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Finally, Sunshine Empire Charged
- Thread starter Conan the Barbarian
- Start date
omg u despised the entire cabinet and its politicians??? How can u do that?!?!
ya boy. some of these people: DOWNRIGHT OUTRAGEOUS.
can someone paste those pictures of James phang dancing with some scantily-leather cladded dancing models on a stage in Genting Highlands?
the investors were all told to wear black suits, black pants and a yellow/gold tie??
the investors were all told to wear black suits, black pants and a yellow/gold tie??
bustards. seemed whole country is FULL of cheatings scheming bustards.
And I despise those people who think they can get rich without working hard
I guess all the gamblers in your land are your enemies now
Anyway that MLM, scam or not, is a lot of work for the people on the bottom strata actually. They are no different from salespeople, only more intimately annoying.
Y
Yip Hon
Guest
.
Title: Call for Sunshine Empire trio to get stiffer sentences Source: Straits Times
Author: Selina Lum
PROSECUTORS yesterday pushed for heavier punishments for the trio involved in the Sunshine Empire case.
They are appealing at the High Court against the sentences handed down last year to James Phang Wah, his wife Neo Kuon Huay and Jackie Hoo Choon Cheat.
Sunshine Empire was a multi-level marketing company which sold 'lifestyle packages' to people who took part in the scheme.
The court heard that they were promised high returns, but the returns were paid out not using genuine profits but by recycling funds from new participants.
The prosecution argued that Phang, the 51-year-old founder of the company, should have his nine-year jail term increased to nearly 14 years.
And Hoo, a 31-year-old former company director given a seven-year jail term for collaborating with Phang, should have his sentence raised proportionately.
Neo, 48, was fined $60,000 for falsifying payment vouchers with her husband. The prosecution argued that she should be sent to jail for six months.
The trio are appealing against their convictions. Phang and Hoo are appealing against their sentences.
Yesterday, Mr Subhas Anandan, the lawyer representing Phang and Neo, argued that Sunshine Empire was not a fly-by-night company and there was enough evidence to show that it was a sustainable business.
He said it had collected millions of dollars without a single member of the scheme making a complaint.
There were no victims, he argued, and the police were relying only on the evidence of their expert witness, who said this business model would not be sustainable for more than five years.
Hoo's lawyer Philip Fong said Sunshine Empire was not a Ponzi scheme, which promises high returns and uses money from new investors to pay old investors.
Mr Fong argued that it was was a multi-level marketing company, not an investment scheme, and did not promise guaranteed returns.
But Deputy Public Prosecutor Aedit Abdullah argued for a deterrent sentence, saying it was an elaborate fraud on a large scale that had the trappings of a legitimate enterprise.
Phang received US$5 million (S$6 million) from the scheme in consultancy fees and, while Hoo did not get any direct consultancy fees, the DPP argued that both were intimately involved in the scheme.
Call for Sunshine Empire trio to get stiffer sentences
[2011] 16 Aug_ST
[2011] 16 Aug_ST
Title: Call for Sunshine Empire trio to get stiffer sentences Source: Straits Times
Author: Selina Lum
PROSECUTORS yesterday pushed for heavier punishments for the trio involved in the Sunshine Empire case.
They are appealing at the High Court against the sentences handed down last year to James Phang Wah, his wife Neo Kuon Huay and Jackie Hoo Choon Cheat.
Sunshine Empire was a multi-level marketing company which sold 'lifestyle packages' to people who took part in the scheme.
The court heard that they were promised high returns, but the returns were paid out not using genuine profits but by recycling funds from new participants.
The prosecution argued that Phang, the 51-year-old founder of the company, should have his nine-year jail term increased to nearly 14 years.
And Hoo, a 31-year-old former company director given a seven-year jail term for collaborating with Phang, should have his sentence raised proportionately.
Neo, 48, was fined $60,000 for falsifying payment vouchers with her husband. The prosecution argued that she should be sent to jail for six months.
The trio are appealing against their convictions. Phang and Hoo are appealing against their sentences.
Yesterday, Mr Subhas Anandan, the lawyer representing Phang and Neo, argued that Sunshine Empire was not a fly-by-night company and there was enough evidence to show that it was a sustainable business.
He said it had collected millions of dollars without a single member of the scheme making a complaint.
There were no victims, he argued, and the police were relying only on the evidence of their expert witness, who said this business model would not be sustainable for more than five years.
Hoo's lawyer Philip Fong said Sunshine Empire was not a Ponzi scheme, which promises high returns and uses money from new investors to pay old investors.
Mr Fong argued that it was was a multi-level marketing company, not an investment scheme, and did not promise guaranteed returns.
But Deputy Public Prosecutor Aedit Abdullah argued for a deterrent sentence, saying it was an elaborate fraud on a large scale that had the trappings of a legitimate enterprise.
Phang received US$5 million (S$6 million) from the scheme in consultancy fees and, while Hoo did not get any direct consultancy fees, the DPP argued that both were intimately involved in the scheme.
Most of the watchdogs are sleeping but collecting high salaries and allowances.Shamelessly Singapore !
Wait until people find out that the CPF is the world's largest ponzi scheme.
Then we'll see riots in the streets
Wait until people find out that the CPF is the world's largest ponzi scheme.
Then we'll see riots in the streets
No lah,most singaporeans (60%) are ball-less.So even if they (60%) know that they are cheated by the PAP,they still blindly voted for the PAP.But most singaporeans(60%) are easy to manipulate,give them some sweets ,they will kow tow to the PAP.After 46 years of brainwashing by the PAP,the brainwashed singaporenas (60%) need to be electric shocked into reality.Where in the world got people kenna whacked and somemore say thank you to the bully ???
Y
Yip Hon
Guest
.
Phang received US$5 million (S$6 million) from the scheme in consultancy fees and, while Hoo did not get any direct consultancy fees, the DPP argued that both were intimately involved in the scheme.
Phang received US$5 million (S$6 million) from the scheme in consultancy fees and, while Hoo did not get any direct consultancy fees, the DPP argued that both were intimately involved in the scheme.
take so long to prosecute is because needs time to get prominent names to safe ground who are also involved .......
do your maths guys
do your maths guys
How come MLM never dies? Really sick of such marketing techniques. Frankly speaking, there are some good products marketed by these MLM companies and I am willing to buy good products. The mouthwash and water purifier from one of these MLM companies still beat the rest of the retail products and I am still using these products because they are good and not because of the MLM people are good. I just don't like the way a good product is marketed.
Amway not MLM meh ?
Geng Jing! Surprise how you know the products are from Amway?? Not just Amway, my bathroom and apartment are filled with products from Amway, Zhulian and Kangzen, with compliments from gf. Almost everything, even the floor cleaner and de-odourent spray. HELPED!!!
Yes, have to admit the mouthwash and water purifier from Amway is value for money. The rest are just over priced.
Y
Yip Hon
Guest
Big guns out to battle at trial
Centre of trial is James Phang, head of the multi-million dollar scheme selling lifestyle packages. -TNP
Thu, Oct 08, 2009
The New Paper
BY VIVIEN CHAN
LEGAL bigwigs were out in force yesterday at the start of the Sunshine Empire trial.
At the centre of the trial is James Phang, 49, head of the multi-million dollar business selling lifestyle packages. In all, more than $180 million was collected through the sale of these packages, the court heard yesterday.
Related links:
» Sunshine Empire chief on 20 charges
» Will investors see their money again?
He is being jointly tried with his wife, Neo Kuon Huay, 46, and the company's former director Jackie Hoo, for conspiring to 'unjustly enrich themselves'. (See report, above, for charges.)
The defence team is made up of instructing counsel Noor Mohamed Marican, three partners and Mr Sunil Sudheesan from law firm Khattar Wong.
The three partners are Mr Subhas Anandan, Mr Foo Cheow Ming and Mr Low Cheong Yeow.
Mr Subhas, president of the Association of Criminal Lawyers in Singapore, has taken on many high-profile cases, including those of murderers Anthony Ler and Took Leng Howe.
Mr Foo is the first Singaporean appointed to the list of counsel for the International Criminal Court which hears cases of serious international crimes such as genocide.
Mr Low, a former Deputy Public Prosecutor (DPP), is now a partner of Khattar Wong's criminal law department. As a DPP, he worked on the National Kidney Foundation (NKF)and Anthony Ler cases.
Prosecution's big names
On the opposite side, the prosecution's team is also not lacking in big names.
It has two former district judges - DPP Aedit Abdullah and DPP Siva Shanmugam - and DPP April Phang.
DPP Aedit, now a Deputy Principal Senior State Counsel of the Criminal Justice Division, once presided over the NKF case involving its former chief executive officer TT Durai.
In the prosecution's opening address,DPP Aedit said that participants of Sunshine Empire's multi-level marketing scheme were offered payments exceeding their package prices.
About $118 million was distributed to encourage them to buy more packages.
The prosecution said Phang pocketed 'not less than US$5 million in the form of consultancy fees and allowances' between August 2006andNovember 2007.
The court heard that the scheme was doomed to fail, given its flawed business model.
'They (Phang and Hoo) knew that there was no way that these returns could continue to be paid without any injection of funds from outside the scheme, and they knew there would be no such funds,' said DPP Aedit.
In the agreed statement of facts, it was stated that those who wished to join the now-defunct Sunshine Empire had to first become a 'merchant affiliate', sponsored by an existing participant in the scheme.
From about July 2007, the merchant affiliates received free starter kits and mentoring by Sunshine Empire's leaders.
Only a merchant affiliate was entitled to purchase the lifestyle packages. They were then rewarded with points which could be used to redeem online products.
Yong Wai Hong,28, former director of Empire Investment Group (EIG), pleaded guilty in July this year to two charges of authorising the company secretary to lodge a return to the Accounting and Corporate Regulatory Authority which was false.
The court heard then that the financing of EIG and its related companies was provided purely by a $9.5million loan from Sunshine Empire.
Yong was fined $24,000.
The current trial is expected to last till the end of this month.
--------------------------------------------------------------------------------
JAMES PHANG
One charge of fraudulent trading.
Eight charges of abetment to criminal breach of trust as an agent. Six charges of falsification of accounts.
NEO KUON HUAY
Six charges of falsification of accounts.
JACKIE HOO
One charge of fraudulent trading.
Eight charges of abetment to criminal breach of trust as an agent.
If convicted of fraudulent trading, Phang and Hoo face a maximum of $15,000 fine and seven years' jail on each charge.
If convicted of abetment to criminal breach of trust as an agent, they face a maximum of life imprisonment and a fine.
If convicted of falsification of accounts, Phang and Neo face a maximum of seven years' jail with a fin
Centre of trial is James Phang, head of the multi-million dollar scheme selling lifestyle packages. -TNP
Thu, Oct 08, 2009
The New Paper
BY VIVIEN CHAN
LEGAL bigwigs were out in force yesterday at the start of the Sunshine Empire trial.
At the centre of the trial is James Phang, 49, head of the multi-million dollar business selling lifestyle packages. In all, more than $180 million was collected through the sale of these packages, the court heard yesterday.
Related links:
» Sunshine Empire chief on 20 charges
» Will investors see their money again?
He is being jointly tried with his wife, Neo Kuon Huay, 46, and the company's former director Jackie Hoo, for conspiring to 'unjustly enrich themselves'. (See report, above, for charges.)
The defence team is made up of instructing counsel Noor Mohamed Marican, three partners and Mr Sunil Sudheesan from law firm Khattar Wong.
The three partners are Mr Subhas Anandan, Mr Foo Cheow Ming and Mr Low Cheong Yeow.
Mr Subhas, president of the Association of Criminal Lawyers in Singapore, has taken on many high-profile cases, including those of murderers Anthony Ler and Took Leng Howe.
Mr Foo is the first Singaporean appointed to the list of counsel for the International Criminal Court which hears cases of serious international crimes such as genocide.
Mr Low, a former Deputy Public Prosecutor (DPP), is now a partner of Khattar Wong's criminal law department. As a DPP, he worked on the National Kidney Foundation (NKF)and Anthony Ler cases.
Prosecution's big names
On the opposite side, the prosecution's team is also not lacking in big names.
It has two former district judges - DPP Aedit Abdullah and DPP Siva Shanmugam - and DPP April Phang.
DPP Aedit, now a Deputy Principal Senior State Counsel of the Criminal Justice Division, once presided over the NKF case involving its former chief executive officer TT Durai.
In the prosecution's opening address,DPP Aedit said that participants of Sunshine Empire's multi-level marketing scheme were offered payments exceeding their package prices.
About $118 million was distributed to encourage them to buy more packages.
The prosecution said Phang pocketed 'not less than US$5 million in the form of consultancy fees and allowances' between August 2006andNovember 2007.
The court heard that the scheme was doomed to fail, given its flawed business model.
'They (Phang and Hoo) knew that there was no way that these returns could continue to be paid without any injection of funds from outside the scheme, and they knew there would be no such funds,' said DPP Aedit.
In the agreed statement of facts, it was stated that those who wished to join the now-defunct Sunshine Empire had to first become a 'merchant affiliate', sponsored by an existing participant in the scheme.
From about July 2007, the merchant affiliates received free starter kits and mentoring by Sunshine Empire's leaders.
Only a merchant affiliate was entitled to purchase the lifestyle packages. They were then rewarded with points which could be used to redeem online products.
Yong Wai Hong,28, former director of Empire Investment Group (EIG), pleaded guilty in July this year to two charges of authorising the company secretary to lodge a return to the Accounting and Corporate Regulatory Authority which was false.
The court heard then that the financing of EIG and its related companies was provided purely by a $9.5million loan from Sunshine Empire.
Yong was fined $24,000.
The current trial is expected to last till the end of this month.
--------------------------------------------------------------------------------
JAMES PHANG
One charge of fraudulent trading.
Eight charges of abetment to criminal breach of trust as an agent. Six charges of falsification of accounts.
NEO KUON HUAY
Six charges of falsification of accounts.
JACKIE HOO
One charge of fraudulent trading.
Eight charges of abetment to criminal breach of trust as an agent.
If convicted of fraudulent trading, Phang and Hoo face a maximum of $15,000 fine and seven years' jail on each charge.
If convicted of abetment to criminal breach of trust as an agent, they face a maximum of life imprisonment and a fine.
If convicted of falsification of accounts, Phang and Neo face a maximum of seven years' jail with a fin
Y
Yip Hon
Guest
/
'I'm a legend - better than Warren Buffett'
MR JAMES Phang is pumped up with self-belief and confidence, even though a business linked to him is now under scrutiny by the Singapore authorities.
Lorna Tan
Wed, Oct 24, 2007
The Straits Times
MR JAMES Phang is pumped up with self-belief and confidence, even though a business linked to him is now under scrutiny by the Singapore authorities.
'I'm a legend. I'm very good - better than Warren Buffett,' he declares, referring to the United States investment guru.
Mr Phang claims to control more than US$300 million (S$439 million) in assets.
'We acquire companies like you go to market buying beancurd,' says Mr Phang, a motivational speaker who claims to have over one million students worldwide.
'When I begin my seminars, my loyal participants would shout: 'Father, I love you!',' he says.
Mr Phang, 48, is a charismatic adviser to Sunshine Empire, a multilevel marketing (MLM) firm that has proven to be very popular - but also controversial.
Diversified business
BARELY 16 months into operations here, his MLM arm, Sunshine, was last month placed on the Monetary Authority of Singapore's (MAS') investor alert list. This list names people or firms who may be conducting activities regulated by the MAS without authority.
Mr Phang, who works from a huge office in the Toa Payoh hub, is the founder, director and international president of Empire Group Alliance, a group spanning several Asian countries.
Sunshine is part of the group, but Mr Phang does not own it.
The group has interests in network marketing, entertainment, energy, real estate, telecommunications, health and beauty, insurance, and finance.
Its property arm, Empire Property Venture, is involved in several projects in Malaysia worth US$200 million. These include the 30-storey Empire State Tower in Kuala Lumpur, Sunshine Villa - which will house a medical centre - as well as a marine theme park with underwater accommodation in Malacca.
Empire Group's assets exceed US$300 million, he says.
Mr Phang is careful to emphasise that he 'will not harm anyone and my businesses are legal'.
He says it has taken five years to conceive Sunshine's business model, which he calls revolutionary and superior to others.
At Sunshine, people signing up as merchants under specific plans to shop on its online shopping platform get consumer rebates known as 'e-points', which can be used for online shopping or converted to cash. The rebates are not guaranteed.
Core belief
UNLIKE other MLM firms, Sunshine does not require its 'merchants' to meet a certain sales volume every month - part of its attraction.
Sunshine's online shopping platform reflects Mr Phang's belief in creating wealth.
'We have entered into an era whereby imagination is much more important than knowledge and creativity, much more effective than productivity,' he says.
Humble roots
MR PHANG'S vast business empire belies a humble beginning. Growing up at a vegetable farm in Lim Chu Kang, he worked hard to pay for his studies through various jobs, including construction work.
He left school after O levels and worked at a shipyard while studied for his A levels at night. A medical condition caused his left eye to go blind when he was sitting for his final exams at the National University of Singapore (NUS).
After graduating from NUS with a degree in economics and statistics, he joined the Chinese evening paper, Shin Min Daily News, where he worked as a features writer from 1984 to 1990.
He, however, found his niche in sales, starting at age 19 with door-to-door sales, selling AMC stainless steel cooking utensils, health items and other various products.
'I've sold everything. I'm a walking MLM dictionary. My aim is to grow Sunshine to be a global leading MLM firm with US$2 billion by next year,' he says.
He started MLM firm Number One Product, which sold magnetic mattresses, in 1990.
The Empire Group Alliance was set up in 2003.
Mr Phang is married with four children, ages 13 to 21.
'I'm a legend - better than Warren Buffett'
MR JAMES Phang is pumped up with self-belief and confidence, even though a business linked to him is now under scrutiny by the Singapore authorities.
Lorna Tan
Wed, Oct 24, 2007
The Straits Times
MR JAMES Phang is pumped up with self-belief and confidence, even though a business linked to him is now under scrutiny by the Singapore authorities.
'I'm a legend. I'm very good - better than Warren Buffett,' he declares, referring to the United States investment guru.
Mr Phang claims to control more than US$300 million (S$439 million) in assets.
'We acquire companies like you go to market buying beancurd,' says Mr Phang, a motivational speaker who claims to have over one million students worldwide.
'When I begin my seminars, my loyal participants would shout: 'Father, I love you!',' he says.
Mr Phang, 48, is a charismatic adviser to Sunshine Empire, a multilevel marketing (MLM) firm that has proven to be very popular - but also controversial.
Diversified business
BARELY 16 months into operations here, his MLM arm, Sunshine, was last month placed on the Monetary Authority of Singapore's (MAS') investor alert list. This list names people or firms who may be conducting activities regulated by the MAS without authority.
Mr Phang, who works from a huge office in the Toa Payoh hub, is the founder, director and international president of Empire Group Alliance, a group spanning several Asian countries.
Sunshine is part of the group, but Mr Phang does not own it.
The group has interests in network marketing, entertainment, energy, real estate, telecommunications, health and beauty, insurance, and finance.
Its property arm, Empire Property Venture, is involved in several projects in Malaysia worth US$200 million. These include the 30-storey Empire State Tower in Kuala Lumpur, Sunshine Villa - which will house a medical centre - as well as a marine theme park with underwater accommodation in Malacca.
Empire Group's assets exceed US$300 million, he says.
Mr Phang is careful to emphasise that he 'will not harm anyone and my businesses are legal'.
He says it has taken five years to conceive Sunshine's business model, which he calls revolutionary and superior to others.
At Sunshine, people signing up as merchants under specific plans to shop on its online shopping platform get consumer rebates known as 'e-points', which can be used for online shopping or converted to cash. The rebates are not guaranteed.
Core belief
UNLIKE other MLM firms, Sunshine does not require its 'merchants' to meet a certain sales volume every month - part of its attraction.
Sunshine's online shopping platform reflects Mr Phang's belief in creating wealth.
'We have entered into an era whereby imagination is much more important than knowledge and creativity, much more effective than productivity,' he says.
Humble roots
MR PHANG'S vast business empire belies a humble beginning. Growing up at a vegetable farm in Lim Chu Kang, he worked hard to pay for his studies through various jobs, including construction work.
He left school after O levels and worked at a shipyard while studied for his A levels at night. A medical condition caused his left eye to go blind when he was sitting for his final exams at the National University of Singapore (NUS).
After graduating from NUS with a degree in economics and statistics, he joined the Chinese evening paper, Shin Min Daily News, where he worked as a features writer from 1984 to 1990.
He, however, found his niche in sales, starting at age 19 with door-to-door sales, selling AMC stainless steel cooking utensils, health items and other various products.
'I've sold everything. I'm a walking MLM dictionary. My aim is to grow Sunshine to be a global leading MLM firm with US$2 billion by next year,' he says.
He started MLM firm Number One Product, which sold magnetic mattresses, in 1990.
The Empire Group Alliance was set up in 2003.
Mr Phang is married with four children, ages 13 to 21.
Y
Yip Hon
Guest
/
Sunshine empire founder wants to look good in print
Sunshine Empire founder and head James Phang wants to look good despite being convicted of 15 criminal charges. -TNP
Mon, Jul 19, 2010
The New Paper
By Arul John
HE HAD just been convicted of 15 criminal charges, but Sunshine Empire founder and head James Phang Wah was cool as a cucumber.
Before he took the lift down to the ground floor at the Subordinate Courts yesterday, Phang, 50, declined to be interviewed.
But in the same breath, he said: "Please take my best photograph, okay?"
His wife, Neo Kuon Huay, 47, added with a scowl: "My husband's sister said that he looked ugly in a photograph that was published earlier. She said she never thought my husband could be so ugly."
Phang was all smiles as he walked out of the court building in his dark suit and with his hair stylishly gelled.
The couple and Jackie Hoo, 30, Sunshine's former director, were in court yesterday to hear the judgment on the charges against them over their operation of the company, a multi-million-dollar business selling lifestyle packages.
Sunshine was reported to have sold packages which offered customers returns in the form of cash rebates privileges (CRP).
Early customers would get their returns when new ones joined.
Phang, Neo and Hoo were jointly tried for conspiring to "unjustly enrich themselves dishonestly" while running Sunshine.
Neo was a director of Empire Emall, a company linked to Sunshine.
During the trial, the court heard that out of the $180 million that Sunshine collected from its customers in 2007, $118 million was spent on rebates and incentives to attract new customers.
Much of the rest was pocketed by Phang, Neo and Hoo.
Tens of thousands of people reportedly bought packages.
Phang and Hoo were each found guilty of one charge of fraudulent trading and eight charges of abetting in criminal breach of trust as an agent.
Phang and Neowere found guilty of six charges each of falsifying Sunshine's accounts.
All three will be sentenced on July 30.
Phang was calm even when the trio walked up the stairs to the Subordinate Courts at 9.10am.
As photographers clicked away, Phang smiled as his companions walked on calmly.
As they headed to the courtroom, they waved to some people who were there to show their support.
Before the proceedings, Phang and his lawyer, Mr Subhas Anandan, patted each other on the shoulders.
While listening to District Judge Jasvender Kaur's remarks, Phang occasionally looked up at the ceiling while Hool ooked straight ahead.
Judge Kaur found Phang and Hoo guilty of fraud.
She said the monthly CRP from Sunshine's packages came from the continued sale of new products.
Unreasonable returns
The returns were also unsustainably high, she added.
She said one of the packages, the Gold Prime package, offered a maximum CRP of 160 per cent of its cost, while the Silver Prime package offered a maximum CRP of 120 per cent of its cost.
In view of this, she said "its structure needed an ever-increasing flow of money from participants to keep it going".
Judge Kaur added the "abnormally high returns" were meant to "dazzle and attract participantswhohad no in-depth knowledge of the scheme" and "it would have been self-evident that the scheme...was destined to collapse and that the participants...would suffer a loss."
On the CBT charges, Judge Kaur said the $1 million in commission payments to Neo were unlawful.
She added that the commission was made arbitrarily and Neo had told the Commercial Affairs Department (CAD) that she had got the commission "because I am the president's wife and Mr Phang has given this to me willingly".
She said the prosecution had established that Phang and Neo falsified Sunshine's accounts in order to reduce Neo's tax liability and cheat the tax authority.
Those who bought packages from Sunshine Empire should check the CAD website (www.cad.gov.sg) to find out how they can get their money back.
About the case
Sunshine Empire had been operating for about 15 months when it was raided by the Commercial Affairs Department.
For fraudulent trading, Phang and Hoo each can be fined $15,000 and jailed seven years.
For abetting criminal breach of trust as an agent, they can each be jailed for life and fined.
For each charge of falsifying accounts, Phang and Neo can be jailed seven years and fined.
JAMES PHANG WAH, 50
- Founder and head of Sunshine Empire, set up in 2006.
- Known as Lao Da (big brother or chief in Chinese).
- Married to Neo Kuon Huay, 47. They have four children.
- Lives in semi-detached house in Jurong West.
- Grew up in Lim Chu Kang fish farm and left school after O levels.
- Worked in shipyard and construction to pay for A-level night classes.
- Graduated in economics and statistics from National University of Singapore.
- Feature writer for Shin Min Daily News from 1984 to 1990.
- Founded Empire Group Alliance around 2000.
- Found guilty of one charge of fraudulent trading, eight charges of abetment to criminal breach of trust as an agent and six charges of falsification of accounts.
NEO KUON HUAY, 47
- Wife of James Phang, 50.
- Director of Empire Emall.
- Found guilty of six charges of falsifying accounts.
JACKIE HOO CHOON CHEAT, 30
- Former director of Sunshine Empire.
- Found guilty of one charge of fraudulent trading and eight charges of abetment to criminal breach of trust as an agent.
- Was commended by police in 2007 after he pursued and noted down the licence number of a car involved in a hit-and-run accident.
- This helped police nab the driver.
Sunshine empire founder wants to look good in print
Sunshine Empire founder and head James Phang wants to look good despite being convicted of 15 criminal charges. -TNP
Mon, Jul 19, 2010
The New Paper
By Arul John
HE HAD just been convicted of 15 criminal charges, but Sunshine Empire founder and head James Phang Wah was cool as a cucumber.
Before he took the lift down to the ground floor at the Subordinate Courts yesterday, Phang, 50, declined to be interviewed.
But in the same breath, he said: "Please take my best photograph, okay?"
His wife, Neo Kuon Huay, 47, added with a scowl: "My husband's sister said that he looked ugly in a photograph that was published earlier. She said she never thought my husband could be so ugly."
Phang was all smiles as he walked out of the court building in his dark suit and with his hair stylishly gelled.
The couple and Jackie Hoo, 30, Sunshine's former director, were in court yesterday to hear the judgment on the charges against them over their operation of the company, a multi-million-dollar business selling lifestyle packages.
Sunshine was reported to have sold packages which offered customers returns in the form of cash rebates privileges (CRP).
Early customers would get their returns when new ones joined.
Phang, Neo and Hoo were jointly tried for conspiring to "unjustly enrich themselves dishonestly" while running Sunshine.
Neo was a director of Empire Emall, a company linked to Sunshine.
During the trial, the court heard that out of the $180 million that Sunshine collected from its customers in 2007, $118 million was spent on rebates and incentives to attract new customers.
Much of the rest was pocketed by Phang, Neo and Hoo.
Tens of thousands of people reportedly bought packages.
Phang and Hoo were each found guilty of one charge of fraudulent trading and eight charges of abetting in criminal breach of trust as an agent.
Phang and Neowere found guilty of six charges each of falsifying Sunshine's accounts.
All three will be sentenced on July 30.
Phang was calm even when the trio walked up the stairs to the Subordinate Courts at 9.10am.
As photographers clicked away, Phang smiled as his companions walked on calmly.
As they headed to the courtroom, they waved to some people who were there to show their support.
Before the proceedings, Phang and his lawyer, Mr Subhas Anandan, patted each other on the shoulders.
While listening to District Judge Jasvender Kaur's remarks, Phang occasionally looked up at the ceiling while Hool ooked straight ahead.
Judge Kaur found Phang and Hoo guilty of fraud.
She said the monthly CRP from Sunshine's packages came from the continued sale of new products.
Unreasonable returns
The returns were also unsustainably high, she added.
She said one of the packages, the Gold Prime package, offered a maximum CRP of 160 per cent of its cost, while the Silver Prime package offered a maximum CRP of 120 per cent of its cost.
In view of this, she said "its structure needed an ever-increasing flow of money from participants to keep it going".
Judge Kaur added the "abnormally high returns" were meant to "dazzle and attract participantswhohad no in-depth knowledge of the scheme" and "it would have been self-evident that the scheme...was destined to collapse and that the participants...would suffer a loss."
On the CBT charges, Judge Kaur said the $1 million in commission payments to Neo were unlawful.
She added that the commission was made arbitrarily and Neo had told the Commercial Affairs Department (CAD) that she had got the commission "because I am the president's wife and Mr Phang has given this to me willingly".
She said the prosecution had established that Phang and Neo falsified Sunshine's accounts in order to reduce Neo's tax liability and cheat the tax authority.
Those who bought packages from Sunshine Empire should check the CAD website (www.cad.gov.sg) to find out how they can get their money back.
About the case
Sunshine Empire had been operating for about 15 months when it was raided by the Commercial Affairs Department.
For fraudulent trading, Phang and Hoo each can be fined $15,000 and jailed seven years.
For abetting criminal breach of trust as an agent, they can each be jailed for life and fined.
For each charge of falsifying accounts, Phang and Neo can be jailed seven years and fined.
JAMES PHANG WAH, 50
- Founder and head of Sunshine Empire, set up in 2006.
- Known as Lao Da (big brother or chief in Chinese).
- Married to Neo Kuon Huay, 47. They have four children.
- Lives in semi-detached house in Jurong West.
- Grew up in Lim Chu Kang fish farm and left school after O levels.
- Worked in shipyard and construction to pay for A-level night classes.
- Graduated in economics and statistics from National University of Singapore.
- Feature writer for Shin Min Daily News from 1984 to 1990.
- Founded Empire Group Alliance around 2000.
- Found guilty of one charge of fraudulent trading, eight charges of abetment to criminal breach of trust as an agent and six charges of falsification of accounts.
NEO KUON HUAY, 47
- Wife of James Phang, 50.
- Director of Empire Emall.
- Found guilty of six charges of falsifying accounts.
JACKIE HOO CHOON CHEAT, 30
- Former director of Sunshine Empire.
- Found guilty of one charge of fraudulent trading and eight charges of abetment to criminal breach of trust as an agent.
- Was commended by police in 2007 after he pursued and noted down the licence number of a car involved in a hit-and-run accident.
- This helped police nab the driver.
Y
Yip Hon
Guest
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