Minister who brought F1 to Singapore pleads guilty in high-profile corruption trial

Singapore’s former transport minister Subramaniam Iswaran has been convicted of receiving gifts while in office, after pleading guilty in court on Tuesday.

His case has shocked Singapore, which is one of the least corrupt countries globally, according to Transparency International’s Corruption Perceptions Index 2022, the only Asian nation in the top 10.

Iswaran, widely recognised for his key role in bringing the Formula One night race to Singapore, is the first political officeholder in nearly four decades to be subjected to a corruption investigation.

A former senior member of the long-ruling People’s Action Party (PAP), Iswaran pleaded guilty in January this year to 35 charges of accepting gifts, including concert tickets and golf clubs, totalling 403,000 Singapore dollars (£234,586), as well as graft and obstruction of justice.

At the beginning of the trial, local media reported that prosecutors would only pursue five charges, which included four related to public servants receiving valuable items and one charge of obstruction of justice, according to Channel News Asia.

The remaining 30 charges will be taken into consideration for sentencing, the outlet said.

The 62-year-old former transport minister was arrested in July last year for allegedly accepting kickbacks worth hundreds of thousands of dollars from property tycoon Ong Beng Seng, who owns the rights to the Formula One Grand Prix.

In Iswaran’s case, the charges relate to his dealings with two businessmen – Mr Ong and construction company boss Lum Kok Seng. Neither businessmen have been charged with any wrongdoing, according to Al Jazeera.

Iswaran, an advisor to the Grand Prix’s steering committee, previously denied the allegations when he resigned from his cabinet position. In a letter to the then prime minister Lee Hsien Loong, Iswaran wrote: “I reject the charges and am innocent.”

The charge of accepting gifts could result in a prison sentence of up to two years and a fine, while the obstruction of justice charge carries a maximum penalty of seven years in prison and a fine. Despite this, the prosecution has requested a lighter sentence of six to seven months, while the defence is seeking just eight weeks.

In January this year, Singapore’s then prime minister said about the Iswaran corruption case: “I am determined to uphold the integrity of the party and the government, and our reputation for honesty and incorruptibility. Singaporeans expect no less.”

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On Tuesday, it was revealed in the court that the investigation into Iswaran began when the anti-graft agency discovered a flight manifest from a private jet belonging to property tycoon Mr Ong, which Iswaran took to Doha in December 2022 without paying for the flight or his hotel stay. Following this revelation, Iswaran asked Mr Ong to have the Singapore Grand Prix bill him for the trip.

“Public confidence in the impartiality of the government will be severely undermined and not punishing such acts will send a signal that such acts are to be tolerated,” deputy attorney-general Tai Wei Shyong told the court.

Iswaran’s defence claimed that he had disclosed the gifts during the investigation and that he had known Mr Ong and Mr Lum before their business dealings began. They argued that he did not harm the government’s interests and requested a maximum sentence of only eight weeks.

The former minister had also refunded his salary as minister and his allowances as a member of parliament since the start of the investigations, his lawyer Davinder Singh said.

“These were just gifts that were presented to him,” Mr Singh told the court. “Mr Iswaran’s receipt of the gifts, when viewed in its proper context, gives a different complexion. He accepted the gifts without any ill intention or motive.”

In January this year, there were concerns that this case could deal a blow to PAP. Eugene Tan, an associate professor of law at Singapore Management University told The New York Times at the time: “One can’t deny that this is a body blow to the PAP, to the government and to Singapore. This is a system that has always prided itself in high public life standards and incorruptibility.”

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He added: “When you have a series of allegations that a minister had compromised himself, that does raise legitimate concerns.”

Iswaran’s case is the first corruption case involving a minister since 1986, when Singapore’s former minister for national development Teh Cheang Wan was accused of accepting S$1m ($775,000) in bribes. Teh took his own life during the inquiry.

However, public sentiment toward the long-ruling People’s Action Party remains predominantly positive. “I do not foresee that this case will have much of an impact on (prime minister) Lawrence Wong’s premiership,” Felix Tan, an independent political observer told Al Jazeera.

“That said, there might still be some trickle-down effects, such as whether this case is a reflection of the new crop of 4G leadership [Singapore’s terminology for its new generation of political leaders] and the failure of government institutions.”

Iswaran’s sentencing has been adjourned to 3 October at 10am and his bail extended.

Additional reporting by agencies.