Singapore was rocked by news this week that a cabinet minister and a property tycoon were arrested in one of the most serious graft cases in nearly four decades.
(Bloomberg) — Singapore was rocked by news this week that a cabinet minister and a property tycoon were arrested in one of the most serious graft cases in nearly four decades.
The unraveling case involving Transport Minister S. Iswaran and Ong Beng Seng threatens to dent the image of a country that prides itself on probity and clean government. Singapore has always been among the 10 least-corrupt in Transparency International’s Corruption Perceptions Index since it began in 1995.
Singapore’s public officers are among the world’s best paid, with Prime Minister Lee Hsien Loong earning a total compensation of about S$2.2 million ($1.7 million) yearly. That’s a strategy its political leaders say has kept corruption low.
The investigation is taking place as the People’s Action Party that has ruled since the island’s independence in 1965 navigates a succession plan. The PAP will need to ensure that any fallout from the probe is contained before a general election that must be called by November 2025.
Here’s what we know about the case involving Iswaran and Ong:
- The Corrupt Practices Investigation Bureau, which reports directly to the prime minister, was investigating an unrelated, separate matter and briefed the premier in May. There was no public complaint
- The anti-graft director sought Lee’s concurrence on July 5 to open a formal probe that would involve interviewing Iswaran, among others. He gave the nod a day later and the formal investigation began July 11. The next day, Lee announced he had instructed Iswaran to take a leave of absence until investigations are done. He didn’t provide more details
- The anti-graft agency on July 12 pledged to uphold the rule of law and said it will investigate all cases “without fear or favor”
- Deputy Prime Minister Lawrence Wong in a Facebook post on July 12 vowed the government will be transparent and “not sweep anything under the carpet, even if they are potentially embarrassing or damaging”
- Iswaran’s duties as a member of parliament in the West Coast Group Representation Constituency will be split with the other members in the five-seat district, Wong told local media
- Iswaran will remain in the country and won’t have access to official resources and government buildings while on his leave of absence
- Two days after Lee announced Iswaran’s leave, the billionaire behind Hotel Properties Ltd. and credited for helping bring Formula One racing to the city-state — Ong — was issued a notice of arrest. No charges have been filed and he posted bail
- Ong was asked to provide information on his interactions with Iswaran
- Both Iswaran and Ong were arrested July 11 and released on bail, CPIB said late Friday
Here’s a look at past controversies involving politicians from the PAP:
2023
July 11
Speaker of Parliament Tan Chuan Jin apologized to an opposition member for using “unparliamentary language.” Tan said he was muttering to himself but his “private thoughts” were caught during a recording of the parliament hearing.
June
Foreign Minister Vivian Balakrishnan and Home Affairs and Law Minister K Shanmugam were cleared of wrongdoing by the anti-corruption bureau for their rental of colonial houses near a high-end lifestyle hub. Lee ordered the review after the opposition asked if the ministers had paid below-market rates.
2021
Balakrishnan apologized to an opposition member for his “private comments” in parliament. “I disagree with him on the issue, but I should not have said what I said,” the foreign minister wrote in a Facebook post.
2020
PAP election candidate Ivan Lim withdrew from the 2020 race ahead of Nomination Day following online allegations about his past conduct. Lim said the claims were baseless, The Straits Times reported.
2016
Member of Parliament David Ong resigned due to a “personal indiscretion,” according to The Straits Times. Residents in Ong’s single-seat ward voted to stay with the PAP in the by-election.
2012
Michael Palmer resigned as Speaker of Parliament after admitting to an extramarital affair. His exit triggered a by-election in the single-seat district. The opposition Workers’ Party won in the four-cornered fight the year after.
1996
Lee Kuan Yew, the island’s first prime minister, and his son Lee Hsien Loong, then-deputy prime minister, faced allegations of impropriety related to discounts on four luxury apartments developed by Ong’s Hotel Properties. Then-prime minister Goh Chok Tong said the investigation was needed to protect the government’s reputation. They were cleared in an inquiry.
1986
Then-Minister for National Development Teh Cheang Wan was investigated by the CPIB for accepting bribes. Teh denied receiving the money and died before he could be formally charged.
1975
Then-Minister of State for Environment Wee Toon Boon was sentenced to 18 months in jail for accepting a two-story house and land.
–With assistance from Shubhangi Goel.
(Adds arrests in first paragraph)
More stories like this are available on bloomberg.com
©2023 Bloomberg L.P.