Investment of funds
89.—(1)  Authority to invest funds which are not required by a Town Council for immediate use shall be as follows:
(a)placement of fixed deposits in Singapore currency with approved banks:
(i)not exceeding $1 million per deposit for duration of not more than 6 months
Officer or Committee authorised by a Town Council
(ii)not exceeding $5 million per deposit for duration of not more than one year
Chairman
(iii)any other amounts for any duration
Town Council; and
[S 637/2007 wef 01/12/2007]
(b)any other form of investment as specified in the First Schedule:
(i)not exceeding $500,000 per investment
Officer or Committee authorised by a Town Council
(ii)not exceeding an amount equal to 50% of the available funds comprising accumulated surpluses, the lift replacement fund and the ordinary sinking fund (based on the latest audited accounts) or $5 million, whichever is the lower, per investment
Chairman
(iii)any other amount
Town Council.
[S 186/2017 wef 01/05/2017]
[S 31/2001 wef 01/02/2001]
[S 637/2007 wef 01/12/2007]
(2)  Interest and investment income received shall be credited back to the respective funds from which the principal or capital amounts originated.
(3)  Officers with the authority to invest shall also have the same level of authority to divest.
(4)  Proper records should be kept of all investment decisions and transactions.
(5)  An investment register shall be kept of all investments showing, for each of the investments, details of all the transactions, such as the placement, renewals, transfer and withdrawal for deposits or the purchase, acquisition, sale or disposition for other investments, involving that investment.
(6)  The secretary shall table at each Town Council meeting a schedule of all investments and divestments made since the date of the last meeting.
(6A)  The type of investments placed by a fund manager appointed by a Town Council to invest its funds, and the market value of such investments, shall be disclosed in the annual accounts of the Town Council.
[S 179/99 wef 15/04/1999]
(7)  For the purposes of this rule, “approved bank” means any bank holding a banking licence issued by the Monetary Authority of Singapore.