On 7 May 2021, the Monetary Authority of Singapore (MAS) issued a 10-year prohibition order against an individual named Mr Ahmadnawar Bin Abd Karim. The prohibition order was implemented after the court issued a conviction that Mr Ahmadnawar conducted regulated activities in Singapore without having an appropriate licence and was deemed to have defrauded clients. It was noted that Mr Ahmadnawar had conducted regulated activities without a licence under section 82(1) of the Securities Futures Act and cheating under section 420 of the Penal Code.
Mr Ahmadnawar had been conducting the regulated activities of fund management between 2015 and 2017 by soliciting investments from at least 32 individuals and managing their monies to trade in foreign exchange. Unless exempted or otherwise, no person whether as principle or agent, may carry on business in the regulated activity of “fund management “or hold himself up as carrying on the regulated activity of “fund management” unless he is the holder of a capital market services licence for the regulated activity of fund management. Fund management as a regulated activity under the Securities Futures Act is defined to mean the undertaking on behalf of customers (whether on a discretionary authority granted by the customer or otherwise) the management of a portfolio of securities or futures contracts or spot foreign exchange contracts for the purposes of managing customers’ funds. It does not include real estate investment trust management.
Mr Ahmadnawar also defrauded two investors of a total amount of S$132,810. He induced them to transfer monies to him for investments, using some of the monies to repay other investors and for his own personal expenses.
Please click here for more information on the prohibition order.