Singapore-based executive resigns amid US sanctions over Prince Group ties | AGB
Summary
FSM Holdings has confirmed the resignation of executive director Li Thet after the US Treasury’s Office of Foreign Assets Control (OFAC) added him to a sanctions list linked to Prince Holding Group, which US authorities allege runs a transnational scam network. FSM says the company itself is not sanctioned, has launched an internal review, and insists neither it nor its senior management have ties to Prince Group.
The OFAC action on 14 October named 18 individuals and multiple Singapore-registered entities accused of involvement in extensive online scams, money laundering and human trafficking. Li is reported to hold Cambodian citizenship and a Vanuatu passport, and media reports note a high-value Singapore property purchase near an apartment owned by Prince Group chairman Chen Zhi. FSM is a Hong Kong-listed company that operates in precision sheet metal engineering and online mobile games, with operations in Singapore and Malaysia.
Key Points
- FSM Holdings’ executive director Li Thet resigned on 21 October after being sanctioned by the US for alleged ties to Prince Holding Group.
- OFAC added 18 individuals and several Singapore-registered companies to the SDN list over alleged involvement in large-scale scams, human trafficking and money laundering.
- FSM says it is not sanctioned, has no links to Prince Group, and has launched an internal review to assess any impact.
- Li reportedly holds multiple citizenships and has purchased high-value property in Singapore; Prince Group chairman Chen Zhi is alleged to be the central figure in the criminal network.
- The case highlights cross-border exposure for businesses and individuals in the region, with reputational and regulatory risks for firms with connections to named parties.
Why should I read this?
Short and sharp: if you work in compliance, corporate governance, gaming or regional corporate affairs, this one matters. US sanctions have real teeth — companies with linked people or entities suddenly face regulatory, banking and reputational headaches. We skimmed the detail so you don’t have to — but you’ll want to check if any counterparties or directors in your network show up on the lists.
Context and Relevance
This development is significant for several reasons. First, it underlines continued US pressure on alleged transnational scam networks operating out of Southeast Asia, and shows OFAC’s willingness to target individuals and associated corporate structures, including Singapore-registered companies. Second, it raises due diligence and AML flags for firms with regional operations — even if the parent company is not sanctioned, connections through directors or shareholders can create immediate risk. Finally, the move could prompt tighter scrutiny from regional regulators and banks, and may lead to further investigative or enforcement actions.
