# MND Issues Order under the Town Councils Act Requiring AHTC to Take Specific Actions to Guard Against Recurrence of Irregularities

- **Source:** Ministry of National Development
- **Published:** 2020-01-03T08:00:00.000Z
- **Author:** Ministry of National Development
- **Original:** https://www.mnd.gov.sg/newsroom/press-releases/view/mnd-issues-order-under-the-town-councils-act-requiring-ahtc-to-take-specific-actions-to-guard-against-recurrence-of-irregularities
- **Topics:** Regional Markets

## Featured rationale

The restrictions strengthen financial safeguards over estate-management funds and may reinforce residents’ confidence that expenditure on town-council services and works receives appropriate oversight.

## AI summary

MND ordered AHTC to prevent Ms Sylvia Lim and Mr Low Thia Khiang from unilaterally approving expenditure or tenders and serving as cheque signatories.

## Original article

The Minister for National Development has issued an order requiring Aljunied-Hougang Town Council (AHTC) to take action against two of its town councillors, Ms Sylvia Lim and Mr Low Thia Khiang, specifically, to restrict their powers with respect to certain financial decisions, in order to guard against a recurrence of irregularities caused by them. The order does not preclude Ms Lim and Mr Low from continuing to serve as elected members of AHTC, and discharging all other functions and duties in their respective capacities, including taking part in discussions and voting in committees.

Background

The High Court judgment in October 2019 found that Ms Lim and Mr Low, both elected town councillors of AHTC, had breached their fiduciary duties to AHTC, acted dishonestly, and without integrity and candour. Despite these serious and grave findings, AHTC had resolved that Ms Lim and Mr Low do not need to recuse themselves from all of AHTC’s financial matters.

The Ministry of National Development (MND) wrote to AHTC on 4 December 2019 to request for information on AHTC’s reasons for not requiring Ms Lim’s and Mr Low’s recusal on all of AHTC’s financial matters, and whether AHTC intends to implement other interim measures or safeguards. MND received AHTC’s response on 13 December 2019. 

Rectification Order Under Section 43D(2)(b) of Town Councils Act

MND has carefully considered AHTC’s letter of 13 December 2019. We note that the reasons provided by AHTC for not requiring Ms Lim and Mr Low to recuse themselves from all of AHTC’s financial matters do not relate directly to, and more importantly, do not detract from the grave and serious Court findings on Ms Lim’s and Mr Low’s conduct. Further, while we note the measures that AHTC has put in place, it is not apparent – and AHTC has not demonstrated – how they would be effective to guard against a recurrence of irregularities arising from the acts of dishonest Town Councillors.

Therefore, pursuant to section 43D(2)(b) of the Town Councils Act, the Minister for National Development has issued an order requiring AHTC to take the following actions: 

a. To mandate that Ms Lim and Mr Low shall not have the authority (either by way of delegated powers or otherwise) to unilaterally incur or approve expenditure on behalf of AHTC; 

b. To mandate that Ms Lim and Mr Low shall not have the authority (either by way of delegated powers or otherwise) to unilaterally accept or waive any quotation or tender for any stores, services or works on behalf of AHTC; and 

c. To mandate that Ms Lim and Mr Low shall not serve as cheque signatories for AHTC. 

MND notes that Ms Lim and Mr Low have filed an appeal against the High Court judgment. After the appeal has been heard and disposed of, MND will consider the judgment of the appellate court carefully and review whether this order is to remain, be cancelled or be varied in any manner.

## Chinese translation

> Translation model: grok_cli

### 国家发展部根据《市镇理事会法令》发出命令，要求阿裕尼—后港市镇理事会采取特定行动以防止违规行为再次发生

国家发展部部长已发出命令，要求阿裕尼—后港市镇理事会（AHTC）对其两名市镇议员林瑞莲女士及刘程强先生采取行动，具体而言限制其在某些财务决定方面的权力，以防止由他们造成的违规行为再次发生。该命令并不妨碍林女士及刘先生继续以民选市镇议员身份在 AHTC 任职，并履行其各自身份下的所有其他职能与职责，包括参与讨论及在委员会中投票。

背景

高等法院于 2019 年 10 月的判决认定，林女士及刘先生作为 AHTC 的民选市镇议员，违反了对 AHTC 的受信责任，行为不诚实，且缺乏诚信与坦诚。尽管有这些严重且重大的认定，AHTC 仍决议林女士及刘先生无需就其所有财务事务回避。

国家发展部（MND）于 2019 年 12 月 4 日致函 AHTC，要求说明 AHTC 为何不要求林女士及刘先生就其所有财务事务回避的理由，以及 AHTC 是否拟实施其他临时措施或保障。MND 于 2019 年 12 月 13 日接获 AHTC 的回复。

根据《市镇理事会法令》第 43D(2)(b) 条发出的纠正命令

MND 已仔细考虑 AHTC 2019 年 12 月 13 日的函件。我们注意到，AHTC 就不要求林女士及刘先生就 AHTC 所有财务事务回避所提出的理由，与法院对林女士及刘先生行为的严重且重大认定并无直接关系，更重要的是，亦不能削弱这些认定。此外，尽管我们注意到 AHTC 已实施的措施，但并不明显——而 AHTC 亦未证明——这些措施如何能有效防止因不诚实市镇议员的行为而导致的违规再次发生。

因此，根据《市镇理事会法令》第 43D(2)(b) 条，国家发展部部长已发出命令，要求 AHTC 采取以下行动：

a. 规定林女士及刘先生不得拥有权限（无论通过授权或其他方式）单方面代表 AHTC 产生或批准支出；

b. 规定林女士及刘先生不得拥有权限（无论通过授权或其他方式）单方面代表 AHTC 接受或豁免任何物料、服务或工程的报价或投标；以及

c. 规定林女士及刘先生不得担任 AHTC 的支票签署人。

MND 注意到林女士及刘先生已就高等法院判决提出上诉。上诉经审理并处置后，MND 将仔细考虑上诉法院的判决，并检讨本命令是否应维持、撤销或以任何方式变更。