# MND applies to Court for Independent Accountants to be appointed to safeguard S&CC grants disbursed to AHPETC

- **Source:** Ministry of National Development
- **Published:** 2015-03-20T07:30:00.000Z
- **Author:** Ministry of National Development
- **Original:** https://www.mnd.gov.sg/newsroom/press-releases/view/mnd-applies-to-court-for-independent-accountants-to-be-appointed-to-safeguard-s-cc-grants-disbursed-to-ahpetc
- **Topics:** Commercial & Industrial, Government & Policy, Investment & Capital Markets

## Featured rationale

Independent oversight could strengthen financial controls over estate-management funds, potentially protecting maintenance services and residents’ interests while grants continue to be disbursed.

## AI summary

MND applied for court-appointed Independent Accountants to safeguard FY14 and FY15 S&CC grants disbursed to AHPETC through segregated accounts and payment controls.

## Original article

The Ministry of National Development (MND) applied to Court to appoint Independent Accountants to safeguard government grants to the Aljunied-Hougang-Punggol East Town Council (AHPETC), and to take necessary steps in respect of payments made by AHPETC. The court documents were served on the AHPETC today.

This is a follow-up to the Auditor-General’s Office (AGO) report on the audit of AHPETC and to the Parliamentary debate in February on this report. The AGO report identified many weaknesses and lapses in AHPETC, and concluded that until AHPETC addressed and rectified these weaknesses, “there can be no assurance that AHPETC’s accounts are accurate and reliable, or that public funds are properly spent, accounted for and managed.”

Parliament noted with concern the AGO’s findings, and unanimously called on all Town Councils to uphold high standards of accounting, reporting and corporate governance. In the debate, Minister Khaw Boon Wan spelt out what this meant for AHPETC: it had to take immediate, clear and unequivocal steps to resolve the problems identified by the AGO. These steps included commissioning a forensic audit to examine whether payments made by AHPETC have been correctly and lawfully made and properly authorised, and if necessary to take action to recover such payments. AHPETC has not indicated that it is willing to take these actions.

Earlier (in June 2014), AHPETC had written to request MND to disburse the Service and Conservancy Charges (S&CC) Operating Grant for FY 2014 “without further delay”, stating that “the continued withholding of the grant to AHPETC is likely to critically and adversely affect the TC’s cash flow position”. But before MND does so, there must be adequate safeguards to ensure that AHPETC accounts for and manages these grants properly.

MND has therefore applied to Court to appoint Independent Accountants to safeguard the S&CC grants to be disbursed to AHPETC. If the Court grants the order, MND will be able to disburse the S&CC grants for both FY14 and FY15 to AHPETC. AHPETC will have to keep the grants in segregated accounts and payments out of these accounts exceeding certain thresholds will have to be co-signed by the Independent Accountants.

MND is also asking the Court to empower the Independent Accountants to look at past payments made by AHPETC and to take appropriate action to recover losses suffered by AHPETC and its residents, provided the Independent Accountants obtains the Court’s permission to do so.

The Independent Accountants, however, will not take over the operations of AHPETC, nor will they seek to remedy the problems identified by AGO and AHPETC’s auditors. These remain the responsibility of AHPETC’s Town Councillors.

MND hopes that AHPETC will cooperate fully with the proposed Independent Accountants in order to continue receiving S&CC grants, safeguard public funds and protect the interests of residents.

## Chinese translation

> Translation model: grok_cli

### 国家发展部向法院申请委任独立会计师，以保障发放给阿裕尼—后港—榜鹅东市镇会的杂费津贴

国家发展部（MND）已向法院申请委任独立会计师，以保障发放给阿裕尼—后港—榜鹅东市镇会（AHPETC）的政府津贴，并就AHPETC所作付款采取必要措施。相关法院文件今日已送达AHPETC。

此举是继审计长公署（AGO）对AHPETC审计报告，以及国会于2月就该报告进行辩论之后的后续行动。AGO报告指出AHPETC存在多项弱点与疏失，并总结称，在AHPETC纠正并整改这些弱点之前，“无法保证AHPETC的账目准确可靠，也无法保证公共资金获得妥善使用、交代与管理。”

国会关注AGO的调查结果，并一致吁请所有市镇会秉持高标准的会计、汇报与公司治理。辩论中，许文远部长说明这对AHPETC意味着什么：该市镇会必须立即采取清晰、明确的措施，解决AGO所指出的问题。这些措施包括委托进行法证审计，审查AHPETC所作付款是否正确、合法且获适当授权，并在必要时采取行动追回相关款项。AHPETC至今未表明愿意采取这些行动。

较早前（2014年6月），AHPETC曾致函要求国家发展部“不得再拖延”发放2014财政年度的杂费（S&CC）营运津贴，并表示“继续扣留发放给AHPETC的津贴，很可能严重并不利地影响市镇会的现金流状况”。但在国家发展部发放津贴之前，必须有足够保障，确保AHPETC妥善交代并管理这些津贴。

因此，国家发展部已向法院申请委任独立会计师，以保障将发放给AHPETC的杂费津贴。若法院批准有关命令，国家发展部将可向AHPETC发放2014与2015两个财政年度的杂费津贴。AHPETC须将津贴存入独立账户，自这些账户支出超过特定门槛的款项须由独立会计师共同签署。

国家发展部亦请求法院授权独立会计师审查AHPETC过往所作付款，并在获得法院许可后，采取适当行动追回AHPETC及其居民所蒙受的损失。

不过，独立会计师不会接管AHPETC的运作，亦不会着手纠正AGO及AHPETC审计师所指出的问题。这些仍属AHPETC市镇会委员的责任。

国家发展部希望AHPETC与拟议的独立会计师充分合作，以便继续领取杂费津贴、保障公共资金，并维护居民权益。