Keppel Club membership fraud stuns club fraternity

Singapore

BEWILDERMENT gripped the club fraternity which was abuzz over news of police investigations into alleged "phantom" memberships at the 110-year-old Keppel Club.

The phones at Keppel Club were ringing incessantly as members were anxious to find out more details on how such an incident could have possibly happened following The Business Times exclusive on Thursday that the club has been hit by the discovery of over 1,000 phantom accounts allegedly involving the club's staff and related to membership transfers.

BT further understands that the investigations could involve more than one staff at the club following a police report lodged by the club's management after they discovered some discrepancies. "I cannot believe it. All members pay subscription fees every month and also have a refundable deposit at the club. How could this happen?" asked a longtime club member.

Questions were aplenty - with few answers forthcoming - on the mechanics of how these fake accounts would have been created to benefit those allegedly involved in the fraud.

A big worry among many members is the status of their membership: whether it's legitimate or under the so-called fake accounts.

"It's like suddenly finding out that the car you have been driving all this while may actually be a stolen car. What do we do if that happens? Do we have any legal recourse?" asked an avid club user.

Many members had called the club for some clarity, but failed to get a satisfactory response. "I called but no one wants to say anything. They just said it's being investigated and can't disclose any information," said a frustrated member.

BT understands that Keppel Club plans to issue a notice to all members - it has over 5,000 - to inform them that "it's business as usual" at the club and the matter was under police investigation.

But not all were shocked by the news. When contacted, a club membership broker who has been in the job for over 20 years said that this is not the first time she has heard of such an incident.

"This thing has been happening for awhile. It's not new. There were rumours about this since July this year," said the broker, who declined to be named or provide more details.

Some members chose to be more circumspect.

"Personally, I'm not worried as at the end of the day, I am still entitled to the club facilities," said an executive who has been a club member for seven years.

Still, this may be one bad news too many for the club which is still dealing with the disappointment of being told earlier this year that its lease on the 44 hectares of land it occupies will not be renewed when it expires in 2021. The property will make way for housing development.