Singaporean Scammer Defrauded 14 Victims of Over S$122K

Singaporean man, Josh Zhuang Zihui, 24, defrauded 14 victims of over S$122,000 by convincing them to invest in schemes allegedly tied to AI stocks, cryptocurrency, gold, and business acquisitions.

Zhuang falsely claimed to have developed AI software to optimise these investments, but his promises were entirely fabricated.

On 5 February, he was sentenced to one year and ten months in prison after pleading guilty to seven counts of cheating, with 12 additional charges considered during sentencing.

Deputy Public Prosecutor Janessa Phua revealed that Zhuang spent the stolen funds on personal expenses and lavish gifts for live streamers.

Offences Committed in a Span of Less Than Two Years

Between November 2022 and April 2024, Zhuang orchestrated a scheme to defraud his acquaintances by posing as the operator of profitable investment ventures.

Despite lacking any real investment knowledge or intent to invest the funds, Zhuang convinced victims to entrust him with their money, promising substantial returns.

The DPP said:

“The accused downloaded a portfolio tracking application and manipulated the data of the... application, to create the impression that he had a legitimate investment portfolio. He would then take screenshots of his investment portfolio and send them to his victims.”

To maintain the illusion of legitimacy, he periodically updated victims on their supposed gains and even used funds from new victims to pay out fake returns to earlier ones—a classic Ponzi scheme tactic.

For instance, after paying two victims over $12,000 in fabricated returns, Zhuang ultimately caused losses exceeding $110,000, with no restitution made.

One victim, a 22-year-old man, was misled into believing Zhuang was investing in AI and acquiring assets from bankrupt firms, with the promise of a 20% return.

Trusting these claims, the man transferred $14,000 across five transactions between May 2023 and January 2024. Similar deception was used on other victims.

By May 2024, Zhuang’s inability to fulfill the promised returns raised suspicions. The victims alerted authorities, leading to Zhuang’s arrest on 10 May 2024.

Zhuang Sentenced to Less Than Two Years

On 5 February, the DPP recommended a sentence of two years and one month for Zhuang, citing the severity of his fraudulent activities.

The DPP added:

“The accused was motivated by the desire for wrongful gain. The offences were committed in a sophisticated and calculated manner, and were difficult to detect.”

In contrast, Zhuang’s defense counsel, Riko Isaac from Amolat & Partners, appealed for a more lenient sentence of one year and six months.

He said:

“Josh is painfully aware of the financial loss and hardship he has caused to the victims because of his involvement in the offences. He deeply regrets (that he had allowed) his greed for quick money to cloud his judgment.”

Under the law, each count of cheating carries a maximum penalty of up to 10 years in prison and a possible fine.