Vivian Lai’s Husband Allegedly Failed To Disclose Partial Ownership Of Another Company
Pokka International, a well-loved beverage brand in Singapore, made waves when they removed their chief executive officer (CEO) Alain Ong in 2018.
They subsequently terminated his wife Vivian Lai as brand ambassador and then sued him for millions in losses.
Alas, Ong’s troubles haven’t ended yet, as he’s been charged in court under the Companies Act.
If he’s convicted, he faces a spell in prison or a hefty fine.
Ong faces 3 charges
In a news release on Friday (12 Nov), the Singapore Police Force (SPF) said the former CEO of Pokka International was charged on the same day.
He faces 3 charges under Section 156 of the Companies Act.
It says that a CEO who has an interest in a transaction or proposed transaction with the company must declare it.
Ong allegedly failed to disclose interest
Ong, who was also a director at Pokka International and Pokka Corporation (Singapore), had partial beneficial ownership of a company named Asian Story Corporation (ASC).
ASC had entered into transactions with both Pokka International and Pokka Corporation on 3 occasions.
However, he allegedly failed to disclose his interest on all 3 occasions.
Ong in a Pokka ad in 2016
Source
In convicted, he faces a jail term of up to 12 months or a fine of up to $5,000.
2 others charged in court
Besides Ong, 2 other people were also charged in court on Friday (12 Nov): Kimly Limited’s former executive chairman and executive director.
They are Lim Hee Liat and Chia Cher Khiang respectively, reported The Straits Times (ST). Both of them resigned from their posts on Thursday (11 Nov).
Their case is also connected to ASC – Kimly acquired the company on 2 Jul 2018.
However, like Ong, Lim also had partial beneficial ownership of ASC.
This, he was charged under Section 156 of the Companies Act for failing to disclose this interest to Kimly.
Since Lim had partial beneficial ownership of ASC, it’s alleged that Kimly’s acquisition of ASC was an “interested person transaction”.
Hence, the Singapore Exchange (SGX) should’ve been told about it, but it wasn’t.
Thus, both Lim and Chia were each charged under the Securities and Futures Act (SFA).
If convicted on the SFA charges, they each face jail of up to 7 years and/or a fine of up to $250,000.
Pokka sued Ong in 2019
In connection with this case, Pokka sued Ong in 2019, accusing him of illegally inflating ASC’s market value prior to its acquisition by Kimly.
They also said he allegedly orchestrated and benefited from Kimly’s public listing in 2017 and its purchase of ASC.
Kimly reportedly cancelled the $16 million acquisition after the authorities investigated it.
The lawsuit between Pokka and Ong was settled out of court in Apr 2020, ST reported.
Ong’s wife Vivian Lai was brand ambassador
Of course, many would also know that Ong’s wife is local celebrity Vivian Lai.
Under Ong’s leadership as Pokka CEO, the actress and host was appointed as the brand’s ambassador for more than 10 years.
However, after Ong was suspended from his position, Vivian was unceremoniously dropped from the role in 2018.
However, it seems Vivian wasn’t done with beverages yet – in 2019, she opened her own bubble tea store named Teabrary.
Currently, the company has outlets in Esplanade Xchange and Fook Hai Building, as well as China, Cambodia and Myanmar, according to its website.
Saga isn’t over yet
Now that Ong has been charged in court, it seems the saga linked to his association with Pokka isn’t over yet.
The complex case involves more than 1 party and now even the authorities are involved, but Ong’s wife also adds some stardust to the story.
It probably won’t be resolved that soon, so we’ll be waiting to see how the court case ends for Ong.
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Featured image adapted from Pokka on Facebook and Google Maps.
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