ST Forum: Town Council losses: Who's accountable?

[Ah Hai]

I REFER to yesterday's front-page report, "Town councils' exposure: $16 million", in which People's Action Party town councils (TCs) lost $16 million as a result of bad investments.

It is public money and $16 million is no small change. Most of us have never seen, or ever will see, $1 million in our lifetime.

Town council funds are obtained from our monthly conservancy charges and should be used for the maintenance of our estate. So, why was there such a large sum of money left behind for investment? Does it mean the council has overcharged us? Would such excess funds be better utilised to upgrade the estate facilities, or better still, be returned to each individual household via rebates?

The town council is a non-profit organisation. Why is there a need to invest such sums of money in an investment tool?

Are there enough transparency and audit processes in place to ensure checks and balances against the use of such funds? We have already heard of many large non-profit organisations like the old NKF and Ren Ci mismanaging their funds, what about town councils?

If a council made a tidy profit from such investments, what would happen to the principle sum and the investment gains? Again, is there enough transparency in this area?

Now that the council has made a loss in an investment gone wrong, does it mean there are insufficient funds left to support ongoing or future projects? Does the entire estate have to suffer the bad judgement of a few individuals. What fall-back plan does the town council have in making good these losses?

The Government has advocated high pay packages to public servants, because their pay should be commensurate with the risks they take, just like the CEO of a private organisation. But when mistakes are made, the CEO has to answer for them, most often at the cost of his job. So who should take the rap for these mistakes? And what actions will be taken to prevent future cases like this?

Karen Woon (Ms)

 

[Ah Hai]

Town Council losses: Let it not happen again

MY HEART sank when I read about the possible loss of two town council's (Holland-Bukit Panjang and Pasir Ris-Punggol) conservancy fees incurred through their foray into the Lehman Brothers' minibonds.

The possible loss of a total sum of $12 million, a small percentage actually coming from the huge $2 billion conservancy fees collected over all these years, was not really what irked me.

Conservancy fees have been collected for many years by town councils, who use it to maintain and preserve our housing estates. My residence in Tampines is almost a perfect housing estate with a beautiful, lush garden park nearby, sheltered walkway and well-maintained surroundings. It is no wonder that the property prices in my area skyrocketed in the past year.

One of the town councils' duties is to maintain the estate and ensure that residents are able to return to a place that they can call home after a hard day's work. If there are excess fees collected, town councils can think of ways to further enhance the estate or even stop collecting fees for a few months, especially during this tough period. I know of some residents who have been retrenched recently who will welcome such a move as every cent count.

One wonders why town councils want to enhance the returns from fees collected by permitting as much as 35 per cent to go into risky investments. There is seriously no need to as the huge surplus accumulated when put into safer instruments such as fixed deposits or government bonds would generate not a small sum in return.

I advocate that the investment cap of 35 per cent for riskier instruments be reduced further to maybe no more than 5 per cent to ensure that town councils will not further expose the money to future risks.

Conservancy fees collected actually belong to the residents and not the Government. The town council is merely an agent appointed to utilise the money for the well being of the estate. A small percentage of the huge surplus money can also be used to help residents who may have difficulty paying the fees when they are jobless.

We have learnt our lessons now and let us not let it happened again.

Gilbert Goh

 

[fishbuff]

ahh,, then it is high time to raise the town council conservancy charges.

 

[batman1]

One word to summarize-Greed.Let's move on.Period.

 

[Dan Now]

Right after the last election, the Pappies move immediately to raise conservancy charges DESPITE having 4 billion in their collective sinking funds.

Mr Ho have completely evaded on his reponse in telling us, how the various town councils have spend from the profits made to benefit the residents of the respective town council.

A full statement of accounts and should be published immediately to stem the continuing speculations about the competency our our mighty elites.

Anything short of that is a denial to the rights of citizens to information regarding the financial health of the town council.

If there is nothing to hide, then come clean.

Dan

 

[myfoot123]

May be they were too eagle and concern about HG & PP accounts until they forgot about their own defects. Typical pap style.

 

[Frankiestine]

"Its an honest mistake, lets move on...."

 

[theblackhole]

i see retirees, ah peks, ah mas, the jobless, the unemployed obedienlty queuing up to pay their S&C charges every month. very law-abiding singaporeans. good law-abiding citizens, always listen to the wise counsel of our leaders.singaporeans are such nice and grateful citizens. increase charges also pay.increas S&C charges also obediently pay. singaporeans are world's most tolerant and law-abiding citizens.

then the town councils' supluses swelled and swelled...did they harvested the surplus back for the benefits of our heartlanders - those ah peks and ah mas, those elderly, those retirees, those unemployed etc etc...did they harvest back to them? did they reduce the charges? did they give more benefits to the heartlanders?

what did they do with the surplus? they gambled away...and now they said heartlanders are ungrateful ....only 14% loss - acceptable loss world-wide....

are TCs' surplus and monies for "prudent" investments???

oh mine oh mine...i cry for you fellow singaporeans... i cry for you...my heart goes out to your pain, to your anguish, to your grief and to your helplessness...you bloody ingrates!!!

 

[silverfox@]

How come when TC were making money from investments, no one write in to compliment? :p

Oh, I know. Making money is expected. While losing money is unforgivable.

 

[Frankiestine]

knn you miss one month SC charges they fined you and warned you but they take your money and dump into hum suai hoy they can pai pai pee ku...


:oIo::oIo::oIo:FUCK YOUR ASS PAP:oIo::oIo::oIo:

 

[Dan Now]

I REFER to yesterday's front-page report, "Town councils' exposure: $16 million", in which People's Action Party town councils (TCs) lost $16 million as a result of bad investments.

It is public money and $16 million is no small change. Most of us have never seen, or ever will see, $1 million in our lifetime.

Town council funds are obtained from our monthly conservancy charges and should be used for the maintenance of our estate. So, why was there such a large sum of money left behind for investment? Does it mean the council has overcharged us? Would such excess funds be better utilised to upgrade the estate facilities, or better still, be returned to each individual household via rebates?

The town council is a non-profit organisation. Why is there a need to invest such sums of money in an investment tool?

Are there enough transparency and audit processes in place to ensure checks and balances against the use of such funds? We have already heard of many large non-profit organisations like the old NKF and Ren Ci mismanaging their funds, what about town councils?

If a council made a tidy profit from such investments, what would happen to the principle sum and the investment gains? Again, is there enough transparency in this area?

Now that the council has made a loss in an investment gone wrong, does it mean there are insufficient funds left to support ongoing or future projects? Does the entire estate have to suffer the bad judgement of a few individuals. What fall-back plan does the town council have in making good these losses?

The Government has advocated high pay packages to public servants, because their pay should be commensurate with the risks they take, just like the CEO of a private organisation. But when mistakes are made, the CEO has to answer for them, most often at the cost of his job. So who should take the rap for these mistakes? And what actions will be taken to prevent future cases like this?

Karen Woon (Ms)

When its time to take credit, the PAPies will charge forward and raise their own pay. When they screw up, Singaporeans are blame for expecting too much and branded as ingrates.

So much for our Meritocracy.

Its clear as daylight for all to see.

Dan

 

[_AXL_]

If a council made a tidy profit from such investments, what would happen to the principle sum and the investment gains? Again, is there enough transparency in this area?

we cannot have transparency cos we put these investment gains to good use, like increasing the salaries and bonuses of yr civil servants.

The Government has advocated high pay packages to public servants, because their pay should be commensurate with the risks they take, just like the CEO of a private organisation. But when mistakes are made, the CEO has to answer for them, most often at the cost of his job. So who should take the rap for these mistakes? And what actions will be taken to prevent future cases like this?

we cannot ask them to take responsibility for their mistakes cos

1. they do not know what responsibility means.

2. they do not know how to apologise.

3. we promised them an iron rice bowl.

4. if we sack them, they would not be able to survive in the private sector and noboday else would want to join the public service.

so, move on.:oIo:

 

[oli9]

How come when TC were making money from investments, no one write in to compliment? :p

Oh, I know. Making money is expected. While losing money is unforgivable.

Firstly, are the TC bastards empowered to invest our monies into risky investments?
Secondly, if they have so much in their coffers, why isnt any provision being made to reduce TC charges? Instead they made some provision of the monies to gamble.
thirdly, what's TC main role? To upkeep HDB estates or to gamble?

 

[Logisex]

Its an honest mistake. Let's move on........we have more important things to deal with........recession.......minibonds.......next election.......ERP.........upgrade workers' skills.........increase pay.......

 

[silverfox@]

Firstly, are the TC bastards empowered to invest our monies into risky investments?
Secondly, if they have so much in their coffers, why isnt any provision being made to reduce TC charges? Instead they made some provision of the monies to gamble.
thirdly, what's TC main role? To upkeep HDB estates or to gamble?

When potong pasir residents voted CST into their constituency, the people already gave him that mandate to run the constituency for them.

Another thing is investment and gambling is different.

All investments carries risk. Whether its high or low risk. How low a risk is still a risk.
What is non-risk investment? If you can tell me what is non-risk investment, then I can write more.

 

[zhihau]

How come when TC were making money from investments, no one write in to compliment? :p

Oh, I know. Making money is expected. While losing money is unforgivable.

when the TC made money, they should have shown the peasants how they did it

 

[oli9]

When potong pasir residents voted CST into their constituency, the people already gave him that mandate to run the constituency for them.

Another thing is investment and gambling is different.

All investments carries risk. Whether its high or low risk. How low a risk is still a risk.
What is non-risk investment? If you can tell me what is non-risk investment, then I can write more.

I didnt write NON RISK. Please dont put words in my mouth. Our TC monies should be put into low Risk Investments.
And what financial ability TC bastards possess, to decide what they do with our monies? Are they financial wizards graduated from Warren's School of 101 Finance? No?
You havent answer my previous question - What is TC's main role?

 

[2lanu]

When the world economy is good, they claimed credits and justify they should get rewarded. Now economy is bad and they just keep mum about it. What sort of creature are they?

Downright hypocrite!

 

[SIFU]

When potong pasir residents voted CST into their constituency, the people already gave him that mandate to run the constituency for them.

Another thing is investment and gambling is different.

All investments carries risk. Whether its high or low risk. How low a risk is still a risk.
What is non-risk investment? If you can tell me what is non-risk investment, then I can write more.

even if the TC made millions in their investment, how is it going to benefit their residents?? do u see cons fees being reduced??

since sinking fund already so much, can they stop collecting cons fees for a while?? or reduce it??

 

[Zombie]

Whatever it is, Tan Kin Lian would agree that TCs are not at fault.
Because TKL blamed everyone except the investors, for the structured investments.