Shocking Case of Fraud

In a startling case of white-collar crime, Raul Randhawa, a 44-year-old risk and controls officer for AIG Apac in Singapore, has been sentenced to four months in jail following his guilty plea to a single count of criminal breach of trust. On October 30, 2024, the court discovered that Randhawa had used a corporate credit card to make 27 unauthorized transactions totaling nearly $30,000.

Extravagant Lifestyle and Financial Mismanagement

Randhawa, who earned over $11,000 a month, was entrusted with a Citibank corporate credit card, explicitly intended for business expenses only. Signing a formal agreement, he acknowledged that any personal expenses should be paid off directly with Citibank within a week, alongside notifying his employer. However, in a shocking twist, he later denied ever being issued the corporate card.

Spending Habits and Financial Trouble

Deputy Public Prosecutor Gabriel Lee revealed that Randhawa had too often found himself in financial straits, claiming to owe friends money, largely due to his extravagant spending habits fueled by weekends spent partying in Jakarta between July and October of 2023. His lavish lifestyle evidently led to financial decisions that crossed ethical and legal boundaries.

Employment and Responsibilities at AIG Apac

Court documents indicate that Randhawa began his employment at AIG Apac in August 2020, where his responsibilities included the crucial task of developing and enforcing information technology policies. Given his pivotal role, he was entrusted with a credit limit of $30,000 on the corporate card.

Discovery of Fraudulent Activities

In October 2023, shortly before his resignation was accepted, he was ordered to return all company property, including the corporate credit card. Curiously, Randhawa initially maintained that he never received such a card. However, he eventually admitted to having it only after being shown confirmation documents from the human resources department.

Cancellation and Restitution

The company proactively canceled the card on November 3, 2023, but just days later officials discovered the extensive misuse of funds. The staggering sum of $29,674 had been illicitly charged, showcasing a blatant disregard for company policy and trust.

Impact on AIG Apac and Conclusion

Randhawa has since made full restitution for the unauthorized transactions, but it remains unclear how this incident might affect AIG Apac's internal policies and trust in employee-card usage moving forward. This case highlights pressing issues regarding corporate responsibility and ethical conduct, underlining the severe repercussions when trust is breached in corporate spheres.

Stay Tuned!

Stay tuned for more investigations into corporate misconduct and takeaways that can help safeguard businesses from similar incidents!