Home affairs ministry eyes amending law on renovation fraud

From 2019-2021, there were 100 cases involving errant renovation contractors.

The Ministry of Home Affairs said it is studying whether the law on renovation fraud can be amended to make it easier to prove the fraudulent intent of contractors in court.

"In some cases, there could be genuine business distress, and the contractor may not have been able to do the work. Further, where the economic situation changes suddenly, for example during the COVID-19 pandemic, some contractors might find themselves unable to fulfil their contracts,"  Minister Kasiviswanathan Shanmugam said in a written reply to The Parliament.

"In each case, the question is whether there was fraudulent intent," the minister added.

According to Shanmugam, there have been 100 cases involving errant renovation contractors between 2019 and 2021.

When contractors are proven to deceive their clients into placing deposits for renovation without any intent to carry out the work, they will be charged with cheating offences under section 420 of the Penal Code.