The former Singapore oil mogul slated to pay liquidators HSBC $3.6 billion is O.K. Lim, the founder of the collapsed oil trading firm Hin Leong Trading.
O.K. Lim: The Former Singapore Oil Mogul
O.K. Lim, whose full name is Lim Oon Kuin, along with his children, had reached an agreement to pay a substantial sum to the liquidators of his company and a major creditor. This development is part of the extensive fallout from the collapse of Hin Leong Trading, once one of Singapore's largest independent oil traders.
Details of the Payment Agreement
The agreement stipulates a payment of US$3.6 billion (approximately S$4.84 billion). This payment is specifically earmarked for the company's liquidators and its creditor, HSBC.
Key aspects of this financial resolution include:
- Payer: O.K. Lim and his children.
- Amount: US$3.6 billion.
- Recipient: The company's liquidators and HSBC.
- Context: This payment stems from a separate, civil case related to the firm's collapse and the massive debts incurred.
In addition to this civil settlement, Lim and his children have also filed for bankruptcy. This significant financial obligation is part of the broader efforts to recover funds following the unraveling of Hin Leong Trading, which had debts of around US$3.5 billion when it applied for judicial management in April 2020.
| Aspect | Detail |
|---|---|
| Payer | O.K. Lim and his children |
| Amount | US$3.6 billion |
| Recipients | Company's liquidators and creditor HSBC |
| Case Type | Separate, civil case |
| Status | Lim and his children have filed for bankruptcy |
| Background | Founder of collapsed oil trading firm Hin Leong Trading |
Legal Ramifications and Aftermath
The agreement to pay liquidators and creditors highlights the severe financial distress and legal challenges faced by O.K. Lim and his family. The collapse of Hin Leong Trading sent shockwaves through the global commodity trading industry, revealing a complex web of alleged fraudulent activities, including hiding losses and forging documents to obtain financing.
For instance, O.K. Lim was recently sentenced to 17.5 years in jail after being convicted on multiple charges of cheating and forgery in relation to the firm's financial irregularities. This criminal conviction is distinct from the civil settlement regarding the US$3.6 billion payment.
The comprehensive efforts to recoup funds underscore the gravity of the financial distress and the extensive legal processes involved in resolving the aftermath of one of Singapore's most high-profile corporate collapses.
Further Reading: For more details on the sentencing and related developments, you can refer to reports such as "Singapore oil tycoon OK Lim sentenced to 17.5 years jail" from The Edge Singapore.
