SINGAPORE - NRA Capital founder Kevin Scully will resign from his firm after the Monetary Authority of Singapore (MAS) banned him from financial advisory work for three years, in the wake of investigations into 1Malaysia Development Bhd (1MDB).
Mr Scully, a veteran of the Singapore financial market who founded his boutique financial services firm in 1999, told The Business Times that he will relinquish his duties from NRA and resign from his post following the PO (prohibition order).
The staff "will take over the business if they want to", he added.
Sen Yue Holdings, a company in which Mr Scully is lead independent director, also announced on Tuesday (Dec 19) that its nominating committee is reviewing the matter and will make recommendations in due course on Mr Scully's directorship.
In a statement on Tuesday, the MAS said it had issued a prohibition order against Mr Scully restricting him from providing any financial advisory services; and taking part in the management of, acting as a director of, or becoming a substantial shareholder of any financial advisory firm in Singapore for three years beginning on Dec 18.
The sanction reflected MAS' finding that Mr Scully had failed to ensure that certain valuation work carried out by his firm was done with "sufficient care, judgment and objectivity".
The valuation work was related to a report on PetroSaudi Oil Services Ltd issued by NRA head of research Lee Chee Waiy at the request of former Maybank Kim Eng Securities remisier Kelvin Ang. Ang was convicted on May 24 of bribing Mr Lee with S$3,000 to expedite the favourable report.
Investigators have alleged that inflated PetroSaudi valuations were used to justify and obscure improper fund transfers at the heart of the 1MDB scandal.
Mr Lee and Ang have each been served with six-year POs that took effect from Oct 30.
The MAS has issued eight POs to date stemming from 1MDB-related breaches.