Singapore, 31 March 2021…  Mr Chen Zhihao Samuel and Mr Wong Tuck Wai Raymond were charged today for offences under the Central Provident Fund (CPF) Act.

2          Mr Chen and Mr Wong are accused of carrying out a scheme to defraud the CPF Board between 1 September 2017 and 8 January 2019. The scheme involved Mr Chen withdrawing funds from his CPF Ordinary Account (OA), by incurring trading losses when he bought shares¹ from Mr Wong at artificially high prices and sold the shares to Mr Wong at artificially low prices.

3          Mr Chen traded in the shares under the CPF Investment Scheme, which provides members with the option to invest their CPF savings in financial instruments such as insurance products, unit trusts, fixed deposits, bonds and shares. The scheme gives CPF members an option to invest their savings, while meeting the long term objective of financial security in their old age.

4          The investigation was jointly conducted by the Monetary Authority of Singapore and the Commercial Affairs Department of the Singapore Police Force.

5          Mr Chen faces 4 charges for employing a scheme to defraud CPF in connection with the making of investments under the CPF Investment Scheme under section 58A of the CPF Act, while Mr Wong faces 4 charges for intentionally aiding Mr Chen in the scheme.

6          If convicted, for each charge of section 58A of the CPF Act, Mr Chen and Mr Wong each face a fine not exceeding $5,000 or an imprisonment for a term not exceeding 6 months, or both.