SINGAPORE — S Iswaran has resigned from his positions as Minister for Transport and Member of Parliament (MP), as well as from the ruling People’s Action Party (PAP), Prime Minister Lee Hsien Loong announced in a statement on Thursday (Jan 18).

Iswaran will return all monies received from his salary as a minister and allowances as an MP from the start of investigations by the Corrupt Practices Investigation Bureau (CPIB) in July 2023, the statement added.

He will no longer receive any salary or allowance from the Government.

Mr Lee's statement also included an exchange of letters between him and Iswaran on the resignations.

These announcements came after Iswaran was charged on Thursday morning with 27 offences — 24 under Section 165 of the Penal Code, two under the Prevention of Corruption Act and one for obstructing of the course of justice.

He pleaded not guilty to the charges and intends to contest them.

Iswaran, who last served as MP for West Coast Group Representation Constituency's West Coast division, was first arrested by CPIB on July 11 last year and later not allowed to carry out his duties, along with getting a reduced monthly pay of S$8,500.

Mr Chee Hong Tat, Senior Minister of State for Finance, will take over as Transport Minister after serving as the acting minister since last July, the Prime Minister's Office said in a separate statement on the same day.

Mr Chee will also be appointed as Second Minister for Finance. This means that there will be two Second Ministers in the Ministry of Finance — Ms Indranee Rajah and Mr Chee.

Ms Grace Fu, Minister for Sustainability and the Environment, will step in as Minister-in-charge of Trade Relations at the Ministry of Trade and Industry in place of Iswaran.

"The Government has dealt with this case rigorously in accordance with the law, and will continue to do so," Mr Lee said in his statement. 

"I am determined to uphold the integrity of the party and the Government, and our reputation for honesty and incorruptibility. Singaporeans expect no less." 

Iswaran had written to Mr Lee on Tuesday to tender his resignation and followed up with another letter the next day to say that even though he had not been asked to do so, he will be returning the salary and allowances he received as minister and MP from the start of the CPIB probe.

"I am doing this even though I reject the charges and am innocent," he wrote.

"My family and I have decided to return the monies because we cannot in all good conscience benefit from them when I was unable, on account of the investigation, to discharge my duties as a minister and MP." 

He added that he will not be seeking the return of the monies if he is acquitted. 

In his reply on Wednesday to Iswaran, Mr Lee said that he was "disappointed and saddened" that Iswaran was "leaving politics in these circumstances". 

"But it is essential that I deal with such matters rigorously in accordance with the law," Mr Lee wrote.

"It is the right thing to do... Singaporeans expect no less."

Here are Mr Lee's statement and the exchange of letters with Iswaran: