Singapore AI-Trading Scam Nets Over US$4.6M—Director Pleads Guilty

An elaborate investment scheme in Singapore has collapsed, exposing how the promise of AI-powered trading was used to mislead investors. At the center of the case is the platform name C7 Traders, which was presented as the venue for automated trades but later revealed to be part of a carefully constructed façade. Authorities say millions were lost before the operation came to light.

Scam Details

Ong Kai Min, 42, director of Singapore Index Trading Institute (SITI), Bookhero, OKM Holdings, and C7 Traders Vanuatu, pleaded guilty to cheating offenses. Between mid-2019 and early 2021, investors were told their funds would be executed via automated AI trades on the platform C7 Traders, through a mobile app displaying fabricated account activity and returns. In truth, no real trading occurred; deposits went into accounts controlled by Ongs companies.

Modus Operandi

Investors were instructed to open accounts and deposit funds into Bookhero or SITI controlled accounts, with false assurances of returns between 2–10% per month. Some payouts—totaling over S$283,000—were made to sustain credibility, but the majority of funds were used for personal and business expenses.

Legal Consequences

Ong faces twenty‑three counts of cheating under the Penal Code and one count of obstructing justice for ordering staff to delete company records and reformat computers before the platforms sudden collapse. Under Singapore law, each cheating charge carries up to 10 years in prison, and the obstruction charge up to 7 years.

The scheme has received 30 investor complaints filed with the Commercial Affairs Department.

This incident illustrates how high-tech promises and perceived institutional credibility can be weaponized in financial fraud. Claims of AI-driven trading and guaranteed returns demand scrutiny.

WikiFX Evaluation of C7 Traders

A quick check on WikiFX shows that C7 Traders (via C7 Traders Vanuatu) has no valid regulatory license. Its license from Vanuatu has been revoked, and the platform is flagged for “suspicious license,” “suspicious business scope,” and high user risk. WikiFX strongly advises against engagement.

Investors should always verify a platforms legitimacy using tools like WikiFX Query Tool, which provides regulatory status, verified URLs, and user complaint records—crucial for avoiding scams masked as innovation.