In 2023, Singapore climbed to 5th place on Transparency International’s Corruption Perceptions Index, becoming the only Asian country in the top 10 for least corruption. This achievement is largely credited to Singapore’s strong anti-corruption framework, especially the Prevention of Corruption Act (PCA).
History and Purpose of the PCA
The PCA evolved from the Prevention of Corruption Ordinance (POCO), introduced in 1937 during colonial times. Initially, POCO was ineffective due to limited investigative powers and non-seizable offences. Post-WWII amendments improved it slightly, but corruption remained widespread due to poor enforcement. The colonial government eventually disbanded the Anti-Corruption Branch, replacing it with the Corrupt Practices Investigation Bureau (CPIB).
After gaining self-governance, Singapore enacted the PCA on June 17, 1960, replacing POCO. The PCA addressed earlier shortcomings and gave CPIB stronger authority to investigate and enforce anti-corruption laws. During the parliamentary debate, then-Minister for Home Affairs Ong Pang Boon emphasized that the law targets both public and private sector corruption, with a clear warning for offenders.
Key Provisions of the PCA
Sections 5 and 6 outline the main offences, covering both givers and receivers of corrupt gratification. The term “gratification” includes not only money but also favors, services, and other benefits. Section 8 creates a presumption that any such gratification is corrupt unless proven otherwise.
Case Study: Goh Ngak Eng v Public Prosecutor (2022)
In this case, Goh, a company director, conspired with others to inflate invoices to Keppel FELS and shared the extra profits. He was initially sentenced to 17 months and 3 weeks in prison. On appeal, the High Court found this too lenient and increased the sentence to 37 months and 3 weeks.
The case introduced the Goh Ngak Eng sentencing framework, based on a two-stage, five-step method:
- Stage 1 assesses the seriousness of harm and the offender’s culpability, then places the offence within an indicative sentencing range.
- Stage 2 adjusts the sentence based on aggravating/mitigating factors and ensures overall proportionality for multiple charges.
Extra-Territorial Scope of the PCA
The PCA applies even to Singaporeans committing corruption abroad. In PP v Taw Cheng Kong, a Singaporean based in Hong Kong was prosecuted for accepting bribes while working for GIC. This broad reach ensures Singaporeans are accountable regardless of where the offence occurs.
Penalties for Corruption
Under the PCA, offenders may face fines up to $100,000 and/or imprisonment of up to 5 years (7 years if the bribe involves a Member of Parliament). Courts can also impose fines equal to the amount of gratification received, as seen in a 2017 case where an executive was fined $1.13 million.
As Singaporean businesses expand overseas, awareness of these anti-corruption laws—including their extra-territorial reach—is increasingly important.