Bank manager jailed 7 years, fined RM40mil for fraud, money laundering

 Kho Yung Kang pleads guilty to defrauding eight senior citizens of RM1.58 million through a non-existent bond investment scheme and committing money laundering at the bank where he worked.

Kuching sessions court judge Iris Awen Jon ordered the accused to serve his prison sentences concurrently. (Pexels pic)

KUCHING:

A relationship manager with an international bank has been sentenced to seven years’ jail, fined RM40 million and ordered to receive 24 strokes of the cane by the sessions court here after pleading guilty to fraud and money laundering charges.

Judge Iris Awen Jon sentenced Kho Yung Kang, 39, after he pleaded guilty to 16 counts under Section 420 of the Penal Code and eight counts under Section 4(1)(b) of the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.

Kho was accused of defrauding eight senior citizens aged between 60 and 75 of RM1.58 million through a non-existent bond investment scheme. He was also accused of committing money laundering at the bank where he worked between September 2022 and February 2024.

On each fraud charge, Kho was sentenced to between three and four years’ jail and one stroke of the cane, with the jail terms to run concurrently from the date of his remand on May 23, 2025.

On each of the eight money laundering charges, he was sentenced to three years’ jail, with the terms running concurrently from today, fined RM5 million or four months’ jail in default, and ordered to receive one stroke of the cane.

This brings the total sentence to seven years’ jail, a RM40 million fine and 24 strokes of the cane.

Kho failed to pay the fine.

According to the facts of the case, Kho was responsible for assisting customers with investments, including unit trusts, bonds and fixed deposits, as well as local and foreign remittances.

His modus operandi was offering customers at his bank an investment scheme that promised higher returns. Based on his representations, Kho obtained the customers’ signatures and biometric verification, but he did not channel the funds for investment purposes.

Instead, Kho transferred the money from the customers’ accounts to third-party accounts via DuitNow, interbank transfers or cashier’s orders without their knowledge or consent, for his personal use.

Deputy public prosecutors Chuah Kai Sheng and Maryam Jamielah Ab Manaff appeared for the prosecution, while Kho was unrepresented. - FMT - FMT