Singapore Luxury Watch Dealer Faces Fraud Accusations

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Dominic Khoo, a former celebrity photographer in Singapore, built a luxury watch dealership called WatchFund that promised big returns to wealthy clients. However, Khoo now faces at least nine police complaints in Singapore, as well as civil cases and unpaid judgments, as investors say the watches they bought for six-figure sums turned out to be worth far less than advertised. The New York Times investigation traces Khoo's rise and fall, from early success among friends and well-heeled clients to mounting legal pressure as the luxury-watch market cooled and investors began demanding exits.

Why it matters

This case highlights the risks of investing in alternative asset classes like luxury watches, especially when dealing with unregulated investment funds that make outsized promises of returns. It also raises questions about oversight and consumer protections in Singapore's luxury goods market.

The details

Khoo, 48, built WatchFund into what he described as a $38 million operation, wooing wealthy clients in Singapore and Hong Kong with promises of big returns on "investment-grade" timepieces. He flaunted elite connections, appeared in major media, and initially delivered profits that helped build credibility and attract new investors. However, courts have now ordered his company to buy back watches worth roughly $2 million, while another investor won a $1.6 million judgment that remains unpaid. Some investors have described the operation as "Ponzi-like," but Khoo disputes that characterization, saying clients always retained ownership of their watches and knowingly took on risk in a volatile market.

• Khoo built WatchFund into a $38 million operation over an unspecified period of time.
• Khoo now faces at least nine police complaints in Singapore, as well as civil cases and unpaid judgments.
• Courts have ordered Khoo's company to buy back watches worth roughly $2 million.
• Another investor won a $1.6 million judgment against Khoo that remains unpaid.