Managing Director in Lum Chang named in Iswaran’s 8 fresh charges

On Monday (25 March), former Transport Minister S Iswaran, who was initially facing 27 charges including corruption, was slapped with an additional eight charges under section 165 of the Penal Code.

The eight new charges against Iswaran detail the valuable items he allegedly received from Lum Kok Seng (林國城), managing director of construction firm Lum Chang Holdings (LCH, 林增控股) between November 2021 and November 2022.

These charges are related to Iswaran’s official capacity as Transport Minister and involve his alleged receipt of valuable items, such as whisky bottles, golf clubs, and a Brompton bicycle from Mr Lum.

During this period, Mr Lum was involved in overseeing the performance of the T315 contract, which entailed addition and alteration works to the existing Tanah Merah Station and viaducts under the auspices of Lum Chang Building Contractors and the Land Transport Authority (LTA).

These acquisitions intersected with Lum’s dealings with the LTA via Lum Chang Building Contractors.

While Iswaran assumed his role as Transport Minister in 2021, charge sheets revealed that he allegedly received items from Mr Lum without any payment, knowing Mr Lum’s involvement in the Tanah Merah MRT station works contract.

The Corrupt Practices Investigation Bureau (CPIB) in a statement revealed that the items in question hold a combined value of approximately S$18,956.94.

CPIB noted that, as with the earlier charges, the Court has approved the Prosecution’s request for the eight additional charges to be transferred to the General Division of the High Court.

With these additions, Iswaran now faces a total of 35 charges.

When asked by District Judge Brenda Tan, Iswaran maintained his plea of not guilty to the additional charges.

Ongoing projects with LTA

According to information available on Lum Chang Holdings’ official website, Mr Lum holds the position of managing director at the Singapore Exchange-listed company, which boasts subsidiaries specializing in construction, property development, and investments.

Since 1 September 1985, Mr Lum has served as managing director.

Additionally, he holds directorship positions at various subsidiaries, including Lum Chang Building Contractors, Lum Chang Properties, Lum Chang Property Investments Development, and Lum Chang Asia Pacific.

With over 40 years of industry experience, Mr Lum, as per his biodata, is credited with “successfully led the expansion of the group’s property development activities in Singapore, Malaysia and the United Kingdom”.

Executive Chairman of Lum Chang Holdings since 1984 is Mr. Raymond Lum Kwan Sung, Mr Lum’s brother.

Within the Lum Chang network, Mr. Lum’s two sons, Adrian Lum Wen-Hong and Kelvin Lum Wen-Sum, also hold directorship roles within the company.

Beyond his involvement with Lum Chang, Mr David Lum serves on the board of directors at Nanyang Girls’ High School and is also a member of LASALLE College of the Arts.

Lum Chang Building Contractors has been actively engaged in projects with the Singapore government, particularly with the LTA, where it currently has two ongoing projects.

The first project, awarded in 2016, involves addition and alteration works to Tanah Merah Station and existing viaducts.

Slated to be completed in 2025, the project encompasses the addition of a platform and concourse to the East-West Line station, with an expected completion date slated for this year.

The contract for this project was valued at S$325 million.

In 2019, Lum Chang Building Contractors was presented with the top award, the LTA Contractors Challenge Shield, for its work on the existing Tanah Merah Station and existing viaducts.

The second project, awarded in 2018, focuses on the construction of a 1.95km section of the North-South Corridor (Tunnel) between Ang Mo Kio Ave 3 and Ang Mo Kio Ave 9.

According to an LTA’s media release, the contract was worth S$799 million.

Following Iswaran’s charges on Monday, LTA stated in a release that they haven’t awarded any contracts to Lum Chang Building Contractors since 2019.

In addition to its collaborations with LTA, Lum Chang Building Contractors has a history of designing and constructing other MRT stations, including the Bukit Panjang MRT Station and associated tunnels along the Downtown Line.

Beyond its work with LTA, Lum Chang Building Contractors has also undertaken projects with Singapore’s national water agency, PUB.

Iswaran’s 27 charges: Harry Potter show and tickets for football matches and F1 races

Earlier on 18 January, Mr Iswaran was charged in the State Courts with  27 offences, including corruption, receiving gratification as a public servant and obstructing justice.

The 61-year-old entered a plea of not guilty to all charges linked to his interactions with property tycoon Ong Beng Seng.

He had also tendered his resignation from Parliament and the People’s Action Party (PAP).

The court heard that the charges included two counts of corruption under the Prevention of Corruption Act, 24 counts related to receiving items from individuals with whom he had business dealings in his capacity as a public servant, and one charge for obstructing the course of justice under the Penal Code.

According to charge sheets, between 2015 and 2022, Iswaran received “valuable things” exceeding S$384,000 (US$285,000) from Ong, the man who brought Formula One to Singapore.

These included tickets to shows, football matches, and multiple editions of the Singapore F1 Grand Prix.

As for the two corruption charges under Sections 6(a) and 7 of the Prevention of Corruption Act, Iswaran is accused of corruptly receiving more than S$166,000 (US$123,570) worth of flights, hotel stays and tickets to events in exchange for advancing Mr Ong’s business interests.

He allegedly corruptly obtained 10 Green Room tickets, eight Twenty3 tickets and 32 general admission tickets to the 2022 Singapore F1 GP, worth about $48,150, $56,068 and $41,216 respectively, in September 2022.

Additionally, Iswaran faces allegations of obstructing the course of justice on or around 25 May 2023.

As detailed in court documents,  he allegedly made a repayment of S$5,700 to Singapore GP, equivalent to the cost of his business flight ticket from Doha to Singapore.

This act was carried out with the knowledge that it was likely to obstruct the proper functioning of justice.

Penalties for convictions under PCA and Penal Code

For individuals convicted under Section 165 of the Penal Code, the penalties can include fines or imprisonment for up to two years, or a combination of both.

Individuals convicted under Section 6(a) of the Prevention of Corruption Act (PCA) may face imprisonment for a maximum of five years, a fine of up to S$100,000, or both.

Similarly, under Section 7, the potential penalties include imprisonment for up to seven years, a fine of up to S$100,000, or both.

For the offence of attempting to obstruct the course of justice, the consequences entail a possible imprisonment term of up to seven years, a monetary fine, or a combination of both.

Correction: An earlier version of this article referred to Mr Lum as a shareholder at LASALLE College of the Arts. LASALLE has clarified that it operates as a public company limited by guarantee, thus it does not have shareholders; Mr Lum is a member.