City Harvest Trial Update: Ex-Fund Manager Claims Xtron Investments were Legitimate
The high-profile City Harvest trial continued last Tuesday as Chew Eng Han, the former investment manager of the City Harvest Church, continued his testimony on the stand. Following his Monday testimony explaining why he chose to defend himself, Chew addressed the prosecution's claims regarding the legitimacy of the Church's investment in the company Xtron Productions.
Responding to why they chose to invest in Xtron despite the risks – a single laptop being its only listed asset at the time – Chew noted that the church had a tolerance for high-risk investments and that they believed in its founder Sun Ho, Pastor Kong Hee's wife. "You measure risk relative to potential returns. I believed in investing in Xtron because I believed in the high potential returns. I believed the bonds were worth taking the risk for because of the missions component," he said, in a Channel News Asia report.
He testified earlier in Monday that Xtron, which is accused of conspiring with the church to misuse funds, was controlled by the church, and that Pastor Kong and his deputy were its decision makers. He clarified that this was unusual as it was the church's method for reaching the masses. Kong has claimed that money spent on Xtron and his wife Sun Ho's music career was for evangelical purposes in order to expand their church, according to a report by Channel News Asia.
Chew further defended the Xtron investment stating that a delay in Sun Ho's US album release was an "unexpected challenge" and was not meant to escape criminal charges. He also claimed that he did not report the Xtron investments to the executive board of the church as per instructions from Pastor Kong. Based on his long history in the financial sector, he claimed that he had no reason to hide losses as it was normal to experience losses when investing.