Punggol East SMC Merger Accounts (Media Release 08 Sep 2015)

On 6 September 2015, Dr Ng Eng Hen said that the PAP would issue a “definitive clarification” in response to WP’s question posed at the rally on 5 September 2015. To date, we have not received any clarification.

We wish to put on record the following matters.

On 28 August 2015, the PAP candidate for Punggol East SMC, Mr Charles Chong, stated in LianHe ZaoBao:

“After the 2013 Punggol East By-election, Punggol East SMC was carved out of Pasir Ris-Punggol Town Council and merged into Aljunied-Hougang-Punggol East Town Council.  At that time, the Town Council had approximately one million dollars of surplus, and Aljunied Town Council in 2011 also had over $3 million dollars in surplus.  Today, the whole of AHPETC’s financial situation has deteriorated”.

We have seen no supporting evidence for Mr Chong’s claim that there was a surplus of $1 million in the accounts of Punggol East SMC at the point of merger into AHPETC. Mr Chong’s statement is misleading and AHPETC is obliged to set the record straight.

Similarly, it is irrelevant and misleading for DPM Teo Chee Hean to say that Pasir Ris-Punggol TC (PRPGTC) handed over $22.5 million to AHPETC, when he is actually referring to the Sinking Fund transferred to AHPETC after the 2013 Punggol East By-Election.

Sinking Fund monies are not relevant when discussing operating surpluses or deficits of Town Councils as Sinking Fund monies are locked away for Sinking Fund expenditures, and cannot be used for Operating Fund expenditures. Town Councils’ bottom line figures comprise of monies in its Operating Fund only.

For the public’s information, when Hougang SMC was merged with Aljunied GRC to form Aljunied-Hougang Town in 2011, Hougang Town Council transferred $22.5 million to AHTC’s Sinking Fund as well.

We attach a summary of AHPETC’s Sinking Fund information for the public’s reference. (Please click here for the attachment)

 

ALJUNIED-HOUGANG-PUNGGOL EAST TOWN COUNCIL
8 September 2015

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