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20 Jul 2005
Question No: 148
Question
Name of the Person: Dr Tan Sze Wee, Nominated MP
To ask the Minister for Health, in view of the Auditor-General's report for FY2004/2005, (a) if he will provide a breakdown of the type of scholars who absconded and did not pay their scholarship bonds totalling $1.5 million; and (b) what guidelines will his Ministry develop to handle the default of scholarship bonds and liquidated damages payable, including the write-off of non-recoverable debts.
Reply
Reply From MOH
The scholars who absconded were essentially nurses recruited from China under the Ministry's Scholarship Programme. We started this programme in 1994, to bring in selected Chinese students to be trained in Nanyang Polytechnic, mostly as nurses. Upon graduation, they are bonded to work here, failing which they would have to pay liquidated damages.
This has been a successful programme, benefiting both countries and the trainees. The vast majority of the scholars discharge their obligations and contribute to our healthcare services. Since 1994, we have recruited a total of 1,592 scholars. More than half have already completed their training, with the rest still in training. Currently, more than 700 scholars are serving their bonds in our hospitals.
Unfortunately, a small minority, 25 nurses and 1 radiographer chose to abscond without paying liquidated damages.
4. My Ministry has a set of guidelines to help our hospitals deal with such default cases. This includes coordination with the relevant authorities to cancel their work permits and student passes, while taking steps to contact them and their guarantors. At the same time, all practical efforts to recover the liquidated damages will be taken, failing which, legal assistance may also be pursued.