SINGAPORE: The withdrawal of both of Aljunied-Hougang Town Council's (AHTC) choices for accounting firms is "very disturbing", the lawyers representing the Housing and Development Board (HDB) told the Supreme Court on Wednesday (Jan 20).
But the Workers' Party, which runs the Town Council, argued there was "nothing suspicious" about the selection process so far.
Members of AHTC, including chairman and Workers' Party MP Pritam Singh, turned up at the Supreme Court on Wednesday for a hearing to settle a protracted legal battle with Singapore authorities over the town council’s choice of accountant.
The court is entitled to know the "true reasons" behind the withdrawal of accounting firms Business Assurance and MRI Moores from being considered as AHTC's nominated accountants, said Ms Aurill Kam, representing HDB.
Business Assurance was the only firm in consideration before they withdrew on Jan 11, revealed Ms Kam. MRI Moores was announced as AHTC’s new candidate on the same day.
"Two nominations later, the Workers' Party-run AHTC have not put up a candidate that has not withdrawn. If they say it's for them to appoint, then given all that has happened, they have to explain to the court their process is sound and due diligence is carried out," said Ms Kam. “There must be some accountability given to the court, to the public as to their process of nomination… We need to understand why these two accountants have now recused themselves.”
Mr Peter Low, representing AHTC, argued that there is nothing suspicious thus far in the selection process, and this is all "water under the bridge" since the two firms do not want to be considered.
He said Business Assurance's decision to withdraw – from all engagements with WP - was in part due to "intense media scrutiny" and calls from concerned clients. Mr Low also said a possible reason was Mr Alex Chai - lead accountant at Business Assurance - receiving “a certain rating” by the Accounting and Corporate Regulatory Authority (ACRA) and not wanting “to make it public”.
MRI Moores declined to reveal their reasons from withdrawing, he added.
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