Remaining cheating charges against O.K. Lim withdrawn

Without revealing details, the Attorney-General’s Chambers told The Straits Times on July 20: “After careful consideration of the facts and circumstances of the matter, including the sentence… the prosecution directed that a stern warning be administered to Lim in lieu of prosecution in respect of the remaining charges.

“Following the administration of the stern warning, the prosecution applied for (the discharge) in respect of the remaining charges. This was granted by the court.”

After a lengthy district court trial, Lim was found to have duped HSBC into disbursing US$111.6 million (S$145 million) to Hin Leong based on two fabricated oil sale contracts.

He was also found to have instructed a former employee to forge documents for one of the bogus contracts.

Following the appeal, Justice Hoo Sheau Peng said the original jail term of 17½ years was “crushing” even with the usual one-third remission.

On March 4, Justice Hoo found that the district judge who sentenced Lim erred in according weight to the prosecution’s arguments that Lim’s offences had undermined public confidence in the oil trading sector. 

Justice Hoo gave him sentencing discounts on account of the substantial restitution made as well as Lim’s old age.

The judge noted that the loss to HSBC for one of the cheating charges was almost halved, from US$56 million to US$29.7 million, after Lim made restitution.