National Archives

MINISTERIAL STATEMENT BY PROF S JAYAKUMAR, MINISTER FOR HOME AFFAIRS AND SECOND MINISTER FOR LAW ON THURSDAY, 26 MARCH 1987

Introduction

Mr Speaker,

Members will recall that at our sitting on Mar 4, the Member for Potong Pasir asked the Prime Minister "whether he will call for a public inquiry to get to the bottom“ of what he termed "the Teh Cheang Wan affair" and " to make recommendations to prevent further corruption at high places".

The Prime Minister said that "the Government is ready to have a public inquiry into any matter of public interest so that there can be no question of any cover- up".

The Prime Minister repeatedly asked the Member to spell out the Terms of Reference. It was only after the lunch adjournment that the Member read out his proposed Terms, although he said he had it "all the time" since that morning.

The Prime Minister pointed out these Terms were ambiguous and suggested that the Member refine them. Nevertheless the PM said he was prepared to accept the draft as it was and to gazette it because he would not stop any inquiry.

In reply the Member insisted that "as far as the substance of this reference [of the Inquiry he wanted] goes, it stays".

The Member also requested that there should be three Commissioners.

In response to PM's question whether he would lead evidence on the Terms requested by him he said ... "not only I will lead in evidence but I have certainly people who are willing to assist me in that area". 2

This was noted by PM "... as he said he will lead evidence and he will bring people to bring. evidence ... so be it."

The Member's final words on the Terms were " I wish to have these Terms of Reference written out in a form that is accepted under the Inquiry Commissions Act".

Appointment of Commission

In deference to the Member's stated desire to recast his Terms in an acceptable form, the Government waited for his redraft.

On the morning of 23 Mar 87 I asked the Member whether he had a redraft or if his Terms read on the 4th March was final. He asked for time, and at about 6 pm he handed me his revised Terms of Reference.

I now wish to inform the House that the President has appointed a Commission of Inquiry consisting of 3 members as proposed by the Member. The Chairman of the Commission will be Judicial Commissioner Mr Chan Sek Keong and the two other members will be Mr Robert Iau Kuo Kwong and Mr Thai Chee Ken.

The full text of the Instrument of Appointment signed by the President will be gazetted and is circulated for information of Members.

This Instrument reproduces the revised Terms of Reference of the Member for Potong Pasir in their entirety as Terms of Reference (2) and (3). The Instrument also records the fact that the Member had undertaken to "lead in evidence" relating to those said Terms.

An additional term

At our sitting of 4 Mar, the Member made several references which implied that the CPIB had been less than thorough in its investigation of the case. For example: (a) He asked whether, now that the Minister has died "everything will be closed and covered up?" 3

(b) He said there was "evidence of strange -goings-on have taken place ... This is indeed very, very strange. So I think there is a need for an inquiry into that area." (c) Referring to a core contractor willing to give a bribe, he said "It is no small sum. There must be certainly something behind that.... if we dig deep enough, we will find the evidence."

In other words, he cast doubt over the thoroughness and effectiveness Of CPIB's investigations, that they "didn't dig deep enough!"

The Government had expected the Member for Potong Pasir to refine his Terms to inquire into the adequacy and efficacy of CPIB's investigations. He has not done this.

The Government cannot allow these doubts on the effectiveness of the investigations of the CPIB to stand unchallenged. Accordingly, before proceeding to investigate the Terms of Reference which the Member spelt out, the Commission will first address itself to this 1st Term of Reference. It reads as follows: (1) To enquire whether - (a) the Corrupt Practices Investigation Bureau did all that was necessary to uncover all the acts of corruption or criminal wrongdoing of the late Mr Teh Cheang Wan in investigating complaints of or leads to acts of corruption by the late Mr Teh Cheang Wan as Minister for National Development;

(b) the Corrupt Practices Investigation Bureau was thorough in their investigations before concluding that there was no involvement by any other Minister, Parliamentary Secretary, or Government officer in these acts of corruption or other criminal wrongdoing: (c) there has been any attempt to overlook, to conceal or to cover-up any information concerning corruption or criminal wrongdoing. 4

Mr Speaker, Sir, it is in the public interest that there can be no suggestion of any concealment or cover-up of any corruption or criminal wrongdoing by the late Mr Teh Cheang Wan or any other Minister or Parliamentary Secretary or Government officer. Therefore the thoroughness and effectiveness of the investigations by the CPIB into the late Mr Teh Cheang Wan should be inquired into by the Commission of Inquiry.

With regard to this Term the Deputy Public Prosecutor will lead evidence to show that CPIB carried out its duties effectively and properly. The Director-of CPIB will give evidence under this Term.

0 'After this Term of Reference has been addressed, the Commission will then address the Terms requested by the Member for Potong Pasir. With regard to those Terms he will, as he had undertaken, bring forth his witnesses and "lead in evidence". I

ISTANA SINGAPORE

THE INQUIRY COMMISSIONS ACT (CHAPTER 48). COMMISSION.

BY WEE'KIM WEE PRESIDENT OF THE REPUBLIC OF SINGAPORE

WHEREAS it is provided by the Inquiry Commissions Act that it shall be lawful for the President, whenever he shall deem it advisable, to issue a Commission appointing one or more Commissioners to inquire, inter alia , into:- (a) the conduct or management of any department of the public service: or (b) any matter in which an inquiry would in the opinion of the President be for the public welfare;

AND WHEREAS the late Mr Teh Cheang Wan died on 14th December 1986 in circumstances which had necessitated the holding of a Coroner's Inquiry into the cause of death;

AND WHEREAS such a Coroner's Inquiry held on the 20th day of January 1987 had established that he - (i) had committed suicide: and ISTANA - 2 - SINGAPORE

(ii) had done so as a result of investigations conducted by the Corrupt Practices Investigation Bureau against him into two alleged acts of bribery and corruption in the course of which Inquiry evidence had been led relating to these allegations pointing to the receipt of $800,OOO by the late Mr Teh.

AND WHEREAS subsequent to the Coroner's Inquiry questions were raised in Parliament on 26th January 1987 regarding the allegations of bribery and corruption which had led to the a investigations and subsequent suicide of the late Mr Teh;

AND WHEREAS again on the 4th day of March 1987 in the course of the debate in the House, the Member of Parliament for Potong Pasir, Mr Chiam See Tong, had asked- for a public inquiry to investigate what he termed as the "Teh Cheang Wan Affair":

AND WHEREAS the Prime Minister requested Mr Chiam See Tong to spell out what he meant by the "Teh Cheang Wan Affair" and subsequently accepted the terms of reference for such a Commission as tabled by him;

AND WHEREAS Mr Chiam on the 23rd day of March 1987 delivered to the Minister for Home Affairs and the Second Minister for Law his revised Terms of Reference:

AND WHEREAS Mr Chiam has undertaken in Parliament "to lead in evidence" relating to the said terms:

AND WHEREAS it is in the public interest that there can be no suggestion of any concealment or cover-up of any corruption or criminal wrongdoing by the late Mr Teh Cheang Wan or any other Minister or Parliamentary Secretary or Government officer;

AND WHEREAS the Government has accepted Mr Chiam See Tong's terms of reference, as revised, for a Commission of Inquiry, HEREBY ADOPTED AND INCLUDED in their entirety as the second and third terms of reference for the Commission of Inquiry; - 3 - ISTANA SINGAPORE

ACCORDINGLY, the terms of reference of the Commission of Inquiry are HERESY AS FOLLOWS:-

(1) To enquire whether -

( a ) the Corrupt Practices Investigation Bureau did all that was necessary to uncover all the acts of corruption or criminal wrongdoing of the late Mr Teh Cheang wan in investigating complaints of or leads to acts of corruption by the late Mr Teh Cheang Wan as Minister for National Development:

(b) the Corrupt Practices Investigation Bureau was thorough in their investigations before concluding that there was no involvement by any other Minister, Parliamentary Secretary, or Government officer in these acts of corruption or other criminal wrongdoing;

(c) there has been any attempt to overlook, to conceal or to cover-up any information concerning corruption or criminal wrongdoing.

(2) TO investigate - ( a ) into the circumstances which made it possible for the former Minister for l National Development to accept the two $400,000 bribes: (b) whether other persons were involved or implicated in relation to the said two bribes or other bribes, if any; (c) the system used by the Ministry of National Development in - (i) acquisition/alienation of land; (ii) receiving and accepting of tenders: and

(iii) the operations of its and related companies. ISTANA - 4 - SINGAPORE

(3) If the Commission finds on the evidence that -

(a) in respect of reference 2(b) there were wrongdoings, then it shall refer the person or persons involved or implicated to the appropriate authorities; (b) there are shortcomings in the system used by MND and/or any of its or related companies, it shall receive proposals and make recommendations for their improvements and to prevent further corruption.

NOW THEREFORE, I, WEE KIM WEE, hereby appoint the following persons, namely: (a) Judicial Commissioner Mr Chan Sek Keong (b) Mr Thai Chee Ken (C) Mr Robert Iau Kuo Kwong to be Commissioners under section 2(1) of the Inquiry Commissions Act and hereby authorize the said Commissioners to conduct such inquiry in the manner hereinafter directed -

1 I direct that Judicial Commissioner Mr Chan Sek Keong shall be the Chairman of the Commission of Inquiry; 2 I direct that the first sitting of the Commission shall take place in the High Court on such date and at such hour as the Chairman may designate: 3. I direct that the Commission shall normally hold its sittings in the High Court but shall have power, in the discretion of the Chairman, to adjourn to any suitable place to hear evidence or for any other purpose connected with its duties; - 5 - ISTANA SINGAPORE

4. I direct that the Inquiry shall be held in public: Provided that the Chairman may in his discretion direct that any evidence shall be heard in camera or otherwise recorded without being made available to the public;

5. I appoint Maj(Res) Tan Keng Hiang Secretary to the Commission and to exercise the powers conferred and to carry out the duties imposed upon such Secretary as are referred to in section 6 of the Inquiry Commissions Act, and I authorize the Secretary to employ such clerical or other assistance for the purpose of the Inquiry as the Commission may require. In case Of necessity, T also authorise the Commission to appoint any suitable person temporarily to act as Secretary; 6. I direct the Commissioner of Police to detail police officers to attend upon the Commission for the purpose of preserving order during the proceedings, to serve summonses on witnesses and to perform such ministerial duties as the Commission may direct: and 7. Finally, I direct the Commission, after completing the Inquiry, to render me their report and recommendations thereon.

Given at Singapore this 25th day of March, 1987.

BY COMMAND,

WONGCHOOI SEN Secretary to the Cabinet. CURRICULUMVITAE

1. Name : Chan Sek Keong 2. I/C No. : 18452l/J colour Pink 3. Present Appointment : Judicial Commissioner, Supreme Court with date 1st July 1986 4. Date and Place of Birth : 5th November 1937 .Ipoh. Perak Malaysia

5. Citizenship : Singapore Citizen 6. Race : Chinese (Cantonese) 7. Marital status : Harried (with 3 children) 8. Language/dialect : Written English Spoken : Cantonese

: Anderson school, Ipoh, Perak (1951-1957)

10. Tertiary and/or : LI.B. (Hons) Malaya, 1961 (see attachment marked "D") l Qualification Advacate & Solicitor of the Supreme Court, Singapore Advocate & Solicitor of the High Court , West Malaysia CURRICULUM VITAE

THAI CHEE KEN

POSITION Senior Partner. Price Waterhouse, Singapore

DATE & PLACE OF BIRTH: 30 July 1938, Kuala Lumpur, Malaysia

CITIZENSHIP Singapore Citizen

RELIGION Christian (Methodist)

EDUCATIONAL Educated at Methodist Boys' School - Kuala Lumpur HISTORY: Anglo-Chinese School - Singapore Certificate- in- Education - Teachers Training College, Singapore

PROFESSIONAL EDUCATION Fellow of Institute of Chartered Accountants in Australia

Member of Australian Society of Accountants

Member of Singapore Society of Accountants

Member of Malaysian Association of Certified Public Accountants

PROFESSIONAL HISTORY: Qualified as Accountant in 1963

Employment entirely in professional firms (Arthur Andersen and Ernst & Whinney) prior to joining Price Waterhouse in Singapore in 1973

Partner in Price Waterhouse Singapore from 1971 to 1986

Senior Partner in Price Waterhouse Singapore since January 1987

Member of Ad hoc Committee on Professional Indemnity Insurance of Singapore Society of Accountants

Member of Accreditation Committee of Singapore Society of Accountants

Council Member of Singapore Society of Accountants - 1971 to 1972

Member of Education Committee of Singapore Society of Accountants - several years

PROFESSIONAL 24 years experience in public accounting firms.- EXPERIENCE Responsibilities covered all areas of professional work. Involved in audits of large companies and statutory boards.

Has acted as liquidator. receiver and manager of Large liquidations and receiverships. Regularly provides general assistance and advice CO clients and potential clients in areas of restructuring, re-organisation, acquisitons. mergers, computerisation. staffing, etc. - 2 -

Member of General Council of Price Waterhouse World Firm.

Was in charge of firm's continuing education programmes.

Was the firm’s technical partner.

NON-PROFESSIONAL ACTIVITIES: : Chairman of Singapore Bus Service (1978) Limited

Chairman of SBS Taxi (Pte) Ltd

Chairman of SBS Investments Pte Ltd

: Chairman of National Theatre Trust

: Member of the Board of Mass Rapid Transit Corporation (MRTC)

: Director of Post Office Savings Bank (POSB) of Singapore

Director of POSB Investment Pte Ltd

: Member of the Board of Trustees of Singapore Cultural Foundation

: Member of the Faculty of Accountancy & Business Administration Advisory Board of National University of Singapore.

Trustee of Loke Cheng-Kim Foundation in Singapore

Member of Advisory Board - Salvation Army (Singapore/Malaysia Command)

: Member of Inquiry Panel (Section 85 Legal Profession Act, Chapter 217)

Member of Disciplinary Committee (Section 91 of the Legal Profession Act, Chapter 217, Revised Edition 1970)

Patron of Stage Club of Singapore

Past President of The Tanglin Club, Singapore

Fast Chairman of Samaritans of Singapore (SOS)

Past Committee Member of Singapore Association for the Blind

OTHER INFORMATION : Married with 3 children.

1 March 1987 CURRICULUMVITAE

1. Name : Chan sek Keong 2. I/C No. : 18452Sl/J Colour: Pink 3. Present Appointment : Judicial Commissioner, Supreme Court with date 1st July 1986 4. Date and Place of Birth : 5th-November 1937, Ipoh, Perak Malaysia 5. Citizenship : Singapore Citizen 6. Race : Chinese (Cantonese) 7. Marital Status : Married (with 3 children) 8. language/dialect. : Write English Spoken: cantonese

9. School(s) where Secondary Education : Anderson School, Ipoh, Perak Obtained (1951-1957)

10. Tertiary and/or : L1.S. (HOnS) Malaya, 1961 Professional (see attachment marked "D") Qualification Advocate & Solicitor of the Supreme Court, Singapore

Advocate & Solicitor of the High Court, West Malaysia 2

1980 - 1984 Managing Director, Singapore Land Ltd. One of the largest public. listed development companies in Singapore. Was Chairman and Director of 16 of its subsidiary and associate companies. Property development, financial packaging, loans, share flotation. merchant bankers, consultants, government departments, contractors.

1971 - 1980 General Manager, Central Provident Fund. Social security administration, policy advice and implementation, computerisation, legislation, investments, loan stocks, national insurance schemes, national housing schemes, stock investment schemes. Total assets of Fund in 1980 S$5 billion+.

1968 - 1971 Seconded to Ministry of Interior and Defence. Concurrently Director Manpower and Head, EDP Department, MINDEF. Manpower planning for national service, training systems, build-up of Singapore Armed Forces including air force and navy, developed pay structure, armed forces legislation, disciplinary regulations. Developed computerised. manpower system, pay system and conducted feasibility studies for criminal records and logistic bases. Rank held: Colonel.

1966 - 1968 Deputy General Manager, Central Provident Fund

1961 - 1966 EDP Manager/Systems Analyst/Programmer, Central Provident Fund. Programmed and installed first computer system in Singapore (1963).

1959 - 1961 Administrative Officer, Central Provident Fund. Responsible for law enforcement, prosecutions, payments of benefit.

Other Experiences: Director, Singapore BUS Service(7978) Ltd

Director, Singapore Computer Systems Pte Ltd

Director, Post Office Savings Bank

Director, Credit POSB

Director,-POSB Computer Services 3

Community Service: (Past and Present) Chairman, Advisory Board, Institute of System Science, National University of Singapore

Chairman, Computer Manpower Planning, Education and Standards Committee, National Computer Board

Chairman, Joint Advisory Committee on Computer Studies, Singapore and Ngee Ann Polytechnics

Chairman, Programme Subcommittee, Festival of Arts, Ministry of Community Development

President, Singapore Computer Society

Chairman, National Computer Board, Building Development Committee

Chairman, Working Group on Management Consultancy, Ministry of Trade and Industry

Chairman, Task Force on Small and Medium Enterprises: Economic Development Board

Deputy Chairman, Computer Science Curriculum Review Committee, National University of Singapore

Vice Chairman, Singapore Institute of Management

Member, Advisory Board of Centre of Computer Studies, Ngee Ann Polytechnic

Member, Services Sector Commmittee, Economic Development Board

Member, Building Committee of the Institute of Molecular and Cell biology, National University of Singapore

Member, Singapore National Employers' Federation Council

Member, Income Tax Board of Review

Member, National Computer Board

Member, -Cultural Foundation, Ministry of Community Development 4

Member, Festival of Arts Steering Committee, Ministry of Community Development

Member, National Theatre Trust

Member, Advisory Board, Ministry of Defence

Member, Cultural Complex Committee

'Secretary-General, 'South East Asia Regional Computer Confederation (SEARCC)

Member, Activities Planning Board, International Federation of Information Processing (IFIP)

Member, IFIP Committee on International Development (ICID)

Trustee, International Federation of Information Processing

Miscellaneous

Pilot Wings, Malayan Auxiliary Air Force, GD pilot, single engine. Types flown: Tiger Moth, Harvard, Chipmunks, Cessna 172, BAC Strikemaster. l Grade VIII (Final) Pianoforte and Theory, Associated Board of Royal Schools of Music, England. PARTICULARSOF OFFICE

1 NAME OFOFFICER HIANG 2) NAME IN CHINESE CHARACTERS 3) NRIC/CPONO 0118025H 4) COLOUROf NRIC S’POREONLY) : Pink 5) PRESENTAPPOIMTMENT AND DATE : PAS, 11.11.82 6) PRESENTJOB TITLE ANDDATE

7) DATE 10 PLACEOF BIRTH : 24.10.53, Singapore 8) CITIZEHSHIP : Singapore

9) RACE : Chinese

10) MARITALSTATUS : named (with one 'child)

11) LANGUAGE SPOKEN : Chinese

WRITTEN : English, Chinese , English

12) DIALECT (S)SPOKEN leacher 13) SCHOOL (S) WHERESECONDARY EDUCATION WASOBTAINED

14 QUALIFICATIONS : 11 B SC HONS (ELECT/ ELECTRONICS 1st Class Honours U/Asion United Kingdon 1975 2) M SC (managementSCIENCE) U/London United Kingdom 1984

15 ECA Record 1) Badminton, 67-71 2) Suiming, 67 3) School Librarian. 67 & 78-71 4) Table -tennis, 68 5) Membet,Science Society 68 6) Member, Mathematics68 Society, 7) Member, Photography Society, 68-69 8) Prefect, 70 & Head Prefect, 71 9) lean Captain (Badminton), 70 2

1) 17.04.72: SAF Service Officer Cadet

3) 22.09.72: SAF Service Appointed is 2LT 4) 01.05.74: SAF Service Promoted to Temp LIA 5) 01.O5.75: SAF Service Confirmed in the rant of LTA 6) 91.89.77: SAF Service Promoted toTemp [p] 7) 81.01.79:SAF Service Confirmed in the rank of CPT

9) 91.01.82: PAS Absorbed into Admin Service and seconded SAF 10) 01.07.82: SAF Service Confirmed in the rank of MAJ 11) 22.09.84: Minister Of Social AFFAIRS 12) 02.01.85: HIH OF COMMUNITY DEVELOPMENT

DIRECTORSHIPOF CDHPANIES/HEMBERSHIPSTATUTORY OF WARDS : NIL

18)COURSES/ CONFEREHCESATTENDED : Prior to his year, attended 15 Course and 1 Conferencat(s)I

HONOURSAND AWARDS: 1) SAF Scholarship 72-75 18 yrs bond) 2) Spore Govt Scholarship for 1 yr M Sc course ManagementScience it Imparial College, UK, 83-84 (3 yrs bond) 3) SAF Good Service Medal, 78 4) SAF long Service Medal, 83-

5) Awarded a Ford Prize for excellence in a these on tonic (Quality Circles) of interess to manufacturing industry Imperial College, 84