According to the filing, 111 people have asked the High Court in Kuala Lumpur to answer a blunt question: were they misled into handing over their savings, or did they get exactly what they signed up for? The investors, aged between 28 and 89, are suing QEW Group Bhd and two directors over RM20.45 million they say was never returned.
The record shows a shariah-compliant scheme at the center of it. Between 2022 and 2024, the plaintiffs say, QEW and its directors promoted Islamic Redeemable Preference Shares-i, or RPS-i, with assurances that it was safe, well-structured and shariah-compliant, and that their capital was protected, with regular monthly dividends promised.
On the timeline, the trouble started quietly. Dividend payments became irregular, then delayed or reduced, before ceasing altogether without any “reasonable financial explanation.” When investors asked, the defendants said the dividends were subject to the company’s “sole and absolute discretion,” a condition the plaintiffs say was never disclosed when they first put money in.
In August 2024 the company offered an exit plan that let investors redeem their shares at RM1 per unit, then a three-phase repayment plan set to begin on Jan 14, 2025. The plaintiffs say their capital still was not returned. “The plaintiffs contend that the company was used as a vehicle for a coordinated conspiracy to defraud,” the statement of claim reads.
The plaintiffs filed the suit on April 3 through the law firm Messrs Azri & Co, seeking RM20.45 million in special damages plus RM1 million in exemplary and aggravated damages, with general damages and 5% annual interest on top. The company was separately charged in February with conspiring alongside AUF MBZ Consortium PLT over unlicensed securities trading, and the defendants have filed a notice to bring AUF MBZ in as a third party. Judicial commissioner Asmadi Hussin has fixed July 6 for case management.
Sources
- ASEANEWS HEADLINE-COURTS & CRIME| KUALA LUMPUR: 111 investors sue investment firm, directors for RM20.45mil – Aseanews
- 111 Investors Sue Investment Firm, Directors Over Alleged Failure to Return RM20.5 Million in Capital | Weekly-Echo
