There is no corruption in Singapore...

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6 ex-Keppel O&M employees given stern warnings over bribes amounting to $73 million​

The employees allegedly conspired to give bribes to foreign consultants involved in Keppel O&M’s business interests in Brazil. PHOTO: KEPPEL CORP

Rosalind Ang

Jan 12, 2023

SINGAPORE – The Corrupt Practices Investigation Bureau (CPIB) issued stern warnings on Wednesday to six former senior management staff of Keppel Offshore & Marine (O&M) over bribe payments.
CPIB conducted investigations into the six, who allegedly conspired with one another to give bribes amounting to about US$55 million (S$73 million) to foreign consultants involved in Keppel O&M’s business interests in Brazil.
The money was then used to pay bribes to officials of Brazilian state-owned company Petrobras, pertaining to rig-building contracts that it or its related firms had awarded to Keppel O&M.
The offences fall under the Prevention of Corruption Act.
Under a global resolution led by the US Department of Justice and involving Brazil and Singapore, a conditional warning in lieu of prosecution was issued to Keppel O&M for offences punishable under the Act. Keppel O&M has paid a total fine of US$422 million and fulfilled all obligations under the conditional warning.
“This case is complex and transnational, involving multiple authorities and witnesses from several countries... Many of the documents are located in different jurisdictions. In addition, key witnesses are located outside of Singapore and cannot be compelled to give evidence here,” said CPIB in a statement on Thursday.
“The decision on whether to prosecute the six individuals for criminal offences has to take into consideration all relevant factors, such as the culpability of each individual, the available evidence and what is appropriate in the circumstances. Having taken these into consideration, stern warnings were issued to the six individuals.”

 

[Singapore Dancing Spirit]

Warning only??

 

[Rabbit7]

6 ex-Keppel O&M employees given stern warnings over bribes amounting to $73 million​

The employees allegedly conspired to give bribes to foreign consultants involved in Keppel O&M’s business interests in Brazil. PHOTO: KEPPEL CORP

Rosalind Ang

Jan 12, 2023

SINGAPORE – The Corrupt Practices Investigation Bureau (CPIB) issued stern warnings on Wednesday to six former senior management staff of Keppel Offshore & Marine (O&M) over bribe payments.
CPIB conducted investigations into the six, who allegedly conspired with one another to give bribes amounting to about US$55 million (S$73 million) to foreign consultants involved in Keppel O&M’s business interests in Brazil.
The money was then used to pay bribes to officials of Brazilian state-owned company Petrobras, pertaining to rig-building contracts that it or its related firms had awarded to Keppel O&M.
The offences fall under the Prevention of Corruption Act.
Under a global resolution led by the US Department of Justice and involving Brazil and Singapore, a conditional warning in lieu of prosecution was issued to Keppel O&M for offences punishable under the Act. Keppel O&M has paid a total fine of US$422 million and fulfilled all obligations under the conditional warning.
“This case is complex and transnational, involving multiple authorities and witnesses from several countries... Many of the documents are located in different jurisdictions. In addition, key witnesses are located outside of Singapore and cannot be compelled to give evidence here,” said CPIB in a statement on Thursday.
“The decision on whether to prosecute the six individuals for criminal offences has to take into consideration all relevant factors, such as the culpability of each individual, the available evidence and what is appropriate in the circumstances. Having taken these into consideration, stern warnings were issued to the six individuals.”

..perhaps it's too expensive to investigate, & CPIB doesn't have the resources, budget to do such ?
So the easiest way out is to give a warning ?

 

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21 months’ jail for ex-SMRT employee who took at least $54,850 in bribes​

Soh Choon Heng took the monies in exchange for sharing confidential information involving quotations submitted by other companies. PHOTO: ST FILE

Shaffiq Alkhatib
Court Correspondent

Jan 16, 2023

SINGAPORE - An SMRT Corporation assistant buyer accepted at least $54,850 in bribes from directors at three firms that were in the business of supplying spare parts to the transport provider.
Soh Choon Heng, who worked for SMRT from 2011 to 2020, took the monies in exchange for sharing with the trio confidential information involving quotations submitted by other companies.
The prosecution said that the three then-directors - Yong Ming Jun, Wong King Mooi and Lee Won Jong - used the information to guide their own companies’ bids to SMRT.
On Monday, Soh, 45, was sentenced to 21 months’ jail after he pleaded guilty to three counts of corruption involving at least $33,500. This amount was paid over 13 occasions between 2017 and 2019.
He also admitted to two forgery charges.
Eight other charges, including graft ones linked to the remaining amount, were considered during sentencing.
Soh was also ordered to pay a penalty of $24,850 and will have to spend an additional eight weeks behind bars if unable to pay the amount.

He has since voluntarily surrendered $30,000 to the Corrupt Practices Investigation Bureau.
At the time of the offences, Yong, 40, was working at Euro Bremse (EB) while Wong, 48, was employed at CEE Technologies. Their cases are pending.
Lee was then working at Alturan, and court documents did not disclose the outcome of his case.

Deputy Public Prosecutor Louis Ngia said that as an assistant buyer, Soh was responsible for supporting SMRT’s procurement and sourcing activities.
These included the procurement of parts for the company’s trains, buses, and taxis.
The prosecutor told the court that the transport provider uses a system called “Ariba” to support its procurement process.
When SMRT requires procurement of items below $200,000, it will call for a request for quotation (RFQ) via closed invites.
After that, assistant buyers initiate what is referred to as a “sourcing event” within Ariba.

They source from relevant vendors quotations, which are then submitted by a stipulated date.
In early 2016, Soh told Yong that the latter’s firm was not awarded purchase orders in SMRT’s RFQ as the prices it quoted were not competitive.
DPP Ngia said: “The accused offered to provide Yong with the confidential information if Yong should ‘help’ him, which they both understood to mean that Yong should provide him with corrupt monetary gratifications.
“EB could use the confidential information to guide its RFQ bids, giving it an unfair advantage. Yong agreed.”
The prosecutor added that about once to twice a month on average between 2016 and 2020, Soh supplied Yong with confidential information regarding quotations from EB’s competitors for past RFQs.
According to court documents, Soh obtained at least $6,000 in bribes from Yong over six occasions.
Around November 2017, EB was selected in SMRT’s RFQ and was awarded the purchase order for spare parts.
As part of Soh’s job scope, he had to draft a letter of award between SMRT and EB, and then route the document to SMRT’s senior category manager for the man’s approval and signature.
Soh, however, did not circulate the letter to the senior category manager after drafting it.

Instead, he cropped and affixed a digital copy of the man’s signature onto the document without the latter’s authorisation.
DPP Ngia said that Soh also committed graft-related offences involving Wong on three occasions in 2017 and four occasions in 2018 to obtain at least $27,500 in bribes in total.
In May 2018, SMRT granted an approval to award CEE with a one-year contract for the supply of train parts.
The prosecutor told the court: “The accused was beholden to Wong as a result of their corrupt arrangement, and wanted to ‘help’ Wong advance CEE’s business interests with SMRT... As such, the accused made a false document - a supply contract dated May 4, 2018.”
On this document, Soh falsely specified the contract as being for a two-year term, when in fact the contract awarded to CEE was for a one-year term.
After that, Soh affixed a digital image showing the signature of SMRT’s then-director of procurement without the man’s authorisation.
Soh’s employment with SMRT was terminated on April 27, 2020 following an internal audit.
His bail was set at $50,000 on Monday, and he is expected to surrender himself at the State Courts on Feb 10 to begin serving his jail sentence.

 

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Whistleblower shared SMT CEO told staff to “let the matter rest” at townhall meeting before its scandal went public​

SINGAPORE — Staff from selected departments at SPH Media were allegedly told to “let the matter rest” at a town hall meeting by the Chief Executive Officer of SPH Media Trust (SMT) over actions taken against executives who were said to be connected with the misrepresentation of the circulation figures for its publications.

This is according to a whistleblower who self-proclaims to be part of a group of individuals who have obtained the information from sources within the revenue and advertising arm of SMT and Straits Times (ST) who have attended the town hall meeting.

A scoop by Wake Up Singapore (WUSG) on 8 January shared allegations of the departures of three senior executives in SPH Media over alleged discrepancies relating to circulation and/or subscription numbers.

A day later, SPH Media, through a report by ST, acknowledged that some inconsistencies in the reporting of the data were discovered during a review of internal processes in March 2022, which looked at a period from September 2020 to March 2022.

This included the reporting of circulation data, lapsed contracts that continued to be counted into circulation data and also copies that were printed, counted for circulation and then destroyed, as well as the double-counting of subscriptions across multiple instances. There was also a project account which was injected with additional funding over a period of time to purchase fictitious circulation.

“Certain circulation numbers were arbitrarily derived,” noted the SPH Media spokesperson, which resulted in a discrepancy of between 85,000 and 95,000 daily average copies across all titles, which represents 10 to 12 per cent of the reported daily average circulation.

The media publications of the former Singapore Press Holdings (SPH) were incorporated as SMT, a Company Limited by Guarantee (CLG), on 19 July 2021 after being cut off from SPH due to its declining revenue. They include ST and The Business Times, as well as Lianhe Zaobao, Shin Min Daily News, Berita Harian and Tamil Murasu.

“Let the matter rest at that”, asks SMT CEO​

According to the whistleblower, the town hall meeting was held some days after several executives were “taken to task or left the company after an internal review”, and was hosted by the CEO of SPH Media Trust, Ms Teo Lay Lim.

No specific date was given by the whistleblower, and neither did SPH Media on when actions were taken against the executives.

In it, she informed the members who attended of the actions taken by the company and asked them to “let the matter rest at that” — referring to the departure of the executives.

The CEO was said to be concerned about the matter coming to the attention of the Ministry of Communications and Information and being debated and questioned in the Singapore Parliament.

It was highlighted that the town hall meeting was not attended by all members of the company but only staff from the marketing, advertising and circulation departments.

The whistleblower suggests this implies that the CEO and the top management did not want the entire staff strength to know about this matter.

It was also pointed out that no circular on the departure of these several executives and the reasons for their departures were made known — via an HR circular — to the staff.

The whistleblower also said that the group understood that the “fabricating of circulation numbers” was a common practice before the internal review, certainly before September 2020, which further suggests that members of the past management may have known about this practice, and shareholders of SPH were deliberately misled.

“It was very likely that the annual reports in the years when circulation began to fall had probably contained inflated figures.” wrote the whistleblower in the email.

Had it not been for the scoop by WUSG, it would be highly likely that SPH Media would have kept mum about the findings of its review.

Double counting, legitimate​

This was, in a way, acknowledged by former ST editor and SPH marketing chief Leslie Fong said in a WhatsApp message that has been circulated that when a household pays for both a print copy and a digital subscription, the Audit Bureau of Circulation Singapore (ABC) allows that sale to be counted as two copies.

Mr Fong, who later confirmed with TODAY the veracity of the message, added: “In some other countries, if the digital subscription covers an e-paper or PDF (Portable Document Format) version, the publisher can and often does claim a count of three. SPH kept it as two.

So this is legitimate ‘double counting’, not cheating or inflating.”

Mr Fong, whose 46-year stint with SPH also included 15 years as editor of ST, as well as three years as editor of the Chinese-language Shin Min Daily News, said that since more than two decades ago, the ABC has accepted as legitimate that bulk sales to advertisers for free distribution can be counted in its circulation figures even if only half of the copies were picked up.

“That bulk sale of, say, 1,000 copies of the ST to, for example, a shopping mall for free distribution to its shoppers be counted as 1,000 circulated copies,” he said in his message that has been circulated.

This has been industry practice endorsed by every external auditor the company has used and every SPH main board led by the likes of former Cabinet Minister Lim Kim San or former president Tony Tan, Mr Fong said.

Copies that were sent free to advertising agencies for their principals’ reference are also included in circulation numbers, he added.

“Newspaper publishing is not a simple business,” he said.

It is said in SPH’s annual report that the total print and digital circulation numbers reported are in accordance with the rules set by ABC in 2016.

TOC wrote to ABC last week to ask if its rules have been violated by SPH Media and whether actions would be taken against it but has yet to receive a reply.

SMT funded up to S$180m per year​

Minister for Communications and Information Josephine Teo confirmed in Parliament in February 2022 that the Government will fund SMT to the tune of up to S$180 million annually over the next five years for a total of S$900 million.

So far, no minister has issued any statement over the scandal. Mr Khaw Boon Wan, former People’s Action Party Minister and Chairman of SMT, is also missing in action.

Responding to media queries over the matter, a Ministry of Communications and Information (MCI) spokesperson said the ministry has asked SPH Media to share its full findings and has recently received SPH Media’s internal report on the matter.

“MCI will undertake our own review to determine if these inconsistencies in circulation data affect the decision to fund, and the amount the Government committed to fund SPH Media. MCI expects SPH Media to fully cooperate with our review,” said the spokesperson.

The whistleblower also wrote, “We don’t want our identities to be made known, so we are writing this to your organisation in confidence, and we hope our sharing will lead to greater transparency and accountability on the management of public monies and the upholding of public trust.

The email was sent to other publications in Singapore and has been circulated on private messaging.

TOC wrote to the senior management of SPH Media for clarifications last week, but no reply has been received as of the publication of this post. We will include SPH Media’s response in the post once it is provided.

 

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Kranji woodland illegal clearing: CPG Consultants V-P fined $26k​

Jimmy Liu was part of a quartet of officers from JTC and CPG Consultants working on the development of the Kranji Agri-Food Innovation Park. ST PHOTO: KELVIN CHNG

Jessie Lim

Jan 19, 2023

SINGAPORE – A vice-president of the consultancy that caused a part of Kranji woodland to be cleared without approval was fined $26,000 on Thursday.
Jimmy Liu, 63, was part of a quartet of officers from JTC Corporation and CPG Consultants working on the development of the Kranji Agri-Food Innovation Park (AFIP), which was meant to be a hub for high-tech farming and research and development activities.
The four officers were found to have acted in gross violation of wildlife-related requirements that needed to be met before approval was obtained from the National Parks Board (NParks).
This resulted in the felling of 362 trees without approval.
Liu pleaded guilty on Thursday to three charges under the Parks and Trees Act and one charge under the Wildlife Act
The three co-accused are Neo Jek Lin, 44, who was a JTC senior project manager; Chong Pui Chih, 47, a former deputy director with the statutory board; and Tan See Chee, 64, director of CPG.
On Thursday, Deputy Public Prosecutors Nicholas Khoo and Jordon Li said that Liu and the three co-accused had discussed the impact of the wildlife-related requirements on how long it would take to complete work on the Kranji AFIP.

Due to the Covid-19 pandemic, works at Kranji AFIP were halted between April and August 2020.
As part of requirements, JTC was to ensure that proper fencing or hoarding was in place to prevent animals from wandering into the worksite. It also had to allow NParks to conduct plant salvaging before the commencement of any physical works.
Concerned about further delays to the Kranji AFIP, Neo and Chong suggested that, instead of complying with the wildlife-related requirements before commencing tree felling and site clearance works, they proceed while efforts were made concurrently to satisfy those requirements.

Liu and his colleague Tan agreed to the plan.
Meanwhile, on Sept 2, 2020, NParks requested an update on the clearance works that were planned for the coming months in Kranji AFIP.
This led to an e-mail exchange between Liu, Neo and Huationg Contractor employee Chua Ngee Hwee. Liu asked the Huationg worker to fill up a table indicating the expected completion dates of clearance works on-site. Huationg was engaged by JTC to clear the land.

One of two plots of forested land cleared in Kranji Road, as seen on Feb 22, 2021. PHOTO: ST FILE
MORE ON THIS TOPIC
Kranji woodland illegal clearing: JTC officer, then supervisor fined $30k each
2 JTC officers convicted of conspiracy to illegally clear parts of Kranji woodland
The prosecution said: “Upon receiving the e-mail from Chua... Neo realised that the table filled in by Chua, if sent to NParks, would reveal to NParks that tree felling had taken place without approval first being obtained.”
Neo wished to avoid this and instructed Liu to amend the table to give the impression that clearance works had not started on the plots.
Liu amended the table and sent the falsified e-mail to NParks on Sept 25, 2020.
On Nov 3, 2020, Liu also sent an e-mail to NParks to officially request approval to cut some trees on the site. However, since October 2020, Huationg had already obtained approval from CPG to do so.

Under the Parks and Trees Act, cutting down any tree with a girth exceeding 1m that is growing on any vacant land is prohibited unless approval has been obtained from the Commissioner of Parks and Recreation.
The prosecution said the number of trees that were cut without approval was enormous, and the exact impact on the environment could not be calculated because the offences took place before any studies were undertaken.
“The approval for them to cut the trees would have eventually been given by NParks, but the harm caused in this case is the failure to allow for proper environmental studies to be done, to ensure wildlife, flora and fauna could be properly managed,” the prosecution said.
The unauthorised clearance came to light after aerial photos of the site showing the destruction of the woodland emerged on social media in February 2021.
Neo and Chong were fined $30,000 each for their role in the conspiracy, while Tan has not been sentenced.
Those convicted of cutting or damaging a tree with a girth of more than 1m without approval can be fined up to $50,000.

 

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Man who sued Singapore police for unlawful arrest awarded $20,000 in damages​

In the current case, Justice Philip Jeyaretnam found that the apprehending officer had acted in bad faith. ST PHOTO: KUA CHEE SIONG

Selina Lum
Senior Law Correspondent

Jan 19, 2023

SINGAPORE - A man who sued the police for wrongly arresting him has been awarded $20,000 in damages for false imprisonment, after the High Court ruled in his favour.
However, Mr Mah Kiat Seng, 48, failed in his second claim that another officer had assaulted him while he was in police custody.
In a written judgment issued on Thursday, Justice Philip Jeyaretnam found that police officer Mohamed Rosli Mohamed had made up the observation that Mr Mah had been mumbling to himself and had spat into a plastic bag, to justify apprehending him under the Mental Health (Care and Treatment) Act.
The officer initially claimed in an affidavit that Mr Mah was “mumbling to himself at times” but later withdrew the assertion after viewing body-worn camera footage.
Under the Act, a police officer has a duty to apprehend people believed to be dangerous to themselves or others by reason of mental disorder, so that they can be taken to a psychiatric institution.
The law also provides for the police officer enforcing this to be protected from liability to civil or criminal proceedings “unless he has acted in bad faith or without reasonable care”.
In the current case, Justice Jeyaretnam found that the apprehending officer had acted in bad faith.

“While latitude must be given to police officers who, after all, are not medically trained and have to fulfil their duty under operational conditions, I am satisfied that in this case, there was an individual lapse on the part of the police officer concerned that resulted in Mah being falsely imprisoned, albeit for less than a day,” he said.
The judge concluded that Mr Rosli did not have an honest belief that Mr Mah was a danger to other people by reason of mental disorder.
“I find that Mah’s behaviour as shown in the footage did not suggest that he was dangerous to others, and as far as soundness of mind is concerned only showed a degree of eccentricity falling far short of appearing mentally disordered,” he said.

The judge noted that such eccentric mannerisms can come across as disrespectful.
Justice Jeyaretnam said: “I find on a balance of probabilities that Rosli, knowing that he had no power to arrest Mah for the matter complained of because it was not an arrestable offence, took a dislike to Mah for his apparently disrespectful conduct, including not handing his identity card directly to him.
“This is what motivated him to come up with the assertions that Mah was mumbling to himself and spat into a plastic bag.”
The judge dismissed the claim against the other officer, Mr Lawrence Tan Thiam Chin, who had handcuffed Mr Mah at the police lock-up and escorted him to another cell for him to relieve himself.
The judge said surveillance footage did not support Mr Mah’s allegations that Mr Tan had intentionally injured his wrist and arms.
“Mah simply experienced discomfort and marking of his skin from the ordinary manner in which handcuffs are used,” he said.

The case arose from an incident on July 7, 2017, after a woman called the police and alleged that a man had touched her son’s head at Suntec City.
At about 8pm, Mr Rosli and his partner found Mr Mah near a stone bench, and, with the assistance of two other officers, handcuffed him and apprehended him under the Act.
Mr Mah was held at the Central Police Division regional lock-up at about 10pm.
He was examined by Dr Lin Hanjie, who referred him to the Institute of Mental Health (IMH) for treatment at about 10.20pm.
He was transferred to a padded cell, before being escorted to the IMH at about 3am on July 8, 2017. He was discharged from IMH at about 7pm on the same day.
In 2020, Mr Mah, who represented himself, sued the Attorney-General representing the Singapore Police Force, and the two officers.
Mr Mah proposed that he be awarded $4,620.95, referring to what an individual in Malaysia was awarded in compensation.
The Attorney-General suggested that if Mr Mah’s claims are made out, he was entitled to not more than $15,000 for false imprisonment and not more than $4,000 for assault and battery.
Justice Jeyaretnam said that in awarding $20,000, he took into account the fact that Mr Mah was handcuffed and kept in a police cell, rather than taken directly to IMH, which would have been less stressful for him.
The judge also considered the invasions of his privacy when his bag was searched and his mobile phone accessed.
The Straits Times has contacted the police for comment.

 

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SPH Media tasks audit committee to look more fully into overstated circulation data​

Seven employees were taken to task over the matter in December. Four of them have left the company, while the other three were served warning letters. ST PHOTO: KUA CHEE SIONG

Tham Yuen-C
Senior Political Correspondent

Jan 20, 2023

SINGAPORE – SPH Media’s board has asked its audit and risk committee to further investigate overstated circulation numbers that were discovered in an audit in 2022, and consider what further steps should be taken.
In a statement on Friday, the media company, which came under public criticism after announcing the discovery on Jan 9, said its board’s audit and risk committee will focus investigations on the preliminary findings that circulation figures had been overstated by up to an average of 90,000 daily copies in some months.
The committee will also commission legal advisers to assist in the probe, and report its findings directly to the SPH Media board.
SPH Media had, in March 2022, initiated a review to assess data that it had taken over from its predecessor Singapore Press Holdings Limited (SPHL), which had transferred its media business to SPH Media Trust, a new company limited by guarantee.
The review covered the period between September 2020 and March 2022, which included a full financial year of SPHL from September 2020 to August 2021. An independent Big Four advisory firm, one of the four largest professional services companies, was commissioned to assist in the review, which found the inconsistencies in circulation data.
Giving more details about the discrepancies for the first time since news on the matter broke, SPH Media said that of particular concern was an overstatement of an average of 49,000 daily copies – or 5 per cent of total daily circulation then – of news titles, which include The Straits Times.
This figure had been recorded as circulation numbers, although the copies were never distributed. The majority were digital copies.

Another 5,000 daily copies on average continued to be recorded in circulation numbers after contracts had lapsed, while 17,000 copies on average were recorded as a result of a failure to check that reported numbers were accurate against actual usage tracked in the system.
There was also a possible discrepancy of an average of 19,000 daily copies, which included a barter arrangement with another publisher, which SPH Media did not name.
The committee is chaired by former managing partner of EY Asean & Singapore Max Loh, and comprises Allen & Gledhill co-head of mergers and acquisitions Lim Mei and HSBC Singapore’s vice-chairman of global banking for South-east Asia Philip Lee.

News of the overstated circulation numbers broke after several senior employees of SPH Media left the company in December 2022, following the internal audit.
In its statement on Friday, the company said a total of seven employees had been taken to task over the matter at the end of December. As a result, four of them have left the company. The other three were served warning letters.
Since the over-reported numbers were uncovered, some advertisers have said publicly that they had contacted the company over the matter.
In an e-mail to advertisers on Jan 10, SPH Media Group’s chief executive Teo Lay Lim said that circulation data is not used as a basis for the company’s advertising packages. Instead, media rates and advertising packages are based on reach and readership, an estimate of how many readers a publication has.
This data on reach and readership is collected periodically via a survey panel that is statistically representative of the Singapore population, Ms Teo had said.

Circulation data is a count of how many copies of a publication are distributed, such as through regular subscriptions or off-the-shelf purchase.
The company did not clarify what circulation numbers are used for and the impact the overstated figures could have had. The discovery had also sparked questions about how long the practices that led to inconsistent data had gone on for, and why they had not been discovered or announced earlier.
In Friday’s statement, SPH Media said that circulation data reported in previous annual reports – when its predecessor company Singapore Press Holdings was still listed on the Singapore Exchange – was stated to be in accordance with the rules set by the Audit Bureau of Media Consumption Singapore. This entity ceased operations in Singapore in 2019, as digital and media advertising grew and quantifying print circulation became less relevant.
“To obtain data on reach and readership, SPHL commissioned surveys conducted by independent third-party research agencies such as GfK,” said SPH Media.
It added that in the light of the changing media environment, the company is reassessing the methodology for the reporting of circulation data to establish a new framework and baseline to measure its performance, something publishers elsewhere have done as circumstances have changed.
SPH Media said: “SMT is committed to upholding integrity in every part of our business.”

 

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MCI has not disbursed any funds to SPH Media to date: Ministry spokesman​

MCI had previously stated that SPH Media Trust will receive public funding of up to S$180 million a year over five years. PHOTO: LIANHE ZAOBAO

Jean Iau

Jan 20, 2023

SINGAPORE - The Ministry of Communications and Information (MCI) has not disbursed any of the $900 million in funding support it had committed to SPH Media Trust (SMT) over the next five years.
MCI is also conducting its own review to see if the inconsistencies in circulation data, which SPH Media first announced on Jan 9 and gave further details of on Friday, would have affected the decision to fund SMT and the amount the Government committed to fund, a ministry spokesman said.
The ministry was responding to SPH Media’s announcement on Friday that the company’s board had tasked its audit committee to look more fully into overstated circulation data.
The MCI spokesman noted the media company’s statement on its internal review of the data, as well as the steps it has taken to deal with the matter. The spokesman also noted that the SPH Media Holdings Board has tasked its audit and risk committee to further investigate the issues more fully.
“MCI has requested for SPH Media Holdings Board to share these findings when ready and expects full cooperation on this,” the spokesman said.
“MCI is undergoing its own review of whether the inconsistencies would have affected the decision to fund SMT, and the amount the Government committed to fund. We have not disbursed any of these funds to SMT to date. We will share our findings in due course,” the spokesman added.
The overstated circulation numbers were discovered in an internal review covering the period between September 2020 and March 2022, to assess data that SPH Media had taken over from its predecessor Singapore Press Holdings Limited.

MCI had previously stated that SMT will receive public funding of up to S$180 million a year over five years, with the company required to provide half-yearly progress updates.
In a statement on Friday, SPH Media, which has come under public criticism after announcing the discovery on Jan 9, said its Board’s Audit and Risk Committee will focus investigations on the preliminary findings that circulation figures had been overstated by up to 90,000 average daily copies in some months.
The committee will also commission legal advisers to assist in the probe, and report its findings directly to the SPH Media board.
Several MPs have filed questions on the matter for Minister for Communications and Information Josephine Teo for the next Parliament sitting on Feb 6.
People’s Action Party MP Darryl David (Ang Mo Kio GRC) has asked whether the Government could provide some insight from the internal report received from SPH Media regarding the alleged inconsistencies in its circulation data, and how these could possibly impact the Government’s commitment to fund the company. Mr Don Wee (Chua Chu Kang GRC) has asked if the Government will adjust the grant given to SPH Media.
Workers’ Party MP Dennis Tan (Hougang) has asked how the inconsistencies in circulation data will impact the Government’s commitment to fund SMT while fellow WP MP He Ting Ru (Sengkang GRC) asked whether individuals involved in initiating and perpetuating the inflated circulation figures in SMT have been referred to the police for further investigation. WP MP Gerald Giam (Aljunied GRC) has asked about the total number of copies that were printed, counted and destroyed and the environmental impact of these actions.
The Progress Singapore Party has called for an independent inquiry to be conducted and said its Non-Constituency MPs will pursue the matter in Parliament.

 

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China turns its eyes to ‘hidden corruption’​

Experts say this could refer to Chinese officials’ family members and aides taking bribes on their behalf. PHOTO: AFP
Benjamin Kang Lim and Danson Cheong

Jan 21, 2023

BEIJING - After clamping down on chronic corruption in the past decade, the Communist Party of China (CPC) is turning its focus to fighting “hidden corruption”.
The party’s anti-graft watchdog, the Central Commission for Discipline Inspection (CCDI), said during its annual plenum that it will go after “new forms of corruption and hidden corruption”.
The CCDI did not elaborate on what this referred to during the meeting earlier in January.
President Xi Jinping also vowed during the party’s quinquennial congress last October to crack down on new forms of corruption and hidden corruption, and to investigate leading cadres’ spouses, children, siblings and aides.
At the CCDI meeting, during which the commission detailed its priorities for the year, it said a key area would be “concentrations of power, funds and resources”.
It singled out targets such as state-owned enterprises, the justice and financial system, and areas relating to grain purchasing and marketing, according to a readout of the meeting.
Traditional corruption involves officials accepting cash in exchange for approving bank loans, government subsidies, construction projects and job promotions, among other things.

Some experts say the new and hidden forms of corruption could refer to officials’ family members and aides taking bribes on their behalf in the form of shares in privately owned companies, antiques, calligraphies, paintings, sculptures and consultancy fees. It could also refer to the business activities of current and former officials.
There are also signs that Beijing is now training its sights on this “collusion between such officials and business people”, said political analyst Willy Lam, an adjunct professor at the Chinese University of Hong Kong.
On Monday, CCDI deputy director Xiao Pei wrote in the official People’s Daily that Beijing would soon enact a law to restrict the business activities of current and former officials.

It would “clarify management mechanisms such as recusal of civil servants, and restrictions on part-time work, commercial dealings, and employment after they leave their jobs”, said Mr Xiao.
Dr Lam pointed out that China at the moment does not have comprehensive laws to govern civil servants’ dealings in the private sector.
“This could also be a so-called ‘new’ form of corruption that they are tackling,” he said.
“Since the beginning of economic reforms and the open door policy in the 80s, there were people who retired from the civil service or party bureaucracy and gone into business taking advantage of their connections, but relatively few officials have been prosecuted.”
Unlike 2022, the readout of 2023’s CCDI meeting did not mention that the anti-graft agency will crack down on the “disorderly expansion of capital and platform monopolies”, which experts say is a clear sign that Beijing is shifting its focus away from private firms and tech giants.
In the last few years, Beijing had launched anti-trust investigations into tech firms such as Alibaba, Meituan and Didi, reining in a tech industry that once operated with little oversight.

Corruption, a scourge that toppled many Chinese dynasties, had been virtually wiped out in the decades after the 1949 communist revolution, but it has bounced back since China began opening up to the world in 1978.
Since he took power in 2012, one of Mr Xi’s signature policies is his crackdown on corruption – the boldest and most far-reaching in decades – going after “tigers” (senior officials), “flies” (low-level cadres) and “foxes” (fugitives who have absconded abroad).
Almost five million party members were investigated for possible corruption in the past 10 years – or an average of 1,369 people per day – with 553 prosecutions, the CCDI revealed in October.
The figure accounts for 5.2 per cent of the CPC’s 96 million party members.
A party insider told The Straits Times that “fighting corruption is the new normal” and there would be no end in sight under Mr Xi.

 

[LITTLEREDDOT]

Jail for Residents’ Network ex-chairman over cheating offences involving more than $10k​

Teo Kum Weng made bogus claims for purported reimbursements for goods and services because he was facing financial difficulties at the time. ST PHOTO: KELVIN CHNG

Shaffiq Alkhatib
Court Correspondent

Jan 30, 2021

SINGAPORE – He was the chairman of the Woodlands Zone 8 Residents’ Network (RN) when he deceived two of the group’s office-bearers multiple times in committing cheating offences involving more than $10,800.
Among other things, Teo Kum Weng duped then vice-chairman Kian Too Chong and then treasurer Sivanesan Saminathan into approving multiple payment claims.
Teo, 60, made the bogus claims for purported reimbursements for goods and services because he was facing financial difficulties at the time.
Teo committed his offences between 2018 and 2021.
He was sentenced to seven months’ jail on Monday after pleading guilty to five counts of cheating.
Responding to queries from The Straits Times, the People’s Association said that it terminated Teo’s services as a grassroots volunteer in November 2021.
In 2018, Teo told the other members of the RN that a cleaner the group had engaged at $300 per month was not doing a good job.

He asked the group to engage one Madam Xiang Jing Jing to perform the job at $280 per month, without telling them that she was his wife.
Deputy Public Prosecutor Gan Ee Kiat said: “He was afraid that the RN would become aware of his conflict of interest, which would make it more difficult for their engagement of Madam Xiang’s cleaning services.
“The accused also gave a false address to the RN as Madam Xiang’s address because he knew that it was not right for (her) to be engaged by the RN without any declaration of her relationship to him.”

As a result, the RN engaged Madam Xiang’s services. The unsuspecting Mr Sivanesan authorised payments totalling nearly $4,200 to her between December 2019 and November 2020.
Teo also owned a firm called TKW that performed maintenance, repair and painting work. He did not tell the other RN members that he was the firm’s owner when the group engaged its services.
DPP Gan told the court: “He also sought to further conceal his ownership of TKW to members of the RN by using a variety of signatures, including one which read ‘Shirley’, on invoices issued by TKW.
“Had the accused disclosed... his ownership of TKW to members of the RN... TKW would not have been engaged to render services to the RN.”
Between December 2019 and December 2020, Teo dishonestly induced Mr Kian and Mr Sivanesan to authorise payments totalling $2,840 to TKW.
He also made bogus payment claims over purported reimbursements for purchases and services, including air-conditioning servicing.

Teo made such claims on multiple occasions between July 2020 and August 2021. As a result, Mr Kian and Mr Sivanesan were duped into approving payments totalling some $3,800.
The pair had trusted the veracity of Teo’s payment claims, and did not inquire further into the claims beyond ensuring the amount in the supporting documents he provided tallied with the amount to be disbursed to him, said DPP Gan.
Teo’s offences came to light after an officer from the director’s office of Sembawang GRC conducted a review of the RN’s finances.
The police were alerted on Nov 30, 2021, after several financial irregularities were discovered.
Teo’s bail has been set at $15,000, and he is expected to surrender himself at the State Courts on Feb 20 to begin serving his sentence.

 

[LITTLEREDDOT]

Royce Wee
Royce Wee• 2ndPublic Policy Practitioner | Lawyer | Data Protection Officer | Expert Speaker
5h • 5 hours ago
Follow

Many questions and doubts have been raised about CPIB's decision to "merely" issue a stern warning to six former Keppel O&M senior members for corruption offences.


The reasons are aplenty.

Let's see.

First, it adversely affects Singapore's and Singapore Inc's international reputation for integrity, honesty and incorruptibility.

Second, it involves a major Temasek-linked conglomerate.

Third, the sheer amount of the corruption involved, to the tune of US$55 million was staggering.

Fourth, Singapore's oft-repeated stance of zero tolerance for corruption. When actions don't match the words, many people find the dissonance galling.

Fifth, the primary reason given for the stern warning didn't convince many people. To recap, the CPIB cited "evidentiary difficulties" to prosecute major transnational corruption of Keppel O&M's nature. However, this sounds more a matter of will. Cases worth pursuing are by nature always difficult. In fact, the CPIB had prosecuted overseas corruption cases before.

Otherwise, the inadvertent signal given is that if one wants to be corrupt, one should "go big" and do it overseas. This surely can't be right.

The risibility factor was further raised when many netizens juxtaposed the "slap on the wrist" in the present case against hefty punishments meted out for far less serious offences.

To be sure, many of these legitimate concerns come from Singaporeans of goodwill who wish the country well.

But this post is about none of the above.

Instead, it is about the need to clarify and reform the whole practice of issuing stern warnings.

First, what is the statutory basis of stern warnings?

Second, what are the criteria for the issuance of a stern warning, and are they objective, transparent, and consistent?

Third, what are the effects of a stern warning? Is it a form of punishment and how does it correlate with the presumption of innocence? Does it count as a criminal antecedent? The case law appears mixed, while investigating agencies almost always consider it a relevant factor in any future investigations. Does it affect one's ability to serve on a corporate board or take up future senior appointments? Will it be considered "spent" after the passage of a certain duration?

Fourth, is the issuance of a stern warning subject to an individual accepting it? What happens if the individual denies guilt?

Fifth, is the issuance of a stern warning subject to review or appeal? If so, is there an independent tribunal to look at it de novo?

Unfortunately, I don't have answers to the above.

But perhaps this highlights the whole point.

When there is more clarity and consensus on the whole matter of stern warnings in this second set of questions, an added benefit is that this may help pre-empt future controversies from arising should another Keppel O&M or similar major corruption case take place.

 

[LITTLEREDDOT]

Last person in graft case involving ex-SBS Transit staff to pay fine, penalty totalling over $75,000​

Shaffiq Alkhatib
Court Correspondent

Feb 1, 2023

SINGAPORE - The last person to be convicted in a graft case involving two former senior engineers with SBS Transit (SBST) was ordered on Wednesday to pay a fine and a penalty totalling more than $75,000.
Deputy Public Prosecutor Colin Ng said that Tan Hoon Gee, 46, who used to be a senior engineer with the transport provider, had obtained gratifications totalling $35,655.51 from people including senior executives of other firms.
The Corrupt Practices Investigation Bureau said in an earlier statement that the monies were obtained as inducements or rewards for advancing the business interests of these companies with SBST.
On Wednesday, Tan pleaded guilty to six charges under the Prevention of Corruption Act involving nearly $20,000.
Eight other similar charges linked to the remaining amount were considered during sentencing.
He was fined $39,400 and ordered to pay a penalty of $35,655.51 – the total amount of bribes received.
He will have to spend 37 weeks behind bars if he is unable to pay the fine and penalty.

Tan and another former senior engineer with SBST, Lau Yuen Fai, 61, were among seven people who were handed graft charges in October 2022.
Lau was fined $3,600 on Jan 19 after he pleaded guilty to graft charges. He was also ordered to pay a penalty of $1,350.
The remaining five people – all from other firms – are: Wang Hairu, 51, Lim Tong Keong, 58, Poh Beng Chye, 59, Wendy Loh Chen Yi, 62, and Chin Tyng Lei, 69.

All five were also given fines after they pleaded guilty to their offences.
Poh was the sole proprietor of machinery spare parts supplier Clear Cut Engineering (CCE) when he committed the offences.
DPP Ng told the court: “Sometime in 2019, (Tan) met Poh at SBST’s premises... During the meeting, the accused told Poh that he needed financial assistance and asked Poh if he could help.
“The accused told Poh that he would be ‘very grateful for his help’ and would do his best to engage CCE to carry out the jobs for SBST.”
In 2020, Poh gave at least $4,800 to Tan, who then engaged CCE to carry out jobs for SBST on 39 occasions.

Wang was a director at electronic component supplier VT Global Marine Engineering at the time of the offences.
Tan contacted her in late 2019, stating that he was facing financial difficulties.
The prosecutor said: “(Tan) told Wang that he could help VT Global to get more business by recommending SBST to engage VT Global to supply electrical components to SBST.
“However, Wang had to pay him a 5 per cent commission of the sale price if he managed to broker the purchase of electronic components by SBST.”
Wang agreed to the plan and on Tan’s recommendation, SBST engaged VT Global to supply electronic components to it on several occasions in 2020. Wang then corruptly handed Tan more than $7,000 in total as reward.
At the time of the offences, Loh was an assistant sales manager at hardware product supplier Allinton Engineering & Trading, while Chin was a director there. They agreed to give Tan bribes totalling $9,260.
DPP Ng said that Tan had requested a 5 per cent commission of the sale prices in exchange for brokering the purchase of hardware parts by SBST.

Loh had a discussion with Chin around early January 2020 and urged him to agree to Tan’s request. Chin then agreed with the plan.
With Tan’s recommendation, SBST engaged Allinton Engineering to supply hardware parts to it on at least eight occasions between March 11 and April 29, 2020.
Loh handed Tan a bribe of $3,270 in May 2020. Loh and Chin continued committing similar offences from that point until December 2020.
Allinton Engineering told The Straits Times in an earlier statement that Chin had willingly decided to step down and retire from his role as its executive director. Loh is also no longer working for the firm.
Its spokesman said: “(The monies) were paid out of (Chin’s) personal funds...The payments made were never connected to (nor) claimed for reimbursement from Allinton at any point.”
The spokesman added that Allinton Engineering continued to charge SBST as normal and did not inflate the cost of goods despite the forced commission from Tan.

 

[LITTLEREDDOT]

(From top left to right) Chow Yew Yuen, Tong Chong Heong, Tay Kim Hock, former, (From bottom left to right) Kwok Kai Choong, Choo Chiau Beng, Jeffery Chow

SINGAPORE — The Corrupt Practices Investigation Bureau (CPIB) and Attorney-General’s Chambers (AGC) have said that they will not name the six former senior management staff of Keppel Offshore & Marine Limited (KOM) who were issued stern warnings over offences punishable under the Prevention of Corruption Act (PCA).

CPIB made a press statement on Thursday (12 Jan) about the stern warnings issued to six former senior executives of KOM after close to five years of its investigations after consultation with AGC.

The offences relate to bribe payments to officials of Brazilian state-owned corporation Petróleo Brasileiro S.A. (Petrobras), pertaining to rigs-building contracts which Petrobras and/or its related companies had awarded to KOM.

Six former executives were determined to have been implicated in the scheme through investigations by the United States’ Department of Justice (DOJ), as documented in the plea agreement signed by KOM.

According to the admissions and court documents, beginning by at least 2001 and continuing until at least 2014, KOM conspired to violate US’ Foreign Corrupt Practices Act (FCPA) by paying approximately US$55 million in bribes to officials at the Brazilian state-owned oil company Petrobras, and to the then-governing political party in Brazil, in order to win 13 contracts with Petrobras and another Brazilian entity.

KOM and its related entities, including KOM USA, are said to have earned profits totalling approximately US$159.9 million from the P-61 project.

CPIB was reported to have arrested six former executives from KOM in Feb 2018 following the DoJ’s investigation. The six were subsequently let off on bail, and the matter was then referred to the AGC to decide if charges were to be filed.

Individuals investigated are not named​

Back in 2018, Members of Parliament from the Workers’ Party (WP) filed Parliamentary Questions over KOM soon after CPIB, and AGC served a conditional warning to KOM on 23 December 2017 for corruption offences punishable under Section 5(b)(i) of the PCA.

Of the many questions, one was why the identities of the Singaporeans involved in the bribery case cannot be named.

Answering on behalf of the Minister for Law, K Shanmugam, Ms Indranee Rajah said:

The Government’s position is very simple. The Government deals with the Government’s actions. So, the Government’s actions are that when investigations are on-going, we do not disclose the identities of people being investigated. What other people may say outside, what other information may be floating outside, what other comments may go on in social media, that is separate.
But as the Government, as an investigation authority, the Government does not disclose names of individuals who are being investigated. And we are not alone in that. All civilised jurisdictions which observe the rule of law uphold that principle simply because, as I have mentioned earlier, we do not want to prejudice either the investigations or the persons being investigated, depending on how the investigation might turn out.

Who might be the six who have been issued stern warnings?​

While the Singapore Government has not named the six who were issued stern warnings over the offences, details contained within an attachment of the plea agreement between DoJ and KOM and reports on the court hearings in Brazil might help to shed some light on the issue.

The attachment listed details of six executives who were part of DoJ’s investigation.

KOM Executive 1, a citizen of Singapore whose identity is known to the United States and KOM USA, was a senior executive of KOM from 2002 to 2014.

KOM Executive 2, a citizen of Singapore whose identity is known to the United States and KOM USA, was a senior executive of a wholly-owned, Singapore-based subsidiary of KOM in or about and between 1989 and 2009 and a senior executive of KOM in or about and between 2013 and 2017.

KOM Executive 3, a citizen of Singapore and legal permanent resident of the United States in or about and between 2002 and 2013, whose identity is known to the United States and KOM USA, was a senior executive of KOM USA in or about and between 2002 and 2011 and a senior executive of KOM in or about and between 2011 and 2017.

KOM Executive 4, a citizen of Singapore whose identity is known to the United States and KOM USA, was an executive at KOM in or about and between 2002 and 2017. He was an executive at KOM USA in or about and between 2011 and 2017.

KOM Executive 5, a legal permanent resident of the United States since 2015, whose identity is known to the United States and KOM USA, held executive positions at multiple KOM subsidiaries in Brazil in or about and between 2003 and 2017. He also held an executive position at KOM and at KOM USA in or about and between 2012 and 2017.

KOM Executive 6, a United States citizen whose identity is known to the United States and KOM USA, held various senior positions in the legal department of KOM in or about and between 1990 and 2017.

Names revealed in report on court hearings​

And although the six were also not named by DoJ, a report by Bloomberg in 2016 on the court proceedings at a Brazilian court over the bribery case shed light on the matter.

The Consultant who assisted KOM in bribing the Brazilian officials was identified as Zwi Skornicki.

Skornicki also reportedly told the court that five Keppel executives were involved. They are:

1. Chow Yew Yuen, then-current Keppel Offshore & Marine CEO
2. Tong Chong Heong, former senior executive at Keppel Corp
3. Tay Kim Hock, former CEO of Keppel Fels Brasil
4. Kwok Kai Choong, then-current CEO at Keppel Fels Brasil
5. Choo Chiau Beng, a former Keppel Corp CEO and former non-resident ambassador to Brazil

Portfolio of the six executives involved in the US DoJ investigations​

Using the details in the plea agreement, it can be ascertained that the six unnamed executives are those who have been identified in the Bloomberg report.
Chow Yew Yuen was the CEO of KOM from 1 February 2014 to 20 March 2017. He was with the company for 36 years and first joined Keppel FELS in 1981 as a project engineer. Over the next decade, he worked in various departments and rose through the ranks to become the president of Keppel AmFELS and later the president of Keppel O&M USA.

Tong Chong Heong was the CEO of KOM from 1 January 2009 to 31 January 2014. Tong has served as Executive Director on the Keppel Corporation Board since 1 August 2009 and the Chairman of Keppel FELS Brasil SA; and Senior Executive Director of Keppel Corporation Limited.

He was also appointed Chairman of Keppel Integrated Engineering (KIE) previously on 3 August 2009 after serving on the KIE board since 1999.

After stepping down as CEO, he was appointed senior adviser to KOM and Keppel Infrastructure boards. Mr Tong was conferred Singapore’s Public Service Medal in August 1999.

Tay Kim Hock, was President & CEO of Keppel FELS Brasil S/A, President of FSTP Brasil Ltd, and President of the Administrative Council of BrasFELS SA from Jun 2000 to Oct 2007. Following that, Tay became Senior General Manager of KOM from Nov 2007 to Mar 2009.

He was Head Marine & Offshore Engineering of IMC Industrial Group from Jan 2010 to May 2012 and Director of Penguin International from 2012 to 2015. Straits Times had earlier reported that Tay was one of the six being arrested by CPIB in 2018.

Kwok Kai Choong was the CEO at Keppel Fels Brasil from 2007 to November 2017.

Choo Chiau Beng was CEO of Keppel Corporation from 1 January 2009 to 31 December 2013. Before that, he was CEO of Keppel FELS from 1983 to 2008 and Chairman & CEO of KOM from 2002 to 2008. He was Executive Director of Keppel Corporation since 1983 and Senior Executive Director since 2005.

Upon his retirement on 1 January 2014, Choo was appointed Senior Advisor to the Board of Keppel Corporation.

In July 2014, Choo was appointed by the National University of Singapore (NUS) as Provost’s Chair and Professor (Practice) in the Department of Civil and Environmental Engineering, Faculty of Engineering and Department of Management and Organisation, NUS Business School.

Choo was formerly appointed as Ambassador to the Federative Republic of Brazil in 2004 and has left the position.

As for the sixth executive, while not named by Skornicki, the news reported his name in the coverage of the case.

Jeffery Shiu Chow, a US citizen, was reported to have cut a deal to help prosecutors in their probe of Keppel and other former executives. Chow pleaded guilty on 29 Aug 2017 to conspiring to violate the FCPA as part of his deal to cooperate. He admitted to drafting contracts that were used to make bribe payments, according to court records.

He is a former senior member of KOM’s legal department and has worked in the legal department for over 25 years. Although a US citizen, Chow resides in Singapore.

 

[winnipegjets]

These six could be extradited to Brazil to face justice there?

 

[winnipegjets]

It is not corruption; they were Sinkapore's interests. If the PAP says it is not corruption, we have to believe.

 

[LITTLEREDDOT]

Reasons for funding SPH Media still valid; circulation issue doesn’t affect decision: Josephine Teo​

The Minister for Communications and Information said no public monies have been lost due to the circulation data discrepancies. ST PHOTO: GIN TAY

Tham Yuen-C
Senior Political Correspondent

Feb 6, 2023

SINGAPORE – The recent discovery of overstated circulation data at SPH Media Trust (SMT) will not affect the Government’s decision to fund the media company, as the reasons to help develop local newsrooms remain valid, said Minister for Communications and Information Josephine Teo.
She added that there is no change to the Government’s commitment to fund SMT by up to $900 million over five years.
The level of funding – to support SMT in digital transformation and capability development, and to sustain vernacular newsrooms – remains valid, she told the House, as there is a need to preserve local news media in the public interest amid severe disruption in the industry.
Mrs Teo also said circulation numbers of the company’s publications were not a key consideration in assessing the funding required for SMT’s transformation.
Her remarks in Parliament on Monday came in response to 26 questions filed by MPs. SMT, which publishes The Straits Times, among other publications, is facing public criticism after it emerged that an internal review found circulation figures for some of its publications had been overstated by about 85,000 to 95,000 daily average copies. The review covered data between September 2020 and March 2022.

Mrs Teo emphasised that no public money has been lost due to the discrepancies in circulation figures, as the Government had pledged to start funding SMT only in financial year 2022 – after the period covered in SMT’s internal review. The Government also had yet to disburse any funds to date, she said.
The reasons for funding SMT, aired and debated in Parliament in 2021 and 2022, remain as valid today, she said of the findings her ministry made after a review sparked by the circulation issue.

Local news outlets give voice to the Singapore identity and Singaporean perspectives, and also provide information people can trust to be accurate and objective, she said.
It has become even more important to ensure their survival at a time when the Internet has made it exceedingly easy for all kinds of information to reach and influence domestic audiences, Mrs Teo said.
“SMT’s internal review of circulation numbers reinforced our assessment that the media landscape had become highly unfavourable for news organisations, even if they had substantial reach and were trusted by the public,” said Mrs Teo. While this did not make it right for anyone to overstate circulation numbers, it reaffirmed the need for restructuring, she added.


But, she said, “SMT’s board and management must also be mindful of their public duties, their responsibility to maintain the public’s trust in their newsrooms and journalists, and the need to discharge these responsibilities in a diligent and timely manner”.
SMT had said in a media statement on Jan 20 that it had tasked its audit and risk committee to further investigate the matter and to commission legal advisers to help. The committee will report its findings to SMT’s board.
Mrs Teo said the board will have to share these findings with her ministry.
She also said that SMT will be held to account when it receives government funding.
In this regard, the Government’s focus is on readership and reach, which measure how many people read the publications, and not circulation, which measures how many copies are sold or distributed.

Mrs Teo noted that readership and reach are measured through surveys done by third parties, such as research agencies like GfK, external sources such as the Reuters Institute for the Study of Journalism at Oxford University, and the Government’s own surveys.
She added that there are safeguards in place in the Government’s agreement with SMT to ensure public funding is used in an accountable and responsible manner.
The key performance indicators (KPIs) the Government will look at to assess SMT’s performance include the total reach and engagement of the company’s products, especially on digital platforms, and also specific reach indicators for vernacular groups and young people, she said, noting that the indicators will determine the amount of funding.
These indicators and the company’s financial statements must be audited by independent external auditors before they are submitted to the Government, which can also conduct its own audits, she added.
SMT will also have to provide progress updates to the Ministry of Communications and Information on a half-yearly basis.
“Funding will be disbursed only if SMT provides satisfactory regular updates on where and how funding has been utilised, and future business plans. The Government will also review the funding quantum during the midterm and adjust KPIs and funding where necessary,” Mrs Teo said.

Asked by Mr Zhulkarnain Abdul Rahim (Chua Chu Kang GRC) what the Government will do to ring-fence its funds if the company’s internal review finds criminal wrongdoing, Mrs Teo said safeguards have been built into the funding agreement and can be exercised if necessary.
Several MPs wanted to know the Government’s next steps. Mr Don Wee (Chua Chu Kang GRC) asked what the Government would do to ensure the overstatement does not happen again, while Ms He Ting Ru (Sengkang GRC) asked how the Government would restore trust in SMT’s publications after the episode.
Said Ms He: “People might be thinking, if the organisation goes to such lengths to falsify circulation figures such as even pulping newspapers, would we still be able to trust the content that’s delivered by these organisations?”
Responding, Mrs Teo urged MPs to wait until the company’s audit and risk committee finishes its investigations, adding that she would not prejudge the outcome.
She said that while SMT’s board is accountable to the company’s members, it also has “a responsibility to let the public know how (it intends) to proceed”.
Mrs Teo also made a distinction between SMT and Singapore Press Holdings Limited (SPH), saying that the discrepancy in data was discovered by SMT’s own internal review.
In 2021, then mainboard-listed SPH spun off its media business, which was then incorporated as SMT, a company limited by guarantee, on Dec 1 that year.

Many MPs also had questions on the details of SMT’s internal review, including how long the practice of overstatement had been going on and the financial implications of the inaccurate circulation data.
Non-Constituency MP Hazel Poa took issue with the manner in which SMT had handled the issue, and asked why the organisation had not broken the news of the discrepancies itself, given that the role of the news media is to “expose wrongdoing”.
Mrs Teo said their concerns are valid, and the questions should be addressed by SMT.
“The Government cannot speak on behalf of SMT, and it is premature for us to say more at this juncture,” she added, noting SMT’s ongoing investigations.
Acknowledging that the episode has affected SMT, including its newsrooms and journalists, she said SMT’s board will have to do what is necessary to rectify things if any problem is found and be transparent in how it will do so.

 

[LITTLEREDDOT]

Five questions on SPH Media’s overstated circulation numbers​

Minister for Communications and Information Josephine Teo said the Government concluded that the reasons for providing public funding to SPH Media remain valid. PHOTO: MCI

Ng Wei Kai

Feb 6, 2023

SINGAPORE — Several MPs raised questions in Parliament on Monday about SPH Media’s overstated circulation numbers that came to light in January. Here are five questions Minister for Communications and Information Josephine Teo was asked and her responses.

Why did SPH Media not break the news itself?​

The news of SPH Media’s circulation issues was broken by an independent online publication rather than by the organisation itself, said Non-Constituency MP Hazel Poa of the Progress Singapore Party (PSP).
She asked Mrs Teo why this was the case, as one of the roles of a media organisation is to expose wrongdoing.
Mrs Teo said many things happen in an organisation each day, and it is up to the management to decide if and how an incident ought to be communicated, both within and outside of the organisation.
She noted that the review of circulation numbers was initiated by SPH Media, and that it was still under way when news of the overstated figures emerged. It has also convened a further review by its audit and risk committee to set things right, she added.
“Should the manner in which they communicated have been approached differently?” she asked. “I think that is a matter that SPH Media and the management and the board will have to consider.”

Has trust in SPH Media and its publications been broken?​

Workers’ Party (WP) MP He Ting Ru (Sengkang GRC) asked if public trust in the company has been broken, and whether or not any steps will be taken in the interim to restore that trust.

She said: “If the organisation goes to such lengths to falsify circulation figures, even pulping newspapers, would we still be able to trust the content that’s delivered by (it)?”
In response, Mrs Teo reiterated that SPH Media is expected to share the findings of its audit and risk committee’s investigation with the Ministry of Communications and Information (MCI) once it is completed, and make the necessary rectification.
SPH Media has a responsibility to let the public know how it intends to proceed, and this responsibility is not lost on its management and board, she said.


“If there was any doubt that they did not take this matter seriously, I don’t see why they would have convened another review by their own audit and risk committee.”

Was there insufficient due diligence in deciding to provide SPH Media with public funding?​

Non-Constituency MP Leong Mun Wai of the PSP said circulation data should have been part of the Government’s due diligence before it committed in 2022 to fund SPH Media up to $900 million over five years.
He noted that while the Government’s metrics for accountability of public funding to SPH Media are readership and reach, circulation data is an important area, and he questioned if there was inadequate due diligence by MCI.
In response, Mrs Teo said MCI conducted a review in January of the reasons for which it had committed public funds to support SPH Media’s capability development.

These included the intense competition faced by professional newsrooms as news consumption shifts online, the long-term public interest of preserving local news media, and the need to support vernacular news outlets to reflect Singapore’s multiracial make-up.
She said the Government concluded that the reasons for public funding remain valid, as does the level of funding.
“Should these be affected by the findings of the audit and risk committee? At this stage, it is too early to say – I will not prejudge,” she said.

Will there be any legal action taken against its employees or management?​

Mr Zhulkarnain Abdul Rahim (Chua Chu Kang GRC) and Mr Louis Chua (Sengkang GRC) asked if there could be criminal sanctions, civil liabilities or regulatory action taken against SPH Media’s employees or board.
Mrs Teo said that if there is any evidence that laws were broken, SPH Media Trust is obligated to inform the police. Until the audit and risk committee has completed its work, one should not prejudge the outcome, she added.
As for Mr Chua’s question on whether circulation revenues were impacted, that is the reason SPH Media has asked its committee to investigate the matter more fully, she said.
“Until they have completed their work and shared their findings, I think everything else that we say is speculative.”
MORE ON THIS TOPIC
Reasons for funding SPH Media still valid; circulation issue will not affect decision: Josephine Teo
SPH Media tasks audit committee to look more fully into overstated circulation data

Were earlier circulation figures also overstated?​

Mr Gerald Giam (Aljunied GRC) asked if circulation figures reported by SPH Media before the period that was reviewed were accurate, and if the overstatement of circulation figures was a longstanding practice.
Mrs Teo said these questions are better addressed after the SPH Media committee completes its investigation and shares its findings.
“Keep in mind that these discrepancies were uncovered as a result of an internal review that was initiated by the SPH Media management in the first place,” she said in response to another question on circulation figures by Mr Don Wee (Chua Chu Kang GRC).
“So I think it is clear that the intent of the SPH Media board as well as its management (is) to put things on the right footing, and we should support them in this process.”

 

[LITTLEREDDOT]

Did the CPIB put a serious effort and enough resources into the investigation?
Or were they instructed to do wayang kulit?

Insufficient evidence to prosecute those involved in Keppel O&M corruption case: Indranee​

Six former Keppel O&M employees were investigated for allegedly conspiring to give bribes to foreign consultants involved in the company’s business interests in Brazil. PHOTO: KEPPEL CORP

Natasha Zachariah
Correspondent

Feb 6, 2023

SINGAPORE – In the absence of key witnesses and sufficient evidence, a decision was made to issue stern warnings instead of prosecuting six former senior management staff of Keppel Offshore & Marine (Keppel O&M) over alleged bribe payments, said Minister in the Prime Minister’s Office Indranee Rajah in Parliament on Monday.
However, if compelling and new evidence surfaces, the public prosecutor (PP) can and will re-evaluate the decision, she added, stressing that Singapore’s zero-tolerance policy towards corruption must be upheld in a manner that complies with the rule of law.
Responding to 17 parliamentary questions filed on the matter, Ms Indranee said: “Simply put, there is a lack of sufficient evidence, either documentary or through witnesses, which would establish any criminal charge beyond a reasonable doubt against a specific individual.”
Referring to a press statement that the Corrupt Practices Investigation Bureau (CPIB) issued in January, Ms Indranee said the agency had done its best, including working with international partners to uncover evidence.
“CPIB conducted an in-depth investigation within Singapore, within the scope of its legal powers. However... the difficulty with this case is that several potentially key witnesses are not in Singapore, and CPIB has not been able to secure their cooperation or agreement to testify in Singapore. “
She added that both the CPIB and Attorney-General’s Chambers (AGC) had done a careful and thorough review of the documents, including the deferred prosecution agreements and plea bargains, “and the public prosecutor has advised that those are insufficient to meet the burden of proof”.
CPIB made two fact-finding trips to Brazil in 2019. The AGC and CPIB also sent three mutual legal assistance (MLA) requests to Brazil to secure needed evidence, and an MLA request to another relevant foreign authority to interview other potential material witnesses.

“The contents and outcome of these MLA requests are confidential, but I can inform the House that they have either not yielded evidence that could be used to secure a conviction before our courts, or the responses have not been helpful in advancing the case,” said Ms Indranee, who is also Leader of the House.
There was also a foreign witness whose evidence in other proceedings could have been relevant to establishing the offences in Singapore, but the witness was unwilling – and cannot be forced – to provide evidence here, Ms Indranee added.
On Jan 11, the CPIB said the six former employees had been investigated for allegedly conspiring with one another to give bribes amounting to about US$55 million (S$72.8 million) to foreign consultants involved in Keppel O&M’s business interests in Brazil.

The money was then used to pay bribes to officials of Brazilian state-owned company Petrobras, pertaining to rig-building contracts that it or its related companies had awarded to Keppel O&M.
Under a global resolution led by the United States Department of Justice and involving Brazil and Singapore, a conditional warning in lieu of prosecution was issued to Keppel O&M for offences punishable under the Prevention of Corruption Act. Keppel O&M paid a total fine of US$422 million and fulfilled all obligations under the conditional warning.
On why the six former staff were not named, Ms Indranee said CPIB does not reveal names unless individuals are charged in court, to avoid prejudicing the person’s right to due process, and avoid any presumption of guilt in the absence of formal findings.

She urged MPs who felt strongly about the matter to petition for change. However, she cautioned that it would be a major policy change and “it cannot only be for this case, it must be for all future cases”.
To Mr Zhulkarnain Abdul Rahim’s (Chua Chu Kang GRC) question on whether the Prevention of Corruption Act should be amended so the CPIB can conduct investigations outside its jurisdiction, Ms Indranee pointed out that other countries would not tolerate Singapore exerting its police powers beyond its borders, and vice versa.
“Members need to be realistic about what we can and cannot do. Singapore companies that operate overseas do so in myriad environments, where all kinds of business practices prevail. We cannot police all of them,” she said.
“However, what we can and should do is to insulate our companies, and our system against corruption.”
Addressing MPs’ concerns about how the case would affect Singapore’s reputation and zero-tolerance policy towards corruption, Ms Indranee said that there was no change to the policy.
“If subsequently new and compelling evidence comes up, the PP can and will re-evaluate the decision. The PP’s decision to issue stern warnings should be understood in that context,” she explained.
“Our zero-tolerance policy must be upheld in a manner that complies with the rule of law. The PP has acknowledged this, and this is exactly what the PP has done on the facts – to uphold the rule of law.”

 

[LITTLEREDDOT]

Issuing stern warnings to former Keppel O&M staff a balanced solution: Indranee​

Minister Indranee Rajah responds to questions in Parliament about the Keppel Offshore & Marine Limited corruption scandal. THE STRAITS TIMES

Natasha Zachariah
Correspondent

Feb 6, 2023

Issuing stern warnings to the six former management staff from Keppel Offshore & Marine Limited (KOM) was an “in-between” solution but the right thing to do, said Minister in the Prime Minister’s Office Indranee Rajah.
She was responding to a follow-up question from Workers’ Party MP Leon Perera (Aljunied GRC), who asked on what basis stern warnings were issued by the Corrupt Practices Investigation Bureau (CPIB), given the insufficient evidence.
Ms Indranee said that a stern warning is given when one cannot give a complete clean bill of health, but at the same time does not have enough to clear the evidentiary hurdle.
“So you see, what are the choices: Do nothing at all, or bring charges when you know you don’t have sufficient evidence? Or is there something in-between? The stern warning device is the something in-between.”
She added that closing the investigation without doing anything would not have been the correct thing to do. “The stern warning device... it’s an expression of AGC’s position that we don’t think that you’re completely off the hook.”
Dr Tan Wu Meng (Jurong GRC) asked if the AGC did not pursue the case because it was an “uphill task in and of itself or outright impossible, given the available facts”.
Ms Indranee responded that the correct test is that there must be a reasonable prospect of obtaining a conviction, because there must be a certain threshold.

“Otherwise, if you just go around filing charges with insufficient basis, that would not make for a strong justice system. And that is the threshold that AGC feels that it is not able to get over in this particular case.”
Leader of the Opposition Pritam Singh questioned if KOM board at that time when the offences were committed had “constructive knowledge” - something that they could reasonably be expected to know - of corrupt payments being made to secure contracts in Brazil.
“If the question is whether the investigation included determining if there was constructive knowledge, the answer is if constructive knowledge is not an offence, then there’s no reason for CPIB to be investigating this,” said Ms Indranee.
She added that the CPIB investigates offences under the Prevention of Corruption Act (PCA), and that is what it had done in this case. “Unfortunately, there’s insufficient evidence for them to mount a prosecution.”
Mr Murali Pillai (Bukit Batok) asked if it was an opportune time to review Section 37 of the PCA - which describes the liability of Singapore citizens for offences committed outside Singapore - to include companies.
Ms Indranee replied that the Government’s general assessment is that the PCA does have sufficient powers, but it is open to suggestions if there is anything that can be usefully reviewed or improved.
She reiterated the Government’s zero-tolerance stance on corruption.
“We make sure that our laws are directed at ensuring that you have good corporate governance,” she said.
“So all the signals that we send as a government is to tell our companies, please do business properly. And of course, it’s incumbent upon those companies, not the Government, to ensure that their staff (and) their practices are clean and above board, and in accordance with proper governance.”