share on
Two construction company directors and two staff members are under investigation for suspected false declarations and employment-related kickbacks, while 21 others are assisting with investigations.
The Ministry of Manpower (MOM) arrested four people on 2 September 2026 for suspected employment-related offences during an enforcement operation.
The four comprise two company directors and two staff members from the construction sector. They are being investigated for suspected offences under the Employment of Foreign Manpower Act (EFMA), including false declarations and the collection of employment-related kickbacks.
The two directors are suspected of making fraudulent Central Provident Fund (CPF) contributions to locals who were not employed by their companies. These “phantom workers” were allegedly used to inflate the companies’ foreign worker quotas, after which migrant workers were brought in through the increased quotas.
Another 21 people are assisting in MOM’s investigations over their suspected involvement in such illegal “phantom worker” arrangements.
MOM said it will continue to take action against companies suspected of inflating their foreign worker quotas through such practices.
Penalties for employment offences
Under the EFMA, making false declarations in work pass applications carries a fine of up to S$20,000, imprisonment of up to two years, or both.
Entities or individuals convicted of such offences may also be barred from employing foreign workers.
Those who collude with companies by providing their particulars for fraudulent CPF contributions to inflate foreign worker quotas may be prosecuted for abetment of false declaration. This carries a fine of up to S$20,000, imprisonment of up to two years, or both.
The collection of employment-related kickbacks is an offence punishable by a fine of up to S$30,000, imprisonment of up to two years, or both.
MOM also reminded members of the public not to accept CPF contributions from businesses they do not work for. Those who do so may be guilty of aiding in false declaration offences by errant employers.
share on
