PART IV
POWERS, DUTIES AND FUNCTIONS OF AUTHORITY
Powers, duties and functions of Authority
23.—(1)  The Authority may, in addition to the functions referred to in section 4(2), exercise and discharge the following powers, duties and functions:
(a)accept deposits of money and pay interest on such deposits;
(b)issue demand drafts and other kinds of remittances made payable at its own office or the offices of agencies or correspondents;
(c)purchase, repurchase, accept on deposit and sell gold coin or bullion;
[Act 9 of 2013 wef 18/04/2013]
(d)purchase, repurchase, sell, discount and re-discount Treasury bills of the Government;
[Act 9 of 2013 wef 18/04/2013]
(e)purchase, repurchase and sell securities of the Government or of any public authority which have been publicly offered for sale or form part of an issue which is being made to the public at the time of acquisition;
[Act 9 of 2013 wef 18/04/2013]
(ea)grant any loan, advance, overdraft or other credit facility to the Government on such terms and conditions as the Authority thinks fit;
(f)purchase, repurchase, sell, discount and re-discount bills of exchange and promissory notes arising out of bona fide commercial transactions bearing 2 or more good signatures and maturing within 3 months (exclusive of days of grace) from the date of acquisition;
[Act 9 of 2013 wef 18/04/2013]
(g)grant loans, advances or other credit facilities for the purposes of money market operations, on such terms and conditions as the Authority thinks fit, to such financial institutions or class of financial institutions as the Authority may from time to time determine;
(ga)for the purposes of money market operations —
(i)issue securities in the name of the Authority in accordance with Part VA;
(ii)purchase, repurchase, sell, redeem, discount and re-discount such securities; and
(iii)do all things which the Authority may do under Part VA in connection with such securities;
[Act 9 of 2013 wef 18/04/2013]
(h)invest in securities of the Government or of any public authority for any amount, and to mature at any time on behalf of staff and pension funds and other internal funds of the Authority;
(i)acquire, hold and sell shares of any corporation set up with the approval of, or under the authority of, the Government for the purpose of promoting the development of a money market or securities market in Singapore or for the financing of economic development in Singapore;
(j)purchase, repurchase and sell currency, and purchase, repurchase, sell, discount and re-discount bills of exchange and Treasury bills drawn in or on places outside Singapore;
[Act 9 of 2013 wef 18/04/2013]
(k)borrow money, establish credits and give guarantees in any currency, inside and outside Singapore, on such terms and conditions as the Authority may think fit;
(l)maintain accounts with central banks outside Singapore and with other banks inside and outside Singapore;
(m)purchase, repurchase and sell securities of, or guaranteed by, such guarantor, governments or international financial institutions as may be approved by the board, or purchase, repurchase and sell such other securities, financial instruments and investments as may be approved by the board;
[13/2007 wef 30/06/2007]
[Act 9 of 2013 wef 18/04/2013]
(n)act as correspondent, banker or agent for any central bank or other monetary authority and for any international bank or international monetary authority established under governmental auspices;
(o)open accounts for, and accept deposits from, the Government, public authorities, companies in which the Government or a public authority has a substantial interest, and companies which are deemed to be related to those companies by virtue of section 6 of the Companies Act (Cap. 50), banks and other credit institutions in Singapore;
(p)underwrite loans in which the Authority may invest;
(q)undertake the issue and management of securities issued by the Government or by any public authority;
(qa)form or participate in the formation of any company or in any joint venture as a shareholder or partner or in any other capacity, for purposes that are necessary or expedient for the purpose of discharging its functions or achieving its objects; and
[31/2005 wef 18/10/2005]
(r)do generally all such things as may be commonly done by bankers and are not inconsistent with the exercise of its powers or the discharge of its duties under this Act.
[31/72; 26/84]
[13/2007 wef 30/06/2007]
(2)  For the purposes of subsection (1)(o) and section 30(d), the Government or a public authority shall have a substantial interest in a company if it, either by itself or together with any other public authority, has an interest or interests in one or more voting shares in the company and the vote or votes attached to that share, or the total votes attached to those shares either held by itself or together with any other public authority, is not less than 20% of the total votes attached to all the voting shares in the company.
[21/2005 wef 30/01/2006]
(3)  In subsection (1), a reference to the purchase of any securities or Treasury bills includes subscribing for such securities or Treasury bills.
[13/2007 wef 30/06/2007]
(4)  Notwithstanding subsection (1), the Authority shall not grant any loan, advance, overdraft or other credit facility to the Government, or underwrite any loan to the Government, unless the Authority is satisfied that such loan, advance, overdraft or credit facility is required by the Government to meet unexpected and temporary shortfall in the Government’s revenue relative to its expenditure.
[13/2007 wef 30/06/2007]
(5)  Notwithstanding subsection (1), the Authority shall not directly subscribe for any securities issued by the Government or any public authority.
[13/2007 wef 30/06/2007]
(6)  Subsection (5) shall not apply to any subscription for debt securities issued by the Government or any public authority that is made in connection with —
(a)in the case of debt securities (including Treasury bills) issued by the Government, the conduct of monetary policy or the development of the bond market in Singapore; or
(b)in the case of debt securities issued by any public authority, the development of the bond market in Singapore,
but only insofar as the subscription does not compromise the object of the Authority referred to in section 4(1)(a).
[13/2007 wef 30/06/2007]
(7)  Nothing in this section shall be construed as authorising the Authority to —
(a)grant any loan, advance, overdraft or other credit facility to any public authority; or
(b)underwrite any loan to any public authority.
[13/2007 wef 30/06/2007]
(8)  The Authority may, in addition to the powers, duties and functions set out in this Part, exercise all powers and perform all functions and duties conferred or imposed on the Authority under this Act, the written laws set out in the Schedule, and any other written law.
[13/2007 wef 30/06/2007]
(9)  The Minister may, from time to time, by order published in the Gazette, amend the Schedule.
[13/2007 wef 30/06/2007]
(10)  Notwithstanding section 56 of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act (Cap. 65A), the Authority may, for the purposes of performing the Authority’s functions and duties under this Act, the written laws set out in the Schedule and any other written law, require a relevant Suspicious Transaction Reporting Officer to disclose to the Authority any information or matter which he has obtained in the performance of his duties or the exercise of his functions under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act.
[Act 9 of 2013 wef 18/04/2013]
(11)  In this section —
“relevant Suspicious Transaction Reporting Officer” means a Suspicious Transaction Reporting Officer who is an officer or employee of the Authority;
“Suspicious Transaction Reporting Officer” has the same meaning as in section 2(1) of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act.
[Act 9 of 2013 wef 18/04/2013]
Investment of funds
24.  The funds of the Authority may be invested in all or any of the following:
(a)gold coin or bullion;
(b)notes, coins, money at call and deposits in such country or countries as may be approved by the board;
(c)Treasury bills of such government or governments as may be approved by the board;
(d)securities of, or guaranteed by, such government or governments or international financial institutions as may be approved by the board;
(e)such other securities, financial instruments and investments as may be approved by the board.
[13/2007 wef 30/06/2007]
[26/84]
Authority as a banker to, and financial agent of, Government and manager of its external assets
25.—(1)  The Authority shall act as a banker to, and a financial agent of, the Government.
(2)  Whenever the Authority receives and disburses Government moneys, the Authority shall keep account thereof and may be paid an agency fee for its services.
(3)  The Authority may act generally as agent for the Government on such terms and conditions as may be agreed between the Authority and the Government where the Authority can do so appropriately and consistently with the provisions of this Act and with its duties and functions as a monetary authority.
(4)  The Authority shall, subject to the Financial Procedure Act (Cap. 109) and any other written law, manage the external assets of the Government.
Special loans to banks, financial institutions, etc.
26.  The Authority may, if it thinks such action is necessary to safeguard —
(a)the stability of the financial system; or
(b)public confidence in the financial system,
make any loan or advance to any bank carrying on business under the Banking Act (Cap. 19) or to such financial institutions or class of financial institutions or such other persons as the Authority may from time to time determine, on such terms and conditions as the Authority thinks fit.
Power to issue directions to financial institutions
27.—(1)  The Authority may, if it thinks it necessary in the public interest, request information from and make recommendations to such financial institutions as the Authority may, from time to time, determine and may issue directions for the purpose of securing that effect is given to any such request or recommendation.
[31/72; 26/84]
(2)  Before issuing any direction under subsection (1), the financial institution or financial institutions concerned shall, unless the Authority in respect of any particular direction decides that it is not practicable or desirable, be given an opportunity to make representations with regard to the proposed direction within such time as the Authority shall specify.
[31/72]
(3)  Upon receipt of any representations referred to in subsection (2), the Authority shall consider them and may —
(a)reject the representations; or
(b)amend or modify the proposed direction in accordance with the representations, or otherwise,
and in either event, the Authority shall thereupon issue a direction in writing to such financial institution or financial institutions, as the case may be, requiring that effect be given to the proposed direction or to the proposed direction as subsequently amended or modified by it within a reasonable time, and the financial institution or financial institutions, as the case may be, shall comply with that direction.
[31/72]
(4)  Any financial institution that fails or refuses to comply with a direction given under this section shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000.
[31/72; 26/84]
(5)  It shall not be necessary to publish any direction issued under this section or section 27A, 27B or 28 in the Gazette.
[Act 9 of 2013 wef 18/04/2013]
Directions or regulations to discharge Government’s international obligations
27A.—(1)  The Authority may, from time to time —
(a)issue such directions to a financial institution or class of financial institutions; and
(b)make such regulations concerning any financial institution or class of financial institutions or relating to the activities of any financial institution or class of financial institutions,
as the Authority considers necessary in order to discharge or facilitate the discharge of any obligation binding on Singapore by virtue of a decision of the Security Council of the United Nations.
[16/2002 wef 30/09/2002]
(2)  A financial institution to which a direction is issued under subsection (1)(a) or which is bound by any regulations made under subsection (1)(b) shall comply with the direction or regulations notwithstanding any other duty imposed on the financial institution by any rule of law, written law or contract.
[16/2002 wef 30/09/2002]
(3)  A financial institution shall not in carrying out any act in compliance with any direction or regulations made under subsection (1) be treated as being in breach of any such rule of law, written law or contract.
[16/2002 wef 30/09/2002]
(4)  A financial institution shall not disclose any direction issued under subsection (1)(a) if the Authority notifies the financial institution that the Authority is of the opinion that the disclosure of the direction is against the public interest.
[16/2002 wef 30/09/2002]
(5)  A financial institution which —
(a)fails or refuses to comply with a direction issued to it;
(b)contravenes any regulations made under subsection (1)(b); or
(c)discloses a direction issued to it in contravention of subsection (4),
shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $1 million.
[16/2002 wef 30/09/2002]
[13/2007 wef 30/06/2007]
[42/2007 wef 01/11/2007]
(6)  In this section, “financial institution” means —
(a)any bank licensed under the Banking Act (Cap. 19);
(b)any finance company licensed under the Finance Companies Act (Cap. 108);
(c)any person that is approved as a financial institution under section 28;
[13/2007 wef 30/06/2007]
(d)any money-changer licensed to conduct money-changing business, or any remitter licensed to conduct remittance business, under the Money-changing and Remittance Businesses Act (Cap. 187);
(e)any insurer licensed or regulated under the Insurance Act (Cap. 142);
[Act 11 of 2013 wef 18/04/2013]
(f)any insurance intermediary registered or regulated under the Insurance Act;
(g)any licensed financial adviser under the Financial Advisers Act (Cap. 110);
(h)any approved holding company, securities exchange, futures exchange, recognised market operator, licensed trade repository, licensed foreign trade repository, approved clearing house, recognised clearing house or holder of a capital markets services licence under the Securities and Futures Act (Cap. 289);
[Act 34 of 2012 wef 01/08/2013]
(i)any trustee for a collective investment scheme authorised under section 286 of the Securities and Futures Act, that is approved under that Act;
(j)any trustee-manager of a business trust that is registered under the Business Trusts Act (Cap. 31A);
(k)any licensed trust company under the Trust Companies Act (Cap. 336);
(ka)any holder of a stored value facility under the Payment Systems (Oversight) Act (Cap. 222A);
[42/2007 wef 01/11/2007]
[Act 14 of 2015 wef 26/06/2015]
(kb)any designated financial holding company under the Financial Holding Companies Act 2013 (Act 13 of 2013);
[Act 14 of 2015 wef 26/06/2015]
(kc)any person licensed under the Banking Act (Cap. 19) to carry on the business of issuing credit cards or charge cards in Singapore; and
[Act 14 of 2015 wef 26/06/2015]
(l)any other person licensed, approved, registered or regulated by the Authority under any written law,
but does not include such person or class of persons as the Authority may, by regulations made under this section, prescribe.
[16/2002 wef 30/09/2002]
[13/2007 wef 30/06/2007]
(7)  For the purpose of subsection (6), a reference to a person being licensed, approved, registered or regulated under any of the laws referred to in that subsection includes a person who is exempted under the relevant law from being licensed, approved, registered or regulated, but does not include such person or class of persons as the Authority may, by regulations made under this section, prescribe.
[16/2002 wef 30/09/2002]
[13/2007 wef 30/06/2007]
Requirements for prevention of money laundering and terrorism financing
27B.—(1)  The Authority may, from time to time, issue such directions or make such regulations concerning any financial institution or class of financial institutions as the Authority considers necessary for the prevention of money laundering or for the prevention of the financing of terrorism.
[13/2007 wef 30/06/2007]
(1A)  In particular, the directions and regulations under subsection (1) may provide for —
(a)customer due diligence measures to be conducted by financial institutions to prevent money laundering and the financing of terrorism; and
(b)the records to be kept for that purpose.
[Act 14 of 2015 wef 26/06/2015]
(1B)  A financial institution must —
(a)conduct such customer due diligence measures as may be specified by the directions referred to in subsection (1A) that are issued to it, or as may be prescribed by the regulations referred to in that subsection that are applicable to it; and
(b)maintain records on transactions and information obtained through the conduct of those measures for such period and in such manner as may be specified by the directions referred to in subsection (1A) that are issued to it, or as may be prescribed by the regulations referred to in that subsection that are applicable to it.
[Act 14 of 2015 wef 26/06/2015]
(2)  A financial institution which —
(a)fails to comply with a direction issued to it under subsection (1);
(b)contravenes any regulation made under subsection (1); or
(c)contravenes subsection (1B),
shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $1 million and, in the case of a continuing offence, to a further fine of $100,000 for every day or part of a day during which the offence continues after conviction.
[Act 14 of 2015 wef 26/06/2015]
(3)  In this section, “financial institution” has the same meaning as in section 27A(6) read with section 27A(7).
[13/2007 wef 30/06/2007]
[Act 14 of 2015 wef 26/06/2015]
Inspection of financial institutions for compliance with directions and regulations under sections 27A and 27B
27C.—(1)  The Authority may, from time to time, inspect under conditions of secrecy the books of —
(a)a financial institution; or
(b)any subsidiary, branch, agency or office outside Singapore of a financial institution incorporated or established in Singapore,
for the purpose of determining the extent of compliance by the financial institution with the directions issued and the regulations made under sections 27A and 27B.
(2)  The Authority may appoint any person, including an auditor (not being an auditor of the financial institution), to carry out an inspection under this section.
(3)  If the inspection is carried out on the ground that the Authority has reason to believe that the financial institution has contravened or is contravening any direction issued or regulation made under section 27A or 27B, and if the Authority so directs, then the financial institution is liable to pay for the remuneration and expenses of any person appointed under subsection (2) for the inspection.
(4)  The Authority may recover from the financial institution the remuneration and expenses referred to in subsection (3) as a civil debt due to the Authority.
(5)  The Authority may, in its discretion, waive the payment of all or any part of the remuneration and expenses referred to in subsection (3).
(6)  Where, in the course of an inspection under subsection (1), the Authority obtains any protected information as defined in section 30X(1), and that information is not necessary for taking any action regarding non-compliance with any direction issued or regulation made under section 27A or 27B, then the Authority must treat that information as secret.
(7)  Subsection (6) does not prevent the transmission under section 27F, 30ZA, 30ZC or 30ZF by the Authority of any information to any authority referred to in the applicable section.
(8)  In this section and section 27D, “book” has the same meaning as in section 30X(1).
(9)  In this section and sections 27D, 27E and 27F, “financial institution” has the same meaning as in section 27A(6) read with section 27A(7).
[Act 14 of 2015 wef 26/06/2015]
Obligation of financial institution under inspection
27D.—(1)  For the purposes of an inspection under section 27C(1), the financial institution must —
(a)give the Authority access to such of the books of the financial institution as the Authority may reasonably require to conduct the inspection;
(b)procure a person who is in possession of such of the books of the financial institution as the Authority may reasonably require to conduct the inspection, to give the Authority access to the books;
(c)provide such information (including information relating to the internal control systems of the financial institution) and facilities as the Authority may reasonably require to conduct the inspection; and
(d)procure a person who is in possession of such information (including information relating to the internal control systems of the financial institution) and facilities as the Authority may reasonably require to conduct the inspection, to provide the information and facilities to the Authority.
(2)  Subsection (1) has effect despite any obligation of confidentiality or other restrictions on the disclosure of information imposed on the financial institution or any of its officers, or on any person referred to in subsection (1)(b) or (d), by any prescribed written law as defined in section 30X(1) or any requirement imposed under any such written law, any rule of law, any contract or any rule of professional conduct.
(3)  A financial institution which refuses or neglects, without reasonable excuse, to comply with subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000 and, in the case of a continuing offence, to a further fine not exceeding $10,000 for every day or part of a day during which the offence continues after conviction.
(4)  No civil or criminal liability is incurred by a financial institution or any of its officers, or by any person referred to in subsection (1)(b) or (d), in respect of any obligation or restriction referred to in subsection (2), for doing or omitting to do any act, if the act is done or omitted to be done with reasonable care and in good faith and for the purpose of complying with subsection (1).
(5)  A financial institution or any of its officers, or any person referred to in subsection (1)(b) or (d), that, with reasonable care and in good faith, does or omits to do any act for the purpose of complying with subsection (1) is not to be treated as being in breach of any obligation or restriction referred to in subsection (2).
[Act 14 of 2015 wef 26/06/2015]
Confidentiality of inspection reports
27E.—(1)  Except as provided in subsection (2), where a written report has been produced in respect of a financial institution by the Authority following an inspection under section 27C, the report must not be disclosed to any person by —
(a)the financial institution; or
(b)any officer or auditor of the financial institution.
(2)  Disclosure of the report may be made —
(a)by the financial institution to any officer or auditor of that financial institution solely in connection with the performance of the duties of the officer or auditor, as the case may be, in that financial institution;
(b)by any officer or auditor of the financial institution to any other officer or auditor of that financial institution, solely in connection with the performance of their respective duties in that financial institution; or
(c)to such other person as the Authority may approve in writing.
(3)  In granting approval for any disclosure under subsection (2)(c), the Authority may impose such conditions or restrictions as it thinks fit on the financial institution, any officer or auditor of that financial institution or the person to whom disclosure is approved, and that financial institution, officer, auditor or person (as the case may be) must comply with those conditions or restrictions.
(4)  The obligations of an officer or auditor under subsections (1) and (3) continue after the termination or cessation of the employment or appointment of the officer or auditor by the financial institution.
(5)  Any person who contravenes subsection (1), or fails to comply with any condition or restriction imposed by the Authority under subsection (3), shall be guilty of an offence and shall be liable on conviction —
(a)in any case where the person is an individual, to a fine not exceeding $125,000 or to imprisonment for a term not exceeding 3 years or to both; or
(b)in any other case, to a fine not exceeding $250,000.
(6)  Any person to whom the report is disclosed and who knows or has reasonable grounds for believing, at the time of the disclosure, that the report was disclosed to the person in contravention of subsection (1) shall be guilty of an offence and shall be liable on conviction —
(a)in any case where the person is an individual, to a fine not exceeding $125,000 or to imprisonment for a term not exceeding 3 years or to both; or
(b)in any other case, to a fine not exceeding $250,000.
(7)  Where a person is charged with an offence under subsection (6), it is a defence for the person to prove that —
(a)the disclosure was made contrary to the person’s desire;
(b)where the disclosure was made in any written or printed form, the person had as soon as practicable after receiving the report surrendered, or taken all reasonable steps to surrender, the report and all copies of the report to the Authority; and
(c)where the disclosure was made in an electronic form, the person had, as soon as practicable after receiving the report, taken all reasonable steps to ensure the deletion of all electronic copies of the report and the surrender of the report and all copies of the report in other forms to the Authority.
[Act 14 of 2015 wef 26/06/2015]
Authority may transmit information from inspection to corresponding authority
27F.—(1)  The Authority or any person authorised by the Authority may, on the Authority’s own motion, and subject to the satisfaction of such conditions as the Authority may determine, transmit any information obtained by the Authority from an inspection under section 27C to a corresponding authority as defined in section 30X(1) of a foreign country that exercises consolidated supervision authority (whether or not for compliance with any AML/CFT requirement as defined in section 30X(1)) over the financial institution to which the inspection relates.
(2)  Subsection (1) applies despite the provisions of any prescribed written law as defined in section 30X(1) or any requirement imposed under any such written law, any rule of law, any contract or any rule of professional conduct, and is without prejudice to section 30ZF or any other written law or rule of law authorising the Authority, or a person authorised by the Authority, to disclose information in the Authority’s or the person’s possession to another person.
[Act 14 of 2015 wef 26/06/2015]
Power to approve financial institutions and control their operations
28.—(1)  The Authority may require any financial institution or class or classes of financial institutions whose operations are considered by the Authority to affect —
(a)monetary stability and credit and exchange conditions in Singapore;
(b)the development of Singapore as a financial centre; or
(c)the financial situation of Singapore generally,
to be approved by the Authority for the purpose of carrying on business in Singapore.
[26/84]
(2)  On an application in writing for approval under subsection (1), the Authority may —
(a)grant approval;
(b)refuse to grant approval and shall not be obliged to give reasons for its refusal; or
(c)grant approval subject to such conditions as it sees fit to impose.
[26/84]
(3)  Without prejudice to the generality of section 27, the Authority may, if it thinks it necessary or expedient in the public interest, give directions either of a general or special nature, to approved financial institutions or any class or classes of approved financial institutions in relation to —
(a)the range of activities that they may engage in or the range of services that they may provide;
(b)the terms and conditions under which they may carry on a particular activity or provide a particular service; and
(c)all matters in which it appears to the Authority that the activities that they engage in or the services that they provide affect or are likely to affect monetary or economic policy or credit conditions or the development of Singapore as a financial centre,
and the financial institutions concerned shall comply with such directions.
[26/84]
(4)  The Authority may, from time to time, issue guidelines to and impose conditions of operation on such financial institutions as it thinks fit and may amend or revise those guidelines and conditions.
[26/84]
(5)  The Authority may withdraw approval of a financial institution if it appears to the Authority that —
(a)any information required to be furnished in connection with an application for approval was false or misleading in a material particular;
(b)the financial institution has failed to comply with any direction or guideline issued or condition attached to an approval or conditions of operation imposed under this section;
(c)the financial institution has conducted its affairs so as to threaten the interests of its depositors or customers; or
(d)it is in the public interest to do so.
[26/84]
(6)  Any financial institution, which is aggrieved by a decision of the Authority to withdraw approval, may appeal against the decision to the Minister whose decision shall be final.
[26/84]
(7)  A financial institution, required under subsection (1) to obtain the Authority’s approval, that carries on its business without first obtaining that approval shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000 and, in the case of a continuing offence, to a further fine of $3,000 for every day during which the offence continues after conviction.
[26/84]
(8)  An approved financial institution that fails to comply with any direction given under subsection (3) or any condition subject to which an approval is granted under subsection (2) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000 and, in the case of a continuing offence, to a further fine of $2,000 for every day during which the offence continues after conviction.
[26/84]
Power of Authority in relation to dispute resolution schemes
28A.—(1)  The Authority may approve any dispute resolution scheme for the resolution of disputes arising from or relating to the provision of financial services by financial institutions.
[13/2007 wef 30/06/2007]
(2)  The Authority may by regulations require a financial institution registered, licensed, approved or regulated by the Authority under any written law to be a member of such approved dispute resolution scheme and to comply with such terms of membership of the scheme as may be prescribed.
[13/2007 wef 30/06/2007]
(3)  Any financial institution which, without reasonable excuse, contravenes any regulations made under subsection (2) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000.
[13/2007 wef 30/06/2007]
(4)  Where the Authority is satisfied that a financial institution has contravened any regulations made under subsection (2), the Authority may do one or both of the following:
(a)if it thinks it necessary in the public interest or for the protection of consumers, reprimand the financial institution;
(b)impose on the financial institution under the written law under which the financial institution was registered, licensed or approved, such conditions or restrictions of registration, licence or approval as the Authority thinks fit, including restricting the scope of the activities which the financial institution is allowed to conduct under the written law; and the financial institution shall comply with such conditions or restrictions.
[13/2007 wef 30/06/2007]
(5)  Any power of the Authority under the written law referred to in subsection (4)(b) to impose conditions or restrictions of registration, licence or approval shall, notwithstanding anything to the contrary in that written law, be deemed to include the power to impose the conditions or restrictions referred to in subsection (4)(b).
[13/2007 wef 30/06/2007]
(6)  The Authority may make regulations —
(a)to provide for the matters that the Authority may have regard to in determining whether to approve a dispute resolution scheme under subsection (1);
(b)to prescribe a list of dispute resolution schemes approved under subsection (1);
(c)to provide for suspension or cancellation of approvals under subsection (1);
(d)to provide for matters relating to the operations of an operator of an approved dispute resolution scheme, including the standards or requirements of its operations, the fees that may be charged for its dispute resolution services, the records that must be kept, the period of retention of the records, the reports that are to be submitted to the Authority, the time for such submission, the terms of membership with the scheme, the procedure for dispute resolution and other matters relating to the administration of the scheme; and
(e)generally to give effect to or for carrying out the purposes of this section.
[13/2007 wef 30/06/2007]
(7)  Regulations made under this section may provide that any contravention thereof shall be an offence punishable with a fine not exceeding $50,000.
[13/2007 wef 30/06/2007]
(8)  The Authority may issue, and in its discretion publish by notification in the Gazette or in such other manner as it considers appropriate, such guidelines as it considers appropriate for providing guidance in relation to the operation of this section or any regulations made under this section.
[13/2007 wef 30/06/2007]
Corporate offenders and unincorporated associations
28B.—(1)  Where an offence under this Act committed by a body corporate is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, an officer of the body corporate, the officer as well as the body corporate shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
[42/2007 wef 01/11/2007]
(2)  Where the affairs of the body corporate are managed by its members, subsection (1) shall apply in relation to the acts and defaults of a member in connection with his functions of management as if he were a director of the body corporate.
[42/2007 wef 01/11/2007]
(3)  Where an offence under this Act committed by a partnership is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, a partner, the partner as well as the partnership shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
[42/2007 wef 01/11/2007]
(4)  Where an offence under this Act committed by a limited liability partnership is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, a partner or manager of the limited liability partnership, the partner or manager (as the case may be) as well as the partnership shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
[42/2007 wef 01/11/2007]
(5)  Where an offence under this Act committed by an unincorporated association (other than a partnership) is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, an officer of the unincorporated association or a member of its governing body, the officer or member (as the case may be) as well as the unincorporated association shall be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
[42/2007 wef 01/11/2007]
(6)  In this section —
“body corporate” and “partnership” exclude a limited liability partnership within the meaning of the Limited Liability Partnerships Act (Cap. 163A);
“officer”  —
(a)in relation to a body corporate, means a director, member of the committee of management, chief executive, manager, secretary or other similar officer of the body corporate, and includes a person purporting to act in any such capacity; or
(b)in relation to an unincorporated association (other than a partnership), means the president, the secretary or a member of the committee of the unincorporated association or a person holding a position analogous to that of president, secretary or member of a committee, and includes a person purporting to act in any such capacity;
“partner”, in relation to a partnership, includes a person purporting to act as a partner.
[42/2007 wef 01/11/2007]
(7)  The Authority may make regulations to provide for the application of any provision of this section, with such modifications as the Authority considers appropriate, to any body corporate or unincorporated association formed or recognised under the law of a territory outside Singapore.
[42/2007 wef 01/11/2007]
Fees
29.—(1)  Every financial institution approved by the Authority under section 28 may be required to pay such fees in respect of anything done under or by virtue of that section as the Authority may by notification in the Gazette prescribe.
[26/84]
(2)  The Authority may prescribe different fees in respect of different classes of financial institutions and such fees shall apply uniformly to such classes.
[26/84]
(3)  The manner of payment shall be as specified by the Authority.
[26/84]
Real-time gross settlement system
29A.—(1)  The Authority may establish and operate one or more real-time gross settlement systems for the transfer of funds, settlement of payment obligations and the transfer and settlement of book-entry securities and instruments between or among participants approved by the Authority.
[39/2002 wef 09/12/2002]
(2)  A settlement system may be linked to another system in Singapore or elsewhere for the clearing or settlement of payment obligations, securities or instruments and whether or not such system is operated on a real-time gross settlement basis.
[39/2002 wef 09/12/2002]
(3)  The Authority may enter into agreements with participants of a settlement system and issue to the participants in writing rules for the operation of the settlement system and such rules shall not be deemed to be subsidiary legislation.
[39/2002 wef 09/12/2002]
(4)  Without prejudice to the generality of subsection (3), such rules may provide —
(a)for the appointment of the Authority as a certification authority for the purpose of issuing certificates for participants;
(b)for the conduct of participants;
(c)for the authentication of transactions carried out electronically;
(d)for the Authority, if it considers it necessary in the interests of the system, to stop or suspend the operation of the system or to stop or suspend the privileges or rights of any participant or class of participants;
(e)for the appointment of auditors or inspectors for the auditing or inspection of the operating systems of participants in respect of the settlement system; and
(f)for the payment of fees to the Authority.
[39/2002 wef 09/12/2002]
(5)  The Authority, any officer or employee of the Authority, or any person acting under the direction of the Authority, shall not be liable for any loss or damage suffered by any person or participant arising from, directly or indirectly, the use of a settlement system by any participant unless such loss or damage results from a reckless act or omission or any intentional misconduct of any officer or employee of the Authority or any person acting under the direction of the Authority.
[39/2002 wef 09/12/2002]
(6)  The Payment and Settlement Systems (Finality and Netting) Act 2002 shall have effect in relation to a settlement system established and operated by the Authority under this section if the settlement system is designated under section 3 of that Act.
[39/2002 wef 09/12/2002]
(7)  A settlement system established and operated by the Authority under section 59A of the Banking Act (Cap. 19) before the date of commencement of the Payment and Settlement Systems (Finality and Netting) Act 2002 shall continue and be deemed to have been established and operated by the Authority under this section.
[39/2002 wef 09/12/2002]
(8)  In this section —
“book-entry securities and instruments” means any securities and instruments that are transferable by a book-entry on a register or otherwise, and are —
(a)issued by the Government under any written law; or
(b)approved by the Authority for clearing, settlement or transfer through or under a settlement system;
“certificate” has the same meaning as in the Third Schedule to the Electronic Transactions Act 2010 (Act 16 of 2010);
[Act 2 of 2012 wef 01/07/2010]
“certification authority” has the same meaning as in the Third Schedule to the Electronic Transactions Act 2010;
“participant” means a person approved by the Authority to be a participant of a settlement system and shall include the Authority where it participates in the settlement system;
[Act 2 of 2012 wef 01/07/2010]
“real-time gross settlement system” means a system which can effect final settlement of funds, payment obligations and book-entry securities and instruments on a continuous basis during such operating hours of a processing day as the Authority may determine and on a transaction-by-transaction basis;
“settlement system” means any real-time gross settlement system established under subsection (1).
[39/2002 wef 09/12/2002]
Agents
30.  In the exercise of its powers and the performance of its functions under this Act, the Authority may —
(a)establish agencies at such places outside Singapore as it thinks fit;
(b)arrange with and authorise a person to act as agent of the Authority outside Singapore;
(c)act as agent of a bank carrying on business inside or outside Singapore; and
(d)act as agent of any public authority or any company in which the Government or a public authority has a substantial interest or any company which is deemed to be related to that company by virtue of section 6 of the Companies Act (Cap. 50) either generally or for a particular purpose inside or outside Singapore.
[26/84]