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GE2015: AHPETC reports S$1.65m surplus in FY14/15, includes withheld grant
[SINGAPORE] The Aljunied-Hougang-Punggol East Town Council (AHPETC) on Monday said it would record an annual surplus of S$1.65 million for fiscal 2015 after withheld government funds are received by it.
This was revealed in its annual report, which was put on the town council's website.
The audited accounts included a disclaimer of opinion from its auditor. In the corporate world, a disclaimer of opinion can be a red flag.
Among the issues it highlighted is that it could not verify a sum of S$507,809 in conservancy and service fees that were received in advance.
"The past operating deficit was largely the outcome of higher tender price for various service contracts and start-up costs," said Workers' Party chairman Sylvia Lim in an open letter to residents.
"The current positive position came about through a combination of steps taken by AHPETC. These included lowering its utilities costs by using contestable energy, reducing its general and administrative expenditure, and increasing its revenue."
She said there is "no longer any issue" with regards to its dealing with its former managing agent, FM Solutions & Services Pte Ltd (FMSS), since AHPETC is now directly managed and does not outsource its work to a managing agent.
"There was never any conflict of interest whatsoever between the Workers' Party or any of its Members of Parliament and FMSS," she added.
She also said that when WP took over in 2011, one of the first decisions made by the new Aljunied-Hougang Town Council was to require any cheques to the managing agent to require the counter-signature of AHPETC chairman and vice-chairmen. This is regardless of the amount.
Read more about GE2015 here.