Thai woman admits to cheating, money laundering

A Thai woman involved in the $32 million luxury goods scam has pleaded guilty to cheating and money laundering on Oct 21.

Pansuk Siriwipa, 30, faced 180 charges, involving 166 victims who were cheated of more than $12 million.

She admitted to 30 charges including cheating, money laundering and misappropriating luxury goods.

Another 150 charges will be taken into consideration during sentencing on Oct 29.

Her husband, Singaporean Pi Jiapeng, 29, faces nine charges. His case is pending.

Their customers thought they were paying for luxury watches and bags from Tradenation and Tradeluxury – companies run by Pansuk and Pi.

Instead, Pansuk used the money to buy a house worth over $2 million in Bangkok, a Chevrolet Corvette sports car registered in Pi’s name, and on a private jet flight with Pi and their friends.

Pi already owned three other cars – a Toyota Alphard, a McLaren Coupe and a Porsche Macan.

Pansuk had initially sourced for luxury goods from Thailand, and sold them for lower prices compared to other resellers while still maintaining profits.

However, at the end of 2021 and in early 2022, she had trouble sourcing the goods overseas. She later found them from local suppliers, but had to pay more for the merchandise.

Deputy Public Prosecutor David Koh said the companies began to operate at a loss and this left them in a dire financial state.

He added that from March to June 2022, Pansuk carried on the business of Tradenation for a fraudulent purpose.

She took orders and collected payments for luxury watches amounting to over $24.7 million, despite knowing that Tradenation could not fulfil these orders given its financial condition.

By the end of March 2022, the companies had cumulative liabilities of over $9.3 million in unfulfilled orders, while their assets were only worth around $350,000.

Despite this, Pansuk continued to accept orders for luxury goods.

DPP Koh said the couple’s two companies became a Ponzi scheme, and depended on bringing in new customers to pay debts owed to existing customers.

After customers realised they paid for goods they did not receive, 187 police reports were made.

On one occasion in 2022, a customer consigned a Rolex worth $105,000 with Tradenation.

In consignment, owners hand over their items to a shop which will help to sell them for a cut of the proceeds. If there is no transaction within a stipulated time, the products are returned to the individuals.

However, Pansuk sold it for $72,000 and gave some of the money to her husband to pay off his credit card bills and car loans.

When the customer asked where the watch was, Pansuk tried to buy time and lied there was a customer willing to buy it for $105,000.

The customer did not receive payment for her watch, said the DPP.

He sought a jail term of between 14 and 15 years’ jail for Pansuk.

Her defence lawyer, Johannes Hadi, argued for a term of 12 years and 8 months to 13 years and 7 months.

Pi and Pansuk have been in remand for more than two years since they were arrested on Aug 11, 2022, after being on the run for more than a month.

They fled to Malaysia, with the help of two Malaysian men, while investigations were ongoing.

The couple met one of them at an industrial building in Ang Mo Kio, and he drove them out of Singapore in a lorry as they hid in the vehicle’s container compartment.

The Malaysians were each sentenced to a year’s jail in 2022 for helping the couple escape.

On Aug 10, the Singapore Police Force received information from the Royal Thai Police that the couple might be staying at a hotel in Johor Bahru.

They were arrested the next day at the hotel and brought back to Singapore that evening.