SINGAPORE - The Pasir-Ris Punggol Town Council (PRPTC) has commenced legal proceedings against several of Aljunied-Hougang Town Council's (AHTC) councillors and its former managing agent firm, FM Solutions and Services (FMSS).
The lawsuit is for the "claims and reliefs" relating to Punggol East, PRPTC said on Monday (Sept 11).
This follows a similar lawsuit that AHTC, acting through an independent panel tasked with looking into improper payments made, filed against the same defendants in July.
AHTC had alleged that three Workers' Party (WP) MPs - party chief Low Thia Khiang, party chairman Sylvia Lim and party treasurer Pritam Singh - had breached their core fiduciary duties to the town council by appointing FMSS as managing agent.
They have been asked to account for more than $33 million spent between July 2011 and July 2015, and for repayment of any monies wrongfully paid out.
Besides the trio, the other defendants named by PRPTC are the same ones in the AHTC lawsuit: former member of the WP Youth Wing executive committee Chua Zhi Hon, WP's deputy organising secretary Kenneth Foo, FMSS owner How Weng Fan and FMSS.
PRPTC said that its claims overlap with those of AHTC's claims, and was filing the lawsuit to "discharge its duty to its residents to recover what is due".
The WP said it has received the Statement of Claim from PRPTC. It said in a statement: "Our lawyers are reviewing the document. We will issue a statement after discussing the matter with them."