Around 60 investors have come forward to report about being hooked and gutted in a multi-million-dollar Ponzi scam run by a single woman, who now owes them over $60 million in capital.
Leong Lai Yee cut off all contact with her investors earlier this month before telling them that all their money was gone, and even sent letters saying that she would kill herself.
The deal she promised involved the buying and selling of properties in Singapore's top districts, with around 30 percent returns, The Straits Times reports.
The scheme had been going on for about 15 years, baiting more than 100 investors. She would buy distressed properties in Orchard, Tanglin and Newton and sell them to buyers in China for profit — investors who pumped in money to fund the purchase of the properties were promised returns of up to 48 percent over short period of time between four to eight months. A 40 percent downpayment on the property would be enacted on the Chinese buyers, and that would be enough to pay the profits promised to investors.
The investors, enticed by the guaranteed capital, gave up to $2 million and more into the scheme. Those who referred friends to the scheme were also given a cut.
There were never any problems during its initial years, as everyone got their capital and pro-rated returns back promptly.
Things started to unravel when Leong tried to raise more funds in the past few years by offering higher returns.
Last September, she started pushing forward payment deadlines that went on till May 18. Days before the deadline, Leong sent some of her investors letters that said she would kill herself. She and her husband have been uncontactable since.
At least 10 investors have lodged police reports while around 30 people have hired a lawyer to launch a civil suit against Leong.
Photo: epSos.de via Flickr
Around 60 investors have come forward to report about being hooked and gutted in a multi-million-dollar Ponzi scam run by a single woman, who now owes them over $60 million in capital.
Leong Lai Yee cut off all contact with her investors earlier this month before telling them that all their money was gone, and even sent letters saying that she would kill herself.
The deal she promised involved the buying and selling of properties in Singapore's top districts, with around 30 percent returns, The Straits Times reports.
The scheme had been going on for about 15 years, baiting more than 100 investors. She would buy distressed properties in Orchard, Tanglin and Newton and sell them to buyers in China for profit — investors who pumped in money to fund the purchase of the properties were promised returns of up to 48 percent over short period of time between four to eight months. A 40 percent downpayment on the property would be enacted on the Chinese buyers, and that would be enough to pay the profits promised to investors.
The investors, enticed by the guaranteed capital, gave up to $2 million and more into the scheme. Those who referred friends to the scheme were also given a cut.
There were never any problems during its initial years, as everyone got their capital and pro-rated returns back promptly.
Things started to unravel when Leong tried to raise more funds in the past few years by offering higher returns.
Last September, she started pushing forward payment deadlines that went on till May 18. Days before the deadline, Leong sent some of her investors letters that said she would kill herself. She and her husband have been uncontactable since.
At least 10 investors have lodged police reports while around 30 people have hired a lawyer to launch a civil suit against Leong.
Photo: epSos.de via Flickr