Employee tried to get JSS payouts by using incarcerated employees, ghost staff
A human resource manager in Singapore has been sentenced to four months of jail for attempting to deceive the Inland Revenue Authority of Singapore (Iras) into granting their organisation payouts worth over S$8,500 through the Jobs Support Scheme (JSS).
The JSS was a government initiative launched in February 2020 that provides employers wage support so they can retain their local employees amid the COVID-19 pandemic.
The scheme, which was handled by the Iras, bases its subsidies on a percentage of employees' monthly wages, according to the authority.
Attempted deception
Wong Lai Kook, a 48-year-old Malaysian, attempted to dupe the IRAS into granting them subsidies by submitting false declarations for employees who were in prison and non-existent workers, Today Online reported.
The offence took place between February and April 2020, and later between July and August 2020.
Wong at that time was the HR manager of debt collection firm Double Ace Associates, where among her duties included submitting Central Provident Fund (CPF) contributions as well as payouts for the firm's employees.
According to the TODAY Online's report, the HR manager first tried to deceive Iras into granting them JSS payouts between February and April 2020 by making CPF contributions to two employees who were in prison, and seven other non-existent workers.
This was an attempt to make the Iras believe that they were working for the organisation. The authority, however, moved to verify the CPF contributions paid by the company in order to compute the amount for the JSS payouts.
Between July and August 2020, Wong made further false declarations to convince the Iras into giving them the payouts for the two employees in prison.
She also fabricated employment letters and payslips for the non-existent employees, which she submitted to the authority, alongside a list of local staff that included the ghost employees.
Wong was trying to dupe the Iras into disbursing a total of S$8,561, including a total of S$1,725 for both incarcerated employees and S$978 for each phantom employee, The Straits Times reported.
Iras discovered the deception and did not disburse the JSS payouts, according to the reports.
The authority, however, reported the matter to the police, who charged Wong for her alleged attempt to obtain money under the JSS through fraud.
Prosecution and sentence
The prosecution sought a four- to six-month sentence for Wong for her attempt to deceive the Iras, even if the authority did not disburse the money.
Deputy Public Prosecutor Ryan Lim told the court that her false declarations to cheat the Iras into disbursing public funds could have created potential financial harm to the organisation, TODAY Online reported.
"In recent years, there has been an increase in the abuse of these schemes, which has led to stricter enforcement and longer approval processes. These offences are serious and must be dealt with harshly because they harm the public good and undermine good governance," Lim said as quoted by The Straits Times.
Wong pleaded guilty to three counts of attempting to cheat Iras, according to the reports.
For each offence of cheating or attempted cheating, Singapore's Penal Code states imprisonment of up to 10 years, and liability to pay a fine is in store for offenders, according to the police.
Defence lawyer Cory Wong, however, requested that Wong should not get more than 11 to 12 weeks of jail time, The Straits Times reported.
The lawyer said Wong had been "cooperative with the authorities," and cited that she was not in the best of health.
District Judge Wong Su Ann said the prosecution's submission was "fair and reasonable" due to the need to safeguard national resources.
According to the district judge, while Iras did not suffer financial harm, Wong's actions still involved significant premeditation and planning.
The Straits Times reported that Wong's bail was set at S$15,000. She is also expected to surrender herself at the State Courts on November 24 to begin her sentence.
