$43k fine for undischarged bankrupt doctor who failed to disclose assets worth over $4m

Straits Times

5 days ago

Sign up now: Get ST's newsletters delivered to your inbox
Goh Seng Heng will have to spend 22 weeks behind bars if the amount is not paid.
SINGAPORE – An
undischarged bankrupt doctor with a total debt of nearly $48 million owing to his creditors as at May 28 failed to disclose assets worth more than $4 million to the authorities.
Goh Seng Heng, 70, who founded the PPP Laser Clinic chain, was fined $43,000 on July 9 after he pleaded guilty to eight charges under the Bankruptcy Act.
He will have to spend 22 weeks behind bars if the amount is not paid.
In 2019, he
lost a lawsuit filed by businesswoman Wang Xiaopu , who had invested $30.7 million in the PPP chain and demanded the return of her investment.
When he failed to repay the sum, she sued his family members, contending that he had placed his assets out of his creditors' reach via various asset purchases and transfers.
Goh applied for bankruptcy on March 6, 2020, stating that he was unable to pay his debts. He was declared a bankrupt 13 days later, on March 19.
Madam Wang, represented by Senior Counsel Jimmy Yim and Ms Grace Morgan from Drew & Napier, had argued that Goh's bankruptcy application was intended to delay, hinder and defraud his creditors.
On March 29, 2023, the High Court
ruled that Goh had moved millions in assets to his family members with the intent to defraud his creditors.
For the current case, Ministry of Law prosecutor Benjamin Yim told the court that on March 24 and April 29, 2020, an Official Assignee (OA) appointed to administer Goh's bankruptcy-related affairs gave the doctor written directions to submit information linked to such matters.
The OA is a public servant who investigates the affairs of bankrupts and recovers their assets for distribution to creditors.
Goh submitted the information on May 3 that year, but investigations later revealed that he had made multiple omissions.
Court documents stated that he had failed to disclose the disposal of 760 shares in a company called 'Dr Michelle Goh' worth more than $306,000, and three shares in another firm called GSHKML worth nearly $1.4million.
Goh was also involved in the non-disclose of the disposal of insurance policies linked to over $154,000 in total.
Mr Yim said the doctor did not disclose the contents of a safe deposit box worth $700 and a bank account containing over $7,000.
Goh also failed to disclose the disposal of more than $1.2 million and US$900,015 (S$1.1 million) owed to him by a company called Singapore Yacht Charter.
The prosecutor had urged the court to sentence him to a fine of at least $43,000, adding: 'There is a strong public interest in ensuring that bankrupts take their obligations seriously and cooperate with their bankruptcy trustees when it comes to disclosure of assets.
'The offences committed by the accused impeded the orderly administration of his bankruptcy estate and the sentence to be meted out to him must be sufficient to deter others who might be tempted to follow in his footsteps.'
Goh was represented by lawyers Chooi Jing Yen and Claire Chong.
The team from the Chooi Jing Yen law firm told the court that they did not object to the prosecution's submission for a fine of at least $43,000.
They also said that their client is a first-time offender and his daughter will pay the fine on his behalf.
Goh still has multiple other pending charges under the Bankruptcy Ac, and these will be dealt with at a later date.