SINGAPORE: After learning about scams against contractors, a man decided to perpetrate similar hoaxes for money.
Arivalagan Muthusamy, 40, would pretend to be a representative from the building management of commercial venues and ask contractors to pay a sum of money as a security deposit or for other purposes before works commenced.
In this manner, Arivalagan managed to cheat a total of 61 victims of around S$310,000 (US$240,000) over about half a year.
Arivalagan was sentenced to two-and-a-half years’ jail on Wednesday (Jun 4). He pleaded guilty to 21 out of 62 charges of cheating, with the rest taken into consideration for sentencing.
He will have to serve an additional 88 days in jail for reoffending while serving remission from previous offences.
In late 2022, Arivalagan came to know of scams against contractors and decided to conduct them himself.
These involved Arivalagan contacting contractors to lie that certain buildings needed maintenance work done. He would redirect the contractor to a contact person – purportedly the building management of the premises.
Arivalagan would then present himself as the building management representative and request the contractor to pay a sum of money as a security deposit, or to purchase public liability insurance, or to apply for a permit-to-work.
Arivalagan would then provide a bank account to receive the payment.
As he needed multiple mobile phone numbers and bank accounts, Arivalagan asked another two men for help to procure bank accounts.
From late 2022 to mid-2023, Arivalagan then cheated several contractors for purported maintenance work at buildings like Capital Tower, Marina Bay Residences, ION Orchard and Shaw House in Orchard.
He lied to the contractors that these venues needed painting, disinfection, furniture rental, air-con servicing, or epoxy flooring works.
The contractors included companies that provided air-con servicing, renovation works or flooring works, among others.
Arivalagan was arrested on Jul 4, 2023 and charged in court the next day.
He has not made any restitution to date.
Deputy Public Prosecutor Maximilian Chew described Arivalagan’s number of offences as “staggering”, referring to the 61 victims who were cheated of S$310,098.
“The offences were planned and premeditated. The accused devised the nefarious scheme to cheat contractors specifically.
“In carrying out the scheme, the accused also roped in (two others) to procure bank accounts belonging to others to receive the proceeds of the scams. Not only is there a group element to the offences, such money mule activities are also additional offences themselves and which warrant the imposition of a strong deterrent sentence,” said Mr Chew.
Mr Chew argued for Arivalagan to be jailed two-and-a-half years, with an additional 88 days’ jail to be given to him in view of how he offended while on remission.
Arivalagan has a history of property offences dating to 2010.
In 2010, he was jailed six weeks for theft, while in 2013, he was jailed eight months over criminal breach of trust and forgery for the purpose of cheating.
He was further jailed in 2022 for computer misuse offences in a syndicate which was involved in gold and cryptocurrency scams in 2021.
Arivalagan’s lawyer Yamuna Bala said her client has decided to change since his arrest and has not harmed or compromised any financial institutions in his offending.
District Judge Wong Peck said the sentences proposed by the prosecution were “fair and appropriate” and imposed them accordingly.
For cheating, an offender can be jailed up to 10 years, and can be fined.
