Former Oil Tycoon OK Lim Sentenced to 17.5 Years for Fraud

Lim Oon Kuin, the founder of the now-defunct Singapore oil trading firm Hin Leong, was handed a 17-and-a-half-year prison sentence on Monday for defrauding HSBC and aiding in forgery.  

The 82-year-old, widely known as OK Lim, was convicted on three charges out of over 100 filed against him. These included two counts of defrauding HSBC and one count of instructing a Hin Leong employee to forge documents, leading to a loss of $111.7 million.  

Lim’s conviction came in May, but sentencing occurred on Monday in Singapore’s State Courts. His bail has been set at S$4 million, and he plans to appeal the verdict.  

At its height, Hin Leong was a major player in Asia’s diesel and bunker fuel markets. However, its collapse in 2020 marked one of Singapore's most significant corporate failures, resulting in the liquidation of its subsidiary, Ocean Tankers, and the sale of its extensive fleet.  

Just last month, Lim and his children agreed to pay $3.5 billion to Hin Leong’s liquidators and HSBC. However, they have since announced plans to file for bankruptcy. A High Court hearing on the family’s bankruptcy applications is scheduled for November 26.  

The downfall of Hin Leong and its founder has become a cautionary tale in Singapore’s business history, highlighting the consequences of financial misconduct.