Employment agency owner fined $17,300 for overcharging foreign workers: MOM

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SINGAPORE — An employment agency owner was fined $17,300 and ordered by the court to pay compensation to affected foreign workers on Thursday (July 25) for overcharging them and taking bribes.

Gulab Singh, a licensee of IBS Consulting Services, was found guilty of overcharging placement agency fees, failing to issue detailed written receipts and receiving money from a worker as financial security for the worker’s employment.

The 51-year-old Singaporean was found guilty of two counts of overcharging a total of $1,664 to two foreign workers between September 2017 and June 2018, the Ministry of Manpower (MOM) said on Friday. ) in a press release.

Singh pleaded guilty to failing to issue an itemized written receipt to a foreign worker after receiving his fees.

He also admitted to receiving $5,284 as financial security from another foreign worker.

MOM said that in addition to his conviction, he would also revoke his employment agency license.

Employment Agencies Commissioner Kevin Teoh said overcharging agency fees and collecting bribes from foreign workers were “flagrant offences”.

“A fee cap is in place to prevent excessive agency fees. We will not hesitate to pursue placement agencies, including permanently excluding them from the industry.”

Foreign workers who encounter problems with their placement agencies or who are pressured to give bribes are encouraged to seek assistance and call MOM at 6438-5122 or the Migrant Worker Center at 6536- 2692.

MOM has also advised the public who know of employers or persons who violate the Employment of Foreign Workers Act or the Employment Agencies Act to report the matter through its website at the address www.mom.gov.sg

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