74-year-old Lee Yuet Heng sentenced for graft involving a $27,000 loan.
SINGAPORE – Former Hydrochem deputy project director Lee Yuet Heng, 74, was fined $56,000 on 18 November 2024 for accepting bribes, including a $27,000 loan, from Li Hongda, the then-managing director of Zhengda Corp. Lee will face 112 days in jail if he fails to pay the fine.
The offences, committed in 2014, aimed to further Zhengda’s business interests with Hydrochem, a subsidiary of the water treatment firm Hyflux. Lee pleaded guilty to two corruption charges in August 2024. Li, 59 at the time, had earlier been fined $38,000 for his involvement.
Details of the Graft
In 2012, Hydrochem signed contracts with Zhengda for construction projects. By 2014, while overseeing a power plant project in Tuas, Lee formed a relationship with Li, who offered him a future role as general manager at Zhengda after his Hydrochem contract ended.
The court heard that Lee suggested Zhengda inflate prices for additional work related to the contracts. Although inflated orders were submitted, Hydrochem’s management later discovered pricing discrepancies during an internal investigation.
In addition to the loan, Li paid for Lee’s travel expenses, including an air ticket to Hong Kong and accommodation costs.
Legal Outcomes
Despite the bribery, no financial loss was reported by Hydrochem. Lee’s employment was terminated in April 2015 following the investigation, and he subsequently joined Zhengda in May 2015.
The prosecutor emphasized the seriousness of the offences, noting the potential harm such actions could have on business ethics and transparency.
