Lawyer goes missing after ordering payout of $33 million held in escrow account, Defence Online

Jeffrey Ong Su Aun has been uncontactable for numerous days.

Screengrab of JLC Advisors web page

A lacking sum of about $33 million in an escrow account belonging to Allied Technologies and held by legislation organization JLC Advisors is considered to have been compensated out on the recommendations of its handling companion Jeffrey Ong Su Aun, who has been uncontactable for a number of days.

In a statement submitted on Thursday night (May 23) with the Singapore Inventory Trade, Catalist-mentioned Allied Systems reported the payout of $33.4 million “might have been unauthorised”, referring to a letter that it had received from JLC Advisors on Wednesday.

The letter, which carried JLC’s letterhead, explained the legislation organization is investigating the make a difference and has lodged reports with the authorities, stated Allied Tech. It extra that the sum held by JLC on escrow is also incorrect and should really be about $33.2 million.

Allied Tech explained despite recurring demands for repayment considering the fact that March 23 this yr and which includes a letter of desire issued by its attorneys from Rajah & Tann on Might 17, JLC has unsuccessful to release the stability escrow resources of $33,153,416.56.

Allied Tech reported this is a breach by JLC of its obligations underneath the Escrow Agreement, which was inked on Oct 23, 2017.

It additional: “This is notwithstanding that at all substance instances, JLC’s controlling director, Mr Ong Su Aun, Jeffrey, experienced continuously represented to the Organization that the release of the escrow cash would be forthcoming, and experienced never ever at the time stated that the escrow funds were missing, that it had currently been paid out out or that JLC would not comply with the Company’s ask for to launch the escrow resources in accordance with the Escrow Arrangement.”

Allied Tech stated the authorised joint signatories for any disbursements of funds from the escrow account with JLC comprise the two its executive director Kenneth Lower Si Ren and independent director Lim Jin Wei.

Mr Small and Mr Lim have independently verified to the board that other than the company’s desire letter on March 23, they have not provided any instructions to JLC, possibly verbally or in writing, to release the harmony sum in the account, reported Allied Tech.

It added that any instructions for disbursements of funds are essential to be in creating.

In watch of the most current developments relating to JLC, Allied Tech reported it has instructed its legal professionals to react to the JLC letter to clarify the predicament.

It is also demanding the legislation agency to deliver documentary evidence and a statement of accounts of the escrow money as properly as to update Allied Tech on Mr Ong’s whereabouts.

Allied Tech is demanding the regulation firm to deliver documentary proof and a assertion of accounts of the escrow funds as perfectly as to update on Mr Ong’s whereabouts.

The Straits Situations

Allied Tech has also questioned its legal professionals to lodge a report with the Singapore Police Drive, and Regulation Society of Singapore, and start lawful proceedings to defend the company’s interests.

“The enterprise is monitoring the situation carefully and will take demanding actions to defend its passions. The business will keep on to give even further updates to shareholders on subsequent material developments,” said Allied Tech in the statement.

In the meantime, Mr Ong has remained uncontactable for a number of times now and law enforcement investigations are ongoing.

The Legislation Society on Wednesday claimed it has intervened in the regulation firm’s client account, stating: “As a consequence of data received… the Council of the Legislation Modern society has cause to suspect dishonesty on the part of a solicitor in JLC Advisors LLP in connection with that solicitor’s follow.

“In the instances, the Law Culture confirms that it experienced intervened into JLC Advisors LLP’s client account on May possibly 22.”

The society’s governing council has also notified regulation firms with pending matters relating to JLC’s consumer account to deliver specifics about the sum of client money held, and to whom and when it is to be compensated.

Less than the Lawful Profession Act, the Regulation Society can intervene in certain circumstances, which includes when there is suspected dishonesty, when a attorney is bankrupt or when he has remarkable judgments amounting to $100,000 that he are unable to settle inside 6 months.

Safeguards have been launched to tighten the process in which law firms take care of clients’ monies, beneath amendments to the Conveyancing and Regulation of Assets Act and the Lawful Job Act that took outcome from August 2011, subsequent a number of cases of rogue legal professionals who fled with their clients’ money.

Among the the important safeguards includes a rule barring attorneys performing for purchasers or sellers in house promotions from obtaining and holding conveyancing cash in their ordinary shopper accounts.

In its place, they will have to open conveyancing accounts with financial institutions appointed by the Regulation Minister.

Any withdrawal or payout from a conveyancing account would have to have a two-get together authorisation, to stop a law firm from performing by itself.

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