29 Jun '11, 4am

'In 2004, Mr Lee Hsien Loong, then deputy prime minister, introduced a constitutional amendment to allow the...

In 2004 a little known but highly significant change in the law governing our reserves took place. Mr Lee Hsien Loong, then deputy prime minister, introduced a constitutional amendment to allow the Government to transfer funds from our reserves to Government-linked companies (GLCs) and statutory boards. With one important addition: That such a transfer would not be deemed a draw on the reserves. Apparently the Constitution had not allowed such transfers of our reserves to be made without the transaction being considered a draw on the reserves and, hence, requiring the approval of the elected president. With the amendment is it the case that the Government can now make such transfers without the knowledge of the president and, more important, the public? Then (as now) the SDP was the only opposition party to raise questions about the move. We released two statements on the ...

Full article: http://www.temasekreview.com/2011/06/29/what-exactly-is-t...

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