, a former representative of Prudential Assurance Co Singapore Pte Ltd (Prudential);
- Ms Heng Goid Hoon, a former representative of AIA Singapore Pte Ltd (AIA);
- Ms Koh Mei Ling, a former representative of AIA;
- Ms Jane Yeo Hui Rong, a former representative of AIA;
- Mr Nigel Chua Bingquan, a former representative of Prudential; and
- Ms Zheng Xuemei, a former representative of Citibank Singapore Limited.
2 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 2 to 7 years. 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 2 years. Please refer to the Annex for details of the POs against these six individuals.
3 Mr Lee Boon Ngiap, Assistant Managing Director (Capital Markets), MAS said “Representatives of financial institutions who give advice on financial products have a duty of care to their customers. 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. And MAS will publicise these actions to send a clear message that such misconduct will not be tolerated and that, where warranted, we will not hesitate to weed out errant representatives from the industry.”
4 The actions taken against the six individuals follow a series of wide-ranging investigations by the MAS. These individuals have committed one or more of the following types of misconduct:
- 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.
5 The misconduct committed by Mr David Hiah Xinkai and Ms Heng Goid Hoon involved vulnerable clients1. 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.1 Vulnerable client is any client who meet two of the following criteria:
(i) aged 62 years or older;
(ii) is not proficient in written or spoken English;
(iii) has below GCE ‘O’ level or ‘N’ level qualifications, or equivalent academic qualifications.