Judge cites lack of credible evidence, potential cross-border money laundering risks, and links to sanctioned individuals in denying application.
A Singapore district court has rejected an application by four companies linked to Cambodia’s Prince Group to partially unfreeze seized funds, dealing a setback to efforts by the firms to regain access to their accounts. The ruling, detailed in court documents reviewed by Lianhe Zaobao and reported on Wednesday, underscores judicial concerns over credibility, transparency and the risk of large-scale cross-border financial crime.
The application sought permission to release portions of the frozen funds to cover operational expenses, including staff salaries, legal fees and outstanding tax obligations. It was filed by a woman surnamed Wu, a former human resources manager at DW Capital, acting on behalf of company director Chen Xiuling Karen. Wu argued that the companies were facing financial strain due to the asset freeze and required limited access to funds to meet basic obligations.
However, District Judge Goh Siew Yun found Wu’s submissions unreliable and insufficient to justify lifting the freeze. In her ruling, the judge questioned Wu’s authority and knowledge to make detailed financial claims on behalf of the companies. Wu’s professional responsibilities were described as limited to recruitment and payroll, raising doubts about her ability to accurately assess or represent the firms’ broader financial positions.
The court also noted inconsistencies in Wu’s statements. Although she resigned from DW Capital in October 2025, she nonetheless provided information on non-current assets for all four companies without clearly identifying the sources of her data. This lack of transparency further undermined the credibility of the application.
The companies involved are associated with Singapore citizens Yang Xinfah and Chen Xiuling, both of whom left Singapore in September and October 2025. They were subsequently sanctioned by the United States in connection with investigations linked to the Prince Group. Singapore authorities repeatedly instructed both individuals to return to assist with ongoing probes, but they failed to comply.
Judge Goh also highlighted evidence suggesting that the companies may be connected to overseas entities and that Chen Zhi, the founder of the Prince Group, is the ultimate beneficiary. This raised the possibility that the firms could seek financial support from related foreign entities rather than accessing funds frozen in Singapore. The court said this factor weakened the argument that unfreezing the seized assets was necessary for the companies’ survival.
Crucially, the judge emphasized that indications of potentially large-scale cross-border money laundering justified granting investigators additional time. Given the suspicious nature of the funds and the complexity of the alleged financial networks, preserving the seized assets was deemed necessary to protect the integrity of the investigation.
The applicants’ legal counsel from Fervent Chambers said the companies are reviewing the ruling and considering their next steps. Meanwhile, developments in Cambodia and China continue to shape the broader case. Cambodian authorities have confirmed that Prince Group founder Chen Zhi was arrested following joint investigations with China. His Cambodian citizenship was revoked in December, and he has since been extradited to China along with other suspects, adding further weight to regional enforcement actions surrounding the case.
