2 ex-investment bank officers charged with fraud involving US$16mil

Two former investment bank officers, Chia Kian Lim and Lai Heow Gran, have been charged with fraud for allegedly deceiving their employer regarding a standby letter of credit worth US$16 million in 2023. Chia, 40, and Lai, 52, pleaded not guilty in the Kuala Lumpur sessions court today, accused of making representations that the document had been approved by the relevant authority or the bank's CEO.

The alleged offence, committed on Nov 9, 2023, involved approving the transaction through their roles as checker and maker in the Swift system, despite it never having been officially approved. They were charged under Section 417 of the Penal Code, which allows for up to five years' imprisonment, a fine, or both upon conviction.

Deputy public prosecutor Fadhly Zamry granted bail of RM50,000 with one surety each, imposing conditions to prevent them from disturbing witnesses or accessing company computers. Chia's lawyer sought a lower bail of RM10,000, citing his client's status as the sole breadwinner of his family and his cooperation with authorities. Lai's lawyer also requested a reduced bail of RM20,000, noting his client's unemployment and his two young children.

Judge Azrul Darus granted bail of RM20,000 with one surety for each accused and scheduled a case mention for Nov 16.