$5 billion dollar Maxim Trader Ponzi scammers arrested in Singapore
Now replaced mostly by mythical “crypto trading” schemes, a few years ago MLM forex trading scams were all the rage.
A number of the schemes originated out of Malaysia and surrounding countries, although most operated through shell companies incorporated in New Zealand, Australia and various Pacific island nations.
One such scam was Maxim Trader, which promised affiliates a monthly ROI of up to 8% on $5000 to $10,000 investments.
Maxim Trader affiliates were of course also paid to recruit new investors through an MLM compensation plan.
Maxim Trader was billed as a Malaysian company with ties to shell companies incorporated in Seychelles and New Zealand.
The scheme launched in mid 2013 and collapsed two years later in 2015.
At the time an estimated 50,000 investors across Malaysia, Japan, South Korea, Taiwan, Hong Kong, Australia and Singapore were believed to have lost around $5 billion USD.
Although it was widely circulated that Maxim Trader was owned by three Malaysian Datuks, turns out it was actually run by three Singaporean nationals.
On Tuesday January 9th Maxim Trader CEO Andrew Lim Ann Hoe and accomplices Chin Ming Kam and Goh Seow Mooi faced court on charges of promoting a pyramid selling scheme.
On Tuesday, the court heard that Lim is also accused of causing Maxim Capital Limited to carry on a business of fund management without holding a capital markets services licence granted by the Monetary Authority of Singapore.
He intends to plead guilty to his offences and will be back in court on Jan 24.
Chin and Goh allegedly carried on a business of leveraged foreign exchange trading without holding the same licence. Their cases have been adjourned to Jan 23.
If convicted, Lim, Chin and Goh face prison sentences of up to five years and a $200,000 fine.
No word on where the $5 billion Maxim Trader took in wound up. Following Maxim Trader’s 2015 collapse it was reported that an 90% of funds invested were simply “gone”.
Great to finally see some action on dealing with the Maxim Trader scammers but these guys are not at the top of the tree.
Mooi and Kam are only first-tier introducing brokers/managers.
Andrew Lim was recruited as the CEO after it was in play.
The main man of the scam is Thailand based Lim Kok Chean (google his name and “rogp”).
Here is a mind map of some of the connections; goo.gl/qgNkf4
Just wanted to say that it is INCORRECT for you to say that Maxim Trader was owned by 3 Singaporeans.
This will only let Mike Lim from Penang off the hook! He is the ultimate mastermind, not to mention his accomplices Datuks Lawrence and Charles in Malaysia.
Well, if you say so. Better let the Malaysian press know they’ve got it wrong then.
More such schemes will still be around and emerge as human greed looking for easy money at its peak in competitive and stressful Singapore.
They will place a dark shadow and black name on legitimate business opportunities. Fortunately we had a group of vigilantes from behindmlm who will lookout for such scammers and discourage mlm companies which promotes heavy recruitment.
Thanks for the heads up. Took them three years but those are some pretty hefty prison sentences!
Goh Seow Mooi besides in MLM now does fx trading big investor with all the monies with another scammer at The Phoenix System Trade with the boys. Holy crap.
Hi Karma, good you commented. Any information you can provide on the participants of Maxim and their current scams I would really like to know. I have Gb’s of data on their history.
What has happened to the money we invested? Will we ever see our money again?
You invested in a Ponzi scheme and your money was stolen. It has likely been stashed offshore somewhere.
Asian regulators aren’t known for recovering funds and returning it to victims. Sorry for your loss.
I was told by Andrew Lim, the only way to invest in Maxim Traders was to give him $100,000 usd in which he took that cash out of Perth Western Australia the next day.
That was the last I saw of my cash, so he deserves all he gets.