15. The Telecommunications Act is amended by inserting, immediately after section 32D, the following section:“Power to issue directions to enforce conditions imposed by Authority when approving application under section 32B(5), (6) or (7) |
32DA.—(1) Without affecting section 27, the Authority may issue a direction under subsection (2) if —(a) | a person (called in this section the specified person) —(i) | is a 12% controller or 30% controller of a designated telecommunication licensee, designated business trust or designated trust; | (ii) | owns any business (of a designated telecommunication licensee, designated business trust or designated trust) that is conducted under a telecommunication licence granted under section 5, or any part of any such business, as a going concern; or | (iii) | has effective control over a designated telecommunication licensee, designated business trust or designated trust; |
| (b) | the Authority, in granting its written approval to the specified person under section 32B(5), (6) or (7) in respect of any designated telecommunication licensee, designated business trust or designated trust, imposes a condition that the specified person must transfer or dispose of all or any part of —(i) | the shares which the specified person holds, or which the specified person and his associates together hold, in the designated telecommunication licensee (called in this section the specified shares); | (ii) | the units which the specified person holds, or which the specified person and his associates together hold, in the designated business trust (called in this section the specified units); or | (iii) | the equity interests which the specified person holds, or which the specified person and his associates together hold, in the designated trust (called in this section the specified equity interests); and |
| (c) | the Authority is satisfied that the condition has not been complied with. |
(2) The Authority may, in the circumstances specified in subsection (1), issue all or any of the following directions:(a) | direct the specified person, or any associate of the specified person, to transfer or dispose of all or any part of the specified shares, specified units or specified equity interests, as the case may be, within such time and subject to such conditions as the Authority specifies; | (b) | direct the specified person to transfer or dispose of all or any part of the business that is conducted under a telecommunication licence granted under section 5, and that is acquired from the designated telecommunication licensee, designated business trust or designated trust as a going concern, within such time and subject to such conditions as the Authority specifies; | (c) | direct the specified person to relinquish effective control over the designated telecommunication licensee, designated business trust or designated trust, within such time and subject to such conditions as the Authority specifies; | (d) | direct —(i) | the specified person, or any associate of the specified person, to procure the issue of such number of shares, units or equity interests in the designated telecommunication licensee, designated business trust or designated trust, as the case may be, as the Authority may determine, within such time and subject to such conditions as the Authority specifies; | (ii) | the designated telecommunication licensee, the trustee‑manager of the designated business trust, or the trustee of the designated trust, to procure the issue of such number of shares, units or equity interests in the designated telecommunication licensee, designated business trust or designated trust, as the case may be, as the Authority may determine, within such time and subject to such conditions as the Authority specifies; and | (iii) | the specified person, or any associate of the specified person, to transfer or dispose of all or any part of the specified shares, specified units or specified equity interests, in the designated telecommunication licensee, designated business trust or designated trust, as the case may be, within such time and subject to such conditions as the Authority specifies. |
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(3) Before issuing a direction to any person under subsection (2), the Authority must, unless the Authority decides that it is not practicable or desirable to do so, cause to be given to that person written notice of the Authority’s intention to issue the direction, specifying a date by which that person may make written representations with regard to the proposed direction. |
(4) Upon receipt of any written representation under subsection (3), the Authority must consider the representation for the purpose of determining whether to issue the direction. |
(5) Any person to whom a direction is issued under subsection (2) must comply with the direction. |
(6) The Authority may at any time vary, suspend or revoke any direction issued under this section. |
(7) Any direction issued to a person under subsection (2) has effect, despite —(a) | the Business Trusts Act (Cap. 31A), the Companies Act (Cap. 50), the Limited Liability Partnerships Act (Cap. 163A) and the Trustees Act (Cap. 337); | (b) | anything in any listing rules as defined in section 2(1) of the Securities and Futures Act (Cap. 289); and | (c) | the provisions of the memorandum or articles of association, trust deed or other constitution of the specified person, designated telecommunication licensee, designated business trust or designated trust. |
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(8) Subject to subsection (9), any person that contravenes subsection (5) shall be guilty of an offence and shall be liable on conviction —(a) | in the case of an individual, to a fine not exceeding $125,000 or to imprisonment for a term not exceeding 3 years or to both and, in the case of a continuing offence, to a further fine not exceeding $12,500 for every day or part of a day during which the offence continues after conviction; or | (b) | in any other case, to a fine not exceeding $250,000 and, in the case of a continuing offence, to a further fine not exceeding $25,000 for every day or part of a day during which the offence continues after conviction. |
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(9) Subsection (8) does not apply to a telecommunication licensee that is —(a) | a designated telecommunication licensee mentioned in subsection (2)(d)(ii); | (b) | a trustee‑manager of the designated business trust mentioned in subsection (2)(d)(ii); or | (c) | a trustee of the designated trust mentioned in subsection (2)(d)(ii).”. |
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