UglySingaporean

SINGAPORE : Mrs Goh Chok Tong has relinquished her position as Patron of the National Kidney Foundation.

This is to give the NKF a fresh start and enable a new Board to be appointed to recover public confidence in the organisation.

She said this had been a sad and unfortunate episode.

But she hopes that Singaporeans will continue to support the NKF's efforts to help kidney failure patients and their families.

Mrs Goh said the NKF had a noble mission. For more than 30 years, it has helped many kidney failure patients.

She said she was deeply grateful to Singaporeans for supporting NKF through the years. - CNA/de

http://www.todayonline.com/articles/61587.asp
Statement from Mrs Goh Chok Tong, Patron of the NKF

The NKF has a noble mission. For more than 30 years, it has helped many kidney failure patients. As Patron, my concern has been to help the patients and their families. I am deeply grateful to Singaporeans for supporting the NKF through the years.

I have just received news that the NKF Board has decided to resign to enable a new Board to be appointed to recover public confidence in the NKF. To give the NKF a fresh start, I have also decided to relinquish my position as Patron.

This has been a sad and unfortunate episode. But I hope that Singaporeans will continue to support the NKF's efforts to help kidney failure patients and their families.

The NKF has a noble mission. For more than 30 years, it has helped many kidney failure patients. As Patron, my concern has been to help the patients and their families. I am deeply grateful to Singaporeans for supporting the NKF through the years.

I have just received news that the NKF Board has decided to resign to enable a new Board to be appointed to recover public confidence in the NKF. To give the NKF a fresh start, I have also decided to relinquish my position as Patron.

This has been a sad and unfortunate episode. But I hope that Singaporeans will continue to support the NKF's efforts to help kidney failure patients and their families.

By S. Ramesh, Channel NewsAsia

SINGAPORE : The National Kidney Foundation Board and its CEO, Mr TT Durai, have resigned.

Over the next few days, the Government will appoint an interim Board to ensure continuous operation of NKF's various dialysis centres.

It will also work on medium term tasks, including forming a new Board, appointing a new CEO, reviewing accounting practices, funding needs, and pricing and subsidy policies.

Pending completion of these reviews, the NKF will suspend all active fund-raising activities.

This follows the request of the NKF Board for the Health Minister Khaw Boon Wan's assistance to help restore public confidence.

And they offered to resign in order to give Mr Khaw a free hand on this.

They also asked that he help reconstitute a new Board and appoint a new CEO.

A Health Ministry statement said, in the interest of the dialysis patients and the NKF, Mr Khaw had agreed to help in this effort.

He stressed two immediate priorities: care for NKF dialysis patients should not be disrupted in any way and shattered public confidence must be restored.

At a news conference later, Mr Khaw stressed that he was not in favour of destroying an organisation in order to rebuild it unless it was a rotten one.

He said the NKF was not rotten to the core and a lot of good work had been done.

As such, his immediate priority is to build on the organisation's strong points.

And he will be working hard to find a new Chairman, hopefully, even by Friday.

Following the announcement, Mrs Goh Chok Tong also decided to relinquish her position as Patron.

This is to give the NKF a fresh start and enable a new Board to be appointed.

In a statement, Mrs Goh said this had been a sad and unfortunate episode.

But she hopes that Singaporeans will continue to support the NKF's efforts to help kidney failure patients and their families. - CNA/de

Val Chua and Lee U-Wen
val@newstoday.com.sg

IN A dramatic end to his 37-year career, a defeated T T Durai finally succumbed to public pressure yesterday, quitting the chief executive officer hotseat at the National Kidney Foundation (NKF), along with its entire board of directors.

The resignations — which came in the afternoon — were accepted by Health Minister Khaw Boon Wan, who admitted that the Government had "no legal rights" to intervene in a private charity.

The fact that it still did so spoke volumes of the impact of the public outcry Singaporeans have raised over transparency issues at the country's best-known charity.

At a hastily-arranged press briefing yesterday, Mr Khaw said the NKF had approached him for "advice" on how to respond to the public anger that has seen thousands calling for Mr Durai's head.

Two priorities emerged — not disrupting dialysis services for NKF's patients, and restoring public confidence in the charity, which has been shattered.

Said Mr Khaw: "On public confidence, my advice was that the status quo will not do. They asked if they should step down so that a new board and CEO could be appointed. I told them this would certainly be very helpful."

Meanwhile, active fundraising in NKF will be suspended while the Government scouts for replacements and reviews NKF's accounting practices, funding needs, pricing and subsidy policies, said Mr Khaw.

The review — as well as the resignations — have ironically come in the wake of a defamation suit that Mr Durai and NKF had filed over a newspaper report that mentioned the air of luxury at the foundation.

The case ended, instead, with revelations about Mr Durai's annual earnings of $600,000, the cars at his disposal and suggestions of half-truths in NKF's public pronouncements.

The Government now needs to look at some of these issues of extravagance and transparency — including the unresolved question of just how long NKF's reserves can last.

"Is it as rosy as what has been painted in the media — that (the reserves) can last 40-odd years — or is it as tragic as the three years that has been presented (by the NKF)? The truth is that it could be somewhere in the middle," said Mr Khaw.

He also said that if investigations reveal criminal activities, the law will take over.

"If funds collected suddenly disappear into Swiss funds, then of course that's criminal. If that is so, we have to find out who is responsible," he said.

However, reviews may show there's nothing wrong with NKF, he said.

"I hope Singaporeans will also acknowledge that if these accusations were exaggerated and unfair to individuals, they should also come upfront and say so. I'm sure the individuals want to have a proper scrutiny and endorsement. Am I a crook, criminal or what?" he said.

Yesterday, the NKF representatives - consisting of Mr Durai, chairman Richard Yong, and vice-chairman Alwyn Lim - were mostly silent during the press conference.

Gone were their repeated insistence that "they have done no wrong" in creating a public relations nightmare.

Although Mr Durai abruptly withdrew his suit on Tuesday, the damage had already been done.

By Wednesday, red graffiti defaced NKF's headquarters as 6,800 donors pulled out and thousands more petitioned for Mr Durai to quit. As the chorus of voices grew louder, government leaders also gave their take on the fiasco.

Yesterday morning, Dr Vivian Balakrishnan said at an industry event that while the government cannot force any decisions on the NKF, it will "watch very closely" and "nudge people in the right direction".

By evening, the nudge had become and invitation to leave _ though Mr Durai would not say if the government's stand pushed his hand.

Speaking to reporters, a drained and solemn Mr Durai said: "I think it's time for a new leadership to take over. Having brought the organisation to a level like this, it's preferable for a new leadership to take it to another level. Thirty-seven years is a very long time."

But he will not leave alone.

NKF patron, Mrs Goh Chok Tong, who has thrown her support behind Mr Durai throughout the controversy, has also decided to relinquish her position.

In a statement, she said: "This has been a sad and unfortunate episode. But I hope that Singaporeans will continue to support the NKF's efforts to help kidney failure patients and their families."

The board that had backed Mr Durai has resigned too.

Over the next few days, Mr Khaw will be busy finding a new chairman for NKF. The new board, however, may consist of existing NKF directors, for "continuity" reasons.

Despite the public flak, the NKF's model of professional fund-raising was praised for its efficiency.

"It would be a loss for Singapore if we go back to the old days, if we collect a few dollars here, a few cents there," he said. In fact, after the review, NKF reserves may be diversified into other causes, he revealed.

But bigger implications may result from the NKF fiasco.

For instance, there may be closer scrutiny on other charities, and if need be, the government may tighten regulatory controls, said Mr Khaw.

Vowing to help NKF "get back to basics", Mr Khaw said: "I'm against destroying in order to rebuild. This is stupid, silly and a waste of time. Unless it's so rotten, then it's a different story. I don't think it's rotten. Good work has been done, and let us build on that strength."

Patron: It must
July 14, 2005

SHE'S the patron of the NKF.

So for Mrs Goh Chok Tong (right), this whole episode has been sad and disappointing.

But despite the resulting bad publicity, she will not be abandoning it.

In fact, after Mr Durai's dramatic withdrawal of his defamation lawsuit, she came out defending him and the NKF.

She asked: 'What's SPH to gain out of this?'

'NKF is doing a very good job helping the sick.

'Who benefits (from this lawsuit)? What's the purpose of it?'

Mrs Goh made these remarks yesterday afternoon, when The New Paper asked for her comments on the case.

She said that all the NKF had sought was a retraction of the alleged defamatory paragraphs, as it gave the wrong impression to the public.

But, she said: 'You have expanded the case and extended it to NKF's transparency.'

Mrs Goh, dressed in a tan-coloured suit and leopard-print shirt yesterday, had been present for most of the court proceedings over the two days it was before the High Court.

When asked if she thought Mr Durai's $600,000-a-year pay was excessive, she replied: 'For a person who runs a big million-dollar charitable organisation, with a few hundred million in reserves, $600,000 a year is peanuts.'

Asked if she would continue her patronage of the foundation, she said: 'Yes, I'll continue as a patron of the foundation. Yes, why not?

'I have complete faith in the NKF and in T T Durai. I believe he's doing a very good job.'

Disclaimer: I do not condemn or commend.

THE CAUSE: Backlash begins So disgusting
By Low Ching Ling and Celine Lim

July 14, 2005

THE vile words were splashed in bold red on the white walls of the building.

6am: Angry vandals lash out at NKF building.
Words like 'liar'.

In what was a bold public display of disgust against the National Kidney Foundation and CEO T T Durai, someone - or some people - sprayed paint on the outer walls of its Kim Keat Road headquarters early this morning.

The New Paper rushed down at about 6am after a reader noticed the vandalism and called our hotline.

A wall of red graffiti greeted us.

On one part of the outer front wall were the words 'NKF=liar' written in English, and 'big liar' in Chinese - all spray-painted in bold.

The word 'liar' was also written in bold on every alternate pillar.

8am: Wall is whitewashed, sign covered with banner. -- Pics/SIMON KER, KUA CHEE SIONG
The culprits also vandalised the side of the building with the words 'Save Singapore' and 'Liar'.

A motorcyclist who was delivering newspapers was overheard uttering: 'Now the whole world knows.'

Said police spokesman Debbie See: 'At 5.20am, the police received a call about graffiti on the walls of the (NKF) building.

'We're still investigating.'

The graffiti invited curious stares from morning joggers and passers-by.

An SBS Transit bus driver even stopped his bus for about a minute to look.

A jogger who declined to be named said: 'The people who did this are very daring. The building is along the main road and they might have been seen.'

Cabby C W Heng, 50, who lives nearby, felt it was a juvenile act.

'They destroyed the property and the NKF will have to use public funds to fix it. If they want to express their unhappiness, they can write to the newspaper forum or call the radio station. It's a barbaric act.'

NKF spokesman Michelle Ang said security guards were informed about the vandalism some time after 5am by police officers.

She had left the building some time after midnight and did not see any graffiti then.

The graffiti has since been removed, but Ms Ang was not able to say when and by whom.

She said: 'It's very unfortunate this has happened. Whatever the public read about the court proceedings is only one side of the story.

'We really hope they won't forget what the NKF has achieved in the provision of dialysis and in helping kidney patients over the years.'

Ms Ang confirmed that some donors are planning to cancel their contributions to NKF. The staff have also received abusive calls from angry donors.

Cries of anger and threats to cancel donations to NKF rang out in one Shenton Way office yesterday when the news broke of Mr Durai being paid $25,000 a month.

Mrs D Sim, 50, an administrator, said: 'Everybody in my office wanted to stop their monthly Giro payments to NKF as we were so angry.'

We spoke to nine people and the general feeling was that the public's trust in NKF has been badly shaken. At least five were upset with Mr Durai's salary and how NKF spends its money.

Property agent Ray Lee, 40, said: 'NKF is always educating the public that every single cent counts. But I didn't know how the money I donated was used. Now it has come to light.'

Despite feeling disgruntled over Mr Durai's 10-to-12-month bonus, Mr Lim M O, 50, a businessman, will continue his yearly donations of $50 as his late mother had kidney problems.

Mr Saravanan M Govindasamy, 35, a prisons officer, will wait for NKF's explanation before deciding his next move.

He said: 'We can't penalise the needy, sick people out there who need our donations.'

Those found guilty of vandalism will be fined up to $2,000 or jailed up to three years and will receive between three and eight strokes of the cane.

Disclaimer: I do not condemn or commend.

Public anger over charity chief’s salary
By John Burton in Singapore
Published: July 14 2005 01:33 | Last updated: July 14 2005 01:33

An unprecedented wave of public anger has swept Singapore after the head of its largest charity disclosed this week that he was paid up to S$600,000 ($350,000, €290,000, £200,000) annually and took first-class flights.

The headquarters of the National Kidney Foundation was covered with protest graffiti, in a rare act of vandalism for the normally placid city-state, and the topic has dominated internet chatrooms.

The issue could prove embarrassing for the government since the chief patron of the NKF is the wife of Goh Chok Tong, Singapore's senior minister and former prime minister.

The public outrage also reflects complaints that Singapore's elite appears to be enjoying a lavish lifestyle when the income gap between the rich and poor is widening.

NKF, which helps to finance dialysis treatment for kidney patients, has been one of Singapore's most popular charities.

But it also has been criticised for a lack of transparency, including refusing to reveal the salary of its chief executive, T. T. Durai.

The controversy surrounding NKF was triggered after Mr Durai filed a defamation lawsuit against the Straits Times, Singapore's leading newspaper, over an article that said he had installed gold-plated taps in his office bathroom.

Mr Durai said the article suggested he was misusing the charity's funds.

But potentially damaging information concerning NKF was revealed when the defamation trial began this week.

In addition to his high salary and first-class flights, Mr Durai and other staff had access to eight company cars and drivers.

Davinder Singh, the lawyer acting for the Straits Times, alleged that the NKF was misleading the public since it claimed it was treating more patients than it had, while its reserves of S$220m were adequate to help kidney patients for decades, instead of three years as NKF claimed.

Mr Durai was also alleged to have a “commercial relationship” with an NKF board member who had interests in a call centre that NKF was using.

After two days of tough questioning, Mr Durai decided to drop his defamation suit. Mr Durai is under public pressure to resign, with an online petition urging his dismissal having gathered 7,500 signatures in the past day.

NKF also reported that 2,700 people had cancelled donation pledges.

Public attention has also focused on Mrs Goh, the senior minister's wife, after she defended Mr Durai's salary.

“For a person who runs a million-dollar charitable organisation, S$600,000 is peanuts as [NKF] has a few hundred millions in reserves,” she said.

The controversy has led to calls that disclosure guidelines for charities should be tightened, including revealing the salaries of top executives.

Disclaimer: I do not condemn or commend.

THE MAN: Who is Mr NKF?
Confident, cocky, combative and...
By Karen Wong

July 14, 2005

MR T T Durai strode into court on Monday, the first day of the defamation court hearing, looking self-assured and confident.

One could even say, a little cocky.

In the first hour or so of being cross-examined by Senior Counsel Davinder Singh, he shot back, 'Best of luck,' when the lawyer told him that it was Singapore Press Holdings' case that the National Kidney Foundation, under his management, had been less than transparent about its financial affairs.

After two days on the witness stand, Mr Durai's tone had slowly lost its confident ring as he withdrew his libel lawsuit.

His face was now drawn, his voice shaky.

While answering reporters' questions, he could barely string his sentences together.

At certain points, he had to be prompted by one of his employees from the communications department.

As Mr Durai, 57, left court defeated, his supporters, mostly NKF employees, rallied around him.

Two were seen shedding tears outside the courtroom.

One of them, Ms Joanne Long, said she was 'upset' by the outcome.

Asked if she'd continue working in the NKF in the light of the recent revelations, she replied emphatically: 'Of course, I'll still continue with the organisation. He's doing everything possible for it.

'At the end of it, it's the patients we're talking about.'

Who is this man who gets paid $600,000 a year and sues a newspaper for reporting that gold taps had been installed in his office bathroom because it gave the impression that he spends donors' funds on personal luxuries ?

Who is this man whom Mr Singh had accused in court of having 'misled the public' and 'mismanaged' NKF funds?

Who is this man who justifies using NKF funds to fly first class, saying it is within his 'entitlement' as long as it was pegged to Singapore Airlines' business-class rates?

Who is this man who inspires deep loyalty from his staff and supporters?

Who is this man who has, through his 37 years in the NKF, has become the foundation's alter ego?

Criminal lawyer Subhas Anandan, who was two years his senior in the law faculty in university in the late 1960s, said: 'He was involved in the NKF from the time he was a student.

He was a former vice-president of the then University of Singapore Students' Union.

'He was very active in the students' union. He was always well-dressed and he had a lot of friends,' said Mr Subhas.

'I thought he was ambitious.'

Mr Durai was also a grassroots leader.

Former Cabinet minister Othman Wok, 80, said that Mr Durai had helped him in constituency work when he was MP for Pasir Panjang in the 1960s.

'At that time, he was just a young man, a nice person. I appointed him as a member of the Pasir Panjang Community Centre management committee.'

When asked if Mr Durai struck him as politically ambitious, Mr Wok said: 'I can't recall. He never expressed his views to me. But he was keen to serve in the community.'

Mr Durai graduated with a law degree and worked in the government legal service for six years until 1977.

During that time, he also studied for and obtained a master's of law in London.

In 1979, he joined law firm Rodyk and Davidson and was there for four years. He later left and was a director in several companies before taking up his CEO position in the NKF in 1992.

Mr Durai is, by his own admission, the NKF man.

He said in his own sworn statement: 'After more than 30 years with the NKF and 13 years as its CEO, my reputation is closely intertwined with that of the organisation.'

He is known to work 12 to 14-hour days, seven days a week.

He often schedules staff presentations of projects to him on a Sunday.

He is described as one former employee as being a 'hands-on' boss.

So 'hands-on' that he has weekly 'training sessions' with all staff in the Kim Keat headquarters auditorium called 'CEO speak', sometimes lasting up to two hours.

Mr Durai had separate sessions for 'management staff', said the Indian expat who left the NKF recently.

Under Mr Durai's helm, NKF's work has been ground-breaking.

About 80 per cent of his own sworn statement is about the work he has done with and for the NKF.

The self-professed 'private man', spoke of how he has helped raise funds for the NKF, of how he has opened satellite dialysis centres and the programmes he has come up with.

He said: 'I had painstakingly built the NKF on strong fundamentals and guarded its reputation.'

Ironically, though, it is Mr Durai's pursuit of redress against his and NKF's reputation that may spell the beginning of the end for the man and, by painful extension, his cause.

WHAT WAS REVEALED

The court proceedings revealed his $25,000 monthly salary (a closely-guarded secret until now), which shocked many.

Also revealed: His bonus and car perks, non-disclosure of outside business interests and paid directorships.

The NKF was also shown to have led the public to believe its reserves could last only three years when there was enough for about 30 years. It also overstated its number of patients by 1,000.

This has sparked a backlash as some donors withdrew their support. (See report on page 6).

After withdrawing his lawsuit yesterday, Mr Durai told reporters: 'The track record of the NKF will speak for itself. We are all not perfect. It's inevitable that mistakes occur...

'I have not done anything wrong or deceived the public.'
- Additional reporting by Clarence Chang

Disclaimer: I do not condemn or commend.

THE MAN: What he goes to court for
Mr NKF, the court-happy combatant
By Conrad Raj

July 14, 2005

FORMER real estate agent Archie Ong was over the moon when he heard that National Kidney Foundation chief T T Durai had withdrawn his defamation suit against Singapore Press Holdings.

'God is great,' the former NKF volunteer said when asked how he felt after Mr Durai admitted in court on Monday that he had flown first class on NKF funds.

'I feel fully vindicated now. I had more than a hundred calls today to wish me well,' he added.


A close friend had phoned him on hearing the news and, soon after, others also rang in to either congratulate or to ask him what he planned to do next.

NIGHTMARE

For Mr Ong, the nightmare of the suit against him is now almost over.

His legal problems had affected his father who was then in hospital suffering from cancer.

Mr Ong had kept the suit a secret from his father but when the news hit the papers, the shock was apparently too much for the weakened man, who later died.

Friends tried to settle the matter between the two former university mates but Mr Durai had been adamant about clearing his name and the NKF's and demanded a public apology and compensation.

Mr Ong, who is now a financial services consultant, together with aero-modelling instructor Piragasam Singaravelu, had been taken to court separately in 1998 for alleging then that Mr Durai had flown first class.

Both made public apologies and paid damages and costs to the NKF.

The NKF, including chairman Richard Yong, had maintained that senior executives fly business class for long-haul flights. Indeed, in Ms Long's article of 19 April last year, Mr Yong had categorically stated that 'there is no such thing as first class travel'.

On Monday Mr Durai, following intense questioning by SPH lawyer Mr Davinder Singh, admitted that he had flown first class on NKF business as its board had allowed this as long as he did not exceed the SIA business class rate.

Asked by Mr Singh if he would now do the right thing by returning the money and apologising to Mr Ong and Mr Singaravelu, Mr Durai replied: 'No. I want to explain because at that time I was not travelling using NKF's money to buy a first-class ticket. I paid the difference and then travelled on first class.'

Disclaimer:

Wealthy charity drops libel suit
By Fayen Wong

SINGAPORE (Reuters) - Singapore's richest charity has dropped a libel suit against a local media group after revelations about its chief's half a million dollar salary, first class travel and gold-plated office bathroom fittings.

The National Kidney Foundation (NKF) and its CEO T.T. Durai filed a suit against the city-state's main media company, Singapore Press Holdings (SPH), for an article which said a S$990 ($536) gold-plated tap had been installed and later replaced in a private bathroom his office suite.

NKF had said the article damaged the charity's reputation by implying that public donations were misused.

The 36-year-old organization, which counts on donations from the public to subsidise treatments for kidney and cancer patients, has built up reserves of S$220 million -- sufficient funds to treat its existing patients for another 30 years without additional donations.

At the start of the trial Monday, Durai was forced in court to reveal his annual salary of S$600,000 ($354,000) and his travel on first class tickets when he flew overseas.

After two days of scathing media reports, NKF abruptly dropped the suit late Tuesday after Durai conceded in court during questioning that neither himself nor the NKF was defamed in the article.

Officials from the NKF could not immediately be reached for comment.

Durai's handsome salary, along with reports of the NKF's fleet of eight cars with chauffeurs for company use has made front-page headlines and stirred an outrage in Singapore -- drawing a flurry of vitriolic protests from the public who felt the charity group had misused public donations.

CHARITY BUILDING VANDALISED

The NKF saw its S$21 million building attacked Wednesday as vandals daubed words such as "Liar" and "Cheat" on its walls.

An online petition calling for Durai to step down from the board has gathered over 11,000 signatures since it was created two days ago.

"Cut the act! That's blood and sweat dripping from your golden tap," wrote Peter See Keng Siong on the petition, found on www.petitiononline.com/nkfs/petition.html.

Another petitioner, Christopher Lim wrote: "I always thought the NKF to be a non-profit organization, and now I hear that your CEO gets paid, with funds from donors!"

Local media reported that thousands have canceled their monthly contributions to the foundation.

Established in 1969, the NKF which regularly holds television donation drives which often sees celebrities performing precarious acts, says it is the largest not-for-profit dialysis provider in the world and benefits over 260,000 Singaporeans every year.

"We made dialysis affordable," the NKF says on its Website.

"Whatever the public read about the court proceedings is only one side of the story," NKF spokeswoman Michelle Ang was quoted as saying in Singapore's New Paper.

"We really hope they won't forget what the NKF has achieved in the provision of dialysis and in helping kidney patients over the years," she said.

Disclaimer: I do not condemn nor commend.

Lawyers on NKF suit: It was a mistake
By Tan May Ping

July 14, 2005

LAWYERS The New Paper spoke to said they were surprised that the NKF went ahead with the suit in the first place.

It was a mistake from the start.

By doing so, they opened themselves to much unwanted scrutiny.

Criminal lawyer Shashi Nathan said it was difficult for the NKF to prove its case because it was clear to anyone reading the article, or in the evidence before the court, that there was no malice in it.

And that the allegations made could all be justified.

Mr Nathan, who has handled various defamation cases during his 12 years as a lawyer, added: 'I'm surprised they even decided to sue.'

Mr Anthony Soh, a civil lawyer with Colin Ng & Partners, also felt that the NKF shouldn't have gone to court.

Mr Soh, who has more than 15 years' experience, added: 'They went into it hoping to repair any bad publicity they may have got, but it looks as if some of the revelations may have backfired on them.'

Likewise, the lawyers weren't surprised when the NKF withdrew its case.

'It was a wise move,' said Mr Soh.

Said Mr Nathan, a partner at Harry Elias Partnership: 'I couldn't see this going on after Monday's hearing. Too much damage had already been done.'

SURPRISED

However, another veteran lawyer, Mr Peter Low, who defended Father Joachim Kang, said he was surprised the NKF withdrew the case after it had started. That's unusual in defamation cases, he said.

When asked what his advice would have been, Mr Nathan said he would have been reluctant to pursue the claim if he had had access to all the information.

Among the startling revelations was the disclosure of the NKF chief's salary.

Even though there isn't a legal requirement to reveal salaries, the courts may demand it where such information is relevant, Mr Nathan explained.

He added: 'In a case like this where the issue of the spending of public money is involved, the questions on his salary were very correctly put because they gave the court a better picture of the organisation of the charity and how it is run.'

But even though the road ahead for the NKF appears uncertain, Mr Nathan doubts that donors would turn their backs on the organisation.

He said: 'Its moral position has been weakened, but it won't stop people from donating money because it is for a very good cause.'

Disclaimer: I do not condemn or commend.

The aftermath – NKF, a charity under siege

Val Chua
val@newstoday.com.sg

THE National Kidney Foundation (NKF) is fast becoming a fortress under siege — with thousands of supporters deserting it, abusive red graffiti being painted on its headquarters and pressure mounting on its CEO to step down.

For now, the NKF board is standing by the man it sees as an asset. The foundation insisted that Mr T T Durai (picture) was not given the chance to tell his side of the story in court — even though it was his decision to abruptly drop the defamation case against SPH.

But, anger against the NKF is brewing.

The first sign of trouble came at 6am yesterday, when the front wall of the NKF's headquarters at Kim Keat Road was vandalised with red graffiti screaming "Liar".

While this was later covered up, more drama followed.

As its board of directors scrambled to contain the damage, about 3,800 donors want to cancel their monthly donation to the NKF.

An outraged public also voiced their displeasure online — more than 15,700 people have asked for the man at the centre of the storm — the CEO, Mr Durai — to quit over the uproar he ironically created himself.

All this, after a two-day trial had focused on his $25,000 monthly pay and 12-month bonuses, on undisclosed business dealings, expensive toilet fittings and first-class travels.

Said reader Richard Lam: "I think it is time for Mr Durai to bow out gracefully..."

Fervent supporters, however, prefer to separate the man from the organisation.

"Does the NKF not run its programmes well? Have patients not been given dialysis? Why are we attacking the organisation?" said a volunteer.

Amid rumours that Mr Durai had unsuccessfully tendered his resignation, NKF chairman Richard Yong again pledged his support for the CEO.

"He's still very much an asset to us. Mr Durai has done nothing wrong," he told Today.

The board is also understood to be discussing ways to clarify certain doubts that have arisen from the trial.

Said NKF's spokeswoman Michelle Ang: "To a lot of the questions put forth in court, Mr Durai was only able to answer yes or no. We feel that a lot of information that came out is only part of the story. It's not the whole story."

For instance, she said although the chairman of its Children's Medical Fund board, Dr Gerard Chuah, had wrongly claimed that the NKF had 3,000 patients, NKF's chairman Mr Yong had, in fact, used the correct figure of 1,800 patients in a letter that appeared on the same page.

But she admitted that NKF is "still assessing the damage".

What about public calls to revamp the board?

Said Mr Yong, who has been on the NKF board for 18 years: "All the board members are professionals, doctors and lawyers and accountants. They receive nothing in directorship fees. They are all volunteers."

Inevitably, the whole NKF episode has also cast a pall over the charity movement in Singapore.

The National Council of Social Service said it has received several calls from donors who have concerns about how charities manage donations.

Meanwhile, some NKF donors have called to switch their allegiance to the Kidney Dialysis Foundation (KDF), instead.

Said its CEO Dr Gordon Ku: "It is sad for the NKF episode to have taken place. For the charity scene, there is now a dent in public confidence. But it's positive in that people have suddenly woken up and want to know where their donations are going."

Meanwhile, the show will go on in NKF, which is holding its final fund-raising event tonight (Thursday) to raise money for its cancer patients.

For the first two shows over the past two weekends, it raised a total of $10.43 million.

But Mr Yong said he hopes the public won't take it out on the patients.

Asked if this was the worst crisis NKF has faced, he said: "I would say so. In 1986 and 87, when we had no money, that was also a crisis, but we built it up. This is one crisis which we have to ride through. Patients have to continue their treatment. Everything must go on."

Source: http://www.channelnewsasia.com/stories/singaporelocalnews/view/157746/1/.html
Disclaimer: I do not condemn or commend.

NKF gets public backlash after court revelations

SINGAPORE : The National Kidney Foundation (NKF) and its CEO TT Durai are the talk of the town on Wednesday.

After a two-day hearing in court, NKF and Mr Durai withdrew their defamation suits against Singapore Press Holdings.

Revelations were made in open court about Mr Durai's pay and job perks.

The streets and the internet are abuzz with people taking sides on the issue.

The NKF said since its court case started on Monday, 2,700 people have called to cancel their contributions.

Its Kim Keat headquarters was vandalised on Wednesday morning, and swiftly repainted when the NKF's staff found out.

There is also an online petition asking for Mr Durai's resignation. At last count, nearly 7,500 people have signed it.

Others tell Channel NewsAsia that the good work that's being done by NKF should not be hijacked by this one incident.

The NKF's staff and patients have also rallied behind Mr Durai, and supported him for the work he had done raising funds for the NKF.

One of them said: "Why should we penalise the beneficiaries which are the kidney patients. They are two separate issues altogether. It is a management issue, not about the patients, we should continue to support the patients." - CNA/de

Source: http://www.todayonline.com/articles/60982.asp
Disclaimer: I do not condemn or commend.

NKF sues SPH over 'gold-plated tap'

Claims it didn't even have 12-storey building then; SPH lawyer asks NKF chief about his salary

Tor Ching Li
chingli@newstoday.com.sg

LAST April, the National Kidney Foundation (NKF) made headlines in The Straits Times' (ST) on several occasions: First, for its corporate tie-up with insurance company Aviva, then for its $189-million reserves and again on April 19 — a day after an NKF fund-raising charity show — in a report that mentioned a "gold-plated tap" that cost "at least $1,000" at its Kim Keat Road headquarters.

The non-profit organisation is now making headlines again as it commences, along with its chief executive T T Durai, 57, a libel suit against the Singapore Press Holdings (SPH) and Ms Susan Long, 32, ST senior writer and author of the April 19 report, "The NKF: Controversially ahead of its time?".

In the first six paragraphs of the report, Ms Long set out that her source — "a retired contractor … known only as Mr Tan" — told her of a "gold-plated tap" costing "at least $1,000", as well as a glass-panelled shower and a "pricey German toilet bowl", that he had to install on the "12th floor of the $21-million building".

She recounted how the contractor had "scream(ed) his head off" on learning of the assignment at the NKF's "new headquarters at Kim Keat Road in 1995", but was told to "just do" his job.

According to the report, the taps he eventually installed were "scaled down" to an "upmarket chrome-plated model".

These allegations implied that the NKF had — under Mr Durai's management — misused public funds, said the NKF in the Supreme Court yesterday. It is arguing that the newspaper had an agenda against it.

Following the report, the NKF had sought an apology and retraction of this allegation from SPH. But as none was forthcoming, the case will be heard out in court over the next nine days.

The NKF statement cited that in 1995, it was not yet housed in its current 12-storey premises, but instead, in a two-storey block on site.

The statement also said that there was no "gold-plated tap" nor any tap which "alone cost at least $1,000" in that building.

During his full-day cross-examination session by SPH's Senior Counsel Davinder Singh, Mr Durai stated that in 1994, a shower mixer and basin mixer had been installed in his absence. He "gave instructions for that to be removed" upon his return from an overseas trip.

Mr Durai did not want the office interior to appear luxurious. But, according to the NKF, Ms Long's report had implied that the alleged "gold-plated taps" were "scaled down" only because of the contractor's protestations.

Mr Singh said this incident supported his argument that the report was factual and that the "expensive bathroom fittings" were, in fact, installed and then removed.

Mr Singh also said that SPH had a duty to comment on the NKF's financial affairs in the interest of the public and questioned Mr Durai on his salary package and whether he had flown first class on NKF funds collected from the public.

Mr Durai, who initially told the court he preferred to keep his salary private, said he earned an average of about $550,000 a year, including bonuses varying from 10 months to a year's salary. Over the last three years, he earned a total of around $1.8 million.

Two years ago, when Mr Durai earned nearly $600,000, the NKF had an annual turnover of $100 million.

Mr Durai explained that his pay package and bonus was a decision made by the foundation's board and that the board had also pegged the flight entitlement for senior staff at Singapore Airlines business class prices.

Mr Durai said that he had flown all classes before and only started travelling first-class in the past two years.

He said he would pay the difference for any first class upgrades and that sometimes, it was cheaper for him to fly first class than on business class.

In the public gallery was Mrs Goh Chok Tong, patron of the foundation, and SPH chief executive Alan Chan.

Source: http://www.todayonline.com/articles/61190.asp
Disclaim: I do not condemn or commend.

Grilled over two days, NKF chief withdraws libel suit

Tor Ching Li
chingli@newstoday.com.sg

THE end came suddenly.

After being grilled for two full days, Mr T T Durai, chief executive of the National Kidney Foundation, was asked by the Singapore Press Holdings' (SPH) senior counsel Davinder Singh: "Are you willing to dispose of your claim?"

A little haggling and some objections by the lawyers followed but after a few minutes, Mr Durai told the stunned courtroom: "Yes, I withdraw my claim."

The NKF and Mr Durai had claimed defamation by the publishing company and its senior writer Susan Long over a report that mentioned an alleged "gold-plated tap".

The hearings had been projected to last 10 days. But at around 5pm yesterday, when Mr Durai threw in the towel, even Judge Tan Lee Meng told him: "Consider carefully."

Mr Durai did so and repeated the same sentiment. He would drop his claims.

Mr Singh had questioned Mr Durai on several aspects of his own entitlements. He also tried to show there was a lack of transparency in NKF's operations.

The case had started with Mr Durai claiming there was no truth to assertions that NKF had had a gold-plated tap installed in its new premises.

Instead, Mr Durai was asked about his directorships on several companies — and why he had not told the NKF board about them.

He was asked about NKF's fleet of eight cars and the Mercedes Benz 200 that is earmarked for Mr Durai's use.

Mr Singh even zeroed in on statements made by other NKF functionaries in their communications with the media.

Case in point: A letter written by NKF chairman Richard Yong that said the NKF's reserves could be exhausted in as few as three years.

Doing some arithmetic, Mr Singh suggested that the $189 million reserves could stretch for far longer.

Mr Durai tried to explain that the NKF had used the worst-case scenario whereby none of its 2,000 patients could afford to co-pay their monthly dialysis costs of $2,600.

But Mr Durai conceded: "Three years is an inaccuracy ... but it's for the people (of Singapore)."

"And your tap," added Mr Singh.

Mr Singh then turned to a claim made by Dr Gerard Chuah, chairman of the NKF Children's Medical Fund, citing the NKF's patient numbers as 3,000 — "an inflation of 1,000 patients".

Mr Durai said Dr Chuah had sent the letter himself, and replied that he did not act on the error because there "was with no intention to deceive".

"I suggest this is another example of a deliberate strategy crafted by Mr Durai and the NKF in the hope of attracting more and more funds," said Mr Singh.

"That is not so," retorted Mr Durai.

"We have fulfilled our responsibility to our donors in achieving the objective of the money they donated ... we may make mistakes here and there but our objective is to save lives and we did save lives," he added.

He said he had sued SPH as the situation described in the first six paragraphs of Ms Long's report — about a contractor outraged by an order for a "gold-plated tap" from the NKF — "never happened".

For the record, Ms Long could not produce the tape from her three-hour interview at the NKF last April as it was "lost or misplaced". But Mr Singh said they had located a contractor who would testify as Ms Long's source.

On a separate score, he put it to Mr Durai that the installation of a "pricey toilet bowl" amounted to mismanagement.

Eventually, Mr Durai was left protesting only about the "gold-plated tap", which he said implied "extravagance to the extreme".

Mr Singh then got him to admit that the fittings could be interpreted as "extravagant for a charity".

Finally, Mr Durai withdrew this last claim, and the court will now decide on compensation for costs.

Speaking to the press, Mr Durai said there was no purpose served in continuing litigation and acrimony with The Straits Times — "an important partner of the NKF".

"Litigation is always fought with difficulty. I am quite aware of what may happen (with regard to public reaction), but the track record of the NKF will speak for itself," said Mr Durai.

"We've tried to be perfect, I've tried my best for the past 37 years. I'm not perfect, but I took the claim because I believe in the truth. I am not responsible for any of the things that happened (during the toilet installation) in 1994. We did not hide the truth in any way."

When asked if he would resign, he replied: "No, I don't think so. Not unless people want me to."

Mrs Goh Chok Tong, an NKF patron who was present in the public gallery, told Today: "All NKF asked for was a retraction, because what was stated was not true. Instead they have expanded the case into other matters. I have no question on the NKF's transparency, and have complete faith in the NKF and Mr Durai."

Source: http://www.todayonline.com/articles/61181.asp
Disclaimer: I do not condemn or commend.

NKF stands by Durai

Says it is 'understandable' that some donors may now 'fall out'

Lee U-Wen
u-wen@newstoday.com.sg

BEFORE the first day's hearing in the High Court on Monday, the National Kidney Foundation (NKF) made an application for special damages totalling $3.24 million.

This, claimed the non-profit organisation, was the amount "lost" in donations after The Straits Times published a report in April last year, which mentioned expensive fittings installed at NKF's $21 million Kim Keat Road headquarters.

But whether it will experience a similar plunge in donations as a result of this lawsuit is too early to tell, said Ms Michelle Ang, NKF's deputy director of communications.

The MediaCorp News Hotline received several calls yesterday from members of the public, who were upset over the revelations in media reports relating to the NKF court case against Singapore Press Holdings. Some readers also wrote in to Today, some saying they were withholding their contributions to NKF.

Speaking to Today after a NKF board meeting yesterday evening, Ms Ang said "it was understandable" that some "would fall out" of NKF's donor programmes after reading news coverage on the suit.

"Many of our strong supporters know us and what we have accomplished very well. They have seen their money used for our programmes," she said.

"For those who donate to charity, it's always good to know the charity to which they are donating. The vast majority of our donors will stand by us ... but there will be a few who will drop out."

In a statement released yesterday, the NKF board said it wished to "reiterate its wholehearted support" for Mr T T Durai as its chief executive, adding that the foundation "looks forward to carrying on all its life-saving activities with full vigour and strength".

The NKF also declared that it would "continue to serve the public to the best of its ability".

Ms Ang also said that members of the NKF board had formally met the foundation staff following the board meeting.

Asked to sum up the mood in the organisation, she said: "The staff were very optimistic. They stand by our CEO because they know what he has accomplished over the years."

Ms Ang said of Mr Durai: "For us, he has truly been a great leader. The NKF has grown from just providing dialysis to those with kidney failure to helping children with chronic or life-threatening illnesses, and now, cancer."

Source: http://www.channelnewsasia.com/stories/singaporelocalnews/view/157710/1/.html
Disclaimer: I do not condemn or commend.

NKF, SPH lawyers meet to discuss costs over defamation suit
By S Ramesh, Channel NewsAsia

SINGAPORE: Lawyers for the National Kidney Foundation and the Singapore Press Holdings will meet at the High Court on Wednesday to discuss the issue of costs.

This comes a day after both the NKF and its CEO, TT Durai, decided to withdraw their case against SPH and its journalist Susan Long.

NKF was suing the SPH and its journalist for defamation.

This came after the Straits Times published an article on the 19th of April last year, highlighting some expensive fittings in the NKF's new S$21m building at Kim Keat Road.

After two days of cross examination, CEO TT Durai agreed with SPH's Senior Counsel that the fittings were indeed expensive and extravagant for a public charity.

Also disclosed during the proceedings were Mr Durai's annual salary of S$600,000, the several directorship positions he held in addition to his job as NKF CEO, and the business relationships he had with an NKF board member.

SPH's senior counsel Davinder Singh also told the court the NKF has enough reserves for the next 30 years.

In a statement on Tuesday night, NKF said its decision to withdraw was a considered one made in the best interests of the organisation, its supporters, donors and patients.

It reiterated its support for Mr Durai as CEO, adding it looked forward to carrying on all its life-saving activities and to continue serving the public to the best of its ability. - CNA/ir

Source: http://www.channelnewsasia.com/stories/singaporelocalnews/view/157420/1/.html
Disclaimer: I do not condemn or commend.

NKF's administration brought to public scrutiny in case against SPH
By S Ramesh, Channel NewsAsia

SINGAPORE : The National Kidney Foundation's (NKF) defamation suit against the Singapore Press Holdings has opened in the High Court.

The case centres around an article in the Straits Times published on 19 April 2004 entitled "The NKF Controversially ahead of its time".

And first to take the stand was the NKF's CEO, TT Durai who made some startling revelations during cross examination by SPH's Senior Counsel Davinder Singh.

The article in question was written by SPH's journalist Susan Long, whom NKF is also suing.

It had an account of a contractor who had been hired to install some bathroom fittings for its new headquarters in 1995.

NKF says the article had many falsehoods and half truths. But Monday's hearing was more than just about toilet fittings.

It was a public scrutiny of how the NKF is administered and run, the travel patterns of its senior executives and the chief executive officer, and what salaries were paid to the CEO in the last three years.

The court heard that CEO Durai got a twelve month bonus last year. And between 2002 and 2004, he would have earned close to S$1.8 million.

From the outset, Senior Counsel Davinder Singh who is acting for SPH, emphasized the importance of transparency and public accountability on NKF's part as every cent which NKF spent came from public donations.

Several senior officials from NKF were in court to follow the proceedings, including its patron Mrs Goh Chok Tong. - CNA /ls

Source: http://www.channelnewsasia.com/stories/singaporelocalnews/view/157556/1/.html
Disclaimer: I do not condemn or commend.

NKF withdraws defamation suits against SPH and journalist
By S Ramesh, Channel NewsAsia

SINGAPORE : The National Kidney Foundation's (NKF) defamation suits against the Singapore Press Holdings (SPH) came to abrupt end on Tuesday at the High Court.

This, after its CEO TT Durai admitted during intense cross examination that some of the fittings in its headquarters, which were highlighted in a Straits Times article, were indeed extravagant for a public charity.

The article spoke of a glass panelled shower, a pricey German toilet bowl and a gold plated tap.

Mr Durai finally withdrew both his and the NKF's case against the SPH and its journalist Susan Long.

NKF's CEO was in the witness box for the second day and he was to be the only one.

Senior Counsel Davinder Singh's cross examination focused on several areas.

First, the business relationships Mr Durai had with NKF board member Ms Matilda Chua.

These were through two companies - Proton Web Solutions, a call centre operations based in India, which NKF had contracted its tele-marketing work to - and Global Net, in which Mr Durai himself had a stake.

Mr Durai also said he had held several directorships in addition to his work as CEO of the NKF.

Asked if he had informed the NKF Board of these appointments, he replied that it was not consequential and the Board gave him the liberty to do so.

The court also heard the NKF had a fleet of eight cars and drivers, which Mr Durai and its visiting guests and VIPs could use.

NKF also paid for the road tax, repair and maintenance for Mr Durai's personal Mercedes Benz.

On NKF's reserves, the court was told it stood at $262 million as of July 2005.

Mr Singh argued that if the NKF stopped all fundraising activities and concentrated on treating kidney patients, it would still have enough money to see through its operations for 30 years, based on its expenses scheduled for 2003.

For that year, the NKF received $24.4 million for patient fees for dialysis but spent some $31 million for these operations.

So even if it was out of pocket of $7 million to $8 million per year, NKF's current reserves were sufficient for at least 30 years.

But Mr Singh says the organisation has been telling Singaporeans its reserves won't last more than three years, according to statements made by its officials.

Another issue that arose during the cross examination was that of patient numbers.

Mr Singh argued that NKF had overstated its patient numbers and this would have given the impression to the public that more funds were needed to run its operations.

The final straw came when Mr Singh began to zoom in on the issues of contention - the expensive fittings which the Straits Times article had highlighted.

Mr Durai agreed they were expensive and extravagant for a public charity and withdrew his and the NKF's cases.

The trial which was to have lasted for ten days ended in two days.

Speaking to the media afterwards, Mr Durai told reporters that litigation is always fought with difficulty.

On public reaction to the revelations in court, he said the NKF is quite aware of what may happen but its track record spoke for itself.

He said the NKF has struggled to be perfect and he himself has tried his best for 37 years. He maintained that the NKF did not hide the truth in any way.

And there's no running away from the fact that NKF has discharged its obligation to the people of Singapore with a world class kidney programme.

In a separate statement, the NKF Board says it has discontinued its proceedings against Singapore Press Holdings and its senior writer Ms Susan Long.

And the decision to withdraw was a considered decision made in the best interests of the NKF, its supporters, donors and patients.

The Board also reiterated its whole-hearted support for Mr Durai as its CEO and looked forward to carrying on all its life-saving activities with full vigour and strength, and to continue to serve the public to the best of its ability.

Mrs Goh Chok Tong, an NKF patron who was present in the public gallery, told TODAY: "All NKF asked for was a retraction, because what was stated was not true. Instead they have expanded the case into other matters. I have no question on the NKF's transparency, and have complete faith in the NKF and Mr Durai." - CNA/ls/ir

Source: http://newpaper.asia1.com.sg/news/story/0,4136,91366,00.html
Disclaimer: I do not condemn nor commend.

NKF boss earns $25,000 monthly

HE earns $25,000 a month.

And received 10 months' bonus in 2002 and 12 months' bonus in 2003 and 2004.

He also sometimes flies first class on business trips and had a $1,100 toilet bowl installed in his office bathroom.

He is Mr T T Durai, the chief executive officer of the National Kidney Foundation.

Mr Durai and the NKF are suing Singapore Press Holdings and The Straits Times' senior writer Susan Long for defamation.

NKF and Mr Durai have taken issue with an article by Ms Long, published on 19 Apr last year, which quoted a contractor saying that he had been asked to install in Mr Durai's office suite on the 12th floor of NKF's new building, 'a glass-panelled shower, a pricey German toilet bowl and a $1,000 gold-plated tap'.

Their case, argued by Senior Counsel Michael Khoo, is that this allegation was baseless and had conveyed, in the 'most sensationalist and arresting terms' that NKF dishonestly frittered away donations on unnecessary luxuries for themselves.

Yesterday was the first day of the hearing before Justice Tan Lee Meng.

Mr Durai was grilled by SPH's lawyers from Drew & Napier, Senior Counsel Davinder Singh, who is being assisted by Mr Adrian Tan.

Their case is that NKF did order costly bathroom fittings and were installed, not in their new building, but in Mr Durai's temporary office.

And that the allegedly offending paragraphs must be read in context with the rest of the article which is about the controversy surrounding NKF, and its transparency, or lack of.

'SUPPRESSED INFORMATION'

Mr Singh said Mr Durai and the NKF had 'suppressed information' when, during the first exchange of court documents before the trial, NKF did not give the invoice of the 'expensive tap', which was relevant to the case.

It was only until the lawyers wrote to them again and asked for it, that they gave it to them. Mr Durai, however, denied it, saying that NKF does not suppress information, adding that he did not know which installation the lawyers were referring to as they had not asked about the 'original' fittings which have since been replaced.

To which, Mr Singh said: 'Let us talk about transparency. Forget transparency outside. Let us talk about transparency in this court.

'Here, everyone knows that we are talking about these fittings that are in issue. We asked you what these fittings were that were installed and you tell us about the replaced fittings, not the original one.

'And that, you tell the court, is an honest answer?'

Mr Durai: 'The way I looked at it: What were the fittings installed. If you had asked me the question 'What was originally installed?', my answer would have been different.'

Mr Singh: 'Were the fittings that are in issue installed? Yes or no?'

Mr Durai: 'Previously, yes.'

It turns out that the 'original' bathroom installations included a mixer tap which cost about $990, excluding the 10 per cent discount.

First-class travel a clever tactic?

SPECULATION over Mr T T Durai's first class travel habits have been going around for a while.

He has even successfully sued and obtained apologies and damages from two people in the past, for saying that he flies first class.

The NKF's position has always been that it pays for their senior executives' business-class travel from Singapore.

That's a perk. Their 'entitlement'.

But wait, there's a catch.

NKF's policy is that it pays for its senior staff, including Mr Durai, to fly business-class at Singapore Airlines' rates from Singapore.

But it has enabled Mr Durai to fly first class. How?

Clever tactics and 'a play with words'.

It seems that as long as Mr Durai didn't exceed SIA's published rate for their business-class tickets for a trip, he could go ahead and use his 'entitlement' to travel first class.

Mr Davinder Singh fleshed out this point in his cross-examination of Mr Durai in court yesterday.

Mr Singh said: 'Is it not your duty, as a trustee of people's money, to make sure you get the best value for money on a business-class seat, instead of deploying this clever tactic of using one of the highest published rates to get first class on another plane?'

Mr Durai tried to say again that it was a board decision, but when the judge told him to answer the question straight, he replied that it was.

Shock over his salary

THERE were gasps when Mr T T Durai revealed his salary.

Mr Singh said: 'So, for the past three years, you have earned about, what $1.8m?'

Mr Durai: 'Yes.'

Mr Singh: 'From the NKF?'

Mr Durai: 'Yes.'

Mr Singh: 'Should the man who earns $1,000 a month and takes out $50 from his pay packet thinking that he's going to save lives not know that that is the kind of money you earn?'

Mr Durai: 'There is nothing wrong with the money I earn.'

Mr Singh: 'I am not talking about anything wrong. Please do not get defensive.... $1.8 million. I wonder what is wrong....

'Should the man who takes $50 out of his $1,000 pay packet... thinking that he is going to save a fellow Singaporean, in the bed... should he not know that some of that money is going, or has gone into the $500,000, $600,000 pay package for you?'

Mr Durai: 'Surely he knows.'

Mr Singh: 'Tell me how does he know. Please show us the document to back up the statement you have made on oath.'

At this point, Mr Durai tried to explain that people donate money to the NKF's dialysis programme to save lives. But the judge cut him short.

- but it is a gem!
T.T. DURAI'S SALARY
A private man's $600,000 pay - is it of public interest?

SENIOR Counsel Davinder Singh spent some time probing chief executive officer T.T. Durai on the NKF's reluctance since 1999 to disclose the salaries of its senior people.

Mr Durai confirmed that the issue never went away, and that the organisation's position was that it would not disclose.

He said salaries are a very personal thing, and as a private person he did not want his disclosed.

Also, revealing top officers' pay would have made it difficult to recruit people.

He also saw no legal requirement to disclose his pay.

Mr Singh pointed out that even though there was no legal requirement to release all the information included in the NKF's investment report to the donors, that had been done.

Counsel said that the absence of legal obligations was therefore not an obstacle.

Mr Durai replied: 'It is a personal matter.'

Counsel remarked: 'I do understand some of that because that is why people travel first class and have a lavish suite for their privacy.'

He then asked Mr Durai if he thought the public ought to be told if a charity decided to pay its chief executive $25 million a year - funded by donations.

Mr Durai said at first that he could not comment. But asked repeatedly, he said it would be up to the board of directors. He also said he would go along with the decision not to disclose even if the $25 million was, as Mr Singh put it, 'grossly, grossly exorbitant'.

'I report to the board,' Mr Durai said.

Counsel then moved on to the issue of Mr Durai's pay.

* Davinder Singh: In your affidavit, you liken yourself to CEOs of companies and ministers in government, right? Would you agree with me that like ministers in the government, you are being paid out of people's money? Would you agree with me that ministers' salaries are transparent?

T.T. Durai: Yes.

* Davinder Singh: Would you agree with me that CEOs of listed companies have their salaries published in the newspapers?

T.T. Durai: Yes.

* Davinder Singh: And you have likened yourself to CEOs of public companies. Why are you not publishing your own information?

T.T. Durai: I like my salary to remain private. My board members know that. My senior colleagues know that.

* Davinder Singh: We all like our salaries to be private. But if it's funded by the public, which takes precedence? The right of the public to know how much of their money goes to you, or your preference for privacy?

T.T. Durai: I think it is for the board to decide. The public doesn't control the organisation.

* Davinder Singh: Exactly. Exactly. You see, Mr Durai, the public does not control, it doesn't have access to information. So doesn't that place on you a responsibility?

T.T. Durai: We comply with all the regulatory requirements. If the regulatory authorities imposed a condition that we have to disclose salaries, we would.

* Davinder Singh: Mr Durai, can you tell this court what your salary and bonuses were for 2002?

T.T. Durai: I was earning a monthly salary of $25,000.
* Davinder Singh: And your bonus?

T.T. Durai: Performance bonus was 10 months.

* Davinder Singh: Ten months' bonus! $250,000 bonus. This is for 2002.

T.T. Durai: I cannot recall the exact figure.

* Davinder Singh: So, if it is $25,000 a month, multiply that by 12, your total package was $550,000 in 2002.
T.T. Durai: I believe so.

* Davinder Singh: 2003, please?

T.T. Durai: You have the numbers. I don't have the numbers offhand.

* Davinder Singh: Tell us, please, so that we don't waste time.

T.T. Durai: About the same I think. I cannot tell you offhand now.

* Davinder Singh: About the same, meaning $550,000 or slightly higher?

T.T. Durai: About that.

* Davinder Singh: How many months' bonus did you get in 2003?

T.T. Durai: Twelve months.

* Davinder Singh: In 2004, what was the bonus?

T.T. Durai: Same bonus.

* Davinder Singh: Twelve months at $25,000 a month.

T.T. Durai: Yes.

* Davinder Singh: So for the past three years you have earned about $1.8 million from the NKF.

T.T. Durai: Yes.

* Davinder Singh: And the man who earns $1,000 a month who takes out $50 of his pay packet every month thinking that it is going to save lives, should he not know that that is the kind of money you earn?

T.T. Durai: There is nothing wrong with the money I earn.

* Davinder Singh: $1.8 million, I wonder what is wrong. $1.8 million. Should the man who takes $50 out of his pay packet of $1,000, leaving $950 for him, his wife and his children, with no savings, should he not know that some of that money is going or has gone into a $500,000 to $600,000 pay package for you?

T.T. Durai: Surely he knows.

* Davinder Singh: Tell me, how does he know?

T.T. Durai: Let me explain. People donate money to the NKF to run a dialysis programme that saves lives. We have built a dialysis programme. We run...

Judge: Please answer the question.

* Davinder Singh: You said: 'Surely he knows.'

T.T. Durai: No, I am saying a person who contributes to the foundation knows that there are people working in the institution.

Judge: No. The question is, should that person know that you are earning $500,000, $600,000 a year? It is a simple question.

T.T. Durai: No, your honour, I do not see a need for him to know.

* Davinder Singh: Thank you. It has nothing to do with privacy. It is about embarrassment, is it not?

T.T. Durai: No.

* Davinder Singh: You would lose all authority, all moral authority to look at him in his eyes, isn't that right?

T.T. Durai: That is not true.

* Davinder Singh: If he knew that you were flying first class on his money, you could not look him in his eyes, isn't that true?

T.T. Durai: It is not true.

* Davinder Singh: If he knew that his salary couldn't even buy the bathroom fittings in your private office suite, you couldn't look him in his eyes.

T.T. Durai: That is not true.

* Davinder Singh: We now understand why you say the $990 tap is not expensive. Well, coming from you at $600,000 a year, we now know why you say it is not expensive. But tell us, for that man with $1,000/$2,000, is it expensive?

T.T. Durai: Yes, he may consider it expensive.

* Davinder Singh: He may, or is it? Tell us the truth.

T.T. Durai: I cannot speak for him. It depends on the type of building, the use of the item.

* Davinder Singh: The man in his HDB one-room, two-room, three-room flat, earning a salary of $1,000, $2,000, $3,000 - would he find that tap at $990 plus 10 per cent discount expensive?

T.T. Durai: He may consider it expensive, yes.

* Davinder Singh: He may, or will he?

T.T. Durai: If he is an educated person, if he knows the use of the particular office, for what purpose, he may probably think it is something reasonable.
_____

# posted by khimsiu @ 1:18 pm 0 comments

Source: http://thestar.com.my/news/story.asp?file=/2005/7/13/asia/11470988&sec=asia
Disclaimer: I do not condemn nor commend.

NKF boss paid yearly salary of RM1.3m
SINGAPORE: The chief executive of Singapore's biggest charity group withdrew a defamation suit yesterday after being forced to reveal his annual salary of about S$600,000 (RM1.3mil) local media reported.

T.T. Durai, the chief executive officer of the National Kidney Foundation (NKF), also conceded he flew first class when travelling overseas, although he insisted he was entitled to the benefits of “every other CEO.”

Durai appeared in court on Monday as part of a defamation suit by NKF against Singapore Press Holdings, the publisher of the city-state's main English language newspaper, the Straits Times.

But yesterday, after his salary and perks generated major media coverage in the city-state, Durai and the foundation withdrew their lawsuit, local broadcaster MediaCorp reported.

NKF had sued Singapore Press Holdings over a Straits Times article last year that stated a gold-plated tap had been installed and later replaced in the private bathroom of Durai's office suite.

NKF said the article had damaged the charity's reputation by implying that donors' funds were being misused.

The Straits Times published a detailed account of Monday's proceedings, focused on Durai's benefits and salaries, which he did not initially want to make public.

“I like my salary to remain private,” Durai said, before disclosing he earned S$25,000 (RM56,000) a month, plus annual bonuses equivalent to 10-12 months of wages.

Singapore Press Holdings' counsel Davinder Singh launched into a scathing criticism of Durai's salary.

“The man who earns S$1,000 a month who donates S$50 every month thinking that is going to save lives ... should he not know that this is the kind of money you earn,” Davinder Singh asked.

Durai inisisted: “I don't see the need for him to know.”

NKF, which had reserves of S$189mil (RM425mil) in 2002, is one of Singapore's richest and highest-profile charities.
It regularly holds television donation drives in which celebrities perform sometimes dangerous stunts.

One such event on Sunday, the “NKF Cancer Show 2,” raised S$5.35mil (RM12mil).

NKF describes itself on its website as “the largest charitable organisation in Singapore” and the “largest not-for-profit dialysis provider in the world.”

“Established in 1969, we are counted as a model of social entrepreneurship in Singapore,” the site says. – AFP

I hope I do not have to blog too often on incidences or news on ugly Singaporean or organisation.