Undergrad may have lost $66,000 to company
by Hedy Khoo
SHE put $66,000 of her family's money into what she thought would give her quick and lucrative returns.
But a year on, the 20-year-old undergraduate could end up losing most of it because she has no idea what has happened to the controversial company in which she had invested - Sunshine Empire.
A check by The New Paper found that the company, which used to occupy a seventh-storey unit at the HDB Hub in Toa Payoh, is no longer there.
In its place is another company called Niu Lifestyle, which was registered on 20 Mar this year.
However, the corporate websites of Sunshine Empire, which is under investigation by the authorities, are still online, although details of its supposed property ventures have since been taken down.
The undergraduate, who wanted to be known only as Pamela, does not have the faintest clue how to recover the $66,000 she put into the multi-level marketing company.
Lured by the promise of cash rebates of up to $1,000 a month, Pamela bought a total of six packages called Gold Prime under the Sunshine Empire product line.
She paid $11,000 for each package, using money she borrowed from her parents.
She said: 'I don't know if I will ever see the money again. I was naive and foolish.
'I thought that was a smart way to earn money.'
She said her father was hospitalised some time in the middle of last year and she was in need of money. 'My friend told me about Sunshine Empire, and how I should make my money work for me,' she recalled, and started buying through her friend.
'At first, I thought it was too good to be true, but for the first two months, I got cash rebates of $4,000,' she said.
Convinced that the scheme worked, she borrowed another $44,000 from her parents to buy more packages.
She even persuaded two more of her friends to buy packages with her, as by selling the packages, she could earn 'bonus points', which could supposedly be converted into cash.
'I really thought it was easy money, and it wasn't wrong because I wasn't prostituting myself or cheating people.
'We went for motivational talks at the company, which sold us not only the packages promising good rebates, but also the idea of being able to change our lives and live our dreams.'
But in October and November last year, media reports were published about the Sunshine Empire's unsupported claims of grandiose investments in water theme parks in Malaysia and a wireless broadband project in Taiwan.
'My parents were worried and started to warn me and told me to take my money out, but I was stubborn and refused to heed their advice,' she said, her voice tinged with regret.
'My friends in Sunshine Empire said that any media publicity is good publicity and it only showed that our company was famous. I believed them.'
Only in November, when it was reported that the company was under investigation by the Commercial Affairs Department (CAD), did Pamela start to panic.
She called her 'upline' (the person who recruited her) asking to withdraw her cash, but was told that all accounts were frozen and there was no cash available.
Hounded by friends
Then, she was hounded by her two friends whom she had recruited.
'I feel very bad that I got them into the same situation as myself,' she said.
Then in March, she was told by her 'upline' that a new company called Niu Lifestyle had been set up at the former office of Sunshine Empire.
'I asked what was this company about, and I was told it was fengshui-related, but to find out more, I had to meet her there at the 'office',' she said.
'If it is a totally different company, why did my Sunshine Empire's upline tell me to meet at the same office, even when it is called Niu Lifestyle now?' she asked.
'I was sceptical by then, and it seemed that it was just a change in name.
'When I asked about Sunshine Empire, I was only told my money was stuck, but I could transfer my account to another new company called Em Max.'
Her 'upline' told her Em Max was a new start-up in Hong Kong.
'By then, I didn't believe anything I was told anymore. I was furious but I was desperate. So I made the account transfer. I don't think I will see my money again, but I am just trying anyway,' she said.
'I feel very stupid, and I felt I was brainwashed. The money I borrowed from my parents was hard-earned, and I feel guilty and that I let them down.
'My relationship with my parents have become strained because of this.
'There is no such thing as easy money,' she said ruefully.
When approached, the Monetary Association of Singapore declined to comment. It had put Sunshine Empire on its investor alert list on its website last year.
When contacted, the police said Sunshine Empire was still under investigation.
The Consumers Association of Singapore's executive director, Mr Seah Seng Choon, had earlier cautioned participants against transferring their money to Hong Kong, as it would put their investment outside Singapore's jurisdiction.
by Hedy Khoo
SHE put $66,000 of her family's money into what she thought would give her quick and lucrative returns.
But a year on, the 20-year-old undergraduate could end up losing most of it because she has no idea what has happened to the controversial company in which she had invested - Sunshine Empire.
A check by The New Paper found that the company, which used to occupy a seventh-storey unit at the HDB Hub in Toa Payoh, is no longer there.
In its place is another company called Niu Lifestyle, which was registered on 20 Mar this year.
However, the corporate websites of Sunshine Empire, which is under investigation by the authorities, are still online, although details of its supposed property ventures have since been taken down.
The undergraduate, who wanted to be known only as Pamela, does not have the faintest clue how to recover the $66,000 she put into the multi-level marketing company.
Lured by the promise of cash rebates of up to $1,000 a month, Pamela bought a total of six packages called Gold Prime under the Sunshine Empire product line.
She paid $11,000 for each package, using money she borrowed from her parents.
She said: 'I don't know if I will ever see the money again. I was naive and foolish.
'I thought that was a smart way to earn money.'
She said her father was hospitalised some time in the middle of last year and she was in need of money. 'My friend told me about Sunshine Empire, and how I should make my money work for me,' she recalled, and started buying through her friend.
'At first, I thought it was too good to be true, but for the first two months, I got cash rebates of $4,000,' she said.
Convinced that the scheme worked, she borrowed another $44,000 from her parents to buy more packages.
She even persuaded two more of her friends to buy packages with her, as by selling the packages, she could earn 'bonus points', which could supposedly be converted into cash.
'I really thought it was easy money, and it wasn't wrong because I wasn't prostituting myself or cheating people.
'We went for motivational talks at the company, which sold us not only the packages promising good rebates, but also the idea of being able to change our lives and live our dreams.'
But in October and November last year, media reports were published about the Sunshine Empire's unsupported claims of grandiose investments in water theme parks in Malaysia and a wireless broadband project in Taiwan.
'My parents were worried and started to warn me and told me to take my money out, but I was stubborn and refused to heed their advice,' she said, her voice tinged with regret.
'My friends in Sunshine Empire said that any media publicity is good publicity and it only showed that our company was famous. I believed them.'
Only in November, when it was reported that the company was under investigation by the Commercial Affairs Department (CAD), did Pamela start to panic.
She called her 'upline' (the person who recruited her) asking to withdraw her cash, but was told that all accounts were frozen and there was no cash available.
Hounded by friends
Then, she was hounded by her two friends whom she had recruited.
'I feel very bad that I got them into the same situation as myself,' she said.
Then in March, she was told by her 'upline' that a new company called Niu Lifestyle had been set up at the former office of Sunshine Empire.
'I asked what was this company about, and I was told it was fengshui-related, but to find out more, I had to meet her there at the 'office',' she said.
'If it is a totally different company, why did my Sunshine Empire's upline tell me to meet at the same office, even when it is called Niu Lifestyle now?' she asked.
'I was sceptical by then, and it seemed that it was just a change in name.
'When I asked about Sunshine Empire, I was only told my money was stuck, but I could transfer my account to another new company called Em Max.'
Her 'upline' told her Em Max was a new start-up in Hong Kong.
'By then, I didn't believe anything I was told anymore. I was furious but I was desperate. So I made the account transfer. I don't think I will see my money again, but I am just trying anyway,' she said.
'I feel very stupid, and I felt I was brainwashed. The money I borrowed from my parents was hard-earned, and I feel guilty and that I let them down.
'My relationship with my parents have become strained because of this.
'There is no such thing as easy money,' she said ruefully.
When approached, the Monetary Association of Singapore declined to comment. It had put Sunshine Empire on its investor alert list on its website last year.
When contacted, the police said Sunshine Empire was still under investigation.
The Consumers Association of Singapore's executive director, Mr Seah Seng Choon, had earlier cautioned participants against transferring their money to Hong Kong, as it would put their investment outside Singapore's jurisdiction.
