Progress of Ferrier Hodgson’s investigation of PIPC
August 11, 2007
On August 9, Thursday, investors of Performance Investments Products Corporation (PIPC) attended a presentation of Ferrier Hodgson, appointed provisional liquidators of PIPC, to listen to the results of their initial investigation.
Here is a summary of the report.
Ferrier Hodgson’s initial findings of PIPC
- Company generally lacks accounting books and records
- Very few people are in control
- Appears only Michael Liew had full picture of funds flow and bank accounts where investor funds were held
Progress of investigation (Manila, Philippines)
- All available hard drives in Manila office compiled and copied
- Currently securing ABN-Amro bank drafts
- Requested management to furnish whatever existing records and documents relevant to the investigation
- Interviewed key staff of PIPC
- Met with several investors to address queries
Progress of investigation (Hong Kong)
- Banks known to hold PIPC funds have been contacted:
ABN confirmed they hold around US$1.1 million
SCB confirmed they have around US$103,000 plus an unknown investment
RZB yet to confirm balance
- 122 other financial institutions in Hong Kong instructed to freeze funds in the name of the Company
- Account opening forms, bank statements and other relevant documents have been requested from banks known to have dealt with the Company
Progress of investigation (Singapore)
- PIPC’s Singapore office, located at 37/F Singapore Land Tower, Raffles Place, have not been used for 3-4 weeks now but arrangements still in place for forwarding calls and mails
- Forwarding arrangements for calls now directed to a discontinued phone number
- Forwarding mail address is to a massage parlor named “Beautiful Wellness” who appears to have no knowledge of PIPC
- Known staff in Singapore office contacted but most of them unwilling to respond and cooperate
Progress of investigation (China)
- Companies related to PIPC currently being investigated
- One company involved in oil and gold trading still operating; another company claims it has no relationship with Michael Liew or PIPC depsite marketing materials sighted in the company suggesting otherwise
Tracking down Michael Liew and Albert Chua
- Still no contact yet with Liew and Chua
- No occupants in Liew’s known residential properties
- One Singapore property apparently sold by Liew 3 or 4 months ago
Future investigation activities of Ferrier Hodgson
- Examine known PIPC directors and officers
- Interview employees of PIPC and associated companies
- Investigate activities of all associated companies, subsidiaries and other related parties
About Ferrier Hodgson and its appointment as PIPC liquidator
Ferrier Hodgson is an accounting forensics investigator with a “strong track record of expertise” in managing all matters relating to fraud, including recovery and protection of evidence, analysis and interpretation of data, and management of legal recovery actions. They are currently undergoing investigations on two major Hong Kong listed companies, the creditors’ claims on one of these exceeds HKD5 billion.
A PIPC investor applied to a Hong Kong Court to protect the interests of all investors. The Court believed PIPC assets may be in jeopardy and an independent third party may be required to take control of the situation. Thus on August 6, 2007, it confirmed the appointment of Ferrier Hodgson as provisional liquidator of PIPC.
Discuss PIPC and the Ferrier Hodgson report in the PIPC: Performance Investments Products Corporation thread in the PMT Forum.