It has been reported that the CEO of Tiong Seng Holdings, Mr Pek Lian Guan, and its project director, Mr Pay Teow Heng, are under CPIB investigations for corruption.
Both men are currently out on bail. Tiong Seng is a construction company public listed on the Singapore Stock Exchange (SGX). The offences were said to be connected to “certain staff loan transactions” entered into by its wholly owned subsidiary Tiong Seng Contractors.
In a statement, Tiong Seng Holdings said that its board was of the view that the two men should “continue to discharge their responsibilities and duties in the operation of the group’s businesses to ensure business continuity”.
“Timely announcements with any material developments will be announced via SGXNet, according to SGX listing rules,” it added.
Tiong Seng undertakes large number of public projects
According to its website, Tiong Seng was founded in 1959 from a partnership between Mr Pek Ah Tuan and Mr Lee Tuan Chay. Mr Pek Lian Guan who is currently under CPIB probe, is the son of Pek Ah Tuan.
In the early years, Tiong Seng was involved in earthworks and excavation work. Projects undertaken in its early days included those from the public sector. In the 1970s, Tiong Seng expanded into civil engineering. Some of the public projects included building roads and bridges, and laying sewage pipes. The organisation was involved in the building of Singapore’s first highways and expressways, it said.
In the 1980s, Tiong Seng grew to take on larger public projects. It built Gate 2, the largest and most advanced of the four new gates commissioned by the then Port of Singapore Authority, for its Tanjong Pagar Terminal. It was also in the 1980s that the organisation undertook government building projects such as schools and HDB flats, morphing from a sub-contractor into a provider of design and turnkey construction.
In May this year, Tiong Seng Contractors clinched one of the top prizes at the Building Construction Authority awards, coming in tops for the Build Environment Leadership Award and receiving the Platinum Star for its “sustained leadership, excellence and innovation in Singapore’s built environment industry”.
This month, Tiong Seng said that its unit had secured a $287 million contract from JTC Corporation to build an industrial building in Ang Mo Kio.
Pek Lian Guan sits on various high profile boards
Mr Pek Lian Guan is currently also the Vice Chairman of the Singapore Business Federation.
He is said to have served on several boards, including that of Singapore’s Building and Construction Authority (BCA) and the Singapore Green Building Council. He is a council member of the Singapore Chinese Chamber of Commerce & Industry, and Chairman of the UOB-SMU Asian Enterprise Institute’s Board of Governors.
In 2016, he stepped down from the board of BCA. However, he continues to serve on the advisory panel of BCA Academy, which is the education and research arm of BCA. The primary role of BCA is to develop and regulate Singapore’s building and construction industry.
Meanwhile, CPIB has told the media that it could not comment further on the case as investigations are ongoing.