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Another director arrested amid Cordlife investigations, total arrests reach nine

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Another director at Cordlife has been arrested amid ongoing investigations into the company’s mishandling of cord blood units, bringing the total number of arrests in connection with the case to nine.

In a filing to the Singapore Stock Exchange on Monday (29 July), the company announced that Mr Zhai Lingyun, a non-independent non-executive director, was arrested on 25 July and released on bail after attending an interview with the police’s Commercial Affairs Department (CAD).

Cordlife had previously announced that Mr Zhai was required to attend an interview with the CAD, but it had been postponed.

The investigation revealed that seven of Cordlife’s storage tanks were exposed to temperatures above acceptable limits, damaging cord blood units belonging to at least 2,150 clients, with another 17,000 possibly affected.

“The company understands that the offence for which he was arrested and released on bail is in connection with potential breaches of the disclosure obligations of the company regarding the irregular temperatures of a certain cryogenic storage tank, first disclosed by the company on 30 November 2023,” Cordlife stated.

The arrest follows those of other non-independent non-executive directors, including Ms Chen Xiaoling, Mr Yiu Ming Yiu, Mr Chow Wai Leong, Chief Financial Officer Ms Thet Hnin Yi, former Group CEO Tan Poh Lan, acting chairman Ho Choon Hou, and independent directors Yeo Hwee Tiong and Titus Jim Cheong Tuck Yan.

Former chairman Joseph Wong Wai Leung was also required to attend a police interview in April but was unable to do so due to health reasons.

According to Cordlife’s website and a separate bourse filing, Mr Zhai was first appointed a non-independent non-executive director in December 2019 and was last re-elected in April 2023. He is also the chairman of Dendreon Pharmaceuticals, an immunotherapy company based in California, and Shandong Cord Blood Bank, a cord blood stem cell preservation company based in China.

In its filing, Cordlife stated that Mr Zhai would retain his board position as he has been “overseeing and providing guidance” on the ongoing investigations and work undertaken by the company to address the lapses identified by the Ministry of Health (MOH) concerning the company’s Singapore operations.

“The board will continue to consider and assess the suitability of Mr Zhai to continue serving on the board, pending the development of the investigations,” the company added.

Cordlife also announced its efforts to identify additional independent directors to strengthen its board and guide management in rectifying the company’s lapses and addressing corporate governance issues.

The private cord blood bank assured that its operations would “continue as usual” while cooperating fully with regulatory authorities.

Mishandling of Cord Blood Units

The mishandling of cord blood units was made public on 30 November 2023, when MOH announced that investigations against the private cord blood bank were ongoing.

The ministry had received a complaint on 24 July 2023 about alleged issues with a storage tank, which later revealed that Cordlife’s board had known about the issue since February 2023.

About 5,300 cord blood units stored in a second Cordlife tank and a dry shipper were deemed “non-viable,” according to MOH in April. This was in addition to the roughly 2,200 cord blood units damaged in the first tank, affecting at least 2,150 clients.

While MOH assessed the remaining five tanks to be at low risk, experts recommended that Cordlife test a large number of cord blood units in these tanks to achieve statistically significant results, with 99 percent of samples needing to pass potency and viability tests.

Cordlife agreed to test more than 200 samples across the five tanks, with the process expected to take about a year. Clients will be informed of the outcomes in batches.

In December of the previous year, Cordlife accepted a six-month suspension from MOH for the collection, testing, processing, and storage of new cord blood and human tissues.

The suspension, initially set to end on 15 June, was extended by up to three months in late May. Additionally, the company’s cellular therapy accreditation has been indefinitely suspended by the Foundation for the Accreditation of Cellular Therapy, a global non-profit corporation conducting inspections and accreditation in cellular therapy.

Senior Minister of State for Health Janil Puthucheary said in Parliament in May this year, “The ministry will be supervising the proper completion of further tests in the affected tanks to achieve a high level of confidence in the findings.”

He added that the testing would take another year to complete due to sample sizes and testing capacity.

The post Another director arrested amid Cordlife investigations, total arrests reach nine appeared first on Gutzy Asia.

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Redditors question support for PAP over perceived arrogance and authoritarian attitude

Despite Senior Minister Lee Hsien Loong’s warning that slimmer electoral margins would limit the government’s political space “to do the right things”, many Redditors questioned their support for the ruling PAP, criticising its perceived arrogance. They argued that SM Lee’s remarks show the party has ‘lost its ways’ and acts as if it alone can determine what is right. Others noted that the PAP’s supermajority allows for the passage of unfavourable policies without adequate scrutiny.

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In a recent speech, Senior Minister Lee Hsien Loong warned that “if electoral margins get slimmer, the government will have less political space to do the right things.”

Mr Lee, who served as Prime Minister for 20 years, highlighted the risks associated with increasingly competitive politics.

“It will become harder to disregard short-term considerations in decision-making. The political dynamics will become very different,” he stated during his speech at the Annual Public Service Leadership Ceremony 2024 on 17 September.

“Singaporeans must understand the dangers this creates, and so must the public service,” SM Lee stressed.

SM Lee pointed out that Singapore faces formidable internal and external challenges in the years ahead, with rising expectations and demands from citizens.

As growth becomes harder to achieve and politics becomes more fiercely contested, he warned, “Things can go wrong for Singapore too.”

He urged vigilance in preparing for an uncertain future, noting, “As the world changes, and as the generations change, we must do our best to renew our system – to ensure that it continues to work well for us, even as things change.”

Critique of PAP’s Arrogance and Disconnect from Singaporeans

The People’s Action Party (PAP) experienced a notable decline in its vote share during the 2020 General Election, securing 61.24% of the votes and winning 83 out of 93 seats, a drop from 69.9% in 2015.

A significant loss was in Sengkang GRC, where the PAP team, led by former Minister Ng Chee Meng, was defeated by the Workers’ Party (WP).

In discussions on Reddit, some users questioned why they should support the ruling PAP, criticising the party’s perceived arrogance.

They pointed out that SM Lee’s recent remarks illustrate that the party has strayed from effectively serving Singaporeans and seems to believe it has the sole authority to decide what is right.

Others highlighted that the PAP’s super-majority in Parliament enables the passage of unfavourable policies without sufficient scrutiny.

One comment acknowledged that while many older Singaporeans remain loyal to the PAP due to its past achievements, younger generations feel the party has failed to deliver similar results.

There is significant frustration that essentials like housing and the cost of living have become less affordable compared to previous generations.

The comment emphasised the importance of the 2011 election results, which they believe compelled the PAP to reassess its policies, especially concerning foreign labor and job security.

He suggested that to retain voter support, the PAP must continue to ensure a good material standard of living.

“Then, I ask you, vote PAP for what? They deserve to lose a supermajority. Or else why would they continue to deliver the same promises they delivered to our parents? What else would get a bunch of clueless bureaucrats to recognise their problems?”

Emphasising Government Accountability to the Public

Another Redditor argued that it is the government’s responsibility to be accountable to the people.

He further challenged SM Lee’s assertion about having less political space to do the right things, questioning his authority to define what is “right” for Singapore.

The comment criticised initiatives like the Founder’s Memorial and the NS Square, suggesting they may serve to boost the egos of a few rather than benefit the broader population. The Redditor also questioned the justification for GST hikes amid rising living costs.

“Policies should always be enacted to the benefit of the people, and it should always be the people who decide what is the best course of action for our country. No one should decide that other than us.”

The comment called for an end to narratives that present the PAP as the only party capable of rescuing Singapore from crises, stating that the country has moved past the existential challenges of its founding era and that innovative ideas can come from beyond a single political party.

Another comment echoed this sentiment, noting that by stating this, SM Lee seemingly expects Singaporeans to accept the PAP’s assumption that they—and by extension, the government and public service—will generally do the “right things.”

“What is conveniently overlooked is that the point of having elections is to have us examine for ourselves if we accept that very premise, and vote accordingly.”

A comment further argued that simply losing a supermajority does not equate to a lack of political space for the government to make the right decisions.

The Redditor express frustration with SM Lee’s rhetoric, suggesting that he is manipulating public perception to justify arbitrary changes to the constitution.

Concerns Over PAP’s Supermajority in Parliament

Another comment pointed out that the PAP’s supermajority in Parliament enables the passage of questionable and controversial policies, bypassing robust debate and discussion.

The comment highlighted the contentious constitutional amendments made in late 2016, which reserved the elected presidency for candidates from a specific racial group if no president from that group had served in the previous five terms.

A comment highlighted the contrast: in the past, the PAP enjoyed a wide electoral margin because citizens believed they governed effectively. Now, the PAP claims that without a substantial electoral margin, they cannot govern well.

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Reforming Singapore’s defamation laws: Preventing legal weapons against free speech

Opinion: The tragic suicide of Geno Ong, linked to the financial stress from a defamation lawsuit, raises a critical issue: Singapore’s defamation laws need reform. These laws must not be weaponized to silence individuals.

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by Alexandar Chia

This week, we hear the tragic story of the suicide of Geno Ong, with Ong citing the financial stress from the defamation lawsuit against her by Raymond Ng and Iris Koh.

Regardless of who’s right and who’s wrong, this Koh/Ng vs Ong affair raises a wider question at play – the issue of Singapore’s defamation laws and how it needs to be tightened.

Why is this needed? This is because defamation suits cannot be weaponised the way they have been in Singapore law. It cannot be used to threaten people into “shutting up”.

Article 14(2)(a) of the Constitution may permit laws to be passed to restrict free speech in the area of defamation, but it does not remove the fact that Article 14(1)(a) is still law, and it permits freedom of speech.

As such, although Article 14(2)(a) allows restrictions to be placed on freedom of speech with regard to the issue of defamation, it must not be to the extent where Article 14(1)(a)’s rights and liberties are not curtailed completely or heavily infringed on.

Sadly, that is the case with regard to precedence in defamation suits.

Let’s have a look at the defamation suit then-PM Goh Chok Tong filed against Dr Chee Soon Juan after GE 2001 for questions Dr Chee asked publicly about a $17 billion loan made to Suharto.

If we look at point 12 of the above link, in the “lawyer’s letter” sent to Dr Chee, Goh’s case of himself being defamed centred on lines Dr Chee used in his question, such as “you can run but you can’t hide”, and “did he not tell you about the $17 billion loan”?

In the West, such lines of questioning are easily understood at worse as hyperbolically figurative expressions with the gist of the meaning behind such questioning on why the loan to Suharto was made.

Unfortunately, Singapore’s defamation laws saw Dr Chee’s actions of imputing ill motives on Goh, when in the West, it is expected of incumbents to take the kind of questions Dr Chee asked, and such questions asked of incumbent office holders are not uncommon.

And the law permits pretty flimsy reasons such as “withdrawal of allegations” to be used as a deciding factor if a statement is defamatory or not – this is as per points 66-69 of the judgement.

This is not to imply or impute ill intent on Singapore courts. Rather, it shows how defamation laws in Singapore needs to be tightened, to ensure that a possible future scenario where it is weaponised as a “shut-up tool”, occurs.

These are how I suggest it is to be done –

  1. The law has to make mandatory, that for a case to go into a full lawsuit, there has to be a 3-round exchange of talking points and two attempts at legal mediation.
  2. Summary judgment should be banned from defamation suits, unless if one party fails to adduce evidence or a defence.
  3. A statement is to be proven false, hence, defamatory, if there is strictly material along with circumstantial evidence showing that the statement is false. Apologies and related should not be used as main determinants, given how many of these statements are made in the heat of the moment, from the natural feelings of threat and intimidation from a defamation suit.
  4. A question should only be considered defamatory if it has been repeated, after material facts of evidence are produced showing, beyond reasonable doubt, that the message behind the question, is “not so”, and if there is a directly mentioned subject in the question. For example, if an Opposition MP, Mr A, was found to be poisoned with a banned substance, and I ask openly on how Mr A got access to that substance, given that its banned, I can’t be found to have “defamed the government” with the question as 1) the government was not mentioned directly and 2) if the government has not produced material evidence that they indeed had no role in the poisoning affair, if they were directly mentioned.
  5. Damages should be tiered, with these tiers coded into the Defamation Act – the highest quantum of damages (i.e. those of a six-figured nature) is only to be reserved if the subject of defamation lost any form of office, revenue or position, or directly quantifiable public standing, or was subjected to criminal action, because of the act of defamation. If none of such occur, the maximum amount of damages a plaintiff in a defamation can claim is a 4-figure amount capped at $2000. This will prevent rich and powerful figures from using defamation suits and 6-figure damages to intimidate their questioners and detractors.
  6. All defendants of defamation suit should be allowed full access to legal aid schemes.

Again, this piece does not suggest bad-faith malpractice by the courts in Singapore. Rather, it is to suggest how to tighten up defamation laws to avoid it being used as the silencing hatchet.

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