Meat deal gone rotten: 10 investors lose RM3mil

About 10 investors have made police reports that they have been cheated of RM3 million in a meat outlet business scheme this year.

PETALING JAYA: More than 10 investors have lost about RM3 million in a shady meat outlet franchise scheme this year.

In the deal, a partner is supposed to deposit RM220,000 or more to set up a meat outlet each in the Klang Valley with about 50% return in nine months.

The victims claimed that the agreement contained unfair trade clauses. One victim, Ng Ain Pok, 47, said she was introduced to the business by her close friend and invested RM300,000.

Ng said she was supposed to be a partner in the meat company in which her close friend was one of the directors.

She said her friend had allegedly conned her by manipulating the legal documents with unwanted clauses favouring the meat company.

Ng said her friend had managed to open 15 outlets but claimed none were making profits.

“My friend gave the excuse that it will take some time to make profits,” she said.

She added the friend did the accounting work for all the premises so there was no track record on the profit and loss.

Ng felt something was not right when she was told to deposit an additional RM30,000 for the business.

When she refused to give the additional amount, the friend approached a new investor to take over the business.

Ng said her friend had been threatening her with legal letters and asked her to vacate the premises.

She later lodged a report with the Consumers Association of Subang Jaya and Shah Alam and (Cassa) and the police.

Cassa president Jacob George said he had receive numerous complaints on the matter.

George said he wanted to meet the company directors but they refused to cooperate.

He urged the Domestic Trade and Consumers Affairs Ministry and the police to form a special task force to investigating the case.

“We must investigate if the meat company had a licence to operate,” he said.