MOM arrests 10 people, probing CPF contributions of 5 construction firms with 'phantom workers'

The Ministry of Manpower (MOM) arrested 10 people for their suspected involvement in fraudulent work pass applications during an island-wide enforcement operation on Mar. 31.

Among those arrested were directors and employees from five construction companies.

Another 41 people are assisting in the investigation for suspected involvement in such illegal arrangements, MOM added in its Apr. 1 news release.

Photos showed an employee from a construction company being arrested as part of ongoing investigations, while a director from a construction company was under MOM’s investigations.

Probing CPF contributions, hiring of 'phantom workers'

MOM said it is also probing into the Central Provident Fund (CPF) contributions of another group of more than 40 persons in relation to these five companies.

The five construction companies had allegedly made CPF contributions to Singaporeans and permanent residents not under their employment, or “phantom workers”, to inflate their quota to hire foreigners.

These companies then used the inflated quota to make work pass applications to MOM to hire more foreigners.

Penalties

Under the Employment of Foreign Manpower Act 1990 (EFMA), any person convicted of making false declarations in work pass applications can be fined up to S$20,000, or jailed up to two years, or both.

Their work pass privileges may also be suspended, and the work pass applicant may be barred from working in Singapore.

Those who collude with companies by providing their particulars for fraudulent CPF contributions to meet the requirements for work pass applications may also be prosecuted.

Members of the public who are aware of illegal employment activities, such as persons receiving CPF contributions from companies that they are not working for, should report the matter to MOM via MOM’s eService “Report an infringement”.

All information provided will be kept confidential, MOM said.

Top photos via MOM