Investors lose RM2.4mil as ambitious scheme turns into scam

KUALA LUMPUR: A group of 107 investors suffered RM2.4mil in total losses after being allegedly duped by a married couple.

The losses suffered by each victim ranged from RM10,000 to RM250,000, their representatives said.

The victims were approached by the local couple regarding an investment in a dental service company, with the promise of high returns.

Gerald Chee Ka Onn, 44, said he lost about RM10,000 to the scheme.

“The husband and wife are directors of the company. The wife is also my college mate.

“They approached me in July 2021 about investing in their company, with the ultimate goal of establishing dental clinics around the country.

“Impressed by their pitch and trusting my old college friend, I decided to invest in the company, hoping for decent returns,” he told a press conference organised by MCA Public Services and Complaints Department head Datuk Seri Michael Chong at Wisma MCA here on Friday (March 15).

However, barely two years later, Chee said he discovered that both company directors were missing and the company was being sued.

It eventually closed in December.

“We learned that the total investment from 107 investors was RM2.4mil and it has all been lost.

“We tried to contact both directors but to no avail,” he said, adding that he and the other investors lodged a police report.

Teoh Chek Wee, 43, said he lost about RM250,000.

“I looked at the company profile and was impressed.

“I never expected it to go up in smoke,” he said.

Another victim, who asked to be identified only as Kho, advised others to be wary of such tricks.

“We hope others will not fall victim to such scams.

“Be very careful before investing in any schemes,” she said.

Chong said he has received more than 10 investment scam cases with losses of over RM5mil since last year.

“The modus operandi is more or less the same.

“The victims will either be approached by friends or individuals on social media, who promise high returns in a short time.

“Remember that if something sounds too good to be true, it is most likely a scam,” he said.

Chong also reminded potential investors to check with Bank Negara and the police before committing their money.

“Verify the authenticity of a company before investing as once your money is lost to scammers, you will never see it again.

“Constant vigilance is important,” he added.