Hyflux Oliver Lum

Singapore government’s crony water treatment company Hyflux, is now under investigation for various cheating offences including making false statements, intent to mislead investors and manipulating financial accounts.

Numerous Hyflux directors include Olivia Lum, the friend of Prime Minister’s wife Ho Ching.

Local authorities said they commenced investigations after reviewing the company’s reporting in April 2019:

“The investigation, which also involves the company’s existing and former directors, follows a review of Hyflux-related disclosures and compliance with accounting and auditing standards which was announced in April last year. The review uncovered reasons to suspect that several offences may have been committed.”

According to the state media, Hyflux manipulated accounts to mislead investors over their Tuaspring power plant, in the eight years between 2011 and 2018. Olivia Lum was the company’s director at this period.

The Singapore authorities did not report any misgiving in the eight year period, and have chosen to commence investigation today – after Hyflux failed to receive any cash injection.

The ruling party government appears to be cutting Hyflux off now, to prevent their fall from affecting the PAP’s political chances in the upcoming General Election.

Hyflux is now facing a bankruptcy order after it failed to secure any cash assistance from the government and investors. A deal with Middle East-based utility company Utico was recently called off by Hyflux.

In May 2019, the Singapore government bailed out Hyflux partially by taking over the loss-making Tuaspring power plant, helping Hyflux to stop accumulating its S$3 billion debt.