Singapore-style coffee shop operator Kimly said on Tuesday that Executive Chairman Lim Hee Liat and Executive Director Chia Cher Khiang were arrested by the Commercial Affairs Department (CAD) for being concerned or reasonably suspected of being involved in an offence under the Securities and Futures Act section 199, which relates to making false or misleading statements.
The two were released on bail, Kimly said in a filing to SGX after the market close on Tuesday.
“They continue to assist in investigations, and no formal charges have been made against them by the authorities,” Kimly said.
Last week, Kimly said that Singapore’s CAD and the Monetary Authority of Singapore (MAS) had requested documents and equipment related to its IPO and its acquisition, now cancelled, of Asian Story Corp. (ASC).
Kimly had said it was requested to produce documents related to the company’s IPO, its acquisition of ASC, IT equipment used by Lim, Chia and a former non-executive director, Ong Eng Sing, as well as corporate secretarial records from the beginning of 2016.
Documents related to the ASC acquisition were also requested, it said in last week’s filing.
Both Lim and Chia had told the board that they received similar requests from Singapore authorities in connection with a potential offence of the Securities and Futures Act section 199, Kimly had previously said.