A man has been found to have defrauded four victims out of almost £400,000 after persuading them to put their money into what he claimed was a “risk-free” investment scheme. Michael Pang, 37, of Hill Street, Trowbridge, persuaded four people known to him to hand over a combined £389,000 after claiming their money would be used in an investment involving online betting software. Pang told the victims the software would place multiple online bets with a supposedly guaranteed outcome. Documentation provided to the investors claimed their original investment was not at risk and that their money could be returned at any time. However, financial enquiries later revealed that Pang had no betting accounts in his name after 2017.
Money used to pay debts and previous investors
Instead of investing the money as promised, Pang used funds for his own purposes, including paying debts and covering ordinary living expenses. Money was also used to provide returns to previous “investors” in what police described as being similar to a Ponzi scheme. When victims began asking for their investments to be returned, Pang made a series of excuses about why he could not give them their money. He also provided documentation purportedly from a betting company indicating that funds were awaiting release. Investigators established that the documents had been altered.
Trial of facts held before jury
Pang was arrested in February 2023 and later charged with four counts of fraud by false representation. During subsequent proceedings, however, it was determined that he was not fit to plead due to mental health-related issues. As a result, rather than an ordinary criminal trial, a trial of facts was held before a jury. The jury found that Pang had committed the acts alleged against him. Because the proceedings were a trial of facts, the finding does not amount to a criminal conviction. The case has now been adjourned until October 1 for pre-sentence reports to be prepared.
‘Potentially life-changing sums of money’
Investigating officer Detective Constable Melissa Pope said: “Following this verdict, my thoughts are with the four victims who have been defrauded out of significant, potentially life-changing sums of money. “They placed their trust in Michael Pang, who used his family name and status in Frome to spin a compelling narrative to entice the victims to invest ‘risk-free’ in his scheme. “Sadly, this was a deception by Pang who instead used the money for his own purposes. “While there is no criminal conviction, I hope this verdict can bring an element of closure for the victims of this case.” DC Pope also warned members of the public to be extremely cautious about investments promising guaranteed returns. She added: “I want to remind those who are considering investing that there’s no such thing as a risk-free investment or guaranteed returns. “Please take the time to research investments thoroughly, seek independent advice and be cautious before parting with your money. “If something sounds too good to be true, it probably is.”
Originally published by UKNIP.
