SINGAPORE - A dispute between a Malaysian man and the company where he was previously the lead independent director has ended in court, with him facing criminal charges.

Christopher Chong Meng Tak, 62, was on Thursday (Feb 27) charged with two counts of cheating in relation to an allegedly dishonest acquisition deal.

As the independent director of women's and children's healthcare group Singapore O&G, Chong is alleged to have negotiated a deal in 2015 which saw the group pay $26.5 million to buy the medical business of a Dr Joyce Lim Teng Ee.

However, he did not disclose that part of the money paid out by Singapore O&G in the deal - $1.5 million - would go to wholesale company Paromay, of which he is also director.

He then falsely represented the $1.5 million to Julius Baer bank, where he deposited the money in Paromay's account as "shadow equity", the Corrupt Practices Investigation Bureau (CPIB) said in court documents.

Chong, who joined Singapore O&G as a director in May 2015, resigned from the board on Dec 26, 2017. The group had previously tried to claw back $1.5 million from him.

He was on Thursday offered bail at $100,000 and is expected back in court on March 26.

The CPIB said in a statement that companies should be wary of "rogue employees seeking personal gains", advising robust procedures in areas such as procurement and internal audit.

If found guilty of cheating, Chong could be jailed up to three years, fined, or both.