The Monetary Authority of Singapore (MAS) has issued a five-year prohibition order (PO) against Zeng Xuan, effective Feb 23.
Zeng is a former representative of Oversea-Chinese Banking Corporation Limited (OCBC).
The PO comes after Zeng’s conviction in the state courts involving fraud and dishonesty.
According to the statement released by the MAS, Zeng’s client, in December 2017, had asked if additional premiums for his pre-existing medical condition could be waived, as he wanted to buy three policies.
In order to meet her sales target, Zeng lied to her client that additional premiums would not apply to his insurance policies despite knowing that the insurer had not agreed to the waiver.
She also added a clause into the insurance application form to falsely state that her client had consented to the additional premiums. The premiums paid by the client went towards one policy, instead of three policies as the client was led to believe.
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During the time, Zeng subsequently forged further documents when the client asked for documentation relating to the other two policies that he thought he had bought.
She has pleaded guilty in the state courts on Aug 5, 2021, and was convicted of one count of forgery under section 465 of the penal code. Zeng was sentenced to two weeks’ imprisonment.
Under the PO, Zeng is not allowed to provide any financial advisory service. She is also banned from taking part in the management, acting as a director, or becoming a substantial shareholder of any financial advisory firm licensed or exempt under the Financial Advisers Act within the five years of the PO.
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“Zeng’s conviction has given MAS reason to believe that she has not and will not perform financial advisory services honestly,” says the central bank in its Feb 24 release.
Photo: Bloomberg
