City Harvest Church founder faces the music

[rolleyes]

City Harvest trial: Ex-finance manager stresses Xtron was independent of church

Published on Apr 28, 2015 8:38 AM

Serina Wee said she wanted an Xtron representative to attend a meeting with church auditors as she did not want it to seem like the church had control over Xtron. -- ST PHOTO: WONG KWAI CHOW

By Danson Cheong

Serina Wee, former finance manager of City Harvest Church (CHC), maintained yesterday that the church did not control Xtron, the company that managed singer Sun Ho, wife of church founder Kong Hee.

She told the court she was only CHC's accountant and felt that there should be a representative of Xtron at a meeting with the church's auditors.

Wee, who was dressed in a black dress and green cardigan in court yesterday, said this was because she did not want it to seem like the church had control over Xtron.

It was Wee's third day on the stand in the long-running City Harvest trial.

Wee, 38, is one of six people accused of misusing church monies to bankroll Ms Ho's music career, and the last to take the stand. The six are charged with misusing $50 million of church funds to boost Ms Ho's music career, and then covering up the misuse. The prosecution believes that five of the accused channelled money from the church's building fund into sham bond investments in Xtron and glass manufacturer Firna.

Four of them, including Wee, then allegedly devised transactions to clear the sham bonds from the church's accounts, to mislead auditors.

Wee's lawyer, Senior Counsel Andre Maniam, had referred the court to an e-mail exchange between his client and co-accused Tan Ye Peng, in which Tan had suggested the meeting.

In the June 2009 e-mail, Tan, the church's deputy senior pastor, told Wee that he wanted concerns about a Xtron audit report highlighted to church auditor Foong Daw Ching.

"I think we should really meet Brother Foong to make our request known to him for all the points we are not comfortable about," wrote Tan. Wee had earlier sent Tan and fellow accused John Lam a draft for Xtron's 2007 audit report.

Lam raised concerns about it - including references to the church that showed "so explicitly the relationship with CHC".

The defence has repeatedly maintained that Xtron had operated independently of the church and, yesterday, Wee again stressed this.

Earlier in the day, Mr Maniam, in his examination of his client, had referred to several e-mail exchanges where church leaders asked how much money was owed to them by Indonesian tycoon and church member Wahju Hanafi.

The sum amounted to about $4 million, which Mr Hanafi had "loaned" to Ultimate Assets, a company he owned, which took over from Xtron the management of Ms Ho's music career.

Several times, Mr Maniam asked Wee who exactly was being "owed" the money.

Each time, Wee replied that this was the Crossover Project - the church vehicle which aimed to spread the Gospel through Ms Ho's music.

Wee said that as Mr Hanafi had already pledged this money to the Crossover, church leaders were merely taking "ownership" of it as part of this vehicle.

The trial continues today.

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[Snowman]

City Harvest trial: Church is my family, I would not harm it, says Serina Wee

Published on Apr 29, 2015 8:41 AM

City Harvest's former finance manager Serina Wee at the State Courts on April 28, 2015. -- ST PHOTO: ONG WEE JIN

By Danson Cheong

City Harvest Church (CHC) is her family, and she would never do anything illegal to put it at risk, said the church's former finance manager yesterday.

Serina Wee, 38, categorically denied all 10 charges levelled against her. In an impassioned five-minute speech in court, she insisted church leaders had acted on the advice of lawyers and auditors.

"I felt assured that whatever that was done was above board and I trusted in Eng Han's financial expertise," she said, singling out CHC's former investment manager Chew Eng Han.

They and four other people, who include the church's founding pastor Kong Hee, are accused of misusing church monies to bankroll pop singer Ho Yeow Sun's career.

They are charged with channelling $50 million from the church's building fund into sham bond investments and then covering up the misuse.

Yesterday, after Wee's lawyer, Senior Counsel Andre Ma-niam, wrapped up his examination of his client, he asked if she had anything to add. That was when Wee turned to the judge and launched into her speech. In a trembling voice, she spoke of how it had been her dream to "become a church staff and serve God full-time".

"I'm not a pastor, I'm not a preacher, but there's one thing that I really enjoy doing, and I thought that I could do reasonably well, is to do accounts," said Wee, who started working at CHC in 1999 as an accountant.

She said she could never imagine that CHC leaders would do anything illegal to harm the church. "It never crossed my mind that whatever... we were doing could possibly be violating the law," said Wee.

She admitted it was the "vision of CHC" that left her in her current predicament.

Church leaders had hoped to use the Crossover Project to spread the Gospel through the music of Ms Ho, who is Kong's wife. "But when I think about the many lives that were touched because of City Harvest, because of the Crossover, I'm just thankful that I had a part to play in it," said Wee.

Towards the end, Wee, who has been calm since taking the stand on April 16, was seen dabbing her eyes with a piece of tissue paper.

The trial continues today.

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[Snowman]

Former church finance manager Serina Wee grilled over Sun Ho's pay hike

Wee's minutes on singer's salary a 'work of fiction', prosecution alleges

Published on May 5, 2015 2:05 AM

The prosecution charged that the 2006 decision to increase Ms Ho Yeow Sun's salary was not made by Xtron directors but by her husband Kong Hee (left) and fellow pastor Tan Ye Peng (centre). Wee (right) allegedly wrote the minutes of the supposed board meeting a year after the date and backdated them for the directors to sign.

By Danson Cheong

THE salary of pop singer Ho Yeow Sun was more than doubled in 2006 - a decision made not by her management company, but by her husband Kong Hee and his fellow City Harvest Church (CHC) pastor Tan Ye Peng.

The prosecution alleged this yesterday as it began its cross-examination of former CHC finance manager Serina Wee.

Wee, 38, Kong, 50, and Tan, 42, are part of a group of six accused of misusing church money to bankroll Ms Ho's secular music career.

They are charged with channelling $50 million from the church's building fund into sham bond investments and covering up the misuse.

The prosecution's allegation centred on January 2006 board meeting minutes from Xtron, Ms Ho's management company.

They show company directors suggesting that her monthly pay be increased from S$7,000 to US$10,000 - about S$16,000 according to exchange rates at the time.

During a blustery exchange, Deputy Public Prosecutor Christopher Ong told the court that the minutes had been written by Wee a year after the supposed meeting before being backdated and given to Xtron directors to sign in preparation for an audit.

DPP Ong, citing immigration records of Xtron directors Wahju Hanafi and Choong Kar Weng, called the minutes a "work of fiction", adding: "If there was indeed such a discussion, it certainly didn't take place... because the evidence shows that Mr Hanafi and Mr Choong were not in Singapore on Jan 2, 2006."

Wee, who appeared calm and composed throughout her sixth day on the stand, noted that the conversation between the duo could have occurred on another date. But she conceded that the "idea of increasing (Ms Ho's) salary" did not come from Mr Hanafi.

"So what is missing from these minutes is that when Mr Hanafi suggested increasing Sun Ho's salary, it was because someone else had first suggested it to him. Correct?" asked DPP Ong, to which Wee agreed.

DPP Ong said that this "hidden someone" was Kong or Tan, and Wee again replied yes.

Later, he charged that the reason Wee prepared minutes in such a manner was that she knew the directors would "never withhold their approval to the minutes and supposed decisions" they were given to ratify.

The defence has always maintained that Xtron and CHC had made decisions independently.

DPP Ong added: "I put it to you that... the minutes were really all just for show, to make it appear like the Xtron directors were the ones making decisions when it was really Kong Hee and Tan Ye Peng."

Wee disagreed, saying that the final approval from Xtron directors was still required.

The trial continues, entering its 126th day today.

[email protected]

 

[Snowman]

City Harvest Trial: Serina Wee 'engineered ways to help fund Sun Ho's career'

She helped devise three schemes to move church fund to Xtron: Prosecution

Published on May 8, 2015 7:22 AM

Former CHC finance manager Serina Wee (above) devised three different schemes to channel money from the church building fund to Ms Ho's management firm Xtron, the prosecution said. Ms Ho is married to church founder Kong Hee. -- ST PHOTOS: WONG KWAI CHOW

By Danson Cheong

Serina Wee helped City Harvest Church (CHC) pastor Kong Hee engineer ways to finance the career of his pop singer wife Ho Yeow Sun, the prosecution said in court yesterday.

It said that together with other church leaders, the former CHC finance manager devised three different schemes to channel money from CHC's building fund to Ms Ho's management company Xtron.

They finally settled on the third, which was buying $13 million in Xtron bonds in August 2007 - money that would pay for Ms Ho's United States album, the costs of which had increased significantly.

Wee, 38, is part of a group of six church leaders accused of misusing church money to bankroll Ms Ho's secular music career.

 

[Snowman]

City Harvest Church trial: Crossover Project was not about herself, says pop singer Sun Ho

Published on May 19, 2015 3:28 PM
By Amir Hussain

SINGAPORE - The Crossover Project at the centre of the City Harvest Church trial was "always about the church" and not about herself, said pop singer Sun Ho on Tuesday.

Testifying in court, where she is on the stand for the first time since the City Harvest trial started in May 2013, Ms Ho also said she believed the project was a success.

She was called to the stand as a witness by City Harvest Church's former investment manager Chew Eng Han on the 136th day of the trial.

But Ms Ho, said she was never aware of album sales because she was too busy.

 

[Snowman]

City Harvest trial: Church efforts 'not for ambition, personal gain'

Ex-finance manager maintains that she acted on advice of lawyers, auditors

Published on May 19, 2015 7:33 AM

Serina Wee disagreed she knew the bonds were a sham and that she had knowingly conspired with the others to misappropriate church funds. -- ST PHOTO: WONG KWAI CHOW

By Amir Hussain

CITY Harvest Church's (CHC) former finance manager Serina Wee yesterday said she would never break the law.

She added that her actions were part of "the battle to see the vision of God come to pass".

Wee, 38, who was testifying on her final day on the witness stand, categorically denied all 10 charges levelled against her.

She maintained that she and the church leaders acted on the advice of lawyers and auditors.

Asked by her lawyer, Senior Counsel Andre Maniam, at the end of his re-examination of his client's evidence if she had anything to say about the many e-mail messages and documents at the centre of her month-long testimony, Wee spoke passionately.

"These are not just exhibits, they represent the many years the (church) team spent fighting to fulfil the vision of God over our church," she told the court.

"And it's not just us, it's Sun (pop singer Ho Yeow Sun) who laid down her life, the many staff who are involved, church members (who) prayed, people that gave.

"All this is not done for selfish ambition or personal gain, but just us fighting the battle to see the vision of God come to pass.

"I never thought any of these things were illegal or violating the law. And that is what I still firmly believe to this day."

Wee faces six charges relating to criminal breach of trust over church funds and four charges relating to the falsification of CHC accounts.

Alongside five others, she is said to have misused church money to bankroll Ms Ho's music career.

The six people are alleged to have misappropriated $24 million in church building funds through sham bond investments in the music production firm Xtron and glass manufacturer Firna, and another $26 million to cover it up.

The church leaders wanted to use the Crossover Project to spread the Gospel through Ms Ho's music.

Earlier yesterday, during the prosecution's cross-examination of her evidence, Wee disagreed that she knew the bonds were a sham and that she had knowingly conspired with the others to misappropriate church funds.

While Wee maintained that there were "real (legal) obligations and real returns", she said: "The purpose is to fund the music career (of Ms Ho) but it is also for returns for CHC."

Wee also denied falsifying church accounts by entering the alleged sham investments in its books.

Ms Ho will be called to the stand today - the 136th day of the trial - as a witness by former CHC investment manager Chew Eng Han, one of the six accused.

[email protected]

 

[Snowman]

City Harvest Trial: Sun Ho 'didn't know number of Mandarin albums sold'

She was also unaware of how project to break into US scene was funded

Published on May 20, 2015 5:50 AM

Ms Ho Yeow Sun and her husband Kong Hee outside court yesterday. Ms Ho was taking the stand for the first time in the trial involving the alleged misuse of funds belonging to City Harvest Church. -- ST PHOTO: WONG KWAI CHOW

By Amir Hussain

SHE claimed to have inspired stars such as Jay Chou and thousands of others to embrace Christianity through her concerts around the region.

But Ms Ho Yeow Sun yesterday also admitted that she did not know exactly how many of her Mandarin albums were sold, or how the project to break into the American pop music scene was being bankrolled.

Ms Ho was taking the stand for the first time in the long-running trial involving the alleged misuse of funds belonging to City Harvest Church, which she founded with her husband Kong Hee.

He and five others are accused of funnelling more than $20 million from the church's building fund to pay for the Crossover Project, which aimed to use Ms Ho's secular music to spread the Gospel.

Ms Ho was called to the stand by Chew Eng Han, the church's former investment manager and one of the accused, who is conducting his own defence. He asked Ms Ho, better known by her stage name Sun Ho, if the Crossover was about her.

Telling the court and a packed gallery that the project was only about the church, she said that for 71/2 months starting in 2003, she performed before 140,000 people at 80 concerts in Taiwan, Hong Kong, Malaysia, Singapore, Indonesia and Australia.

During the concerts, she said she shared her experience of how her religion helped her through depression. Half of the audience at the concerts would later raise their hands to embrace Christianity when asked if they would do so, said Ms Ho.

Among those who were "impacted" were Taiwanese singers Jay Chou, Will Liu Genghong and Rachel Liang Wen Yin, as well as two members of the band F.I.R, she added.

Referring to a blog post by Kong, which stated that Ms Ho's five Mandarin albums sold four million copies, Chew asked how the singer could believe such a figure since documents, including those from her managing company Xtron Productions, showed far fewer numbers.

Ms Ho denied being aware of the blog post or any of the documents.

She was, however, confident of the success of her first American album because "I believe this is what God wants me to do and I was working very hard at it".

Ms Ho said she was working towards "one million to two million" for the United States album.

Asked whether she knew how the US Crossover Project was being funded, Ms Ho said that between 2007 and March 2010, she did not. Its financing and budgeting were carried out by others, including Kong, she explained.

The launch of the album was planned for August 2010. But in May that year, criminal investigations into the alleged misuse of church funds began. The album was never released, despite her recording 50 songs for it.

But she said: "In my mind, it was never a closed deal. If everything is settled and God willing, it would be a privilege to complete the Crossover."

Chew also called former church member Sun Yuen Peng to the stand yesterday. The businesswoman told the court how she and her husband invested $350,000 in Xtron bonds in 2007 after being promised a 4 per cent return after 1-1/2 years.

They never got a cent back, and were instead told not to doubt the church leaders. The couple left the church in 2012.

Madam Sun said: "We had only negative news about Sun Ho that she was living in a big bungalow and her expenses, et cetera."

[email protected]

 

[Snowman]

City Harvest Church trial: Crossover Project was not about herself, says pop singer Sun Ho

Published on May 19, 2015 3:28 PM

Pop singer Sun Ho (left) arriving at the State Courts on May 19, 2015, with her husband Kong Hee (centre), founder of City Harvest Church, and Senior Counsel Edwin Tong. -- PHOTO: WONG KWAI CHOW

By Amir Hussain

SINGAPORE - The Crossover Project at the centre of the City Harvest Church trial was "always about the church" and not about herself, said pop singer Sun Ho on Tuesday.

Testifying in court, where she is on the stand for the first time since the City Harvest trial started in May 2013, Ms Ho also said she believed the project was a success.

She was called to the stand as a witness by City Harvest Church's former investment manager Chew Eng Han on the 136th day of the trial.

But Ms Ho, said she was never aware of album sales because she was too busy.


Chew is among a group of six church leaders, including Ms Ho's husband and church founder Kong Hee, accused of misusing church money to bankroll her secular music career.

The six people are alleged to have misappropriated $24 million in church building funds through sham bond investments in the music production firm Xtron and glass manufacturer Firna, and another $26 million to cover it up.

The church leaders wanted to use the Crossover Project to spread the gospel through Ms Ho's music.

[email protected]

 

[Snowman]

City Harvest trial: Hearing adjourned to September after final witness testifies

Crossover Project is No. 1 calling of church: Ex-executive member

Published on May 21, 2015 7:37 AM

Former CHC executive member Jean-Jacques Lavigne said he was delighted with Ms Ho's Crossover work in the United States.

By Amir Hussain

After a gruelling 137 days, the trial over the alleged misuse of City Harvest Church (CHC) funds wound down yesterday after the final witness took the stand.

The hearing, which began in May 2013, was adjourned by Presiding Judge of the State Courts See Kee Oon to September, when the court will hear closing submissions.

In all, the prosecution has called 14 witnesses and produced more than 1,400 documents - including 1,010 e-mails - to make its case.

The six church leaders are alleged to have misused CHC's money to bankroll pop singer Ho Yeow Sun's secular music career, which they wanted to use to spread the Gospel via the Crossover Project.

The accused are CHC pastors Kong Hee, 50, and Tan Yee Peng, 42; former finance managers Serina Wee, 38, and Sharon Tan, 39; and former investment committee members Chew Eng Han, 54, and John Lam, 47.

They allegedly misappropriated $24 million in CHC's building funds through sham bond investments in music production firm Xtron and glass manufacturer Firna, and allegedly misused another $26 million to cover it up.

Ms Ho is church founder Kong Hee's wife.

Yesterday, former church executive member Jean-Jacques Lavigne was called to the stand by Chew, who has been conducting his own defence since last May.

Mr Lavigne said he joined the church in late 1998 and stopped attending services in June 2013, a month after Chew left.

Mr Lavigne was a leader in CHC's Business Breakthrough Group - a business network group started in 2003 - and became an executive member, eligible to hold office, in 2008.

Asked by Chew how he felt about church money being put into bonds to fund the Crossover, Mr Lavigne said that from a church member's point of view, it was "probably the best thing to happen in years".

On how important the project was, Mr Lavigne said it was the "No. 1 calling of the church".

"There is no other vision (in the church) but the Crossover," he said.

Mr Lavigne said he bought a number of Ms Ho's Mandarin albums. He added that he was "delighted" with her Crossover work in the United States, and described it as "top-notch and world class".

Earlier in his testimony, Mr Lavigne told the court how CHC was keen on a joint venture with his former employer SUTL, which owns the One Degree 15 Marina club.

He became the business development manager of SUTL's lifestyle division in 2005.

In 2006, SUTL wanted to bid for the Formula One Pit Building and was in discussions with CHC on commercial plans to jointly develop the proposed building, which would include a concert hall.

"CHC was very committed to (the project)", Mr Lavigne said.

Mr Lavigne also said Chew approached him in 2007 to be the general manager of Xtron, and wanted him to run it as a "purely commercial entity", with CHC being a major client. While he did not take up the offer, Mr Lavigne did arrange an audio-visual services project for Xtron in 2008.

[email protected]

 

[Snowman]

City Harvest trial: Enough twists, turns, and tears to create a Korean drama

Feng Zengkun The Straits Times Friday, May 22, 2015

The six accused: church founder and senior pastor Kong Hee, deputy senior pastor Tan Ye Peng, former finance manager Serina Wee, current finance manager Sharon Tan, and former church committee members Chew Eng Han and John Lam.

IT WILL be at least four months before the verdict in the City Harvest Church (CHC) case is handed down, but after two years, the trial has seen enough twists, turns and tears to fuel a Korean drama.

On Wednesday, it took a decisive step forward when the final witness - former church executive member Jean-Jacques Lavigne - finished his testimony.

The prosecution, which alleges that church founder Kong Hee and five others misused about $50 million of church funds, and the defence will make their final submissions in September.

Kong and five others face various charges, all of them revolving around an alleged plot to illegally pour millions of dollars of church funds into his wife Ho Yeow Sun's pop music career, and then to cover up the misdeed.

The saga began in 2010, when Kong and 16 others were picked up by the police to assist in investigations. By the time Kong and five others entered a packed courtroom in 2013 to face trial, the case had become one of the most anticipated trials of the decade.

Founded in 1989, City Harvest is one of Singapore's megachurches and has 47 affiliate churches across the Asia-Pacific region and more worldwide.

More than 100 church members turned up on the first day of the trial, and some even spent the night waiting outside the court.

The evidence trained the spotlight on the inner workings of the church and the relationships between the accused and the Crossover Project, a church plan which sought to use Ms Ho's secular music to spread the Gospel.

Ms Ho's music career - which included five Mandarin albums released between 2002 and 2007, and a yet-to-be-released English album - was also endlessly dissected as details of how it was planned and funded emerged.

In one instance, it was revealed that church members had spent about $21,000 on Ms Ho's singles using iTunes gift cards.

It was also disclosed that, during the making of Ms Ho's English album, noted music producer Wyclef Jean had said Ms Ho's English songs sounded "too white, Caucasian" to distinguish herself from other singers attempting to make a mark in the United States.

He recommended that she try an "Asian-Reggae" fusion sound, which led to the making of China Wine, an English single released in 2007. Ms Ho was criticised for its risque music video, in which she dances in a skimpy outfit.

The shocking revelations were not limited to the courtroom.

In 2013, Chew Eng Han, one of the accused and the church's former investment manager, announced that he was quitting the church after almost two decades.

In a statement, he said he had been "seeing and tolerating... betrayal, slander, ingratitude, denial and lies, manipulation and control, greed, pride, hypocrisy, abuse of authority" and more.

Later, in court, he accused Kong of lying to church members about Ms Ho's music success, which he said was "not real", and a result of church members spending hundreds of thousands of dollars to buy her CDs, as well as lies about her achievements.

He went on to tell Kong: "One of the reasons I left your church is that I realised that you deceived.... the people who are closest to you."

Throughout the 137 trial days, Kong and the others have maintained that they did nothing wrong; the transactions which the prosecution alleges were shams to illegally use church money were in fact legitimate; and they had acted "in good faith" on the advice of lawyers and auditors.

Defending the Crossover Project, Kong said it had been supported by the church members and its board, and had in fact tripled City Harvest's congregation.

"If not for the Crossover, we would be just another neighbourhood church," he said.

The others on trial also insisted that all they had done was for the good of the church, with some likening City Harvest to their family.

The church's finance manager Sharon Tan broke down in tears when insisting her long relationship with CHC precluded her from doing anything to harm it.

"This is my first and only church. Everything that is me right now I learnt from this church," she cried. "I never had the intention to cause any loss to the church. Never."

Many church members have remained on the defendants' side, with some even making sure they had drinks and snacks during the short breaks on trial days.

While public interest in the case has waxed and waned, it is likely to pick up when the trial returns to court in September.

But with either side having the chance to appeal, the final chapter may yet be far from being written.

The six defendants

The six accused City Harvest Church (CHC) leaders face between three and 10 charges each for criminal breach of trust involving the church's building funds and/or falsifying the church's books.

The building fund money was used for the Crossover Project, spreading the Gospel through the secular music career of Ms Ho Yeow Sun, the wife of church founder Kong Hee. A sum of $24 million was used to invest in purportedly sham bond investments in music production firm Xtron and glass manufacturer Firna, and another $26 million was allegedly used to cover it up.

Kong Hee, 50

Church founder and senior pastor, also president of the management board from 1992 till April 2011.

He faces three charges of criminal breach of trust.

Kong maintains he and the other defendants repeatedly sought and received assurance from lawyers and auditors that the transactions at the heart of the trial were all above board. Pointing to meetings with auditor Foong Daw Ching, Kong said: "If I have committed fraud, corruption and forgery, why would I want to see him?"

Kong also testified he did his "level best" to recoup all the money put into Ms Ho's US album. "Why? Because the church had invested its building fund in Xtron and I wanted to be sure the church suffered no loss."

Tan Ye Peng, 42

CHC deputy senior pastor, appointed to the church's board in 1995 and became vice-president in 2007. He also served on the church's finance committee, later known as its investment committee, from July 2006 to June 2007.

He faces six charges of criminal breach of trust and four charges of falsification of accounts.

Tan admitted he was not trained in accounting. "In fact, when I was in university year one, I failed my accounts," he said once, to chuckles from the courtroom.

"In every aspect, we've never felt that we've done anything unauthorised," he said. "Till today, church members come to me and say, pastor, hang in there. No one says, pastor, we've been deceived."

Tan said he was an ordinary man who just wanted to be faithful to God's vision and he would never do anything to cause loss to the church.

"This is the church that I grew up in. This is my spiritual family."

Serina Wee, 38

CHC finance manager from 2005 till August 2007, also a member of the board then. She served on the church's finance, later investment, committee, from 2006 to 2007, and was the administrator of the Crossover Project.

Wee faces six charges of criminal breach of trust and four charges of falsification of accounts.

She told the court it had been her dream to "become a church staff and serve God full-time".

"I'm not a pastor, I'm not a preacher, but one thing that I really enjoy doing, and I thought that I could do reasonably well, is accounts," said Wee, who started working at CHC in 1999 as an accountant.

Wee said she could never imagine that CHC leaders would do anything to harm the church. "It never crossed my mind that whatever... we were doing could possibly be violating the law," said Wee.

Sharon Tan, 39

CHC finance manager who took over from Wee.

She faces three charges of criminal breach of trust and four charges of falsification of accounts.

Tan said she had flagged concerns about the alleged round-tripping of church funds. But she said she was repeatedly assured by her co-accused that everything would be "okay".

She earlier told the court: "With all the understanding that I had all this while, your honour, honestly I don't know why I have been charged."

Chew Eng Han, 54

Church member from 1995 to 2013, previously the church board's vice-president and treasurer. He served on the finance committee from 2006 to 2007, and is one of two principal shareholders of investment firm AMAC Capital Partners. He left the board after AMAC was appointed as the church's fund manager. He was also a director of Xtron Productions from 2003 to 2004.

He faces six charges of criminal breach of trust and four charges of falsification of accounts.

Chew said even if church funds had been misused as alleged, the blame should lie with those deciding how to spend the money. "Whether it was spent correctly or not... I think the right people have to account for it. And it's the people who had discretion and knowledge of their detailed spending items," he told the court.

John Lam, 47

Church member since 1993, served as treasurer and secretary, and also sat on the audit committee. He was on the finance committee from 2006 to 2008, and was chairman at one point. He was also a director of Xtron from 2003 to 2004.

Lam faces three charges of criminal breach of trust.

He said he believed the Xtron bonds were a sound investment because Ms Ho had had successful previous albums and he trusted Chew to have done due diligence.

[email protected]

 

[Vivendi]

Crossover Project a sham, says former investment manager

Chew Eng Han says bonds to fund project were transferred to Kong Hee.ST PHOTO: WONG KWAI CHOW

Published 11September 2015

The Crossover Project and music career of pop singer Ho Yeow Sun were the real shams, not the bond investments he had designed to support them.

This was how City Harvest Church's former investment manager Chew Eng Han defended himself yesterday in court during his final oral submissions in the long-running trial.

The Crossover Project was the church's plan to use Ms Ho's secular music to spread the Gospel.

The prosecution alleges that $50 million from the church building fund was channelled into sham bond investments, with its misuse covered up. But Chew, 54, who is conducting his own defence, claimed that founding pastor Kong Hee, who is Ms Ho's husband and one of the accused, had "personally gained" from the bond transactions intended to fund the Crossover. Chew highlighted one instance in 2008, where $200,000 from the bonds were transferred to Kong.

He also claimed that the $24 million that CHC invested in bonds from music production firm Xtron and glass manufacturer Firna, were strategised by Kong as a way to fund the Crossover discreetly. This was a response to concerns about the misuse of church funds raised by former churchgoer Roland Poon in 2003. Mr Poon had accused the church of using members' donations to fund Ms Ho's music career.

Chew, who left the church in 2013, had devised the bonds as a means to fund Ms Ho's career through an external party.

"I had a pure frame of mind," he said, adding that what he had done was legal, authorised and in line with market practices.

He pointed out that Xtron, which managed Ms Ho, was legally obliged to repay its debts to the church. The bonds needed to be repaid, otherwise it would constitute misappropriation of funds and a wrongful loss, said Chew.

But Xtron was relying on the proceeds from Ms Ho's English album in order to raise funds.

When the album's release was delayed a few years later, Chew extended the bond maturity to 10 years, from two years previously.

"That's what the prosecution has been doing, taking events which happened one, two, three years later, and saying, 'There you are, you knew the bonds couldn't be repaid. You knew it was a sham," he said.

Citing his three decade-long experience in finance, he said: "In this whole trial, I've said nothing but the truth, Your Honour."

Danson Cheong

 

[Snowman]

Both senior pastors 'are liars and lack credibility'

Church founder Kong Hee (above) and Tan Ye Peng, both pastors, maintain that they acted on the advice of experts, including auditors, lawyers and church investment officers, for decisions on the bonds.ST PHOTOS: ONG WEE JIN

Published Sep 15, 2015, 5:00 am SGT

The men, who claim they acted on advice, are not naive, says DPP in closing submissions

Danson Cheong

The two most senior leaders of City Harvest Church (CHC) are liars and men without credibility, said Deputy Public Prosecutor Mavis Chionh yesterday as she highlighted the contradictions in evidence given by pastors Kong Hee and Tan Ye Peng.

In her closing oral submissions for the long-running trial, Ms Chionh slammed each of the six co-accused's efforts to distance themselves from the alleged crime.

Kong, 50; Tan, 42; and four others are accused of misappropriating $24 million in CHC's building funds through sham bond investments in music production firm Xtron and glass maker Firna, and of misusing a further $26 million to cover it up.

Also facing charges are former finance managers Serina Wee, 38; and Sharon Tan, 39; and former investment committee members Chew Eng Han, 54; and John Lam, 47. The bonds were used to bankroll pop singer Ho Yeow Sun's music career.

CHC wanted to use Ms Ho's music to spread the Gospel through what they called the Crossover Project. Ms Ho is Kong's wife.

Calling Kong a "well-practised liar" with an "utter lack of credibility", Ms Chionh told the court to reject his testimony.

Kong has maintained that he had been acting on the advice of auditors and lawyers as far as the sham bonds were concerned.

"Far from being a mere figurehead... (Kong) was a meticulous and details-oriented leader whose express approval was needed before the bonds could go ahead," said Ms Chionh.

Kong's deputy, Tan, has taken a similar defence. He has told the court that he relied on "advice and blessing" given by auditors and fellow co-accused Chew.

The implicit message was that Tan was a naive man dependent on others to make decisions and was incapable of exercising his own judgment, said Ms Chionh.

"But what this claim entirely neglects is the reality that, at the relevant time, Tan Ye Peng's authority was second only to Kong Hee's in the management of the Crossover," she added.

Ms Chionh also took aim at Sharon Tan's assertions that she too was a "naive church employee", noting that she had helped deceive auditors by altering minutes of church board meetings.

She rubbished the defence's claim that this was a mere failure of corporate governance arising from ignorance. This was absurd, given the sophistication and scale of the church's operations, she said.

"CHC was not some struggling new voluntary outfit run by bumbling amateurs with no experience of the financial world," she said .

She noted too that Lam was the group's "inside man in the church's governance and oversight bodies, preventing these bodies from discovering the sham nature of the bonds". Lam was on the church board and investment committee.

The prosecution also blasted Wee's defence, calling it superficial and a bare denial in the face of the evidence.

Wee's lawyer had said last week that his client acted with "no dishonest intent" and believed the bonds were not a sham.

Ms Chionh, however, said: "(Wee) was arguably the most inextricably involved in all the sham bond and the round-tripping transactions because of the nature of her role as the Crossover administrator."

She also accused Chew of being inconsistent in his defence, adding that his argument in his written submissions that the bonds were investments in Ms Ho's album project was indicative that they were a sham - because they were not investments in the two companies.

Two defence lawyers also responded yesterday.

Lam's lawyer, Senior Counsel Kenneth Tan, said his client had nothing to gain by being a "saboteur" in the committees he was in.

"That's simply incompatible with the Bible, with God and with common sense," said Mr Tan.

Senior Counsel Edwin Tong, who is acting for Kong, also noted that "every single cent" drawn from the bonds went into the Crossover and there was no personal gain by Kong or any of the accused.

The rest of the defence will respond today as the case heads into its final chapter and 140th day.

 

[Snowman]

Church 'suffered no wrongful loss'

Tan Ye Peng (above), Serina Wee and Chew Eng Han are among the six accused of misappropriating $24 million in CHC building funds and misusing $26 million to cover it up. The 140-day trial closed yesterday.ST PHOTOS: WONG KWAI CHOW

Published Sep 16, 2015, 5:00 am SGT

Four accused say they were entitled to invest church funds in music career of pastor's wife

Danson Cheong

The long-running City Harvest trial closed yesterday, with four of the accused stressing that there was no wrongful loss suffered by City Harvest Church (CHC).

They said they were entitled legally to invest church funds in the music career of the pastor's wife as it was a church objective.

This was their stand as lawyers on both sides wrapped up their closing submissions on the 140th day of the trial. A verdict will be delivered on Oct 21 by Presiding Judge of the State Courts See Kee Oon.

Senior Counsel N. Sreenivasan, acting for 42-year-old deputy senior pastor Tan Ye Peng, said it was "crystal clear" to church auditors and lawyers that money from CHC's building fund was invested in pop singer Ho Yeow Sun's music career.

"The money that went out came back to the church, with interest," he said, adding that evidence showed the church was allowed to invest in Ms Ho's career.

But whether this investment was an authorised use of the building fund, is a point disputed by the prosecution. Ms Ho is the wife of senior pastor Kong Hee, 51.

Kong, Tan and four others are accused of misappropriating $24 million in CHC's building funds through sham bond investments in music production firm Xtron and glass maker Firna, and of misusing a further $26 million to cover it up.

The four others are former finance managers Serina Wee, 38, and Sharon Tan, 39, and former investment committee members Chew Eng Han, 55, and John Lam, 47. The bonds were used to bankroll Ms Ho's music career. CHC wanted to use her music to spread the Gospel through what it called the Crossover Project.

Wee's lawyer, Senior Counsel Andre Maniam, said it was "very significant" that the prosecution did not dispute that the Crossover Project was in line with church objectives.

"The prosecution says that we are like Robin Hood, trying to justify robbing the rich to give to the poor... Here, it was church funds being used to further church objectives, not taking money from rich to give to poor," said Mr Maniam.

Chew, representing himself, said the funds were invested in Xtron and Firna - which had legal obligations to return the money. But the recoverability of the bonds was based on projections of Ms Ho's unreleased US album - for which his fellow co-accused had to rely on Kong . "For the obvious reason that the one that has the most knowledge and the one that's managing it is Kong Hee himself," said Chew.

He also hit back at the prosecution, who called his evidence incoherent on Monday.

Chew, who has three decades of experience in finance, said: "Just because the prosecution cannot understand my explanation, doesn't mean I've contradicted myself between my evidence-in-chief and submissions. I think they had better go and take some courses in financial markets before they throw insults at me."

Meanwhile, Sharon Tan's lawyer Paul Seah reiterated that his client was "merely a worker taking instructions and carrying them out".

The lawyers for Kong and Lam responded on Monday.

Rounding up the submissions, Deputy Public Prosecutor Mavis Chionh called into question the defence's argument that the accused had acted in good faith.

She asked the court to consider their actions over the years - such as when Kong told CHC executive members in 2007 that the building fund was to be invested to preserve its value, while at the same time, he planned to spend $13 million from it on Ms Ho's music career.

 

[Callisto]

Sing when you’re sinning? Six Singaporean church leaders convicted for US$36 million fraud with bizarre link to pastor’s pop star wife

The church management board expressed 'disappointment' in the verdict

PUBLISHED : Wednesday, 21 October, 2015, 12:28pm
UPDATED : Wednesday, 21 October, 2015, 9:24pm

Agence France-Presse and Denise Tsang

Top left to right: former finance manager Serina Wee, former fund manager Chew Eng Han, former finance manager Sharon Tan. Bottom left to right: founder Kong Hee, deputy senior pastor Tan Ye Peng and former treasurer John Lam. Photo: Reuters

Six Christian church leaders in Singapore have been convicted of fraud for using US$36 million to turn the pastor’s glamorous singer wife into a global pop star to attract more followers.

After a two-year trial that captivated Singapore with tales of lavish spending and financial deceit, pastor Kong Hee and five aides were found guilty Wednesday of diverting S$24 million (HK$133.8 million) to finance his wife Sun Ho’s singing career, which failed to take off.

The six, who insisted the project was conceived for religious reasons, were also found guilty of misappropriating another S$26 million from the evangelical City Harvest Church (CHC) to cover their tracks, prosecutors said.

Ho, 43, who appeared in a 2007 music video with rapper Wyclef Jean in an attempt to cross over from Mandarin pop and reach a wider English-language audience, was not charged.

The church tried to justify the use of the money saying Ho’s music could be used to attract followers overseas, and spent large sums on high-glitz music videos featuring skimpily clad dancers.

Judge See Kee Oon found pastor Kong and one other church leader guilty of criminal breach of trust. The four others, including the church accountants, were convicted of varying counts of criminal breach of trust as well as the falsification of accounts.

Criminal breach of trust carries a maximum penalty of life imprisonment, but judicial sources said the actual prison term is limited to a maximum of 20 years.

The six used a practice called “round-tripping”, channelling money allotted for a building fund into sham bonds in linked companies, to finance Ho’s music career, prosecutors said. They also falsified church accounts to make it appear as though the bonds were redeemed.

All six were released on bail until sentencing, with Kong’s bail set at S$1 million.

The church had defended Ho’s attempt to become an international music star as a campaign to spread God’s message to the secular world through music.

About 100 people, mostly church members, packed the courtroom, some having queued overnight to get a seat, and sat in stunned silence as the guilty verdict was read out.

Kong, who founded the church with Ho in 1989, declined to answer questions after the hearing.

His wife, who showed up for the verdict in a grey pantsuit and sporting heavily highlighted hair, thanked followers in a Facebook post.

“Pastor Kong and I are humbled by the tremendous outpouring of love and support shown to us during this time. We thank you for your prayers,” it read.

The post quickly garnered hundreds of comments, many mocking her and the church leaders, while others expressed support.

The pastor and his wife were once a high-profile couple who led the expansion of their congregation to more than 17,500 members, according to a 2014 annual report.

City Harvest Church has a total of 50 affiliate churches in the region and the United States and 30 associate churches on the Chinese mainland.

Peter Ho Chi-dik, the senior pastor of Tung Fook Church, one of the megachurches in Hong Kong, and a friend of Kong, said churches should be careful managing the congregation’s funds.

“A church, whether it is a tiny or a mega one, should have a check and balance system in place,” Ho said.

Ho said Tung Fook Church, which runs six churches in Hong Kong, does not use any of the church’s funds for any investments.

Although City Harvest Church does not have any branches in Hong Kong, it has far-flung influence on the Chinese Christian community especially in Hong Kong and Indonesia.

City Harvest Church composes its own worship songs, mostly in English language, which are widely translated into Cantonese and Indonesian.

 

[Cream]

City Harvest trial: All 6 accused, including founder Kong Hee, found guilty of all charges

Published Oct 21, 2015, 5:53 am SGT
Danson Cheong
Lee Min Kok
Ng Huiwen

SINGAPORE - All six City Harvest Church (CHC) leaders, including founder Kong Hee, were found guilty of all charges on Wednesday (Oct 21).

Judge See Kee Oon delivered the verdict of the long-running trial.

The six defendants are Kong, 51; deputy senior pastor Tan Ye Peng, 42; former CHC fund manager Chew Eng Han, 55; former CHC finance managers Serina Wee, 38, and Sharon Tan, 40; and former CHC finance committee member John Lam, 47.

They were accused of misappropriating $24 million in church funds, funnelling them into bogus investments that funded the singing career of the pastor's wife, Ms Ho Yeow Sun. Later, a further $26 million was used to cover their tracks.

The six faced varying counts of criminal breach of trust and falsifying accounts. A maximum cumulative sentence of 20 years can be imposed on the accused, in addition to a fine.

Kong and Lam were found guilty of three charges of criminal breach of trust. Tan Ye Peng, Chew and Wee were convicted of six charges of criminal breach of trust and four charges of falsifying accounts. Sharon Tan was found guilty of three charges of criminal breach of trust and four charges of falsifying accounts.

All six posted bail. Sentencing will be at a later date.

Delivering the verdict to a packed courtroom, Judge See said the main background facts were undisputed.

Kong, Tan Ye Peng, Chew and Wee each clearly played a substantial role in conceiving and executing the plan to channel CHC's Building Fund through music firm Xtron, which manages Ms Ho, for the Crossover Project, said the judge. The project was started by the church in 2002 to evangelise through Ms Ho's pop music.

Lam’s role was evidently less substantial, but he had his own part to play as a board member and investment committee member, he said.

"Each of them participated and functioned in their own way as crucial cogs in the machinery," said the judge.

The church leaders knew that the Building Fund was a restricted fund to be used only for specific purposes of building or investment, he noted.

"They claim that they believed the Xtron bonds were genuine investments. They believed the Xtron bonds would bring CHC financial return," he added. "But on my evaluation of the evidence I consider that the prosecution has proved beyond a reasonable doubt that they did not hold that belief."

The "perceived success of Crossover was inflated", he said.

While the church leaders claimed that the Xtron bonds were genuine investments which could yield financial returns, their assumption was based on the unrealistic projection that Ms Ho's planned US Crossover album could sell more than 200,000 copies. "This was no more than an optimistic hope. It was definitely not a realistic expectation."

It was "mere excuse" for the church to channel money to Xtron, he said.

Ms Ho's music career was initially funded directly by the church. But in 2003, a church member made public allegations that funds were being misused to bankroll her music projects. The accused subsequently poured millions from the church's Building Fund into Ms Ho's career, through a series of sham bond investments.

Referring to Kong, Tan Ye Peng, Wee and Chew, Judge See said they knew that they had something to hide. The prospect of financial return was not their "genuine concern". "Accused persons all knew that the primary purpose of the bonds (was) to channel money to the Crossover project."

On the church leaders' claim that the bonds were investments, Judge See said: "These are creative labels tacked on in an attempt to strain and stretch the plain meaning of the word 'investment'."

Referring to Chew, Tan Ye Peng, Wee and Sharon Tan, the judge said they all had the intent to defraud.

The weight of the evidence showed that they knew they were dishonest, he noted, even though the accused believed that they had acted in what they considered to be the best interests of CHC, and there was no evidence of any wrongful gain.

"It may be arguable that all of them thought they were not acting dishonestly to cause wrongful loss since no permanent loss was intended, but this was premised on their unquestioning trust and belief in Kong Hee and their confidence that the Crossover would succeed.," said the judge.

"Thus they convinced themselves that it was both morally and legally permissible to temporarily use the money from CHC’s funds when they knew it was not."

Kong's head was bowed low when the verdict was read. Wee appeared to be slightly teary-eyed, and Sharon Tan was seen wiping away tears.

Bail of $1 million was extended to Kong, Tan Ye Peng, Chew and Lam. Bail amount was set at $750,000 for Sharon Tan and Wee. Wee was previously out on bail for $500,000. All six are barred from travelling overseas.

The prosecution will file written submissions by Nov 6. The defence will file mitigation pleas by Nov 13. Oral submissions will be delivered on Nov 20 at 9.30am. Sentencing may take place on Nov 20 or at a later date.

When approached by reporters after the verdict was delivered, Kong declined comment, saying: "No, not now."

Asked if Kong would file an appeal, his lawyer Edwin Tong said: "It's too early to say. The judge will be issuing his grounds today so we will be looking at that first."

Chew told reporters: "I didn't expect it. It's a shock for my family. Of course I will appeal."

Lam, who said he might appeal, said: "I'm obviously disappointed, but it's been a very long trial, and someone prudent would have been prepared for conviction. But of course we were always believing in our acquittal."

Wee's husband, Mr Kenny Low, told reporters outside the court bail centre: "She's not in the right frame of mind to comment now. We are thankful for the support that we have received.

"As you've heard, the judge said it's not that they are morally wrong or used the money for personal gains. It's too early to say what our next course of action is," he added. "It's been a tough period. The trial has been going for very long. As Christians, we've been praying."

Sharon Tan said she would speak to her lawyer on Thursday (Oct 22) to decide whether she would file an appeal. "I will keep on praying."

Lawyer N. Sreenivasan, who is representing Tan Ye Peng, said he will wait for the grounds of decision before deciding on the next move.

Many City Harvest Church members turned up at the State Court, hours before the start of the closely-watched trial. By 5.30am, close to 130 church members had joined the queue to obtain a pass to the courtroom.
The queue outside State Courts for the City Harvest trial

Chew was the first to arrive just before 9am and was closely followed by the others, who all came separately. Kong was accompanied by his wife, Ms Ho.

"I am at peace. I have done nothing wrong, so there's no need to be afraid," Chew told The Straits Times.

Kong Hee and Ho Yeow Sun arriving at the State Courts
Serina Wee arriving at the State Courts

The City Harvest trial is one of the longest-running criminal battles in Singapore history. It began in 2013 and has gone on for 140 days in court.

But the long-running saga started much earlier - in 2002 when the church began the Crossover Project to evangelise through Ms Ho's pop music.

At first, Ms Ho's career was funded directly by the church, but in 2003, disgruntled church member Roland Poon made public allegations that funds were being misused to bankroll Ms Ho's career.

He later retracted his statements and apologised, but the uncomfortable scrutiny set off a chain of events that would lead to the six accused being arrested in 2012.

Through a series of sham bond investments, they poured millions from the church's building fund into Ms Ho's music career.

The prosecution said the bonds were a sham because they were effectively conduits for money to be funnelled to Ms Ho and there was no expectation they would be repaid. It also argued that the bond investments were not an authorised use of the building fund.

Both points were hotly contested by the defence.

In 2009, church auditor Sim Guan Seng met church leaders and reportedly said he "doesn't like the bonds" and wanted them off CHC's books.

The prosecution argued this set off an elaborate plan to cover up their initial misuse of funds.

Through a series of transactions involving rental agreements and new investments, fresh funds from the church were used to offset the bonds.

Chew has said in court previously: "But if money goes one round from CHC to Amac, to UA, to Firna and back to CHC, surely there can be no loss to the church."

Amac was the church's fund manager, and Chew was the one who devised the financial instruments.

The defence had pointed to the round-tripping as proof that the church "suffered no wrongful loss".

But the prosecution said the accused had also falsified their accounts with the intention to defraud their auditors.

 

[Cream]

Former church member who alleged funds misuse 'vindicated', says daughter

City Harvest Church founder Kong Hee and his wife Ho Yeow Sun at the State Courts on Oct 21, 2015.ST PHOTO: WONG KWAI CHOW

Published 21 October 2015
Ng Huiwen

SINGAPORE - The businessman who charged in 2003 that City Harvest Church (CHC) was paying for Ms Ho Yeow Sun's music career is now vindicated, said his daughter.

Back then, businessman Roland Poon alleged that church funds were being misused to finance the music career of Ms Ho, the wife of CHC founder Kong Hee.

Mr Poon, 66, eventually retracted his statement and apologised, but his comments would set off a chain of events leading to the criminal charges, according to the prosecution.

On Wednesday, the six accused in the long-running CHC trial were found guilty of all charges.

Mr Poon's daughter, Ms Sharon Poon, told The Straits Times after the verdict: "I feel happy for my father that he is now vindicated, and that after 10 years, we now know that what he did was right."

She said Mr Poon had been concerned about the outcome of the case and was "waiting for this day to happen", adding: "Now, he can sleep in peace."

"He was brave enough to come out about it. Now, I hope that they can apologise to him, if they still have the heart," she said.

Mr Poon declined to comment when contacted.

During the trial, much of the spotlight was cast on the Crossover Project - a plan started in 2002 to evangelise to the "unchurched" and woo non-converts, in particular youth - through Ms Ho's secular pop music.

The project started on a high, and Ms Ho later went on to produce five albums and perform in 80 concerts as part of a worldwide outreach tour between October 2003 and May 2004 that drew some 140,000 supporters.

However, controversy surrounding the project had begun to brew since January 2003, when Mr Poon flagged the possible misuse of funds.

The project's costs increased dramatically when the decision was made to break into the United States market. Songwriter and producer Wyclef Jean was hired in 2006 to help Ms Ho.

Criticism surged again in 2007, after the release of Ms Ho's English single China Wine. In the risque music video, marketed for its "Asian-Reggae" fusion sounds, she is seen dancing in a skimpy outfit.

"If Sun made it in the US, it would open a big door for our missions," Kong had said during the trial.

However, the court also heard that church members were supposedly encouraged to divert their tithes and donations to music production company Xtron to fund the mounting expenses of Ms Ho's US album. Kong was also accused by former CHC fund manager Chew Eng Han, one of the defendants, of spending church money to buy Ms Ho's earlier Mandarin albums, thereby inflating sales figures.

 

[Cream]

City Harvest Church founder Kong Hee: This is a difficult time for me

City Harvest Church (CHC) founder and senior pastor Kong Hee and his wife Ho Yeow Sun at the State Courts on Oct 21, 2015.PHOTO: THE NEW PAPER

Published 25 October 2015

SINGAPORE - City Harvest Church founder Kong Hee, who was convicted on Wednesday (Oct 21) of multi-million dollar fraud, said it is a difficult time for him and his family, in his first public comments following the verdict.

"This is a difficult time for me, and especially for my family, just as it is for the other co-accused persons," Kong, 51, wrote in a Facebook post on Thursday (Oct 22) addressed to his church and supporters.

He added: "As was the case throughout these past three years of court trial, and the earlier two years of investigation, I have put my faith and my all in God, and trust that whatever the outcome, He will use it for good in His time and in His way."

The Court had found Kong guilty of three counts of criminal breach of trust in a long-running court case involving the misuse of $50 million in church funds.

Kong asked his supporters to continue praying for him and those involved in the trial.

"The days and steps ahead are challenging, but with God's grace and love, I have no fear. The Lord Jesus, my Good Shepherd, will lead and guide. I will obey, I will follow, by faith," he said.

Kong's lawyer, Senior Counsel Edwin Tong, told reporters on Wednesday that he needed to study the written grounds of decision before deciding whether or not to appeal.

 

[Cream]

COC to resume action to bar leaders from key posts

Lawyer Edwin Tong (centre) speaking to the media in front of church founder Kong Hee and his wife Ho Yeow Sun as they leave the State Courts on Oct 21, 2015. ST PHOTO: WONG KWAI CHOW

Published Oct 23, 2015, 5:00 am SGT
Removal proceedings against Kong Hee and four others were postponed until end of trial
Priscilla Goy

He founded City Harvest Church (CHC). But Kong Hee could soon be barred from holding any sort of key official position in the mega church.

The office of the Commissioner of Charities (COC) has made it clear that it will soon resume proceedings to ban Kong, and four other church leaders also found guilty of fraud on Wednesday, from being a governing board member, key officer, trustee, agent or employee of CHC. Kong can continue with his religious duty as a pastor, which is separate from holding any governance or management position in the charity.

WHY IT MATTERS: The City Harvest Church case

The COC's office also said that it had in 2013 ordered the church to give regular updates on the "key activities and financial position of the charity for close monitoring" and is working with it to ensure proper governance.

The COC's removal action started in April 2013, in the wake of a probe into the church's accounts which found that funds had been mismanaged.

Kong, who was a CHC board member, and the others facing the action were given until July that year to explain why they should not be removed.

But in August 2013, after receiving requests from the church board, the COC agreed to postpone the proceedings until the end of the criminal trial.

In the interim, they continued to be suspended from their positions.

On Nov 20, lawyers will deliver oral submissions on sentencing. The next stage is for the judge to pass sentence.

The COC said that "removal proceedings will be resumed... after the trial court passes sentence".

"The COC will seek representations from the church and the seven suspended individuals as to why the COC should not remove them."

Along with Kong Hee, former CHC finance managers Serina Wee and Sharon Tan; deputy senior pastor Tan Ye Peng; and former CHC finance committee member John Lam face the removal action. They were all found guilty in the trial.

The other two also facing similar action are Mr Kelvin Teo Meng How and Ms Jacqueline Tan, who were executive members in the charity when they were suspended in 2012.

Former CHC fund manager Chew Eng Han, the sixth accused found guilty on Wednesday, was facing the removal action but has since quit the church.

Kong's wife Ho Yeow Sun, 43, who co-founded the church with him and is its executive director, was also probed.

But the COC's office told The Straits Times it lifted the suspension of Ms Ho's duties from May 13, 2013, as there was "insufficient evidence against her".

Ms Ho is listed on the COC's online Charity Portal as a church board member.

The National Council of Churches of Singapore meanwhile hoped that the episode would remind people to "pay greater attention to church governance in the matter of management of funds".

The council said that while it appreciates the freedom of worship, it will also "guide and advise members of the Christian community to constantly observe the law of the land".

 

[Cream]

Money from 'love gifts' went into secret account

Photo: The Straits Times

Sunday, Nov 8, 2015

City Harvest Church founder and wife paid for expenses from multi-purpose account made up of church members' donations

Hair, make-up and medical costs that hit more than $100,000. Although City Harvest Church (CHC) founder Kong Hee and his wife Ho Yeow Sun had struck their names off the church payroll in 2005, they had "love gifts" from a few churchgoers, which paid for such expenses.

As a singer, Ms Ho was earning more than $400,000 a year and this came from these gifts.

But the donors who gave the gifts did not know that Ms Ho had earned so much, Kong admitted in court.

The New Paper on Sunday examined court documents and learnt that the couple earned a total of around $1.4 million from 2006 to 2009 from her music artiste salary, royalties and bonuses.

But this money did not come from her artiste management firms, Xtron Productions and Ultimate Assets, as they wanted to reinvest the earnings back into the companies. Instead, the monies were transferred to Kong and Ms Ho from a fund known as the multi-purpose account (MPA), made up of "love gifts" from church members, Kong said in court.

The MPA, which was set up in 2006 and closed in 2010, is shrouded in secrecy.

Only a handful of church members who were closest to Kong Hee knew of its existence.

Revelations about the MPA were made during court proceedings.

Kong said in court: "For the MPA, it is more for the livelihood of me and Sun... and for other non-music production expenses in the US because we are off the church's salary." One document showed what the money was spent on in that period - more than $300,000 was spent on travel, more than $100,000 on food and close to $100,000 on hair and make-up.

All these were paid for by around 40 of the couple's closest supporters, whose regular donations contributed nearly $3 million to the fund from 2006 to 2009.

Some of those who gave "love gifts" cut back on tithes to the church while others stopped completely, according to the Commissioner of Charities (COC) inquiry in 2012. COC found that about $600,000 was purportedly spent by Kong Hee and $3 million by Sun Ho from the MPA between April 2007 and March 2010.

Kong, who had told the media in 2005 his salary was $8,000 a month before he took himself off the payroll that year, also earned an average of US$360,000 (S$500,000) per year from his speaking engagements. He also made money from merchandise sales.

Globally, love gifts have landed church leaders in trouble over tax evasion and fraud charges.

In Charlotte, US, Reverend Anthony Jinwright and his wife Harriet of the Greater Salem City of God church were jailed in 2009 after their expensive cars and vacations were found to be paid for by "love gifts" from the church.

MPA donor and fellow accused Chew Eng Han accused Kong of being more interested in personal gain than the interests of the church by pointing out discrepancies in the MPA in court. (See report on facing page.)

While most MPA donors have kept silent, The New Paper on Sunday tracked down blogger Lu Jiahui, who claimed to be one.

The mother of three, whose blog is called Mum's The Word, tells TNPS: "The choice was given to us and it was also explained to us where the money would go.

"I made the decision that it was okay, because this is my money and I know where I want it to go. I gave with my free will. No one forced me to do it." She declines to reveal how much she donated to the MPA over the years, but claims it did not affect her tithes to the church.

Ms Lu decided to write about MPA on her blog to defend her former pastor against Chew's allegations.

"I think I was the only one to come out publicly to say I am an MPA donor. Why? Because if I didn't, people would just be hearing about it from Eng Han." She explains her decision to donate to the account, knowing that it was meant to pay for Kong's and Sun's living expenses.

Ms Lu says: "Think about this as though you are contributing to your boss' birthday and you can give however much you want. Someone sets up a birthday fund for the office and the money is put in there.

"Eventually, whether the money is spent on the birthday cake or the decorations is besides the point. I just know that I gave the money away as a birthday present, and I trust the person to handle it."

Donors didn't know where money went

"All the donors, they knew that it's a freewill giving, we didn't coerce them, we didn't force them... We always treated this as a third-party fund with accountability... We do not use it in a cavalier fashion." - Kong Hee

The multi-purpose account (MPA) was set up in 2006 to support the livelihoods of City Harvest Church (CHC) founder Kong Hee and his wife, Ms Ho Yeow Sun.

This private fund was financed by 28 couples and a few other individuals but its full amount or how the money was used was never fully disclosed - not even to the donors. This means they allegedly did not know that Ms Ho pocketed about $450,000 in "salaries, bonuses and royalties" from the MPA each year from 2007 till 2009.

This was Kong's own admission in court in August last year during the criminal trial involving him and five other CHC leaders.

Kong told the court - as former CHC fund manager Chew Eng Han cross-examined him - that he and Ms Ho went off the church's payroll in 2005.

The MPA was later created and funded by about 40 donors, including Chew. They deposited over $700,000 into the MPA each year from 2007 to 2009.

Kong said: "All the donors, they knew that it's a freewill giving, we didn't coerce them, we didn't force them.

"Some of them did indicate that we should use it for nothing else except for our own livelihood. We always treated this as a third-party fund with accountability... We do not use it in a cavalier fashion."

He added that the money was primarily used for his wife and his livelihood as well as for the Crossover Project's expenses.

But Chew accused Kong of withholding the account's full details in 2010 by hiding the royalties, salaries and bonuses from the spreadsheet showed to donors and showing a deficit instead, so they would be spurred to give more money.

Chew said: "You defrauded the MPA givers by hiding the royalties and the salaries and the bonuses from the spreadsheet which you showed to them, so that they would be emotionally led to contribute more to you and to Sun."

Kong said his wife did not want the joint venture between her artist management company and Justin Hertz Management to pay for her royalties so the money could be maximised for the music album production.

Kong also claimed Xtron was tight with cash so his wife had to rely on the MPA as well. His wife then took out what she would have earned from the MPA instead of Xtron's accounts.

He also said he hid the figures from donors in 2008 because he did not have a chance to check with his wife whether she was comfortable revealing her salaries and royalties. Kong said: "We do have a culture in CHC, as in many companies, that we keep our income as confidential."

The donors stopped giving to the MPA in 2010 after the Commercial Affairs Department's raid on CHC.

Gift or income?

While donations to a church fund or a private trust fund are not taxed, the "love gifts" received by religious leaders are, IRAS tells The New Paper on Sunday.

Corporate lawyer Robson Lee from Gibson, Dunn & Crutcher, explains: "The donors are not relatives, they are church devotees.

"The only reason why they give (to the MPA) is because they are the pastors... Otherwise, they would donate to the church.

"Unless the fund is open to all other devotees, for example, to help out in mishaps in their lives, then you can say that this is an exclusive pool of money meant solely for one or two persons.

"Then, this (MPA) would be an income structure instead of a gift... Such a 'love gift' system should not be exempted from review by inland revenue."

About the case

The six accused in the City Harvest Church (CHC) trial were convicted of all charges after Judge See Kee Oon said the evidence presented had overwhelmingly showed they had all acted dishonestly.

The accused - comprising founder Kong Hee, 51, former board member John Lam, 47, former finance manager Sharon Tan, 39, ex-fund manager Chew Eng Han, 55, deputy senior pastor Tan Ye Peng, 42, and former finance manager Serina Wee, 38 - were found guilty of criminal breach of trust and/or falsifying accounts.

At the end of the 140-day trial that stretched over two years, the court found them guilty of funnelling $24 million in church building funds into sham bond investments to bankroll the music ambitions of Kong's wife, Ms Ho Yeow Sun.

Later, they used a further $26 million to cover their tracks.

All six will appear in court again on Nov 20.

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[Cream]

Kong Hee faces up to 12 years' jail

Photo: AFP

Danson Cheong
Tuesday, Nov 17, 2015

THE Public Prosecutor has asked for stiff sentences for all six City Harvest Church (CHC) leaders, including the recommendation that church founder Kong Hee be sentenced to 11 to 12 years in jail, The Straits Times has learnt.

The six were found guilty last month of misusing some $50 million in church funds. Of that, $24 million was used to bankroll the music career of Kong's wife, singer-pastor Ho Yeow Sun.

Apart from Kong, 51, the prosecution recommended a jail sentence of 11 to 12 years each for deputy senior pastor Tan Ye Peng, 43; former CHC finance manager Serina Wee, 38; and former CHC fund manager Chew Eng Han, 55.

For former CHC finance manager John Lam, 47, the prosecution asked for a jail sentence of eight to nine years.

The lightest sentence of five to six years was reserved for former CHC finance manager Sharon Tan, 40.

The prosecution submitted its written submissions on sentencing to the court on Nov 6.

The six are due back in court on Friday for oral submissions on sentencing. It is the earliest date for the court to pass a sentence.

For the moment, only Kong and Chew have indicated they are likely to appeal.

"I think it's likely (for Kong to appeal) but I can't confirm right now, realistically we have to see what happens on Friday," said Kong's lawyer, Jason Chan.

Chew told The Straits Times: "I am standing by my defence and what I testified during the trial, and will make an appeal."

Defence lawyers told The Straits Times they felt the sentences asked for by the prosecution were excessive.

The defence has told the court repeatedly that CHC suffered no loss and the six accused had not profited from their crimes.

They were found guilty of varying counts of criminal breach of trust and falsifying accounts.

A maximum cumulative sentence of 20 years can be imposed on the accused, in addition to a fine.

Kong faced only three charges of criminal breach of trust which, along with Lam, was the lowest number faced by the accused.

But in his written judgment, Presiding Judge See Kee Oon fingered Kong as the main man behind the scandal, writing that the charismatic church pastor had "acted consciously and dishonestly".

"Kong Hee maintains that he is a pastor and not an expert in legality. But one does not need to be an expert in legality to appreciate certain fundamental aspects of honesty, truth and integrity," he wrote.

Judge See added that the group used their positions in the church to shroud their crimes in secrecy.

"When shrouded under a cloak of invisibility, much like the mythical ring of Gyges, people in such positions of power have no fear of accountability and tend to become their own worst enemies," he wrote.

The ring of Gyges - mentioned in Greek philosopher Plato's the Republic - is a mythical artefact that grants its owner the power to become invisible at will.

Judge See wrote: "It has thus been wisely said that the real tragedy is when men are afraid of the light, and if they choose not to come into the light, they do so for fear that their deeds will be exposed, as they surely will in time."

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