I refer to the article "Promised big returns, only to leave many high and dry" (April 3).

It stated that there was a 65.1 per cent increase in the number of scam cases reported last year, compared with 2019.

I believe the amounts involved, while not stated in the article, also increased.

In a recent case under investigation, for example, the amount involved was $1 billion (Businessman charged with cheating, linked to alleged $1b fraud, March 23).

Scammers usually structure their offerings to be outside the purview of regulators and target unknowing investors, many of whom are retirees attracted to the high returns promised.

From the examples given in the article, the recovery rates appear to be low.

In the case of Sunshine Empire, only $21 million out of the nearly $190 million cheated was recovered.

The penalty for aggravated cheating under Section 420 of the Penal Code is a fine and imprisonment of up to 10 years.

With good behaviour in prison, the perpetrator could be out of prison in seven years.

This relatively light sentence could be why more people are willing to take the risk of creating elaborate scams.

Thus, I urge the Government to consider more severe punishment to deter scammers from operating in Singapore and targeting our residents.

Yeo Chee Kean