PART 2 | LICENSING OF MONEYLENDERS |
| No moneylending except under licence, etc. |
5.—(1) A person must not carry on or hold out in any way that the person is carrying on the business of moneylending in Singapore, whether as principal or as agent, unless the person —| (a) | is authorised to do so by a licence; | | (b) | is an excluded moneylender; or | | (c) | is an exempt moneylender. |
| (2) For the purposes of subsection (1), a person who wholly or partly carries on, from a place outside Singapore, the business of moneylending in Singapore is taken to have carried on that business in Singapore. |
| (3) The Minister may prescribe different classes or descriptions of licences for the purposes of this Act. |
(4) An application for the issue of a licence must be —| (a) | made in the form and manner determined by the Registrar; and | | (b) | accompanied by the payment of a non-refundable application fee of a prescribed amount, which must be paid in the manner specified by the Registrar. |
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| (5) The Registrar may issue a licence with or without conditions, or may refuse to issue a licence. |
(6) Without affecting sections 7 and 8, the Registrar must not issue a licence —| (a) | where any information or statement furnished by the applicant that is material to the application for the issue of a licence under this section is incomplete, false or misleading; | | (b) | where the applicant does not satisfy the requirements of the class or description of the licence applied for; or | | (c) | where the applicant does not place with the Accountant‑General as security for the proper conduct of the applicant’s business of moneylending in Singapore, in the form determined by the Registrar, a deposit of such amount as the Minister may prescribe, for each place of business in respect of which the applicant is to be licensed. [7/2018] |
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| (7) Every licence comes into operation on the date specified in the licence, and is valid for a period of 12 months or any other prescribed period specified in the licence. |
| (8) The Registrar may at any time, by written notice to the licensee, vary or revoke any of the existing conditions of the licence or impose new conditions. |
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6.—(1) An application for the renewal of a licence must be made at least one month before the expiry of the licence, in the form and manner determined by the Registrar.| (2) For the purpose of subsection (1), every licensee must notify the Registrar at least one month before the expiry of the licence if the licensee does not wish to renew the licence. |
| (3) The Registrar may renew a licence with or without conditions, or may refuse to renew a licence. |
(4) Without affecting sections 7 and 8, the Registrar must not renew a licence —| (a) | where any information or statement furnished by the licensee that is material to the application for the renewal of the licence under this section is incomplete, false or misleading; | | (b) | where the licensee ceases to satisfy the requirements of the class or description of the licence to be renewed; or | | (c) | where the licensee does not place or maintain with the Accountant-General as security for the proper conduct of the licensee’s business of moneylending in Singapore, in the form determined by the Registrar, a deposit of such amount as the Minister may prescribe, for each place of business in respect of which the licence is to be renewed. [7/2018] |
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| (5) Upon the renewal of a licence, the licence continues to be valid for a further period of 12 months or any other prescribed period specified in the licence from the date immediately following that on which, but for its renewal, the licence would have expired. |
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| Licensees to be companies |
7.—(1) On and after 29 March 2019 —| (a) | no person other than a company with a paid-up capital that is equal to or greater than the prescribed amount may hold a licence; and | | (b) | the Registrar must not issue or renew a licence unless the applicant is a company with a paid-up capital that is equal to or greater than the prescribed amount. [7/2018] |
| (2) A licence that is granted to a person that is not a company with a paid-up capital that is equal to or greater than the prescribed amount, and that is in force immediately before 29 March 2019, is deemed to be revoked as from 29 March 2019. [7/2018] |
| (3) The revocation of a licence under subsection (2) does not affect any moneylending transaction entered into before 29 March 2019. [6A [7/2018] |
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| Other grounds for refusing to issue or renew licence, etc. |
8.—(1) For the purposes of sections 5 and 6, the Registrar may refuse to issue or renew a licence on any of the following grounds:| (a) | if any person who is or will be responsible for the management of the applicant’s business of moneylending is not ordinarily resident in Singapore; | | (b) | if any director of the applicant or any person who is or will be responsible for the management of the applicant’s business of moneylending is below 21 years of age; | | (c) | if the Registrar is not satisfied that the applicant has any place of business in respect of which the licence is to be issued or renewed that is suitable for a business of moneylending, or the Registrar is of the view that it is not in the public interest for a business of moneylending to be conducted in such a place; | | (d) | if the applicant, any director or substantial shareholder of the applicant, or any person who is or will be responsible for the management of the applicant’s business of moneylending —| (i) | has been convicted of any offence involving dishonesty or moral turpitude; | | (ii) | has been convicted of any offence under sections 50 to 57 of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act 1992, the Terrorism (Suppression of Financing) Act 2002 or any regulation made under the United Nations Act 2001; | | (iia) | has been convicted of an offence under any provision of any other written law relating to —| (A) | the prevention of money laundering; | | (B) | the prevention of terrorism financing; or | | (C) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (iib) | has been convicted of an offence under the law of any foreign country or territory relating to —| (A) | the prevention of money laundering; | | (B) | the prevention of terrorism financing; or | | (C) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (iii) | is contravening or has contravened any provision of this Act; | | (iv) | has been convicted of any offence under this Act; or | | (v) | is carrying on or has carried on any business of moneylending, in Singapore or elsewhere, in such a manner as renders the applicant unfit to hold a licence; |
| | (e) | if the Registrar is not satisfied as to the qualification or experience of any person who is or will be responsible for the management of the applicant’s business of moneylending; | | (f) | if the Registrar is not satisfied as to the good character of any director or substantial shareholder of the applicant or any person who is or will be responsible for the management of the applicant’s business of moneylending; | | (g) | if the Registrar is not satisfied that the applicant, any director or substantial shareholder of the applicant, or any person who is or will be responsible for the management of the applicant’s business of moneylending is a fit and proper person to carry on or manage a business of moneylending; | | (h) | if any assistant employed or engaged, or proposed to be employed or engaged, by the applicant has, whether before, on or after the commencement date —| (i) | been convicted of any offence involving dishonesty or moral turpitude; | | (ii) | been convicted of any offence under sections 50 to 57 of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act 1992, the Terrorism (Suppression of Financing) Act 2002 or any regulation made under the United Nations Act 2001; | | (iia) | been convicted of an offence under any provision of any other written law relating to —| (A) | the prevention of money laundering; | | (B) | the prevention of terrorism financing; or | | (C) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (iib) | been convicted of an offence under the law of any foreign country or territory relating to —| (A) | the prevention of money laundering; | | (B) | the prevention of terrorism financing; or | | (C) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (iii) | contravened or is contravening any provision of this Act or any corresponding previous written law; | | (iv) | been convicted of any offence under this Act or any corresponding previous written law; or | | (v) | carried on any business of moneylending in Singapore or any foreign country or territory —| (A) | for which the licence has been revoked or suspended under this Act or any corresponding previous written law; or | | (B) | the approval, authorisation, registration or licence of or for which has been withdrawn, cancelled or revoked by a regulatory authority in that foreign country or territory; [Act 6 of 2024 wef 01/05/2024] |
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| | (i) | if the Registrar is not satisfied that any assistant employed or engaged, or proposed to be employed or engaged, by the applicant is of good character and is a fit and proper person. [7/2018] |
(2) For the purposes of sections 5 and 6 and without affecting subsection (1), where an application is made by any person for the issue or renewal of a licence to carry on the business of moneylending as an agent for a principal, the licence must not be issued or renewed where —| (a) | any of the grounds for the refusal of a licence under subsection (1) applies to the agent, any director or substantial shareholder of the agent, or any person who is or will be responsible for the management of the agent’s business of moneylending; | | (b) | the Registrar is not satisfied as to the good character of any director or substantial shareholder of the principal, or any person who is or will be responsible for the management of the principal’s business of moneylending; | | (c) | the Registrar is not satisfied that the principal, any director or substantial shareholder of the principal, or any person who is or will be responsible for the management of the principal’s business of moneylending is a fit and proper person to carry on or manage a business of moneylending; or | | (d) | the principal, or any present or former agent of the principal, has been disqualified by an order of a court from carrying on a business of moneylending or holding a licence to carry on such business. [7/2018] |
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| (3) Any person who is aggrieved by the Registrar’s refusal to issue or renew a licence may, within 14 days of being so informed, appeal in writing to the Minister whose decision is final. |
| (4) In subsection (1)(h), “commencement date” means the date of commencement of section 24 of the Prevention of Proliferation Financing and Other Matters Act 2024. [Act 6 of 2024 wef 01/05/2024] [7 |
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9.—(1) Every licensee must pay such licence fee as may be prescribed for the issue or renewal of the licence by the Registrar.| (2) The Minister may prescribe different licence fees in respect of different classes or descriptions of licences. |
| (3) Where a licensee has more than one place of business, the licensee must pay such additional licence fee as may be prescribed for each additional place of business according to the class or description of licence which the licensee holds. |
| (4) The licence fees must be paid in the manner specified by the Registrar. |
| (5) Subject to subsection (6), there is no refund of any licence fee paid to the Registrar in the event that a licence is revoked or suspended or when the licensee ceases to carry on the business of moneylending at any time before the expiry of the licence. |
| (6) The Registrar may, where he or she considers it appropriate, refund or remit the whole or part of any licence fee paid or payable under this Act. [8 |
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| Revocation or suspension of licence |
10.—(1) The Registrar may revoke a licence, or suspend it for any period that he or she considers appropriate, if the Registrar is satisfied —| (a) | that the licensee —| (i) | has ceased to carry on the business of moneylending, or is wound up or otherwise dissolved; | | (ii) | has not carried on the business of moneylending within 6 months, or such longer period as the Registrar may approve in writing, after the issue of the licence; | | (iii) | had, in connection with an application for the issue or renewal of the licence —| (A) | knowingly or recklessly furnished any information or statement to the Registrar which was false or misleading in a material particular; | | (B) | wilfully omitted to state any matter without which the application was misleading in a material particular; or | | (C) | produced to the Registrar any book, record or other document which the licensee knew or had reason to believe contained information which was false or misleading in a material particular; |
| | (iv) | has contravened any condition of the licence; | | (v) | is conducting or has conducted the licensee’s business of moneylending in an improper or unsatisfactory manner; or | | (vi) | has carried on a business of moneylending at any place which the Registrar has not approved under section 11, or has contravened any condition of approval for a place of business imposed under that section; or |
| | (b) | that there exists a ground on which the Registrar may refuse to issue or renew a licence under section 8, whether in relation to the licensee or the licensee’s principal. [7/2018] |
| (2) The Registrar must, before revoking or suspending any licence under subsection (1), give the licensee notice in writing of the Registrar’s intention to do so, specifying a date, at least 21 days after the date of the notice, upon which the revocation or suspension will take effect unless the licensee shows cause to the Registrar as to why the licence should not be revoked or suspended. |
| (3) Where, after the licensee has shown cause under subsection (2), the Registrar decides to revoke or suspend a licence, the Registrar must notify the licensee of the Registrar’s decision in writing and specify a date, at least 14 days after the date of the notice, upon which the revocation or suspension will take effect. |
| (4) The licensee may, within 14 days after the date of the notice under subsection (3), appeal in writing against the revocation or suspension to the Minister whose decision is final. |
| (5) If the licensee appeals to the Minister under subsection (4), the decision appealed against does not take effect unless it is confirmed by the Minister, or the appeal is for any reason dismissed by the Minister or is withdrawn. |
| (6) Any decision of the Registrar to revoke or suspend a licence made under this section does not affect any moneylending transaction entered into before the date the decision is made. [9 |
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| Approval of places of business |
| 11.—(1) An applicant for the issue of a licence or a licensee who intends to carry on the business of moneylending at any new place or places of business must, before commencing the business of moneylending at the place or places, apply in writing to the Registrar to approve the place or places of business for moneylending. [8/2012] | (2) The Registrar may approve any place of business for moneylending with or without conditions, or may refuse to grant an approval. |
(3) The Registrar must not approve any place of business for moneylending —| (a) | unless the applicant is a licensee or the applicant’s application for a licence is approved; | | (b) | where any information or statement furnished by the applicant that is material to its application for approval under this section is incomplete, false or misleading; | | (c) | where the applicant, being a licensee, does not place with the Accountant-General as security for the proper conduct of the applicant’s business of moneylending in Singapore, in the form determined by the Registrar, a deposit of such amount as the Minister may prescribe, for each additional place of business; or | | (d) | where the Registrar is not satisfied that the place of business is suitable for a business of moneylending, or the Registrar is of the view that it is not in the public interest for a business of moneylending to be conducted in such a place. [7/2018] |
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| (4) The Registrar may at any time, by written notice to the licensee, vary or revoke any of the existing conditions of the approval of a place of business for moneylending or impose new conditions. |
(5) The Registrar may revoke his or her approval under this section, or suspend his or her approval for any period that he or she considers appropriate, if the Registrar is satisfied that —| (a) | the licensee has contravened any condition of approval imposed under this section; or | | (b) | there exists a ground on which the Registrar may refuse to approve the place of business for moneylending under subsection (3). |
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| (6) The Registrar must, before revoking or suspending his or her approval under subsection (5), give the licensee notice in writing of the Registrar’s intention to do so, specifying a date, at least 21 days after the date of the notice, upon which the revocation or suspension will take effect unless the licensee shows cause to the Registrar as to why the approval should not be revoked or suspended. |
| (7) If, after the licensee has shown cause under subsection (6), the Registrar decides to proceed to revoke or suspend his or her approval, the Registrar must notify the licensee of the Registrar’s decision in writing and specify a date, at least 14 days after the date of the notice, upon which the revocation or suspension will take effect. |
| (8) The licensee may, within 14 days after the date of the notice under subsection (7), appeal in writing against the revocation or suspension to the Minister whose decision is final. |
| (9) If the licensee appeals to the Minister under subsection (8), the decision appealed against does not take effect unless it is confirmed by the Minister, or the appeal is for any reason dismissed by the Minister or is withdrawn. |
| (10) Any decision of the Registrar to revoke or suspend his or her approval under this section does not affect any moneylending transaction entered into before the date the decision is made. |
(11) The approval of any place of business for moneylending —| (a) | is suspended for the duration of any suspension of the relevant licence; and | | (b) | terminates as at the date of the expiry or revocation of the relevant licence. |
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(12) Any licensee who —| (a) | carries on the business of moneylending at a place of business without the Registrar’s approval; or | | (b) | carries on the business of moneylending at a place of business in respect of which the Registrar’s approval has been revoked or is suspended, |
| shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000. |
[8/2012] |
| (13) Any licensee who contravenes any condition of approval imposed under this section shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000. [10 |
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| Forfeiture of security deposit |
12.—(1) The Registrar may, without affecting the exercise of any other power under this Act, forfeit the whole or such part of any security deposit placed with the Accountant‑General under section 5(6)(c), 6(4)(c) or 11(3)(c) as the Registrar thinks fit if the Registrar is satisfied that there exists a ground for the revocation or suspension of the licence under section 10(1).| (2) The Registrar must, before forfeiting the whole or part of the security deposit under subsection (1), give the licensee notice in writing of the Registrar’s intention to do so specifying a date, at least 14 days after the date of the notice, upon which the forfeiture will be made unless the licensee shows cause to the Registrar as to why the whole or part of the security deposit should not be forfeited. |
| (3) Where, after the licensee has shown cause under subsection (2), the Registrar decides to forfeit the security deposit or any part of it, the Registrar must notify the licensee of the Registrar’s decision in writing and specify a date, at least 14 days after the date of the notice, upon which the security deposit or that part of it will be forfeited. |
| (4) The licensee may, within 14 days after the date of the notice under subsection (3), appeal in writing against the forfeiture of the licensee’s security deposit or any part of it to the Minister whose decision is final. |
| (5) If the licensee appeals to the Minister under subsection (4), the Registrar must not forfeit the security deposit or any part of it unless the Registrar’s decision to do so is confirmed by the Minister, or the appeal is for any reason dismissed by the Minister or is withdrawn. |
| (6) Where the licensee lawfully continues to carry on the business of moneylending under this Act after the licensee’s security deposit or any part of it has been forfeited, the licensee must restore the security deposit to the full amount as required under this Act by placing with the Accountant‑General an appropriate amount in the form and within the time required by the Registrar. [11 |
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| Approval before employing or engaging assistant, etc. |
| 13.—(1) A licensee must not, without the written approval of the Registrar, employ or engage any assistant. [7/2018] | (2) An application for the Registrar’s approval mentioned in subsection (1) must be made in the form and manner specified by the Registrar. [7/2018] |
(3) On an application by a licensee for the Registrar’s approval mentioned in subsection (1), the Registrar may —| (a) | grant the approval applied for; or | | (b) | refuse to grant the approval applied for. [7/2018] |
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| (4) The Registrar must refuse to grant an approval under subsection (3)(b) if the Registrar is not satisfied that the person in respect of whom the approval is sought is of good character and is a fit and proper person. [7/2018] |
(5) Without limiting subsection (4), the Registrar may refuse to approve as an assistant any person who, whether before, on or after the commencement date —| (a) | has been convicted of any offence involving dishonesty or moral turpitude; | | (b) | has been convicted of any offence under sections 50 to 57 of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act 1992, the Terrorism (Suppression of Financing) Act 2002 or any regulation made under the United Nations Act 2001; | | (ba) | has been convicted of an offence under any provision of any other written law relating to —| (i) | the prevention of money laundering; | | (ii) | the prevention of terrorism financing; or | | (iii) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (bb) | has been convicted of an offence under the law of any foreign country or territory relating to —| (i) | the prevention of money laundering; | | (ii) | the prevention of terrorism financing; or | | (iii) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (c) | is contravening or has contravened any provision of this Act or any corresponding previous written law; | | (d) | has been convicted of any offence under this Act or any corresponding previous written law; or | | (e) | has carried on any business of moneylending in Singapore or any foreign country or territory —| (i) | for which the licence has been revoked or suspended under this Act or any corresponding previous written law; or | | (ii) | the approval, authorisation, registration or licence of or for which has been withdrawn, cancelled or revoked by a regulatory authority in that foreign country or territory. [7/2018] [Act 6 of 2024 wef 01/05/2024] |
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(6) The Registrar may cancel any approval granted under subsection (3)(a) in respect of a person if the Registrar —| (a) | has reasonable grounds to believe that the approval has been obtained by fraud or misrepresentation; | | (b) | is no longer satisfied that the person is of good character; or | | (c) | is no longer satisfied that the person is a fit and proper person. [7/2018] |
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| (7) The Registrar must not refuse to grant an approval under subsection (3)(b) or cancel any approval under subsection (6) without giving the licensee concerned an opportunity to be heard. [7/2018] |
| (8) Where an approval granted under subsection (3)(a) is cancelled under subsection (6), the Registrar must notify the licensee concerned and the person in respect of whom the approval was granted of the cancellation and the date on which the approval is cancelled. [7/2018] |
(9) Starting on the date after the date of cancellation of approval specified in the notice under subsection (8) —| (a) | the licensee must stop employing or engaging the person in respect of whom the approval was cancelled; and | | (b) | the person in respect of whom the approval was cancelled must cease to act for the licensee. [7/2018] |
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| (10) Every licensee must submit to the Registrar, in the form and manner and at the time specified by the Registrar, the names and particulars of every assistant who, as at the date of the submission, is employed or engaged by the licensee. [7/2018] |
| (11) Every licensee must notify the Registrar, in writing, when any person ceases to be employed or engaged by the licensee as an assistant, not later than 7 business days after the cessation. [7/2018] [Act 38 of 2023 wef 01/03/2024] |
(12) Any person who, without reasonable excuse, contravenes subsection (1), (9), (10) or (11) shall be guilty of an offence and shall be liable on conviction —| (a) | to a fine not exceeding $20,000; and | | (b) | in the case of a continuing offence, to a further fine not exceeding $2,000 for every day or part of a day during which the offence continues after conviction. [7/2018] |
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(13) Where —| (a) | in fulfilment of a condition of a licence imposed under section 5(5), a licensee has obtained, before 30 November 2018, the Registrar’s approval to employ or engage an assistant; and | | (b) | the approval has not been cancelled, |
| the licensee is, on or after that date, treated as having been granted the written approval of the Registrar under subsection (3)(a) to employ or engage the assistant. |
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| (14) In subsection (5), “commencement date” means the date of commencement of section 25 of the Prevention of Proliferation Financing and Other Matters Act 2024. [Act 6 of 2024 wef 01/05/2024] [11A [7/2018] |
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| Approval, notification and submission of information relating to person taking part in management, etc. |
14.—(1) A licensee must not, without the written approval of the Registrar, permit any person to —| (a) | take part (whether directly or indirectly) in the management of the licensee’s business of moneylending; or | | (b) | become a director of the licensee. [7/2018] |
| (2) An application for the Registrar’s approval mentioned in subsection (1) must be made in the form and manner specified by the Registrar. [7/2018] |
(3) On an application by a licensee for the Registrar’s approval mentioned in subsection (1), the Registrar may —| (a) | grant the approval applied for; or | | (b) | refuse to grant the approval applied for. [7/2018] |
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| (4) The Registrar must refuse to grant an approval under subsection (3)(b) if the Registrar is not satisfied that the person in respect of whom the approval is applied for is of good character and is a fit and proper person. [7/2018] |
(5) Without limiting subsection (4), the Registrar may refuse to grant an approval under subsection (3)(b) to any person who, whether before, on or after the commencement date —| (a) | has been convicted of any offence involving dishonesty or moral turpitude; | | (b) | has been convicted of any offence under sections 50 to 57 of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act 1992, the Terrorism (Suppression of Financing) Act 2002 or any regulation made under the United Nations Act 2001; | | (ba) | has been convicted of an offence under any provision of any other written law relating to —| (i) | the prevention of money laundering; | | (ii) | the prevention of terrorism financing; or | | (iii) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (bb) | has been convicted of an offence under the law of any foreign country or territory relating to —| (i) | the prevention of money laundering; | | (ii) | the prevention of terrorism financing; or | | (iii) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (c) | is contravening or has contravened any provision of this Act or any corresponding previous written law; | | (d) | has been convicted of any offence under this Act or any corresponding previous written law; or | | (e) | has carried on any business of moneylending in Singapore or any foreign country or territory —| (i) | for which the licence has been revoked or suspended under this Act or any corresponding previous written law; or | | (ii) | the approval, authorisation, registration or licence of or for which has been withdrawn, cancelled or revoked by a regulatory authority in that foreign country or territory. [7/2018] [Act 6 of 2024 wef 01/05/2024] |
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(6) The Registrar may cancel any approval granted under subsection (3)(a) in respect of a person if the Registrar —| (a) | has reasonable grounds to believe that the approval has been obtained by fraud or misrepresentation; | | (b) | is no longer satisfied that the person is of good character; or | | (c) | is no longer satisfied that the person is a fit and proper person. [7/2018] |
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| (7) The Registrar must not refuse to grant an approval under subsection (3)(b) or cancel any approval under subsection (6) without giving the licensee concerned an opportunity to be heard. [7/2018] |
| (8) Where an approval granted under subsection (3)(a) is cancelled under subsection (6), the Registrar must notify the licensee concerned and the person in respect of whom the approval was granted of the cancellation and the date on which the approval is cancelled. [7/2018] |
(9) Starting on the date after the date of cancellation of approval specified in the notice under subsection (8) —| (a) | the licensee must not permit the person in respect of whom the approval was cancelled —| (i) | to take part (whether directly or indirectly) in the management of the licensee’s business of moneylending; or | | (ii) | to be a director of the licensee; and |
| | (b) | the person in respect of whom the approval was cancelled must —| (i) | cease to take part (whether directly or indirectly) in the management of the licensee’s business of moneylending; or | | (ii) | cease to be a director of the licensee. [7/2018] |
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(10) Every licensee must submit to the Registrar, in the form and manner and at the time specified by the Registrar, the names and particulars of every person who, as at the date of the submission —| (a) | is taking part (whether directly or indirectly) in the management of the licensee’s business of moneylending; or | | (b) | is a director of the licensee. [7/2018] |
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(11) Where any person —| (a) | ceases to take part (whether directly or indirectly) in the management of a licensee’s business of moneylending; or | | (b) | ceases to be a director of a licensee, |
| the licensee must notify the Registrar in writing of the cessation not later than 7 business days after becoming aware of the cessation. |
[7/2018] [Act 38 of 2023 wef 01/03/2024] |
(12) Any person who, without reasonable excuse, contravenes subsection (1), (9), (10) or (11) shall be guilty of an offence and shall be liable on conviction —| (a) | to a fine not exceeding $20,000; and | | (b) | in the case of a continuing offence, to a further fine not exceeding $2,000 for every day or part of a day during which the offence continues after conviction. [7/2018] |
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(13) Where —| (a) | a licensee has obtained the Registrar’s approval under section 12(1)(b) of this Act as in force immediately before 30 November 2018 for the admission of a person who will be responsible for the management of the licensee’s business of moneylending; and | | (b) | the approval has not been cancelled, |
| the licensee is treated as having been granted the Registrar’s approval under subsection (3)(a) to permit the person to take part (whether directly or indirectly) in the management of the licensee’s business of moneylending. |
[7/2018] |
(14) Where —| (a) | a licensee has obtained the Registrar’s approval under section 12(1)(c) of this Act as in force immediately before 30 November 2018 for a person to become a director or partner of the licensee; and | | (b) | the approval has not been cancelled, |
| the licensee is treated as having been granted the Registrar’s approval under subsection (3)(a) to permit the person to become a director or partner of the licensee. |
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| (15) In subsection (5), “commencement date” means the date of commencement of section 26 of the Prevention of Proliferation Financing and Other Matters Act 2024. [Act 6 of 2024 wef 01/05/2024] [11B [7/2018] |
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| Approval of change in business name |
| 15.—(1) Every licensee must obtain the written approval of the Registrar before changing the licensee’s business name. [7/2018] | (2) An application for the Registrar’s approval mentioned in subsection (1) must be made in the form and manner specified by the Registrar. [7/2018] |
(3) On an application by a licensee for the Registrar’s approval mentioned in subsection (1), the Registrar may —| (a) | grant the approval applied for; or | | (b) | refuse to grant the approval applied for. [7/2018] |
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| (4) The Registrar must not refuse to grant an approval under subsection (3)(b) without giving the licensee concerned an opportunity to be heard. [7/2018] |
| (5) Any licensee who, without reasonable excuse, contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000. [11C [7/2018] |
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| Notification of certain events |
| 16.—(1) If any event in subsection (3) occurs, the licensee in question must notify the Registrar in writing of the occurrence not later than 7 business days after the licensee becomes aware of the event. [Act 38 of 2023 wef 01/03/2024] | (2) [Deleted by Act 38 of 2023 wef 01/03/2024] |
(3) The events mentioned in subsection (1) are the following:| (a) | the making of an application to the General Division of the High Court for a bankruptcy order against any director or substantial shareholder of the licensee; | | (b) | the making of an application to the General Division of the High Court under the Companies Act 1967 to summon a meeting of the creditors or members of —| (i) | the licensee; or | | (ii) | any substantial shareholder of the licensee; |
| | (c) | the making of an application to the General Division of the High Court under the Insolvency, Restructuring and Dissolution Act 2018 or any previous written law for the court to approve a compromise or arrangement between —| (i) | the licensee; or | | (ii) | any substantial shareholder of the licensee, |
| and the creditors of the licensee or substantial holder (as the case may be) or any class of those creditors, without any meeting of the creditors or class of creditors; |
| | (d) | the making of an application to the General Division of the High Court under the Insolvency, Restructuring and Dissolution Act 2018 or any previous written law to place under judicial management —| (i) | the licensee; or | | (ii) | any substantial shareholder of the licensee; |
| | (e) | the lodgment of a written notice of the appointment of an interim judicial manager under section 94(5)(a) of the Insolvency, Restructuring and Dissolution Act 2018 in respect of —| (i) | the licensee; or [Act 38 of 2023 wef 01/03/2024] | | (ii) | any substantial shareholder of the licensee; [Act 38 of 2023 wef 01/03/2024] | | (iii) | [Deleted by Act 38 of 2023 wef 01/03/2024] |
| | (f) | the making of an order under the Insolvency, Restructuring and Dissolution Act 2018 or any previous written law or the Limited Liability Partnerships Act 2005, appointing a receiver or manager, or a receiver and manager, of the property of —| (i) | the licensee; or | | (ii) | any substantial shareholder of the licensee; |
| | (g) | the passing of a resolution under the Insolvency, Restructuring and Dissolution Act 2018 or any previous written law or the Limited Liability Partnerships Act 2005, for the voluntary winding up of —| (i) | the licensee; or | | (ii) | any substantial shareholder of the licensee; |
| | (h) | the making of an application to the General Division of the High Court under the Insolvency, Restructuring and Dissolution Act 2018 or any previous written law or the Limited Liability Partnerships Act 2005, for winding up by an order of the court of —| (i) | the licensee; or | | (ii) | any substantial shareholder of the licensee; |
| | (i) | the making of a statutory declaration under the Companies Act 1967 or the Limited Liability Partnerships Act 2005, in respect of —| (i) | the licensee; or | | (ii) | any substantial shareholder of the licensee. [7/2018; 40/2018; 40/2019] [Act 38 of 2023 wef 01/03/2024] |
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(4) When a licensee notifies the Registrar of an event under subsection (1) —| (a) | the Registrar may require the licensee to notify the Registrar of any further event in relation to that event; and | | (b) | the licensee must notify the Registrar of the further event no later than 7 business days after the licensee becomes aware that the further event has occurred. [7/2018] [Act 38 of 2023 wef 01/03/2024] [Act 38 of 2023 wef 01/03/2024] |
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| (5) Any licensee who, without reasonable excuse, contravenes subsection (1) or (4) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000. [11D [7/2018] [Act 38 of 2023 wef 01/03/2024] |
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| Approval concerning substantial shareholding |
| 17.—(1) A person must not become a substantial shareholder of a licensee without the written approval of the Registrar. [7/2018] | (2) A substantial shareholder of a licensee must not increase the person’s substantial shareholding in a licensee without the written approval of the Registrar. [7/2018] |
| (3) Subsections (1) and (2) do not apply in relation to any licensee that has been admitted to the official list of a securities exchange in Singapore and has not been removed from that list. [7/2018] |
| (4) An application for the Registrar’s approval mentioned in subsection (1) or (2) must be made in the form and manner specified by the Registrar. [7/2018] |
(5) On an application by a licensee for the Registrar’s approval mentioned in subsection (1) or (2), the Registrar may —| (a) | grant the approval applied for; or | | (b) | refuse to grant the approval applied for. [7/2018] |
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| (6) The Registrar must refuse to grant an approval under subsection (5)(b) if the Registrar is not satisfied that the applicant is of good character and is a fit and proper person. [7/2018] |
(7) Without limiting subsection (6), the Registrar may refuse to grant an approval under subsection (5)(b) to any person who, whether before, on or after the commencement date —| (a) | has been convicted of any offence involving dishonesty or moral turpitude; | | (b) | has been convicted of any offence under sections 50 to 57 of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act 1992, the Terrorism (Suppression of Financing) Act 2002 or any regulation made under the United Nations Act 2001; | | (ba) | has been convicted of an offence under any provision of any other written law relating to —| (i) | the prevention of money laundering; | | (ii) | the prevention of terrorism financing; or | | (iii) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (bb) | has been convicted of an offence under the law of any foreign country or territory relating to —| (i) | the prevention of money laundering; | | (ii) | the prevention of terrorism financing; or | | (iii) | the prevention of the financing of proliferation of weapons of mass destruction; [Act 6 of 2024 wef 01/05/2024] |
| | (c) | is contravening or has contravened any provision of this Act or any corresponding previous written law; | | (d) | has been convicted of any offence under this Act or any corresponding previous written law; or | | (e) | has carried on any business of moneylending in Singapore or any foreign country or territory —| (i) | for which the licence has been revoked or suspended under this Act or any corresponding previous written law; or | | (ii) | the approval, authorisation, registration or licence of or for which has been withdrawn, cancelled or revoked by a regulatory authority in that foreign country or territory. [7/2018] [Act 6 of 2024 wef 01/05/2024] |
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(8) The Registrar may cancel any approval granted under subsection (5)(a) in respect of a person if the Registrar —| (a) | has reasonable grounds to believe that the approval has been obtained by fraud or misrepresentation; | | (b) | is no longer satisfied that the person is of good character; or | | (c) | is no longer satisfied that the person is a fit and proper person. [7/2018] |
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| (9) The Registrar must not refuse to grant an approval under subsection (5)(b) or cancel any approval under subsection (8) without giving the person applying for the approval or to whom an approval was granted an opportunity to be heard. [7/2018] |
| (10) Where an approval granted under subsection (5)(a) is cancelled under subsection (8), the Registrar must notify the licensee concerned and the person in respect of whom the approval was granted of the cancellation and the date on which the approval is cancelled. [7/2018] |
(11) Starting on the date after the date of cancellation of approval specified in the notice under subsection (10) —| (a) | the person in respect of whom an approval to become a substantial shareholder of the licensee was cancelled must cease to be a substantial shareholder of the licensee; or | | (b) | the substantial shareholder in respect of whom the approval to increase the person’s substantial shareholding in the licensee was cancelled must reduce the substantial shareholding in the licensee to a level required by the Registrar in the notice. [7/2018] |
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| (12) The Registrar must not require any substantial shareholder mentioned in subsection (11)(b) to reduce the substantial shareholding to a level that is lower than the substantial shareholding prior to the increase for which the approval was cancelled. [7/2018] |
| (13) Every licensee must submit to the Registrar, in the form and manner and at the time specified by the Registrar, the names and particulars of every person who, as at the date of the submission, is a substantial shareholder of the licensee. [7/2018] |
| (14) Where any person ceases to be a substantial shareholder of a licensee, the licensee must notify the Registrar in writing of the cessation not later than 7 business days after becoming aware of the cessation. [7/2018] [Act 38 of 2023 wef 01/03/2024] |
(15) Any person who, without reasonable excuse, contravenes subsection (1), (2), (11), (13) or (14) shall be guilty of an offence and shall be liable on conviction —| (a) | to a fine not exceeding $20,000; and | | (b) | in the case of a continuing offence, to a further fine not exceeding $2,000 for every day or part of a day during which the offence continues after conviction. [7/2018] |
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(16) Where —| (a) | a person has obtained the Registrar’s approval under section 12(1)(d)(i) of this Act as in force immediately before 30 November 2018 for the person to become a substantial shareholder of a licensee; and | | (b) | the approval has not been cancelled, |
| the person is treated as having been granted the Registrar’s approval under subsection (5)(a) to become a substantial shareholder. |
[7/2018] |
(17) Where —| (a) | a substantial shareholder has obtained the Registrar’s approval under section 12(1)(d)(ii) of this Act as in force immediately before 30 November 2018 for the substantial shareholder to increase the person’s substantial shareholding in the licensee; and | | (b) | the approval has not been cancelled, |
| the substantial shareholder is treated as having been granted the Registrar’s approval under subsection (5)(a) to increase the substantial shareholding. |
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| (18) In subsection (7), “commencement date” means the date of commencement of section 27 of the Prevention of Proliferation Financing and Other Matters Act 2024. [Act 6 of 2024 wef 01/05/2024] [12 [7/2018] |
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18. The Registrar may cause to be published in such manner as he or she may determine —| (a) | a list of all licensees and such of their particulars as the Registrar may determine; and | | (b) | a list of such persons granted an exemption by the Minister under section 91, and such of their particulars and the conditions of their exemption, as the Registrar may determine. [13 |
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19.—(1) Subject to subsection (2), any person who contravenes, or who assists in the contravention of, section 5(1) shall be guilty of an offence and —| (a) | in the case where the person is a body corporate, shall on conviction be punished with a fine of not less than $50,000 and not more than $500,000; or | | (b) | in any other case —| (i) | shall on conviction be punished with a fine of not less than $30,000 and not more than $300,000 and with imprisonment for a term not exceeding 4 years; and | | (ii) | in the case of a second or subsequent offence, shall on conviction be punished with a fine of not less than $30,000 and not more than $300,000 and with imprisonment for a term not exceeding 7 years. |
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(2) Subject to sections 325(1) and 330(1) of the Criminal Procedure Code 2010 —| (a) | a person who is convicted for the first time of an offence under subsection (1) shall also be liable to be punished with caning with not more than 6 strokes; or | | (b) | a person who is convicted of a second or subsequent offence under subsection (1) shall also be liable to be punished with caning with not more than 12 strokes. [15/2010] |
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(3) Where any contract for a loan has been granted by an unlicensed moneylender, or any guarantee or security has been given for such a loan —| (a) | the contract for the loan, and the guarantee or security (as the case may be) is unenforceable; and | | (b) | any money paid by or on behalf of the unlicensed moneylender under the contract for the loan is not recoverable in any court of law. |
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(4) Subsections (1) and (3) do not apply to a moneylender who —| (a) | is not ordinarily resident in Singapore; | | (b) | is not a licensee; and | | (c) | carries on the business of moneylending in Singapore through an agent who is a licensee or an exempt moneylender. |
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(5) Without limiting subsection (1), a person (P) assists in a contravention of section 5(1) if —| (a) | P collects or demands payment of a loan on behalf of a person whom P knows or has reasonable grounds to believe is carrying on a business in contravention of section 5(1); | | (b) | P receives, possesses, conceals or disposes of any funds or other property, or engages in a banking transaction relating to any funds, on behalf of any person knowing or having reasonable grounds to believe that —| (i) | the person is carrying on a business in contravention of section 5(1); and | | (ii) | either the funds are (or are intended to be) disbursed as a loan by that person, or the funds or property is repayment of a loan made by that person; |
| | (c) | being the owner or person having management or control of any premises, P allows the premises to be used to carry on a business knowing or having reasonable grounds to believe that the carrying on of such business contravenes section 5(1); | | (d) | P lends or provides funds, or lends, sells or provides any prepaid subscriber identification module (SIM) card or other property to a person, knowing or having reasonable grounds to believe that the funds or property will be used for the carrying on of a business in contravention of section 5(1); | | (e) | P keeps the records and accounts of a business knowing or having reasonable grounds to believe that the carrying on of such business contravenes section 5(1); | | (f) | P promotes or advertises a business knowing or having reasonable grounds to believe that the carrying on of such business contravenes section 5(1); or | | (g) | P provides or gives access to the name of or other information relating to any other person (called the potential borrower), or otherwise refers a potential borrower, to a person whom P knows or has reasonable grounds to believe is carrying on a business in contravention of section 5(1), intending to facilitate or knowing it to be likely to facilitate the lending of money by that person to the potential borrower. [8/2012] |
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| (6) In subsection (5), “funds” and “property” have the meanings given by section 21. |
| (7) For the purposes of subsection (1), where the bank account or automated teller machine card of any person, or a telecommunication service subscribed in the name of or purchased by any person, is proved to the satisfaction of the court to have been used to facilitate the carrying on of the business of moneylending by an unlicensed moneylender, that person is presumed, until the contrary is proved, to have assisted in the contravention of section 5(1). |
| (8) In this section, unless the context otherwise requires, “telecommunication service” has the meaning given by the Telecommunications Act 1999. [14 |
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| Other offences under this Part |
20.—(1) Any person who, in connection with an application for the issue or renewal of a licence or for the approval of any place of business for moneylending —| (a) | knowingly or recklessly furnishes any information or statement to the Registrar which is false or misleading in a material particular; | | (b) | wilfully omits to state any matter without which the application is misleading in a material particular; or | | (c) | produces to the Registrar any book, record or other document which the person knows or has reason to believe contains information which is false or misleading in a material particular, |
| shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $40,000 or to imprisonment for a term not exceeding 12 months or to both. |
(2) Any licensee who —| (a) | contravenes any condition of the licensee’s licence; or | | (b) | carries on the business of moneylending under any name other than the licensee’s business name, |
| shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000. |
[15 |
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