Indian national declared bankrupt in Singapore over unpaid wages to migrant workers

An Indian national, Ramu Palani Velu, who serves as a director of multiple companies, has been declared bankrupt in Singapore due to unpaid wages to over 400 migrant workers, according to a recent report. Velu, a permanent resident of Singapore, holds positions in seven local companies that provide services such as air-conditioning, plumbing, and building.

These companies include KPA Engineering, SK Industries, and VVR Plant Engineering. The issue came to light when five workers from KPA Engineering approached the Tripartite Alliance for Dispute Management in 2025 over unpaid wages, which were subsequently resolved within a week. However, in May and June, four additional workers from KPA Engineering filed claims for unpaid salaries, which were still being processed when more than 100 workers arrived at the Ministry of Manpower office in Bendemeer on June 22, seeking assistance.

The Ministry of Manpower was already aware of the unpaid wage claims after speaking with KPA Engineering employees who were affected by an eviction notice issued for their dormitory on June 8. Velu had been absent from the country prior to the mass arrival of workers at the Ministry of Manpower office and returned on June 26, assisting the Ministry with its investigations.

Records from the Ministry of Law's Insolvency Office indicate that Velu initiated the bankruptcy process on July 9. Employers who fail to pay salaries can face fines ranging from USD 3,000 to USD 15,000 per charge, along with a potential prison sentence of up to six months.