MND issues correction direction to propery agent for false statements about Ethnic Integration Policy

The Ministry of National Development (MND) has issued a correction direction under the Protection from Online Falsehoods and Manipulation Act (POFMA) against a video posted by a property agent.

According to a press release on Aug. 1, the property agent, Shaik Amar, shared a video on his TikTok and Instagram on Jul. 24 and his YouTube on Jul. 25 that contained false and misleading statements regarding the Ethnic Integration Policy (EIP).

The videos have since been deleted.

View this post on Instagram

 

A post shared by Shaik Amar (@thatproperty.guy)

MND stated that Amar's video made two false statements:

• The EIP offers no benefit to ethnic minority households; instead, it only causes them significant financial detriment when they sell their flats.
• The EIP was introduced in the 1960s and has not been changed to date

Amar also said in his video that it is ridiculous that EIP prevents racial enclaves, because “as a minority… everywhere we go (in Singapore) is an ethnic enclave… so it’s 2024, nobody gives a damn about racial enclaves anymore”.

Amar must carry correction notices on his TikTok, Instagram, and YouTube accounts, stating that the videos posted contained false and misleading statements.

He is also instructed to provide a link to the government's clarification.

What is EIP?

The Housing and Development Board (HDB) website states that the EIP was established to "preserve Singapore's multi-cultural identity and promote racial integration and harmony".

This ensures a balanced mix of various ethnic communities in HDB estates.

Introduced in 1989, and not in the 1960s, as Amar claimed, EIP was implemented to counteract the "worrying trend of ethnic enclaves" forming at certain HDB estates.

In the press release, MND pointed out that the EIP benefits minorities in several ways, unlike what Amar stated in his video.

Due to EIP, HDB ensures a defined proportion of flats set aside for the minority communities through its Build-To-Order (BTO) and Sale of Balance Flats (SBF) exercises and open booking of flats.

EIP is also applied at the point of resale of flats in all estates.

This guarantees that a specified minimum number of flats in HDB estates, including those in prime locations, are available for persons from minority communities.

MND said:

"Without the EIP, there will be a significant risk that the proportion of owners from Minority Communities in much sought-after areas will be much less, even at point of sale by HDB. The EIP, in this way, generally enables more persons from the Minority Communities to benefit when the flats are sold."

Benefited from EIP

MND noted that Amar also benefited from the EIP, as he would not have been able to select an SBF without it.

MND stated that during the SBF exercise where Amar booked his SkyOasis @ Dawson flat, all minority first-timer applicants were invited to select a three-room flat.

In comparison, only about 40 per cent of Chinese first-time applicants were invited to select a flat due to the Chinese EIP limit.

"The value of flats in SkyOasis @ Dawson have now appreciated significantly. In this way the government ensures the Minority Communities are also able to benefit from the increase in value that takes place when a flat bought from HDB is resold at a higher price," said MND

"It is misleading to focus on the point of resale, without setting out that the flat was obtained in the first place within the framework of the EIP."

Government assists EIP-constrained flat owners

MND also stated that it was false that all minority households suffer significant financial detriment when they sell their flats.

The government said it accepts and acknowledges that for some EIP-constrained flat owners, at the point of resale, there can be differences in the prices that a potential Chinese buyer might be willing to pay compared with a potential buyer from the minority communities.

However, HDB has implemented a range of measures to assist these EIP-constrained flat owners, including giving them more time to sell their existing flats if they have purchased another one and waiving the EIP limits in exceptional circumstances.

MND dismissed Amar's claim that EIP has not been changed since the 1960s as false, citing the EIP buyback assistance scheme implemented in 2022.

This scheme provides flat owners genuinely constrained by EIP limits with the fallback option of selling their flats to HDB at a fair price based on prevailing market conditions.

HDB repurchased flats will be offered for sale through SBF exercises or open booking.

As with all flats sold through these modes, HDB will give a significant subsidy to the assessed market value of the flat to determine the sale price.

Where Chinese EIP limits are reached, only buyers from minority communities will be eligible to buy such flats, and they will benefit from the subsidies, like other buyers.

"Ultimately, the EIP has ensured that no HDB neighbourhood in Singapore is exclusive to any single ethnic group and has thus achieved very real benefits for the Minority Communities," MND said.

ERA statement

Key executive officer of ERA Singapore, Eugene Lim, said that they are aware of the salesperson using his personal social media channel to disseminate personal views on a recent HDB transaction and will take appropriate action.

“We assure our clients and the public that this agent's views do not reflect ERA's views,” Lim added.

“We have and will reinforce with all our salespersons the importance of maintaining the highest standards of professionalism in all communications. ERA is committed to upholding accuracy and integrity, and we will continue to support and educate our salespersons to prevent similar issues in the future.”

Top photos via Shaik Amar/Instagram