Singapore Indian Origin Minister's Pay Slashed Amid Corruption Probe

Singapore Prime Minister Lee Hsien Loong slashed the salary of Transport Minister S. Iswaran after the cabinet official was arrested last month in relation to a graft probe. Iswaran's pay was cut to S$8,500 ($6,300) per month until further notice, the premier said. That's an 82% cut from the lower-end of the base ministerial salary of S$46,750 in Singapore, where political leaders are among the best paid in the world.

Addressing parliament on Wednesday, the prime minister said the graft investigations are still ongoing and he was unable to provide more details on the case.

"Such incidents involving ministers are rare, and there is no rule or precedent on how to effect an interdiction on a political office holder," Lee said during a parliament session that's convened for the first time since recent events put Singapore's image for clean governance to the test.

Earlier on, the city-state's new parliament speaker reminded the city-state's lawmakers to uphold high standards, with his comments flicking at a series of controversies that have gripped the nation.

Seah Kian Peng fills a role vacated by previous speaker Tan Chuan-Jin, who unexpectedly resigned last month with another ruling party lawmaker over an affair. The incident came to light shortly after he apologized for using inappropriate language in parliament.

"When the Speaker of Parliament and a government MP fell short of the standards of propriety and personal conduct expected of them, they were asked to resign," Lee said. "We took some time to sort it out, probably longer than we should have, but we did what we needed to do, and put the situation right."

Days after the shock development, another parliamentarian from the country's main opposition party announced his departure following a similar inappropriate relationship.

Officials have yet to spell out the scope of the corruption investigation, but the parliament queries for Wednesday have asked about the timeline for the probe's disclosure. Opposition lawmakers are also asking if the government received any requests from the UK related to Formula One mogul Bernie Ecclestone's alleged undisclosed assets of $650 million in a Singapore bank.

The events have sent shockwaves through the People's Action Party at a time when Lee is seeking to step aside after almost two decades leading the country. Deputy Prime Minister Lawrence Wong, who is in line to take over from Lee, said in an interview with BBC Newsday the scandals are a "setback for the ruling party and the government."

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