Recouping Losses Suffered by State Investment Entities

Parliamentary Question by Assoc Prof Jamus Jerome Lim:

To ask the Prime Minister and Minister for Finance (a) whether the Government has any information or data on whether suing for damages is a common approach to recoup losses suffered by state investment entities; and (b) if so, what (i) criteria (ii) loss quantum and (iii) time period determines whether and when to commence lawsuits.

Parliamentary Reply by Senior Minister of State for Finance, Mr Jeffrey Siow:

GIC and Temasek are commercial entities. As part of their fiduciary duties, the Government expects the investment entities to reserve all necessary legal rights to safeguard the value of their investments and take legal action where appropriate. Any legal action undertaken should take into account the relevant facts, the legal merits, the applicable laws and regulations in the relevant jurisdictions and the potential costs and benefits of the available dispute resolution options, amongst other commercial considerations.