Kimly & Co: A Faux Pas That Popped Headline
In a domino‑style chain of events that had investors clutching their wallets, two former leaders of Singapore’s café chain Kimly faced a fresh wave of legal trouble. On Friday, 12 November, the duo were slapped with disclosure offences tied to Kimly’s attempted takeover of drinks maker Asian Story Corporation (ASC) back in 2018.
The Key Players
- Lim Hee Liat – ex‑executive chairman of Kimly
- Chia Cher Khiang – former executive director at Kimly
- Alain Ong Eng Sin – ex‑chief executive of Pokka International, now a director at Pokka Corporation (Singapore), with a cheeky relationship to actress Vivian Lai
What Went Wrong?
Back in July 2018, Kimly announced its purchase of ASC. Fast‑forward to the courtroom drama: two firesides, a missing disclosure, and a partial ownership that could have influenced the deal.
The police claim that the acquisition was an “interested person transaction” because Lim owned part of ASC. Under the Singapore Exchange Catalist Rules, such deals must be spammed to the public. The story? Kimly didn’t.
Lim also faced a separate charge under the Companies Act – essentially, he didn’t give the board the full picture about his ASC stake.
Other Legal Heat
Alain Ong was charged with three offences under the Companies Act. The gist: he had a hidden benefit from ASC but didn’t notify either Pokka International or Pokka Corp 3 times when those entities and ASC pushed deals together.
Timeline Highlights
- Feb 2017 – Ong became a non‑executive director at Kimly.
- Sept 2018 – He was asked to leave Pokka International.
- Sept 30, 2018 – Kimly went silent on whether Ong was still on their books.
- Nov 2018 – Reports said Kimly bowed out of a $16 million acquisition after a regulatory hiss‑hush.
The Verdict? What’s on the Blade
- Under the Securities & Futures Act: up to 7 years’ jail, $250,000 fine, or a mix.
- Under the Companies Act: 12‑month jail term, $5,000 fine, or both.
Kimly’s board has asked Chia and Lim to stay on as employees, at least until court hearings wrap up. The move shows the company’s willingness to keep the nuts and bolts of the transition smooth.
For more details, check back with the Financial Times and New Straits Times. Note: any reproduction needs the proper permissions.
