A senior official with the Ministry of Education, Youth and Sport was questioned as a witness in the $200 million Brilliant City World land investment scam, which allegedly defrauded thousands of Cambodians. He was allowed to go home on December 18, 2024.
Siem Reap provincial court spokesperson Yin Srang confirmed that Sean Borath appeared before the investigating judge on Wednesday, and was allowed to return home. No further details were provided.
Besides his senior ministerial post, he also serves as deputy chief of the Anti-Corruption Unit (ACU). Borath did not pick up the phone despite several calls made by CamboJA News.
Last week, the court also questioned Sar Thavy, undersecretary of state of the National Defense Ministry as a witness in connection with the same case relating to money laundering, aggravating fraud involving organized crimes, and violations of payment financial transaction laws.
The company’s owner, Leng Channa, was arrested in March after thousands of families in Siem Reap province, including over 100 Cambodian employees’ working in Korea, lost substantial investments in the “high-dividend scheme” scam over the past two years.
Lay Saroth, who claimed that the group’s representative was deceived along with another victim who was defrauded of $11,000 in private loans after investing in one of the schemes, said the group was misled. They placed a huge trust in Sean Borath, as he was a high-ranking officer and they believed his leadership would see to the company’s success.
Saroth said Borath has a close relationship with Leng Channa because he always accompanied her, and he was also from the association for the Promotion of Workers and Veterans for Charity.
“All of us believed them [the management] because of Sean Borath, who was a high-ranking officer […] I had not invested previously but after Sean Borath convinced us to invest with the company, I did it,” Saroth said, adding that Borath continuously explained to the public how to increase investment.
Saroth said whenever Borath addressed public forums and meetings with investors, he always promoted Brilliant City World. His promotion also extended to Cambodian workers in Korea. The ultimate goal was to raise investment in Leng Channa’s company.
Borath apparently provided a clarification of the allegations by the victims, Saroth said, adding that many victims had also lodged complaints to Borath.
“I saw him [Sean Borath] in every big meeting. Leng Channa also said he was her leader, and that he offered consultation to the company,” Saroth remarked.
“I don’t know how he [Borath] will explain himself yet. In my opinion, if he explains, he might say he was not involved, maybe he’ll just say that,” he said.
Almost 5,000 people have filed lawsuits, although it does not include workers in Korea, Thailand and Japan who also invested in the scheme. Their living conditions have not improved, as their focus remains on resolving bank debts, Saroth said.
“In terms of our lives [the victims], no one has a better life, only debt upon debt,” he lamented.
He gathered the opinion of those in the group to seek a solution, specifically to recover the principal investment in the property and request the court’s assistance to expedite the process, as some of the victims faced extremely difficult circumstances.
Another victim Ya Sam Eng, who was defrauded of $20,000 which was raised through private loans, shared that he listened to Sean Borath’s explanation and received guidance from him about investing.
Brilliant City World always broadcasts videos and talks about Sean Borath to advertise the presence of a powerful person in the company to gain people’s trust, which also included social media posts showing his participation in the company’s activities, he said.
“I don’t know the details of their involvement but their team always sends [us clips] to lobby us to have trust to invest with the company,” Sam Eng said.
“I see him [Sean Borath] participating in all the activities because their team told me they have a responsibility, including good leadership, so that we have the confidence to invest,” he said.
“Secondly, they have a strong support as seen by His Excellency Sean Borath’s participation in all activities,” Sam Eng said.
He shared that the money he invested came from eight years of hard work, but after being deceived, it led to problems, including having lost time and his reputation. His business is at risk, and he struggles with daily expenses. Additionally, he had to relocate to another province for work.
“I hope that since we filed a complaint with Samdech’s [Hun Sen] lawyers, who are working on the case to defend the victims, we’ll get some money back from the company,” he said, requesting the relevant authorities handling Leng Channa’s case to expedite the process to resolve the matter as efficiently as possible.
It is essential to identify those responsible and bring them to justice. If this case remains unresolved, it could set a dangerous precedent, which could result in more victims, similar to what he suffered, he added.
Government spokesperson Pen Bona declined to provide details, only briefly stating that the “rule of law must be enforced without exception”. “This is the normal process of the rule of law,” he added.
Khuon Vichheka, spokesperson for the Ministry of Education, Youth and Sport, and ACU spokesperson Soy Chanvichet, could not be reached for comment.
Sar Thavy, undersecretary of state at the Ministry of National Defense, declined to comment when a reporter from CamboJA News reached him via telephone.
The crackdown appears to be part of a government campaign to project an image of good governance amid growing frustration with tycoon-class notoriety for land grabs and money laundering, international observers noted at the onset of the case.
Fraud scandals have involved prominent Cambodian elites in recent years with hundreds of families filing complaints alleging land fraud, one of them against tycoon Hy Kimhong.
Five individuals, including senior government officials, businessmen as well as a lawyer, have been arrested and charged following a corruption and fraud linked to the jailing of two former aides of Senate president Hun Sen – Ly Samet and Duong Dara.
In addition, Kampong Chhnang provincial court found Pom Sophal, former Kampong Leng district deputy governor, guilty of conspiracy and destruction of flooded forests and sentenced him to three years in prison. Former district bureau chief of civic Lim Danin and Chuon Tum, who committed crimes in the flooded forest, were sentenced to four years’ jail on December 12.
Prime Minister Hun Manet in a message to commemorate the National and International Anti-corruption Day on December 9, called on ACU and stakeholders to promote the spirit of “fighting corruption” in all forms, and strengthening anti-corruption education.
Ky Tech, government lawyer, who is representing the victims, declined to comment but during a press conference in October, which was posted on Freshnews, he said that there were 4,929 victims who voluntarily requested lawyers to defend their case. As for the workers abroad, his team is processing the case.
Transparency International Cambodia executive director Pech Pisey welcomed ACU and Siem Reap court procedures to investigate the investment fraud allegations and question more witnesses.
For local and foreign direct investments to thrive, the government should reduce barriers of doing business by addressing widespread corruption, weak rule of law and level of playing field in the Kingdom, he said.