Income Insurance has dropped plans to sell its Hive platform to Embed Financial Group Holdings (EFGH).
The Straits Times reported the decision as EFGH faces prosecution over CPF contributions allegedly left unpaid for six employees.
Income Insurance first announced the transaction in June. The deal was scheduled to close in the third quarter, but neither company disclosed its value.
Under the agreement, Hive would have become part of EFGH while Income Insurance continued using the platform as a customer.
The transaction also involved moving 27 of Hive’s 42 employees to the fintech firm. Those employees will remain with Income Insurance for now.
The insurer plans to support the affected staff while maintaining services for customers and partners.
The allegations against EFGH concern CPF payments for March 2026.
Documents obtained by The Straits Times named several members of the company’s senior team among the affected employees.
The Ministry of Manpower, CPF Board and Tripartite Alliance for Dispute Management reported that the unpaid contributions were detected after EFGH missed the following month’s deadline.
The CPF Board has taken the matter to court. The Ministry of Manpower is separately investigating possible breaches of the Employment Act involving unpaid salaries.
EFGH is also dealing with six salary claims filed as of 4 September. The Tripartite Alliance for Dispute Management is handling the claims through mediation.
NTUC has helped affected union members pursue salary arrears, including by assisting them with their claims.
EFGH declined to comment.
Featured image: Edited by Fintech News Singapore, based on image by Dikarte via Magnific
