Penal Code 1871 - Singapore Statutes Online

Criminal breach of trust

405. Whoever, being in any manner entrusted with property, or with any dominion over property, dishonestly misappropriates or converts to his own use that property, or dishonestly uses or disposes of that property in violation of any direction of law prescribing the mode in which such trust is to be discharged, or of any legal contract, express or implied, which he has made touching the discharge of such trust, or intentionally suffers any other person to do so, commits “criminal breach of trust”.

Illustrations

(a) A, being executor to the will of a deceased person, dishonestly disobeys the law which directs him to divide the effects according to the will, and appropriates them to his own use. A has committed criminal breach of trust.

(b) A is a warehouse owner or warehouse operator. Z, going on a journey, entrusts his furniture to A, under a contract that it shall be returned on payment of a stipulated sum for warehouse room. A dishonestly sells the goods. A has committed breach of trust.

[Act 23 of 2021 wef 01/03/2022]

(c) A, residing in Singapore, is agent for Z, residing in Penang. There is an express or implied contract between A and Z that all sums remitted by Z to A shall be invested by A according to Z’s direction. Z remits $5,000 to A, with directions to A to invest the same in Government securities. A dishonestly disobeys the direction, and employs the money in his own business. A has committed criminal breach of trust.

(d) But if A, in the last illustration, not dishonestly, but in good faith, believing that it will be more for Z’s advantage to hold shares in the Bank X, disobeys Z’s directions, and buys shares in the Bank X for Z, instead of buying Government securities, here, though Z should suffer loss and should be entitled to bring a civil action against A on account of that loss, yet A, not having acted dishonestly, has not committed criminal breach of trust.

(e) A, a collector of Government money, or a clerk in a Government office, is entrusted with public money, and is either directed by law, or bound by a contract, express or implied, with the Government, to pay into a certain treasury all the public money which he holds. A dishonestly appropriates the money. A has committed criminal breach of trust.

(f) A, a carrier, is entrusted by Z with property to be carried by land or by water. A dishonestly misappropriates the property. A has committed criminal breach of trust.

[15/2019]

Punishment of criminal breach of trust

406. Whoever commits criminal breach of trust shall be punished with imprisonment for a term which may extend to 7 years, or with fine, or with both.

Criminal breach of trust of property entrusted for purposes of transportation or storage

407. Whoever, being entrusted with property for the purpose of transportation for hire or storage for rent or charge, commits criminal breach of trust in respect of such property, shall be punished with imprisonment for a term which may extend to 15 years, and shall also be liable to fine.

Illustration

A carrier is an example of a person who is entrusted with property for the purpose of transportation for hire and a warehouse owner or warehouse operator is an example of a person who is entrusted with property for the purpose of storage for rent or charge.

[15/2019]

Criminal breach of trust by employees

408.—(1) Whoever, being an employee, and being in any manner entrusted in such capacity with property, or with any dominion over property, commits criminal breach of trust in respect of that property, shall be punished with imprisonment for a term which may extend to 15 years, and shall also be liable to fine.

[15/2019]

(2) For the purposes of subsection (1) —

(a)	an employee includes a person who is engaged in a capacity with the same fundamental qualities as an employee; and
(b)	a person may be an employee or engaged in the capacity mentioned in paragraph (a) even though that person does not receive any salary or other remuneration arising from the person’s employment or engagement. [15/2019]

Criminal breach of trust by public servant, or by banker, merchant, agent, director, officer, partner, key executive or fiduciary

409.—(1) Whoever, being in any manner entrusted with property, or with any dominion over property —

(a)	in his capacity as a public servant;
(b)	in the way of his trade, profession or business as a banker, a merchant, a factor, a broker, an attorney or an agent;
(c)	in his professional capacity (other than by way of a trade, profession or business mentioned in paragraph (b));
(d)	in his capacity as a director of a corporation;
(e)	in his capacity as an officer of an unincorporated association;
(f)	in his capacity as a partner in a partnership;
(g)	in his capacity as a key executive of a corporation, an unincorporated association or a partnership; or
(h)	in his capacity as a fiduciary,

commits criminal breach of trust in respect of that property, shall be punished with imprisonment for a term which may extend to 20 years, and shall also be liable to fine.

[15/2019]

(2) In this section —

“director” includes —

(a)	any person occupying the position of director of a corporation by whatever name called, and includes a person in accordance with whose directions or instructions the directors or the majority of the directors of a corporation are accustomed to act, and an alternate or substitute director; or
(b)	a member of a corporation in the case where the affairs of the corporation are managed by its members, and includes a person in accordance with whose directions or instructions the members or the majority of the members of such corporation are accustomed to act, and an alternate or substitute member;

“fiduciary” means a person who has undertaken to act for or on behalf of another person in a matter in circumstances which give rise to a relationship of trust, confidence and loyalty, and includes but is not limited to an executor, an administrator, a liquidator, a receiver and a trustee (other than the trustee of an implied, a constructive or a resulting trust);

“key executive” means a person who, whether or not an employee of the corporation, unincorporated association or partnership, and whether acting alone or together with any other person, has general control and management of the administration of that corporation, unincorporated association or partnership;

“officer”, in relation to an unincorporated association (other than a partnership), means the president, the secretary or any member of the committee of the unincorporated association, and includes —

(a)	any person holding a position analogous to that of president, secretary or member of a committee of the unincorporated association;
(b)	a person in accordance with whose directions or instructions the president, secretary or member of a committee of the unincorporated association or a majority of such persons are accustomed to act; and
(c)	any person purporting to act in any such capacity;

“partner” includes a person purporting to act as a partner;

“partnership” includes a limited partnership and a limited liability partnership within the meaning of section 2(1) of the Limited Liability Partnerships Act 2005.

[15/2019]

(3) For the purposes of this section and to avoid doubt —

(a)	a person may be a director of a corporation, officer of an unincorporated association, partner in a partnership, key executive of a corporation, unincorporated association or partnership even though that person does not receive any salary or other remuneration from that corporation, unincorporated association or partnership, as the case may be; and
(b)	a person may be a fiduciary even though it is stated in a contract or an agreement between the parties that a fiduciary relationship does not arise. [15/2019]

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