SINGAPORE — In a dramatic twist, Thai national Pansuk Siriwipa has pleaded guilty to cheating and money laundering in a luxury goods scam that has bewildered many. On 21 October 2024, the 30-year-old admitted to 30 charges linked to a staggering $32 million fraud involving 166 victims who collectively lost over $12 million.
Pansuk, who co-ran companies Tradenation and Tradeluxury with her husband, Singaporean Pi Jiapeng, 29, is now facing the music as more charges await her in court. Another 150 charges will be taken into consideration during her sentencing on 29 October 2024.
The High Life
Instead of delivering luxury watches and bags as promised, Pansuk used the customers’ funds to bankroll a lavish lifestyle. This included purchasing a house worth over $2 million in Bangkok, a Chevrolet Corvette sports car registered in Pi’s name, and extravagant private jet trips with friends. Pi, by the way, wasn’t slumming it either—he already had a Toyota Alphard, a McLaren Coupe, and a Porsche Macan parked in the garage.
A House of Cards
The scheme started strong when Pansuk sourced luxury goods from Thailand at lower prices. But trouble brewed in 2021; attempts to find goods overseas hit a snag, forcing her to source locally at higher costs. Deputy Public Prosecutor David Koh highlighted that the companies spiralled into financial disarray, racking up liabilities of over $9.3 million in unfulfilled orders against mere assets worth approximately $350,000 by early 2022.
The Ponzi Scheme
Despite knowing the dire state of her business, Pansuk continued to solicit payments for luxury items totalling more than $24.7 million from March to June 2022. DPP Koh described the situation as a Ponzi scheme that relied on new customers to pay off older debts. The aftermath saw 187 police reports lodged as customers clamoured for their missing purchases.
A Rolex Story
In a striking example of the fraud, Pansuk mishandled a customer’s Rolex, originally priced at $105,000. Instead of selling it at its valuation, she sold it for $72,000 and funneled the cash to help Pi with his credit card bills. When the customer inquired about her watch, Pansuk’s response involved delayed excuses and outright lies.
The Price of Crime
DPP Koh is gunning for a jail term of 14 to 15 years for Pansuk, while her defence lawyer, Johannes Hadi, is suggesting 12 years and 8 months to 13 years and 7 months. Both Pansuk and Pi have been in remand for over two years, having been arrested on 11 August 2022 after a month-long escape to Malaysia with help from local accomplices.
After evading authorities, they were caught on 11 August 2022 in Johor Bahru, following a tip-off from the Royal Thai Police. The duo’s helpers in Malaysia received a year’s jail sentence for their efforts.