Singapore reviewing terms of F1 deal again amid Iswaran charges
The government has also asked the Singapore Tourism Board to audit the 2022 Singapore Grand Prix.
McLaren's Oscar Piastri in action during a Formula 1 Singapore Grand Prix practice session at the Marina Bay Street Circuit on Sep 15, 2023. (File photo: Reuters/Caroline Chia)
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SINGAPORE: The government is reviewing again the terms of Singapore's Formula 1 race deal, and has asked the Singapore Tourism Board (STB) to conduct an audit of the 2022 Singapore Grand Prix, said Minister-in-charge of Trade Relations Grace Fu in parliament on Monday (Feb 5).
Ms Fu said this in response to questions from several Members of Parliament, but did not give more details, saying: "Members will understand that I cannot say more on this at this point."
MPs had filed several parliamentary questions on the F1 race after former Transport Minister S Iswaran was arrested on corruption charges. The case against the former minister, who was also the Minister-in-charge of Trade Relations, is ongoing.
He faces 27 charges: Two of corruption, one of obstructing justice and 24 of obtaining valuables as a public servant.
In 2007, the Singapore Tourism Board (STB) entered into a contract with Singapore GP Pte Ltd to organise the F1 night race in Singapore. STB renewed this contract three times - in 2012, 2017 and 2022. It is in the fourth term of its contract, which will end in 2028. Given the allegations against former Minister-in-charge of Trade Relations S Iswaran, the Ministry of Trade and Industry (MTI) is reviewing the terms of the deal again. It has asked STB to conduct an audit of the most recent race, held in 2022. Replying to MPs' questions in Parliament on Monday (Feb 5), Minister-in-charge of Trade Relations Grace Fu stressed that there is nothing to suggest, as of now, that either the F1 contracts or other contracts, were structured to the disadvantage of the Government. She said Singapore remains committed to the F1 Singapore Grand Prix and is preparing for the 2024 race. Like other Government agencies, Singapore’s economic agencies abide by the Public Service Code of Conduct, which sets out the principles and rules of engagement, she said. These include interactions with private entities, such as rules on accepting gifts and hospitality.
Ms Fu also caveated her reply by saying that she cannot deal with questions that relate to matters which may have to be dealt with during Iswaran's trial.
"It is not appropriate for us to speculate or prejudge the outcome of the proceedings. I will answer in so far as it is possible to do so," said Ms Fu.
For Monday's parliament sitting, Mr Gan Thiam Poh (PAP - Ang Mo Kio) had asked how the Ministry of Trade and Industry (MTI) assessed the benefits of the F1 contracts.
Mr Edward Chia (PAP - Holland-Bukit Timah), meanwhile, had asked if STB had conducted an assessment of the relationship between Iswaran and Mr Ong Beng Seng with regard to the F1 race.
Associate Professor Jamus Lim (WP - Sengkang) also asked about the government's contracts with Mr Ong's companies, while some MPs asked if there had been any non-compliance with processes.
Ms Fu said that STB had in 2007 signed a contract with Singapore GP to organise the F1 night race in Singapore. The tourism board renewed this contract three times, in 2012, 2017 and 2022. The contract is currently in its fourth term, which will end in 2028.
MTI said on Jan 18 that the terms of all the agreements were considered carefully by the government and there was "nothing to suggest as of now that either the F1 contracts or other contracts were structured to the disadvantage of the government".
Ms Fu added: "Whilst we will review any government contracts to safeguard Singapore's interest, we remain committed to the F1 Singapore Grand Prix. Preparations for the 2024 race have started."
Replying to Leader of the Opposition and Workers' Party chief Pritam Singh's supplementary question on which agency is reviewing the F1 deal, Ms Fu said that MTI is leading the review and may involve other agencies.
In response to CNA's queries about the scope of the review, a MTI spokesperson said on Monday night that the details of the review are being worked out and that it would work with the board of STB to review the F1 agreements.Â
"We remain committed to the F1 Singapore Grand Prix and all preparations for the 2024 race are on track," the spokesperson added.Â
