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Amir Hussain
A former ST Marine chief executiveofficer and president, See LeongTeck, was yesterday sentenced to10 months’ jail and a $100,000 finein one of the largest graft scandalsin corporate Singapore history.
The statement of facts in See’scase also implicates two ST Marineboard members – Mr Peter YapKim Kee, who was the chairman ofST Marine’s audit committee, and
Mr Tan Pheng Hock, STEngineering’s chief executive offi-cer until his resignation on Sept 30this year.
Both men allegedly knew of kick-backs that ST Marine officers paidto its clients’ employees. Both havenot been charged.
See, 66, who helmed ST Marine, asubsidiary of blue-chip engineeringgiant ST Engineering, had earlierpleaded guilty to one charge each ofcorruption, falsification of ac-counts, and failure to act honestly
and use reasonable diligence in thedischarge of his duties as the direc-tor of a company.
He is the fifth of seven former STMarine executives charged in thecase to be convicted. Four of thefive have since been sentenced,with three given a jail term. See’ssentence is the heftiest so far.
See became ST Marine’s chief ex-ecutive in December 1997 and wasits president from 1998 until 2008.
Investigations showed ST Marineofficers had been giving cash bribesto its customers’ employees since atleast 1996, with the approval of itssenior management team. At least$24.9 million in kickbacks werepaid between 2000 and 2011.
Employees of ST Marine’s custom-ers, mainly overseas firms, would re-quest “commissions” for givingship-repair contracts and otherbusiness to the company.
After getting approval from STMarine’s senior management, anemployee would submit petty cashclaims for “entertainment expens-
es”. Cash cheques issued for theseclaims would be encashed, and theamount given as a kickback.
In 2000 or 2001, See met STMarine’s senior management anddiscussed the increasing paymentof cash commissions, then a pre-ex-isting practice. See approved thecontinuation of the practice.
In early 2004, at another suchmeeting attended by two membersof ST Marine’s audit committee, theissue was again brought up. The two,Mr Yap and Mr Tan, allegedly didnot object to the continued practice.
In late 2003 or early 2004, audi-tors held two separate meetingswith ST Marine’s senior manage-ment, after they found claims hadbeen paid without supporting re-ceipts. See told auditors about thekickbacks, saying they were com-mon practice in the industry andnecessary. The auditors did not ac-cept the explanation both times.
But See and others in ST Marine’smanagement agreed to continuethe practice. Mr Tan and Mr Yapalso allegedly agreed to it.
See will starthis sentence on Jan 31.
Even thoughauditors did notaccept hisexplanation forthe kickbacks,See (left)decided tocontinue thepractice.
Seow Bei Yi
The popular Chomp Chomp FoodCentre in Serangoon Gardens is oneof four food centres being closedfor repairs or renovations.
The shutters will go down atChomp Chomp and the JurongWest Street 52 centre for betweentwo and three months after Januarynext year, said the National Envi-ronment Agency (NEA).
The other two food centres affect-ed are at Block 69, Geylang Bahruand Block 163, Bukit Merah Central.
The one in Geylang Bahru closedat the start of last month and theone in Bukit Merah will close nextMarch, for renovations lasting ayear and eight months respectively.
NEA added that the leases ofstalls at the four food centres,which come under the Stall Owner-ship Scheme, expired in October.About 80 stalls have since stoppedoperations.
But most stalls – 81 per cent or361 stalls – in these centres will con-tinue to operate. This is the thirdbatch of stalls that have been re-
turned after the owners’ 20-yearleases expired.
While hawkers expressed worryat losing their income for up to ayear, some like Ms Goh Siew Geoh,owner of Hup Kee Delicious Food inBukit Merah Central, said that theywill not move their stalls duringthe closure.
“It’s troublesome to take on an-other stall, as it’s a short period oftime before we move back again,”said the 62-year-old.
First-generation hawkers underthe Stall Ownership Scheme whocontinue operating their stalls astenants will pay a subsidised month-ly rent of $192.
Ms Irene Koh, 58, who runs Mei JiFish Ball Noodle with her husbandin Bukit Merah Central, said: “Weare happy that they gave us subsi-dised rent and it’s manageable, sowe decided to continue working.
“It was quite heavy-going whenwe first purchased the 20-yearlease, and had to service bank loansfor the first 15 years.”
The scheme saw 1,956 stalls in 15hawker centres sold in four phasesbetween 1994 and 1997.
Owners paid upfront prices for20-year leases. The scheme washalted during the economic down-turn in 1998.
Hawkers who owned stalls cancontinue their business after theplanned works, as tenants paying a
monthly rental.First-generation hawkers, who
had been relocated off the streets inthe 1970s, pay the subsidised $192rent, while others are charged from$1,445 to $2,461 based on rentalmarket rates .
Ms Koh said she hopes relativelyyounger hawkers who already owna stall do not give up easily.
“It’s hard to get subsidised rentlike this elsewhere,” she said.
Nur Asyiqin Mohamad Salleh
Mr Charles Chong, the MP forPunggol East and a political veter-an of nearly 30 years, is on eightweeks’ medical leave after he un-derwent “a planned medical pro-cedure” on Thursday, said thePeople’s Action Party (PAP) in astatement yesterday.
It was done at National Univer-sity Hospital and he is in stablecondition, the party said, with-out disclosing what the proce-dure was.
Mr Chong, 63, who is alsoDeputy Speaker of Parliament,expects to gradually resume hisconstituency activities fully af-ter his medical leave, said thestatement.
But his doctors have advisedhim to limit physical exertionand contact with the public dur-ing his recovery, it added.
Mr Chong entered politics in1988 and is the longest-servingPAP backbencher in Parliament.
Deputy Prime Minister TeoChee Hean said in the statementthat Mr Chong had asked hiscolleagues in neighbouring PasirRis-Punggol GRC, where Mr Teois the anchor minister, to lookafter the residents of PunggolEast while he recovers.
Meet-the-People Sessionswill continue every Monday,except on public holidays andthe fifth Monday of a month,and constituency activities willgo on as usual.
Mr Teo, who is also Coordinat-ing Minister for National Securi-ty, said: “We’ve always workedtogether as a team and we willcontinue to make sure that ourPunggol East residents are welllooked after.”
Chomp Chomp in Serangoon Gardens is one of four food centres being closed for repairs or renovations. Chomp Chompand the Jurong West Street 52 site will close for between two and three months after January. ST PHOTO: LAU FOOK KONG
PAP MP onmedicalleave foreight weeks
Graft scandal: Ex-ST MarineCEO jailed 10 months, finedHe is fifth of 7 ex-executives convicted; factsfrom his case implicate two board members
to close for repair works
Mr Chong, theMP for PunggolEast, had “aplannedmedicalprocedure” andis in stablecondition.
| SATURDAY, DECEMBER 3, 2016 | THE STRAITS TIMES | HOME B7
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