AGC announces no charges against businessman Lum Kok Seng in Iswaran case

SINGAPORE: The Attorney-General’s Chambers (AGC) announced on 4 October 2024 that no charges will be filed against businessman Lum Kok Seng  (林國城). Mr Lum, the managing director of Lum Chang Holdings, had been named in March this year as one of two businessmen involved in a case concerning former transport minister S Iswaran. The AGC had previously stated that it would take a decision regarding Mr Lum following the conclusion of Iswaran's case. On 24 September, Mr Iswaran pleaded guilty to a total of five charges, including receiving luxury items from Mr Lum between November 2021 and November 2022. The items, allegedly given without any compensation, included several bottles of high-end whisky and wine, expensive golf equipment, and a premium bicycle. The specific gifts from Mr Lum to Mr Iswaran were detailed as follows:

• Four bottles of Gordon & MacPhail Caol Ila whisky valued at S$1,084.46
• Fourteen bottles of whisky and wine worth S$3,255.75
• A TaylorMade golf driver valued at S$749
• Two more bottles of Gordon & MacPhail Caol Ila whisky, priced at S$542.23
• A set of Honma Beres BE-08 Black AQ MX golf clubs worth S$4,420
• A Brompton T Line bicycle worth S$7,907.50
• Two bottles of M&H Elements Sherry Cask whisky worth S$198
• A Scotty Cameron Phantom golf putter and two golf chippers valued at S$800

In total, these gifts amounted to approximately S$18,956.94. These items were given during a period when Lum Chang Holdings was involved in a contract for construction work at Tanah Merah MRT station.

Attorney-General’s Chambers cites evidentiary risks in reducing Iswaran’s corruption charges

On 3 October, Iswaran has been sentenced to 12 months in jail after pleading guilty to four amended charges under Section 165 of Singapore’s Penal Code and one charge of obstructing the course of justice under Section 204A(a) of the Penal Code. Iswaran admitted to accepting valuable gifts from prominent businessmen, including Ong Beng Seng, chairman of Singapore GP, and Mr Lum, while holding public office. These gifts, which included private flights and other benefits, were worth over S$400,000 in total. The 35 charges against Iswaran were amended by the prosecution on 24 September from corruption to lesser offences under Section 165, which pertains to public servants receiving valuable items in connection with their official duties. The court also took into account Iswaran’s admission of obstructing the course of justice, for which he had repaid over S$5,000 to Singapore GP for a business-class flight he had taken at Ong’s expense. The remaining 30 charges were taken into account during sentencing. Iswaran had originally faced 35 charges, including two counts of corruption. The charges were amended from two counts of corruption under the Prevention of Corruption Act (PCA) to offences under Section 165. This section, unlike Section 8 of the PCA, does not include a presumption of corruption, which would have placed the burden on the accused to prove the gifts were not given as inducements. The AGC in an explanation cited substantial evidentiary risks in proving the original corruption charges, which involved  Ong Beng Seng and Lum Kok Seng. The AGC noted that proving the original corruption charges under PCA would have been difficult due to the involvement of both Iswaran and Ong as primary parties. Both would have had to implicate themselves to establish corrupt intent. The AGC explained that “there are two primary parties to the transactions, and both would have an interest in denying corruption in the transactions.” This made securing a conviction for corruption highly uncertain. In light of these risks, the AGC amended the charges to offenses under Section 165 of the Penal Code, which carries a lower evidentiary threshold and a reduced maximum sentence of two years’ imprisonment. According to AGC, the amendment was made to ensure a fair and just outcome while considering public interest.