PART II | REGULATION OF LICENSED TRUST COMPANIES |
| Change of particulars of licensed trust company |
5.—(1) For the purposes of section 9(1)(f) of the Act, whenever —| (a) | there is a change in the registered address in Singapore of a licensed trust company; | | (b) | there is a change in the email address or contact number in Singapore of a licensed trust company; or | | (c) | a director of a licensed trust company ceases to hold office or to be in the employment of the licensed trust company, |
| the licensed trust company shall, not later than 14 days after the occurrence of such event, furnish particulars thereof to the Authority. |
| (2) Paragraph (1)(c) shall not apply where a director of a licensed trust company has been removed from office or employment pursuant to section 14 of the Act. |
| (3) Where any change occurs to any of the particulars (including any particulars referred to in paragraph (1)) that have been furnished to the Authority by a licensed trust company under section 9 of the Act, the licensed trust company shall notify the Authority of such change in Form 2 within 14 days after the change takes place. |
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6. For the purposes of section 10(1)(b) of the Act, where the Authority has not revoked a licence under section 10(2)(b) of the Act, the licence shall lapse where —| (a) | the licensed trust company has not commenced trust business within 6 months (or such longer period as the Authority may allow) from the date of the grant of the licence; or | | (b) | the licensed trust company —| (i) | has ceased to carry on its trust business; | | (ii) | has not resumed any trust business for a continuous period of 14 days from the date of cessation of its trust business; and | | (iii) | has not notified the Authority of such cessation of its trust business at any time during the period of 14 days from the date of the cessation. |
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7.—(1) Where a licensed trust company ceases to carry on trust business, the licensed trust company shall lodge with the Authority a notice in Form 2 and, together with the Form, return its licence to the Authority within 14 days from the date of cessation of its trust business.| (2) Where a licensed trust company has not commenced trust business within 6 months (or such longer period as the Authority may allow) of being granted a licence, the licensed trust company shall immediately return its licence to the Authority for cancellation. |
| (3) Where the Authority varies any condition or restriction imposed on a licence granted to a licensed trust company or imposes further conditions or restrictions on such licence, the licensed trust company shall immediately return the licence to the Authority for cancellation and the Authority shall issue a new licence to the licensed trust company. |
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| Number of resident managers |
8.—(1) A licensed trust company shall appoint at least 2 resident managers.| (2) Any licensed trust company which contravenes paragraph (1) shall be guilty of an offence. |
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| Application and criteria for appointment of resident manager and director |
9.—(1) For the purposes of section 13(1) of the Act, a licensed trust company shall submit to the Authority an application in Form 4 for approval of the appointment of a person (referred to in this regulation as the appointee) as its resident manager or director.(2) For the purposes of section 13(3) of the Act, the criteria to which the Authority may have regard in determining whether to grant its approval in respect of an application made under paragraph (1) are —| (a) | whether the licensed trust company has provided the Authority with such information relating to the appointee as the Authority may require; | | (b) | whether the appointee is an undischarged bankrupt in Singapore or elsewhere; | | (c) | whether execution against the appointee in respect of a judgment debt has been returned unsatisfied in whole or in part; | | (d) | whether the appointee has, in Singapore or elsewhere, entered into a compromise or scheme of arrangement with his creditors, being a compromise or scheme of arrangement that is still in operation; | | (e) | whether the appointee has been convicted of any offence whether in Singapore or elsewhere; | | (f) | the educational or other qualification, experience or expertise of the appointee, having regard to the nature of the duties he is to perform as a resident manager or director, as the case may be, of the licensed trust company; | | (g) | whether the appointee is a fit and proper person, in the opinion of the Authority, to be a resident manager or director, as the case may be, of the licensed trust company; | | (h) | the financial standing of the appointee; | | (i) | the past performance of the appointee, having regard to the nature of the duties the appointee is to perform as a resident manager or director, as the case may be, of the licensed trust company; and | | (j) | whether there is reason to believe that the appointee will not conduct himself professionally or act in an ethical manner in discharging the duties he is to perform as a resident manager or director, as the case may be, of the licensed trust company. |
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| Duties of resident manager and director |
10. For the purposes of section 14 of the Act and without prejudice to any other matter that the Authority may consider relevant, the Authority shall, in determining whether a resident manager or a director of a licensed trust company has failed to discharge the duties or functions of his office, have regard to whether the resident manager or director has —| (a) | implemented, and ensured compliance with, effective written policies on all operational areas of the licensed trust company, including the licensed trust company’s financial policies, accounting and internal controls, trust accounting, internal auditing, trust administration, trusteeship and compliance with all laws and rules governing the licensed trust company’s operations; | | (b) | identified, addressed and monitored the risks associated with the business activities of the licensed trust company; | | (c) | set out in writing the limits of the discretionary powers of each officer, committee, sub-committee or other group of persons of the licensed trust company empowered to commit the licensed trust company to any financial undertaking or to expose the licensed trust company to a risk of any nature; and | | (d) | ensured —| (i) | that the licensed trust company keeps a written record of the steps taken by it to monitor compliance with its policies, the limits on discretionary powers and its accounting and operating procedures; | | (ii) | that the business activities of the licensed trust company are subject to adequate internal audit, and that the internal audit of the licensed trust company includes inquiring into the licensed trust company’s compliance with all relevant laws; and | | (iii) | the accuracy, correctness and completeness of any report, book or statement submitted by the licensed trust company to its head office (if any) or to the Authority. |
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