Financial adviser sentenced to jail for forging insurance policies

Financial adviser sentenced to jail for forging insurance policies | Insurance Business Asia

Insurance News

Financial adviser sentenced to jail for forging insurance policies

Adviser faked policies to meet sales targets

Insurance News

By
Roxanne Libatique

A financial adviser in Singapore was sentenced to eight months in jail after falsifying multiple signatures to meet sales targets.

On August 6, Lai Mei Lin, 32, admitted to five charges, including unauthorised access to computer material and forgery. Four additional charges were considered during sentencing, according to The Straits Times Singapore.

Lai, who is serving a one-month notice period, was granted a deferment and will surrender on Sept. 6.

Insurance agent forges signatures

Deputy Public Prosecutor Cheronne Lim said that Lai was an assistant vice-president and unit manager at Manulife Financial Advisers during the offenses.

In December 2019, Lai persuaded a former colleague to use his personal details to register an insurance policy, assuring him that she would cover the costs. The former colleague initially hesitated but eventually agreed, providing his NRIC and other personal details.

On Dec. 20, 2019, Lai registered the policy using the account of Joel Tan Per Yuan, 27, a financial representative under her supervision. Tan, who trusted Lai during his training, had given her his login details.

Lai then contacted Tan for a one-time password sent to his phone, logged into his account, and forged eight signatures on various documents before submitting them for approval.

Fraudulent sale of insurance contributed to sales target

According to Lim, Lai misled Manulife Financial Advisers into believing Tan had sold the policy.

“The sale would also contribute to Lai’s team’s sales target, in respect of which Lai stood to receive further bonus payments,” Lim said, as reported by The Straits Times Singapore.

Lai paid the policy premium of $7,031.20 on behalf of her former colleague. Consequently, Manulife Financial Advisers paid Lai, Tan, and Lai’s branch manager a total of $8,354.30 in commissions and bonus payments.

On Dec. 20, 2020, Lai submitted a surrender form with her former colleague’s details and a forged signature without his knowledge. She also registered three additional policies using the names of other individuals, including Samuel Ang Wee Teck, 26, another financial representative she supervised. The cases against Ang and Tan are ongoing.

On April 29, 2022, Tan filed a complaint against Lai with Manulife Financial Advisers, prompting an investigation. However, it was inconclusive due to Lai’s lack of cooperation.

In sentencing, District Judge Chay Yuen Fatt cited Lai’s high level of dishonesty and culpability due to the multiple forgeries.