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AGO report: HDB delayed final payments to contractors by up to 3.3 years
THE Auditor-General's Office (AGO) report on accounts of government entities and statutory bodies for the financial year 2015/16 on Tuesday showed there was "laxity" in the management of development projects by the Housing & Development Board (HDB).
AGO's test checks on the accounts of 36 contracts relating to construction and upgrading of HDB flats - with the final payments totalling S$37.62 million - revealed delays of up to 3.3 years in making final payments to contractors.
"Delays in payment to contractors contravened contractual requirements and might be seen as an unfair business practice as it could affect the cash flows of the contractors," AGO said.
Amendment note: The headline has been clarified to make clear the final payments do not total S$37.6 million.