A Singapore construction company and its general manager have been charged after authorities uncovered an allegedly illegal foreign worker dormitory operating inside a factory building in Sungei Kadut, where 173 migrant workers were reportedly housed without the required licence.
LBD Engineering Pte Ltd and its 35-year-old general manager, Alvin Lim Yee Hong, appeared in court on October 29, 2026, facing charges under Singapore’s Foreign Employee Dormitories Act 2015.
The case follows an inspection by Singapore’s Ministry of Manpower (MOM) at a factory property located at 58A Sungei Kadut Loop on January 6, 2026.
Authorities discovered approximately 300 bed spaces at the premises, prompting an investigation into the company’s use of the building as accommodation for foreign workers.
Investigators subsequently established that parts of the factory had allegedly been converted into a foreign worker dormitory operating without a valid licence between July 2025 and January 2026.
The discovery raises serious questions about migrant worker accommodation standards and the responsibilities of companies providing housing for foreign employees in Singapore.
173 Migrant Workers From Four Companies Found at the Premises
According to MOM, LBD Engineering allegedly housed 173 migrant workers from four different companies at the Sungei Kadut property.
Although investigators identified approximately 300 available bed spaces, the number of workers reportedly accommodated at the premises was 173.
The identities of the four companies whose workers were staying at the property were not disclosed in the court documents.
Singapore requires operators of foreign worker dormitories to obtain the appropriate licence before operating accommodation facilities.
These requirements are designed to ensure that workers are provided with safe, hygienic and suitable living conditions.
Authorities said operating an unlicensed dormitory bypasses important regulatory safeguards and could place residents’ safety and well-being at risk.
General Manager Allegedly Knew Company Had No Valid Licence
The case involves separate charges against LBD Engineering and its general manager.
The company faces one charge for allegedly operating the premises as a foreign employee dormitory without a valid licence between July 2025 and January 2026.
Lim is accused of allowing the company to continue operating the accommodation facility despite allegedly knowing that it did not possess the necessary licence.
Both charges fall under the Foreign Employee Dormitories Act 2015.
The allegations have yet to be established in court, and both the company and its general manager are entitled to due process.
Their cases are scheduled to return to court on December 17, 2026.
Heavy Penalties for Operating Illegal Worker Dormitories
Singapore maintains strict regulations governing the accommodation of foreign workers, particularly because large dormitories house substantial numbers of residents in shared facilities.
Under the Foreign Employee Dormitories Act, operating a foreign employee dormitory without a valid licence is a serious offence.
If convicted, offenders can face:
- A fine of up to S$500,000.
- Imprisonment of up to two years.
- Both imprisonment and a financial penalty.
These penalties reflect the government’s efforts to ensure that dormitory operators comply with minimum accommodation and safety requirements.
The Ministry of Manpower has also reminded employers that they are responsible for ensuring their migrant workers are housed in accommodation that complies with applicable regulations.
Singapore Continues Crackdown on Dormitory Violations
The latest case comes amid broader enforcement efforts targeting inadequate and improperly managed foreign worker accommodation in Singapore.
In June 2026, another dormitory operator, KT&T Engineers and Constructors, faced more than 20 charges involving alleged failures to comply with licensing conditions at a foreign worker dormitory in Sungei Kadut Avenue.
The alleged violations included faulty urinals, damaged walls, broken toilet facilities, exposed electrical wiring, defective bunk-bed equipment and inadequate maintenance of communal areas.
That case highlighted the importance of maintaining proper living conditions for migrant workers, beyond simply providing beds and shelter.
The latest prosecution involving LBD Engineering demonstrates that authorities are also targeting businesses allegedly operating accommodation facilities without the necessary licences.
Migrant Worker Welfare Remains a Priority
Foreign workers play an essential role in Singapore’s construction, manufacturing and infrastructure industries.
Providing suitable accommodation is therefore an important responsibility for employers and dormitory operators.
Licensing requirements allow authorities to monitor facilities, establish minimum standards and take enforcement action when businesses fail to meet their obligations.
The LBD Engineering case serves as a reminder that companies cannot simply convert industrial premises into worker dormitories without complying with the law.
With 173 migrant workers reportedly affected, the case also highlights the importance of ensuring that people who contribute to Singapore’s economy are provided with safe and properly regulated living conditions.
The company and its general manager will return to court on December 17, 2026, as legal proceedings continue.
