Singapore’s S. Iswaran resigns as transport minister after being charged with taking bribes, including football and F1 tickets, worth some US$298,000
- Iswaran, widely credited for bringing Formula One racing to the city state, faces a possible jail term of up to seven years if convicted
- He and tycoon Ong Beng Seng were arrested last year. Deputy PM Wong acknowledged the case would ‘no doubt’ have an impact on the ruling PAP
Iswaran has also resigned from his posts as a member of parliament, minister-in-charge of trade relations and transport minister, the prime minister’s office said in a statement.
Lee’s deputy Lawrence Wong told local media that while the case would “no doubt” have an impact on the long-ruling People’s Action Party (PAP), they could not compromise on their zero-tolerance stance on corruption.
Iswaran is facing fines and a possible jail term of up to seven years after being handed 27 charges in all – 24 of which involve obtaining gratification as a public servant, two centre on corruption, and the last pertains to obstructing the course of justice.
Some of these alleged bribes were in exchange for advancing Ong’s business interests in matters related to a contract between Singapore Grand Prix and the country’s tourism board, it added.
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Among other things, Iswaran is accused of obtaining tickets to the Singapore Grand Prix, football matches, musical shows such as Harry Potter in the UK and taking flights on Ong’s private plane.
The 50 tickets he secured to the Singapore race were worth around S$145,000 (US$108,000), while a trip on Ong’s private jet from Singapore to Doha was worth around S$10,410.
In a letter, Iswaran said he “rejected the charges and the allegations against me”, maintaining that he was innocent and would “focus on clearing my name”.
The former minister said he had resigned from his posts “even without being asked to do so” because he felt that it was the right thing to do, adding that he would also be returning the salary and allowance he received as minister and MP since the investigations began.
Meanwhile, the Attorney General’s Chambers told the media that it would decide on the investigations against Ong and others involved in the probe after Iswaran’s case had been completed.
If found guilty, Iswaran could be fined up to S$100,000 or face a jail term of up to seven years, or both. For obstructing justice, he could be fined or sentenced to imprisonment for up to seven years, or both.
Thursday’s charges conclude months of speculation surrounding the high-profile case that had shocked citizens when it first came to light last year that the politician of nearly three decades could allegedly be susceptible to bribery and corruption.
Iswaran’s ties with Ong go back more than a decade, and both are well-known figures in the city state’s Formula One racing scene. From 2008, as a junior official at the Ministry of Trade and Industry, Iswaran was involved in negotiations to secure the rights to host a leg of Formula One night racing. He worked together with Ong, a controlling shareholder of the Singapore Grand Prix, and Bernie Ecclestone, former chief executive of the Formula One Group.
The city state’s anti-corruption watchdog first revealed on July 12 last year that Iswaran was assisting with an investigation uncovered by the agency.
The director of the Corrupt Practices Investigations Bureau (CPIB) had briefed Lee and sought his approval to open a formal investigation on July 5 before the process was launched on July 11, a statement from the premier’s office said.
The CPIB later said that Iswaran and Ong were arrested on July 11.
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Singapore has prided itself on being a corruption-free city, consistently ranking highly on global anti-corruption indexes. It was placed fifth-least corrupt country in Transparency International’s Corruption Perceptions Index in 2022, just after several Nordic countries and New Zealand.
The last time a top official had been caught up in a probe of a comparable scale was in 1986, involving then-minister for national development Teh Cheang Wan over accepting bribes. He took his life before he could be formally charged in court.
Observers who spoke to This Week in Asia earlier said the PAP was facing a major internal crisis of a magnitude not seen in decades.
“We are disappointed by what has happened,” Wong told local media on Thursday. “But the PAP’s stance on corruption is non-negotiable. This is part of our DNA. There can be no compromise nor relaxation, no budging on this, no matter the political price.”
Responding to a question on whether he was concerned the case would affect the leadership transition and the party’s performance in the next general election, Wong said: “As far as [leadership] succession is concerned, there will be no impact. We have announced that the leadership transition will take place before the next general election and before the party conference this year. This plan remains on track.”
While he expressed “no doubt” the saga would affect party morale, Wong said it should not “compromise our zero-tolerance stance against corruption” and promised that his party would “do everything we can to keep our system corruption-free”.
Lee has said he will hand over the premiership to anointed successor Wong by November when the PAP marks its 70th anniversary.
It will be the country’s 15th general election, with Lee having led the party in the last four polls.
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The Lees then issued a statement saying that they had received “unsolicited” discounts of between 5 and 12 per cent on two pairs of new condominiums they had bought, but both leaders were later cleared of any wrongdoing.
From Thursday, Grace Fu, minister for sustainability and the environment, will assume Iswaran’s role as trade relations minister, while Chee Hong Tat, acting transport minister, will take up the full position, the prime minister’s office added.
Iswaran has been involved in politics since 1997 and was appointed to Lee’s cabinet in 2006.
Before his foray into politics, he held senior positions within the bureaucracy as a member of the prestigious Administrative Service on top of high-ranking roles at state-linked enterprises, such as Temasek Holdings.
Iswaran had served as the leading representative for the PAP’s five-person MP slate in the West Coast group representative constituency, which experienced a closely contested battle during the last general election in 2020.
He eventually secured victory, obtaining 51.68 per cent of the vote.