Ridout Road rentals: Difference between revisions

The investigation, launched by the '''Corrupt Practices Investigation Bureau (CPIB)''' under the direction of Prime Minister '''Lee Hsien Loong''', aimed to determine if there was any abuse of power or conflict of interest. An independent review, led by Senior Minister '''Teo Chee Hean''', was also conducted. Both the CPIB and Teo concluded that there was no evidence of wrongdoing or undue benefit.

Ridout Road is part of the affluent '''Bukit Timah''' area and is designated by the '''Urban Redevelopment Authority (URA)''' as a "Good Class Bungalow Area," one of Singapore's most exclusive residential zones. The bungalows at 26 and 31 Ridout Road had been vacant for extended periods before being rented by Shanmugam and Balakrishnan, respectively.

On '''6 May 2023''', '''Kenneth Jeyaretnam''', secretary-general of the '''Reform Party''', published a blog post questioning how the ministers could afford the high rents associated with the Ridout Road properties. He also called for greater transparency in the SLA's leasing process, particularly given that Shanmugam oversaw the SLA as Minister for Law.

The SLA issued a statement on '''12 May 2023''', affirming that the rental of both properties adhered to established procedures.  

Jeyaretnam also raised concerns about alleged links between the transactions and '''Livspace''', an interior design firm led by Shanmugam’s son. Both Livspace and Shanmugam strongly denied these claims, labelling them baseless and defamatory.

==== Investigation Initiation ====

=== Investigation Findings ===

==== Property Details ====

* '''26 Ridout Road (Shanmugam):'''

** Vacant since December 2013.

** The property was rented in June 2018 for S$26,500 per month, with the lease renewed in 2021 at the same rate. The lease was renewed again in 2024, but the revised rental amount is unknown.

** Shanmugam paid over '''S$400,000''' for renovations, including '''S$61,400''' for a car porch.

** The SLA incurred '''S$515,400''' for essential repairs. Concerns about overgrown land adjacent to the property led Shanmugam to offer to clear and maintain the area at his own cost, citing public health risks. The SLA assessed that the land could only be maintained if it was included in the tenancy, resulting in an increase of the property’s size to 23,164 square metres (249,340 sq ft).

* The clearance cost of '''S$172,000''' was initially paid by the SLA but recovered through Shanmugam’s rent. Shanmugam also paid an additional '''S$25,000 annually''' to maintain the adjacent land.

* '''31 Ridout Road (Balakrishnan):'''

** Vacant since July 2013.

** Rented in '''October 2019''' for '''S$19,000 per month''', revised to '''S$20,000''' in 2022 upon lease renewal.

** Balakrishnan spent over '''S$200,000''' on renovations.

The CPIB report found "no evidence to suggest any abuse of position by the ministers for personal gain." The independent review by Teo concluded that: