Singapore-based director charged for kickback and salary offences
A Singaporean-based director of an engineering firm has been charged in the country’s State Courts for not only failing to pay his workers, but also for collecting kickbacks from them.
In a statement, the Ministry of Manpower announced that 35 year-old Chen Quan, Director of Hong Lu Engineering and Trusty Aluminium, had defaulted on more than $32,000 in basic and overtime salaries for 10 workers.
Chen is also alleged to have collected more than $64,000 in kickbacks from 21 workers, as a condition for their employment. Collecting kickbacks as financial guarantees or conditions for employment is forbidden under the Employment of Foreign Manpower Act (EFMA).
Chen has been charged with 45 counts for failure to pay salaries, and 21 counts for kickback offences under the EFMA.
One of his foreign employees at Hong Lu Engineering, 29 year-old Monir Hossain Abdul Malek from Bangladesh, also faces 21 counts under the EFMA for abetting Chen in collecting the kickbacks.
If convicted, Chen and Monir could face up to two years of jail and/or a fine of up to $3,000 for each kickback offense. Chen also faces imprisonment for up to six months and/or a fines of up to $15,000 for each of his Employment Act offenses, if convicted.
The case became known when some of the affected workers approached MOM for help last year.