Former oil tycoon Lim Oon Kuin, popularly known as OK Lim, along with his two children, have agreed to a judgment of US$3.5 billion (S$4.5 billion) being entered against them, and have announced their intention to file for bankruptcy as they lack sufficient assets to settle all their debts.
“In a statement, the family disclosed their decision to file for bankruptcy in the wake of a civil trial and subsequent consent judgment,”. The judgment, entered in the midst of a civil trial initiated by liquidators against the Lim family, effectively concludes the trial proceedings.
As per the consent judgment, “Hin Leong had suffered about US$808 million in losses from futures and swaps from 2010 to 2020, with the losses allegedly concealed by overstating profits by US$2.1 billion in the same period,” stated Drew & Napier’s chief executive officer and Senior Counsel Cavinder Bull in his opening statement as lead counsel for the liquidators.
The Lim family quoted: “In separate statements to the media, the Lims said they continued to deny the civil suits made against them but were consenting to the judgment for various reasons.”
In his statement, OK Lim mentioned, “As for all of the civil suits that have been made against me, while I continue to deny the claims, I do not wish to take up any more of the court’s time and resources.” The Octogenarian further mentioned, “I therefore offered to all the claimants who have sued me that I will consent to judgment without admission as to liability.”
Lim’s 57-year-old daughter and his son share their thoughts on the proceedings, expressing their intentions to prioritize their health and defend against criminal proceedings.
In conclusion, the liquidators expressed gratitude to the creditors and legal team, stating, “This is an important milestone in the liquidation of Hin Leong, and is a victory that belongs to the creditors of Hin Leong!”
