SINGAPORE: Singaporean R. Shanmugaratnam, who was earlier convicted of 13 counts of falsification of accounts linked to nearly €1.1 billion (S$1.65 billion) purportedly held in escrow for collapsed German payments company Wirecard and its related firms, was sentenced to 10 years’ jail on Tuesday (Jan 6).
Briton James Henry O’Sullivan, 51, who had abetted Shanmugaratnam, 59, was ordered to spend 6½ years behind bars.
O’Sullivan was earlier convicted of five counts of falsification of accounts.
A district court had found them guilty of their charges in September 2025 after a trial.
In earlier proceedings, the court heard that from 2016 to 2018, Shanmugaratnam, who was then a director of Citadelle Corporate Services, issued 13 balance confirmation letters.
The documents falsely confirmed to Wirecard AG, its related companies WCUKI and Cardsystems, as well as their auditors, that Citadelle held nearly €1.1 billion in escrow for the Wirecard entities across three financial years.
Escrow is an essential service in capital markets that supports transactions such as mergers and acquisitions.
O’Sullivan had abetted Shanmugaratnam to issue five of the letters in March 2017, the court heard.
The pair’s cases are said to be linked to Jan Marsalek, 45, an Austrian fugitive, a former businessman and suspected spy operative for Russia.
Marsalek was the chief operating officer of Wirecard AG from 2010 to 2020. An Interpol Red Notice has been issued against him.
Once such a notice is issued, the police in other countries can be on the lookout for foreign offenders. The Red Notice can then be used to support extradition proceedings after an arrest is made.
Oliver Bellenhaus, a German who used to be managing director of Cardsystems Middle East FZ – a Dubai subsidiary of Wirecard Technologies – was also named in court documents tendered by Singapore’s prosecution.
