PAP gets back $4m in funds owed to Punggol East

Punggol East SMC (left) was won by the PAP in the 2015 polls. On Tuesday, the Pasir Ris-Punggol Town Council had sent a lawyer's letter of demand for the remaining $4 million of the SMC's funds to be paid to it.
Punggol East SMC (left) was won by the PAP in the 2015 polls. On Tuesday, the Pasir Ris-Punggol Town Council had sent a lawyer's letter of demand for the remaining $4 million of the SMC's funds to be paid to it.ST PHOTO: STEPHANIE YEOW

The People’s Action Party (PAP) may have won back Punggol East from the Workers’ Party in the 2015 General Election, but it got back the full sum of the single-member constituency’s (SMC) funds only on Thursday after a letter of demand was sent.

The WP-run Aljunied-Hougang Town Council (AHTC) paid the Pasir Ris-Punggol Town Council (PRPTC) about $4 million - the final payment of over $24 million owed to PRPTC in the handover.

PRPTC announced the $4 million payment in a statement hours before the House debated the Town Council (Amendment) Bill.

It received $20 million from AHTC earlier.

On Tuesday, it sent AHTC a letter of demand for the remainder.

PRPTC also said it received the financial statements, the third set submitted by AHTC, on Feb 24 - 15 months after the handover on Nov 30, 2015.

The first two sets were withdrawn by AHTC after discrepancies were identified, it said.

Last October, the Court of Appeal had ordered AHTC to hand over all financial documents related to Punggol East to the PRPTC - the culmination of a dispute over documents needed to review the SMC's accounts.

PRPTC said it had also notified AHTC its demand is "without prejudice" to PRPTC's right to recover any other amounts that may be due.

Correction note:  In our earlier story, we had said the PAP got back the full sum of the single-member constituency's funds only on Thursday after a lawyer's letter was sent. This is incorrect. It should be after a letter of demand was sent. We are sorry for the error.

A version of this article appeared in the print edition of The Straits Times on March 11, 2017, with the headline 'PAP gets back $4m in funds owed to Punggol East'. Print Edition | Subscribe