Tuesday, August 22, 2006

Former NKF manager first to be convicted

Tuesday, August 22, 2006
Ansley Ng ansley@newstoday.com.sg

A FORMER manager at the National Kidney Foundation (NKF) is the first person to be convicted for her role in the charity's high-profile saga.

Ragini Vijayalingam, an ex-assistant manager in the foundation's purchasing department, was fined $24,000 yesterday for receiving bribes to help a medical supplies firm win deals with the NKF. She was also ordered to pay a penalty of $10,174 - the amount she received in cash, seafood meals, perfume and massage sessions.

The 43-year-old pleaded guilty to three counts of accepting bribes from Peng Che Chun, a general manager and director of Hygeian Medical Supplies, which equips the NKF with medical items. The court took eight other charges into consideration in passing sentence.

For over two years - in exchange for nearly $10,000 in cash - Ragini, 43, would help Peng win contracts through her husband, Vasu Velautham, a Hygeian storeman who acted as the middleman.

According to the court papers, Peng enlisted Vasu's help in late 2002 to secure future deals with NKF in return for commission.

In one of the deals, Ragini invited tenders to supply the NKF with 900,000 packets of sterile gauze swabs in January 2003. Peng submitted a quote of $80,100 and asked Vasu to check with his wife if the price was good enough.

When Ragini told him to lower the price further, Peng later reduced his quote to $76,000 and won the bid.

The couple received $1,200 for their help in securing this deal.

Asking the court not to jail his client, Ragini's lawyer Surian Sidambaram said Vasu was saddled with gambling debts and borrowed money from Peng, who had "ulterior motives" for lending him money. Also, Hygeian's low quotes actually helped "reduce overheads" for the NKF, he said.

Subversion of tenders is a serious offence, said District Judge Toh Yung Cheong, and an appropriate sentence was needed to "reflect the openness and transparency" of the tender system of any modern society.

Former chief executive officer T T Durai, along with former board members Matilda Chua, Richard Yong and Loo Say San, were also charged for their roles in the NKF scandal. Chua, Yong and Loo will return to court next Tuesday for their criminal pre-trial hearing.

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