Company director fined $15,000 for breaching Work Pass regulations
Posted: 24 August 2012 1251 hrs
SINGAPORE: A company director was fined S$15,000 today after pleading guilty to receiving kickbacks and not paying salaries on time under the Employment of Foreign Manpower Act.
53-year-old Phua Kok How, a director of Club Royce Exquisite KTV Pte Ltd, faced six charges in all (three for kickbacks, three for non-payment of salary).
The Subordinate Courts heard that the company Club Royce received kickbacks amounting to S$15,600 from three Work Permit holders during the period 15 January to 15 June 2011.
Phua consented to the company receiving the kickbacks with the intention of keeping the money received as a guarantee in case the Work Permit holders abscond.
He admitted to instructing the Work Permit holders to pay the kickbacks in the form of a weekly payment of S$300 each.
The Work Permit holders were also not paid their salaries amounting to S$3,600, and had to earn their income solely from tips given by the customers of the KTV.
The accused has since returned the kickbacks received and salaries owed.
Both infringements are breaches of the Work Pass regulations and an offence under the EFMA.
Currently, those found guilty for kickbacks and salary offences will be punishable with a fine of up to S$5,000, or a jail term of up to six months, or both.
Those convicted will also be barred from employing foreign workers in future.
In the first seven months of the year, eight individuals who were convicted for kickback offences were fined between S$2,000 and S$5,000.
The highest penalty imposed so far was 2 weeks' imprisonment.
- CNA/xq
