Indian man declared bankrupt in Singapore after failing to pay wages to 400 workers
Indian Man Declared Bankrupt In Singapore Over Unpaid Wages To 400 Workers. (File Photo)An Indian man, who ran several companies in Singapore, has been declared bankrupt after he failed to pay wages to more than 400 migrant workers, according to PTI.
A bankruptcy order against Ramu Palani Velu was made on August 13, The Straits Times reported on Thursday. Ramu holds Singapore permanent residency and served as director of seven local firms offering air-conditioning, plumbing and building services. These include KPA Engineering, SK Industries and VVR Plant Engineering.
In total, 407 workers, including several Indian nationals, filed claims for unpaid wages. Some of the workers say they had not been paid for more than two months.
How the trouble began
The first signs of trouble came in 2025, when five workers from KPA Engineering separately raised complaints with the Tripartite Alliance for Dispute Management over unpaid salaries. Those cases were settled within a week after the employer paid their dues.
But the problem resurfaced in May and June this year, when four more KPA Engineering employees filed fresh claims for unpaid wages. While these cases were still under review, more than 100 workers showed up at the Ministry of Manpower’s (MOM) office in Bendemeer on June 22, seeking help.
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By that point, MOM officials were already looking into the wage complaints, having spoken with KPA Engineering staff who had been hit with a dormitory eviction notice issued on June 8. Authorities say they had tried reaching the company’s directors even before the large group of workers arrived at the MOM office.
Director was abroad during crisis
As the unpaid wages issue drew public attention, it came to light that Ramu had been out of the country at the time. He returned to Singapore on June 26 and has since been cooperating with MOM’s investigation.
Records from the Ministry of Law’s Insolvency Office show that Ramu filed for bankruptcy on July 9.
Under Singapore law, employers who fail to pay salaries can face fines ranging from USD 3,000 to USD 15,000 per offence, along with a possible jail term of up to six months, the report said.
