Ridout Road rentals: Difference between revisions

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The investigation<ref>https://www.pmo.gov.sg/-/media/PMO/PDF/20230628-Ridout-Road-Report-pdf.ashx</ref>, 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.  
The investigation<ref>https://www.pmo.gov.sg/-/media/PMO/PDF/20230628-Ridout-Road-Report-pdf.ashx</ref>, 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.
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.
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On '''23 May 2023''', Prime Minister Lee announced that he had requested reports from relevant agencies and tasked Senior Minister Teo Chee Hean with conducting an independent review. Additionally, the CPIB initiated an investigation to examine the allegations.
On '''23 May 2023''', Prime Minister Lee announced that he had requested reports from relevant agencies and tasked Senior Minister Teo Chee Hean with conducting an independent review. Additionally, the CPIB initiated an investigation to examine the allegations.


== Investigation Findings ==
== '''Investigation Findings''' ==


=== Property Details ===
=== Property Details ===
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* Balakrishnan’s rental amount was comparable to other properties of similar condition.
* Balakrishnan’s rental amount was comparable to other properties of similar condition.
* Both leases complied with SLA procedures, and there was no abuse of power or conflict of interest.
* Both leases complied with SLA procedures, and there was no abuse of power or conflict of interest.
== '''Parliamentary Debate''' ==
The debate in Singapore’s Parliament on 3 July 2023 centred on the rental of government-owned black-and-white bungalows at 26 and 31 Ridout Road.
Law and Home Affairs Minister K Shanmugam and Foreign Affairs Minister Vivian Balakrishnan delivered ministerial statements addressing concerns about fairness, transparency, and potential conflicts of interest.
Senior Minister Teo Chee Hean presented findings from investigations into the matter, while Minister for Culture, Community and Youth Edwin Tong, who is also Second Minister for Law, contributed legal clarifications during the session.
=== '''K Shanmugam’s Decision to Rent 26 Ridout Road''' ===
'''Reason for Rental:'''
* Mr Shanmugam explained that he rented the bungalow because he was preparing to sell his family home, which constituted a significant portion of his savings.
* The sale was not prompted by financial need, but he had been advised to diversify his assets after becoming a minister.
'''Finances:'''
* The rental for 26 Ridout Road, alongside taxes on his family home, creates a net deficit, which Mr Shanmugam said he covers with his past income as a lawyer.
* He clarified that he is not profiting from the arrangement, stating, “I top up the deficit.”
'''Additional Land and Costs:'''
* He accepted an additional 150,000 square feet of land under his lease at the Singapore Land Authority’s (SLA) insistence, citing safety and health issues.
* He spent over S$400,000 on improving the dilapidated property, acknowledging that the investments would revert to the State after his lease ends.
'''Conflict of Interest:'''
* Mr Shanmugam emphasised that he had recused himself from any decisions related to the property to avoid actual or perceived conflicts of interest.
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=== '''Vivian Balakrishnan’s Rental of 31 Ridout Road''' ===
'''Reason for Rental:'''
* Dr Balakrishnan cited a desire to bring together his extended family, including children and grandchildren, as the motivation for moving into 31 Ridout Road in 2018.
'''Property Condition and Improvements:'''
* The bungalow was in poor condition, with a leaking roof, holes in the flooring, and termite infestations.
* He and his wife spent over S$200,000 on renovations.
'''Rental Process:'''
* The property was spotted by his wife during a casual visit, and they initiated the rental without knowing prior bid amounts or the guide rent.
* Dr Balakrishnan emphasised that his family dealt with SLA staff and agents “scrupulously” to ensure all dealings were above board.
=== '''Public and Opposition Concerns''' ===
The controversy began in May 2023 with opposition politician Kenneth Jeyaretnam’s allegations that the ministers might be paying below-market rents. This led to public scrutiny, sparking debates about privilege, fairness, and governance.


== Timeline ==
== Timeline ==
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|28 June 2023
|28 June 2023
|Reports are accepted by PM Lee Hsien Loong and have them published.
|Reports are accepted by PM Lee Hsien Loong and have them published.
|-
|3 July 2023
|Ministerial statements issued by Ministers Shanmugam, Balakrishnan, Edwin Tong and Teo Chee Hean in Parliament. Questions filed by Members of Parliament.
|}
|}
=== Parliamentary Debate ===
On '''3 July 2023''', a parliamentary session was convened to debate the findings.
* '''K. Shanmugam''' stated that his residents judged him by his commitment to public service rather than his income or residence.
* '''Vivian Balakrishnan''' emphasised that he had been "scrupulously careful" to ensure transparency and compliance with procedures.
* '''Leader of the Opposition Pritam Singh''' raised concerns about ministers requesting information for personal use, while '''MP Sylvia Lim''' questioned the propriety of the transactions.