Hin Leong founder O.K. Lim convicted of 3 criminal charges

He faces up to 10 years’ jail and a fine for each charge of cheating and forgery

- Grace Leong

Hin Leong founder Lim Oon Kuin has been convicted of two cheating charges and one count of instigating forgery for the purpose of cheating in what prosecutors have described as "one of the world's largest collapses of an oil trading firm".

Prosecutors alleged that 16 banks in Singapore suffered US$291.9 million (S$395 million) in actual monetary losses out of the US$2.7 billion in loans they were duped into extending to Hin Leong by Lim.

The losses are part of the alleged US$3.5 billion debt owed by the now-defunct oil trader to 23 banks.

On May 10, State Courts judge Toh Han Li found the 81-year-old former oil tycoon guilty of three charges that proceeded to trial out of a total of 130 criminal charges.

The remaining 127 charges were stood down and will be dealt with at a later stage.

Lim's sentencing is scheduled for Oct 3 and his bail of $4 million has been extended until then.

He faces a jail term of up to 10 years and will also be liable to a fine for each charge of cheating and forgery.

Lim, better known as O.K. Lim, declined comment when approached by The Straits Times after the verdict was handed down on May 10.

Lim was found guilty of cheating HSBC, through his employees, by claiming that Hin Leong had entered into two contracts to sell oil to China Aviation Oil (Singapore), or CAO, and Unipec Singapore, and then applying for discounting of these purported transactions.