SINGAPORE: A fugitive who left Singapore in 2022 while facing cheating charges over villa investment scams was on Tuesday (Sept 15) sentenced to six years and eight months’ jail.
Selliaya Suresh pleaded guilty to 24 charges, including 22 counts of cheating. Another 140 charges were considered during his sentencing.
The court heard that the 56-year-old, who was arrested in Malaysia in 2023, was responsible for causing multiple victims to lose over $1 million.
In one ruse he first perpetrated in 2013, Selliaya convinced over 13 investors, including a teacher and an auditor, to hand over more than $1.9 million for shares in properties known as the “Kenisha Ayurvedic Resort and Villas”.
He had run a company called Ritabella Investment, which was later known as RBI Holding (RBIH).
From June 2013 to some time after July 2014, the company advertised on various platforms that it was selling shares in the properties.
Selliaya and members of RBIH’s sales team also attended various investment expos in Singapore to attract investors.
Each villa was divided into 10 shares. Initially, each share cost $4,800, but it was later increased to $6,000.
The holder of each share was “guaranteed” an annual return of 8 to 10 per cent for five years, depending on the investment sums.
Investors were told they could sell their shares back to RBIH after a two-year lock-in period or hold them until the five-year maturity date.
Selliaya later claimed the villas were in the midst of being constructed, with the opening slated for the third quarter of 2014.
He told investors they would receive returns from the rental income generated from the villas.
The agreement investors signed stated that RBIH was the “absolute owner” of Kenisha Ayurvedic Resort and Villas.
In reality, no villas were built at the time.
Deputy Public Prosecutor Matthew Choo said: “(While) the investors received one or two payments of the returns promised...some of the investors managed to obtain refunds of their investments from RBIH after significant inconvenience.”
The court heard that around $982,000 of the more than $1.9m collected was returned to investors. This led to a loss of over $920,000.
The offender also ran a second ruse, in which investors were told they could profit from the shares they held because a third party was purportedly interested in buying the villas and the land they sit on.
Around mid-2015, Selliaya and his brother set up White House Federal Trust and Assurance.
Investors were contacted by the trust and offered help in selling their shares.
According to court documents, investors were told they had to first pay a “capital gain tax” of 20 per cent on the sale price to claim the profits.
In total, nine investors paid nearly $191,000.
In truth, there was no offer from a third party.
Selliaya was charged in 2019, but absconded in 2022 when his initial trial was adjourned.
None of the victims of the second ruse got their money back. - The Straits Times/ANN
