Multi-Chem CEO, COO Questioned in CPIB Probe; Shares Plunge 40%
Singapore-listed IT distributor Multi-Chem saw its stock halt trading after its chief executive and chief operating officer were asked to post bail and surrender travel documents.
Multi-Chem Executives Face Anti-Graft Probe
Singapore-listed IT distributor Multi-Chem revealed on Thursday, 17 September 2026, that its Chief Executive Officer, Foo Suan Sai, and Chief Operating Officer, Han Juat Hoon, were interviewed by the Corrupt Practices Investigation Bureau (CPIB). Two other senior employees also faced questioning.
The CPIB asked Mr Foo and Ms Han to post bail and hand over their passports and mobile phones as part of its investigation. CPIB officers also visited Multi-Chem's premises to confiscate documents. These included financial records from past years, employee claim forms for company personnel, and an agreement with a vendor.
Shares Plunge, Triggering SGX Circuit Breaker
Following the announcement, Multi-Chem's shares experienced a sharp decline at market open on Thursday, 17 September 2026. The stock fell over 40 per cent, or S$1.84, to trade at S$2.50. This rapid drop activated the Singapore Exchange's (SGX) "circuit-breaker" mechanism, which imposes a 10 per cent price band and a five-minute pause during sudden volatility. By the close of trading on Friday, 18 September 2026, the company's counter had settled 38.7 per cent lower at S$2.66.
Company Committee Seeks Investigation Details
Multi-Chem’s Audit and Risk-Management Committee (ARMC) was informed of the CPIB investigation by COO Han Juat Hoon. The ARMC, which consists of the group's independent directors, clarified that it does not possess direct knowledge of the ongoing matter before the CPIB.
Steven Chong, a committee member, stated that the ARMC is actively seeking more information from the executive directors. This includes details about the interviews, the core substance of the investigation, and any other actions taken by the anti-graft agency.
This investigation into Multi-Chem's top executives highlights the critical importance of effective corporate governance within Singapore-listed entities. The immediate and significant market reaction, with shares falling over 40 per cent, shows investor sensitivity to perceived governance risks.
The company's independent ARMC now faces the task of obtaining complete information and providing clarity to shareholders regarding the investigation's scope and potential impact. This incident underscores that companies must maintain strict oversight to uphold investor trust and market stability.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
Comments.
Comments are moderated. We remove what is unlawful, abusive or off-topic, and and you remain responsible for what you post.
Reader comments open soon. Until then, corrections and responses go to our newsroom, and we publish what we get wrong on Corrections.