Statistics on Successful Applications for Simplified Debt Restructuring Programme and Simplified Winding Up Programme

20 Mr Zhulkarnain Abdul Rahim asked the Minister for Law with regard to the Simplified Debt Restructuring Programme (SDRP) and the Simplified Winding Up Programme (SWUP) respectively, as of 28 July 2021, what is (i) the number of successful applications (ii) the median revenue of the applicant companies and (iii) the median debts of the applicant companies as at the time of application.

Mr K Shanmugam: Between 29 January 2021 and 28 July 2021, there were 26 applications received for the Simplified Winding Up Programme (SWUP). Of these, seven applications were successfully emplaced on the programme, 17 applications are being assessed for suitability for the programme and the remaining two applications were rejected. To date, we have not received any application for the Simplified Debt Restructuring Programme (SDRP).

As part of the eligibility criteria for the SWUP, the annual sales turnover of the applicant companies cannot exceed $10 million. The median annual revenue of the applicant companies, based on the companies’ latest financial accounts, is $30,000. The median debt of the companies as provided at the point of application is $200,000.

Given the uncertain business outlook, the application period for both the SWUP and SDRP has been extended for an additional 12 months till 28 July 2022 to continue to assist eligible financially-distressed micro and small companies to rehabilitate their businesses or to wind up their businesses in a simple, faster and lower-cost manner.