Genneva Gold - the end of the golden dragon

Gold firm bosses slapped with record 926 charges Kow Kwan Yee | 3:58PM Sep 27, 2013 Six former high-ranking officers of a gold trading company stood in the dock today, facing a record number 926 charges involving transactions amounting to whopping RM5.5 billion. The six, from Genneva Malaysia Sdn Bhd, were charged in a sessions court in Kuala Lumpur under the Banking and Financial Institutions Act 1989, Anti-Money Laundering Act 2001 and Trade Descriptions Act 2011. They are former company directors Philip Lim Jit Meng and Tan Liang Keat as well as business advisers Lim Kah Heng, Ng Poh Weng, Marcus Yee Yuean Seng and Chin Wai Leong. After two-hour long of court proceedings, all of them claimed trial to the charges. It took almost five hours for the court to register the more than 900 charges involved, before proceedings could begin at 3.30pm. Earlier, Jit Meng, 56, and Tan, 41, had pleaded not guilty in another sessions court to making false statements on a website that gold trading was in line with syariah principles. The two accused had allegedly made the false statement on a website (www.gennevaworld.com.my) between Feb 16 and Oct 10, 2012, at 52A-1, Jalan Kuchai Maju 6, Off Jalan Kuchai Lama in Kuala Lumpur. The offence, under Section 18 (1) of the Trade Descriptions Act 2011 carries a fine of not more than RM250,000 and imprisonment for not more than three years, or both, upon conviction. Bail of RM20,000 each granted Both Jit Meng and Tan were granted bail of RM20,000 with one surety each. In another sessions court, the charges were read out to the Jit Meng, Tan, Hah Heng and Ng from Genneva Malaysia. Under the 10 Banking and Financial Institutions Act charges, the four are accused of having received deposits from the public for a scheme involving gold transactions through a current account in the CIMB Bank branch on Jalan Kuchai Lama, without a valid licence as required under Subsection 6(4) of the Act, between Oct 1, 2011 and Oct 1, 2012. The offences, under Section 25 (1) of the same Act, carry a fine of not more than RM10 million upon conviction. On the 10 Banking Act charges, all four claimed trial and sessions judge Mat Ghani Abdullah granted them bail of RM1 million with one surety each. Earlier, deputy public prosecutor Dzulkifli Ahmad argued that bail should not be allowed as the offences were serious, considering that the amount collected was RM5.5 million, from 35,000 depositors. All six charged with money laundering All six accused were charged with committing money laundering between January 2011 and December 2012, at the CIMB Islamic Bank in Jalan Kuchai Lama. They pleaded not guilty to the charge under Section 4 (1)(a) of the Anti-Money Laundering Act 2001, which carries a fine of not more than RM5 million and jail term of not more than five years, or both, upon conviction. All of them were granted a RM100,000 bail with two sureties each. The court then fixed April 7, next year for the start of the 18-day hearing. In Oct, last year, a team comprising Bank Negara, police, Domestic Trade, Cooperatives and Consumerism Ministry and Companies Commission of Malaysia personnel raided Genneva's premises. The raid, after which the company's assets and accounts were frozen, resulted in more than 10,000 disgruntled gold trading investors being caught in the middle, some of whom had put their life savings into gold investment.