Father and Son team found guilty.
Who says crime doesn’t pay? For cheating 93 people RM1.04 million, the fine is only RM160.000 plus one day jail sentence.
SHAH ALAM: A father and son have been sentenced by a Sessions Court here to a day in jail and fined a total of RM160,000 after they admitted to two counts of cheating and misleading investors of over RM1mil in an Island Red Cafe programme.
Syarikat Island Red Cafe Franchise Sdn Bhd executive director Teow Wooi Huat, 45, and his son Chee Chow, 22, who is also a director at the company, were charged at the Ampang Sessions Court on Feb 9 last year with fraudulently inducing 93 people to invest RM1,040,400.
They had committed the offence at the company’s premises in Pandan Indah between Jan 1, 2008 and Feb 28 last year.
They also pleaded guilty before Judge Aslam Zainuddin to offering shares of the company to the public through the programme although at that time, it was not involved in buying and selling shares.
For the first offence, Teow and Chee Chow were each sentenced to a day in prison and fined RM20,000 in default of 20 months’ jail.
They were also slapped with a day in prison and fined RM70,000 and RM50,000 respectively – in default of 30 months jail – for the second offence.
Judge Aslam ordered for the jail sentences to run concurrently.(Extracted from the Star).
Malaysia is a fertile ground for MLM Scam. In spite of the Direct Selling Act, with tough regulatory control, MLM scam still flourish in Malaysia..
Everything on earth are being sold via MLM. Today, Burial plots, cremated ash compartments at COLUMBARIUM, education programs, Sea weed farming and Swiftlet farming (birds nest) are being marketed via direct selling channel.
There are two reputable and genuine cemetery management companies, Nirvana Memorial Park and Nilai Memorial Park selling burial plot and cremated ash compartment. These burial plots and compartments are transferable and hence, became investment properties for speculation.
A few new organisations are joining the bandwagon. Are they genuine players or scam? No research is done on them yet.
Malaysian being gullible and greedy would be easy target for the unscrupulous MLM players. The key words used by these crooks are
"Be the early bird to reap the reward. Otherwise, you loose out to those who join earlier and over-ride you”.
This is their tactics to secure your commitment. If you understand the MLM marketing plan fully, irrespective of when you join the MLM company, you do not loose anything. MLM company pays your commission based entirely on you and your group’s (your sponsored downlines) sales volume. Nothing else.
"Be the early bird to reap the reward. Otherwise, you loose out to those who join earlier and over-ride you”.
This is their tactics to secure your commitment. If you understand the MLM marketing plan fully, irrespective of when you join the MLM company, you do not loose anything. MLM company pays your commission based entirely on you and your group’s (your sponsored downlines) sales volume. Nothing else.
Do you homework and check the background of the MLM company before parting with your money.
There is no easy money and no free lunch.
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