Aljunied transferred $20.5m to TIP fund?

November 25, 2014

A big “thank you” to ES

Further to my article “Town councils: Transparency & accountability? – Aljunied had $5.5m surplus in 2011?” (Nov 21) – my regular CPF insider ES sent me the old annual reports for Aljunied town council from 2002/03 to 2005/06.

Were S & CC increases justified?  

After analysing these reports – arguably a lot of explaining may be need to be done to explain as to whether the increase in Service and Conservancy Charges (S & CC) by the 14 PAP town councils (including Aljunied) in 2004 and 2010 (Aljunied together with a few town councils) were justified.

I am only analysing Aljunied, as I do not have access to the old reports of the other 13 town councils.

$2.5m operating surpluses in 4 years?

Aljunied had operating surpluses of $562,146, $1,056,868, $939,532 in 2002/03, 2003/04 and 2004/05, and an operating deficit of $107,226 in 2005/06.

$13.8m accumulated surplus? 

However, it had huge accumulated surpluses of $13,381,756, $13,799,110, $9,151,660 and $4,268,130, respectively.

In this connection, we know from AHPETC’s annual report for 2012 that the accumulated surplus was $5.5 million on 31 March 2011 – just before Aljunied was lost to the Workers’ Party.

Whopping $20.5m transferred to TIP fund?

Moreover, the accumulated surpluses may actually have been much more – further indicators as to whether the S & CC increases were justified – because it had made whopping transfers from the accumulated surpluses to the Town Improvement and Projects Fund of $2,000,000, $3,100,000, $8,206,000 and $7,500,000.

Looking at the above humongous figures – do you think the S & CC increases were justified?

A world of difference after WP?

In stark contrast, the appropriation to the Town Improvement and Projects Fund (from accumulated surpluses?) was only $169,876 and $1,032,389 in 2013/12 and 2012/11, after the Workers’ Party took over the town council.

Opening “a can of worms”?

As a resident of Aljunied, I am in a way glad that my town council has been criticised – as things may arguably be coming out – like a “can of worms”.

Leong Sze Hian

 

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About the Author

Leong
Leong Sze Hian has served as the president of 4 professional bodies, honorary consul of 2 countries, an alumnus of Harvard University, authored 4 books, quoted over 1500 times in the media , has been a radio talkshow host, a newspaper daily columnist, Wharton Fellow, SEACeM Fellow, columnist for theonlinecitizen and Malaysiakini, executive producer of Ilo Ilo (40 international awards), Hotel Mumbai (associate producer), invited to speak more than 200 times in about 40 countries, CIFA advisory board member, founding advisor to the Financial Planning Associations of 2 countries. He has 3 Masters, 2 Bachelors degrees and 13 professional  qualifications.