Eligibility for compensation
114.—(1)  A pre-resolution creditor or pre-resolution shareholder of a Division 5C FI under resolution that is worse off as a result of the resolution, is eligible for compensation of the amount mentioned in subsection (2).
(2)  The amount of compensation that the pre-resolution creditor or pre-resolution shareholder is eligible for is the difference between —
(a)what the pre-resolution creditor or pre-resolution shareholder would have received had winding up proceedings been commenced against the Division 5C FI under resolution immediately before the resolution date; and
(b)what the pre-resolution creditor or pre-resolution shareholder has received, is receiving, or is likely to receive —
(i)as a result of one or more of the actions mentioned in section 113(2); and
(ii)as compensation under the law of a foreign country or territory governing the foreign resolution (if applicable).
(3)  Subject to section 120, the Authority must recommend to the Minister to make a direction to the trustee of the resolution fund established under Division 5B in relation to the resolution of the Division 5C FI, to make a withdrawal from the fund to pay to the pre-resolution creditor or pre-resolution shareholder, the amount set out in the valuation report as the amount mentioned in subsection (2).
(4)  Payment of the compensation to the pre-resolution creditor or pre-resolution shareholder is to be made in the form and manner, and within the time, prescribed by regulations made under section 126.
[Act 31 of 2017 wef 29/10/2018]