SINGAPORE: Billionaire businessman Ong Beng Seng will continue as managing director of Hotel Properties Limited (HPL) despite being charged with abetting a public servant to obtain gifts and obstructing justice.

The charges against Ong on Friday (4 Oct) include one count under Section 165 of the Penal Code and another under Section 204A.

Following a court appearance, Ong was not remanded and was released on bail of S$800,000. In a statement filed with the Singapore Exchange, HPL confirmed that Ong would remain in his executive role.

The company noted that Ong “continues to be suitable to carry out his duties and responsibilities as Managing Director” despite the legal proceedings.

The Board of Directors and the Nominating Committee at HPL emphasized that they are closely monitoring the situation and will “continue to reassess the suitability of Mr Ong’s continued appointment” as the case progresses.

The company added that Ong is currently seeking legal counsel regarding the charges filed against him.

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Hotel Properties has not commented further on how the legal case may impact the company’s operations or Ong’s long-term future with the group, but it has reassured stakeholders that the Board and Nominating Committee will provide updates as needed.

The charges come more than a year after Ong was arrested on 11 July 2023 in connection to the political gift scandal involving former Transport Minister S Iswaran.

Iswaran was sentenced to a year’s jail after he pleaded guilty to charges that were amended from corruption to receiving gifts while in office. He began his term in prison on Monday (7 Oct).

The legal developments surrounding Ong are being closely watched, given his prominent status in Singapore’s business community and his long-standing association with HPL.

As the case unfolds, the impact it may have on the company’s governance and Ong’s position at the helm remains to be seen.