Kuala Lumpur, 5 October 2010
Pancaran Ikrab director convicted for securities fraud

Dato Lybrand Ngu Tieng Ung was convicted by the Kuala Lumpur Sessions Court today for two counts of securities fraud.

He had utilized RM15.5 million of Pancaran Ikrab Berhad’s (PIB) funds in October 1997 to finance his entry into the company. The moneys financed his purchase for the controlling shareholding in PIB. PIB was then listed on the Second Board of the Kuala Lumpur Stock Exchange.

When he resumed the post of director of PIB, he had caused in total RM37 million to be transferred out of the company. This amount was never recovered and was written off in its accounts. This resulted in PIB being financially distressed and its listing status was taken over by DCEIL International Berhad on 19 July 2004.

The penalty for securities fraud is a minimum fine of RM1 million and imprisonment not more than 10 years. Sessions Court Judge, Puan SM Komathy Suppiah sentenced Ngu to 1 day imprisonment and a fine of RM1 million for each offence. The imprisonment terms to be served concurrently.