Former insurance agent gets 8-year prohibition orders after misappropriating S$117,000

SINGAPORE: The Monetary Authority of Singapore (MAS) has issued eight-year prohibition orders against a former Prudential insurance agent following his conviction for criminal breach of trust offences. 

Under the prohibition orders, which took effect on Thursday (Apr 18), Gng Hoon Hong is not allowed to provide any financial advisory services.

The former representative of Prudential Assurance Company Singapore is also prohibited from taking part in the management, acting as a director, or becoming a substantial shareholder of any financial advisory firm under the Financial Advisers Act, said MAS in a media release. 

“He is also prohibited from carrying on business as, and from taking part in the management of, any insurance intermediary under the Insurance Act,” it added.

MAS also said that Gng's offences gave it reason to believe that "he will not perform financial advisory services honestly". 

On Dec 7, Gng was convicted of three counts of criminal breach of trust, with three other criminal breach of trust charges taken into consideration. He was sentenced to 20 months’ jail.

According to MAS, Gng misappropriated a total of S$117,160.94 (US$86,210) between March 2012 and July 2018. His client had entrusted him with the money to pay for insurance premiums. 

Gng used the money for his own expenses instead of paying Prudential, causing three of his client's policies to lapse. 

When confronted by his client, Gng presented a forged printout purportedly from Prudential’s website which falsely stated that one of the lapsed policies was in force, said MAS. 

According to a report by TODAY, Gng used his client's money to help pay for his home renovation, groceries, car instalment and daily expenses. He did this on 32 occasions over about six-and-a-half years.

He was arrested in February 2021 and later claimed that he had misappropriated the money due to financial difficulties, said the report.