Singapore legislation

Section 26G

of Postal Services Act 1999

Section 26G

Power of Minister to issue written order relating to acquisition of assets, etc., of postal licensees

Amended by34/200734/200734/200734/200734/200734/200734/2007

(1)

Subject to subsection (4), where a person acquires the assets or business of, or shares in, a postal licensee (called in this section the relevant person), and the Minister is satisfied that —

(a)

the relevant person is not a fit and proper person; and

(b)

it is not in the national interest to allow the relevant person to continue to own the assets or business of, or to hold the shares in, that postal licensee,the Minister may issue a written order to the relevant person, the postal licensee or both, directing the relevant person or that postal licensee or both to do all or anything specified in subsection (2).

Amended by34/2007

(2)

A written order under subsection (1) may direct a relevant person, a postal licensee or both to do all or any of the following:

(a)

to transfer or dispose of all the assets, business or shares acquired by the relevant person in the postal licensee concerned, within the time and subject to the conditions that the Minister considers appropriate;

(b)

to transfer or dispose of any part of the assets, business or shares acquired by the relevant person in the postal licensee concerned only in the circumstances that the Minister considers appropriate.

Amended by34/2007

(3)

If a written order containing any direction specified in subsection (2)(a) or (b) concerning any shares in a postal licensee is issued, then despite the provisions of any other written law or anything contained in the memorandum or articles of association, or other constitution, of the postal licensee, the following applies for so long as those shares are not transferred or disposed of in accordance with the direction:

(a)

no voting rights are exercisable in respect of those shares without the prior and express permission of the Minister;

(b)

no shares in the postal licensee may be issued or offered (whether by way of rights, bonus or otherwise) without the prior and express permission of the Postal Authority; and

(c)

no payment may be made by the postal licensee of any amount (whether by way of dividends or otherwise) in respect of those shares unless the postal licensee has the prior and express permission of the Minister to do so or the payment is upon the winding up of the postal licensee.

Amended by34/2007

(4)

Before issuing any written order under subsection (1), the Minister must, unless he or she decides that it is not practicable or desirable to do so —

(a)

give notice to the relevant person or postal licensee (as the case may be) of the proposed written order; and

(b)

consider any written representation made in accordance with the notice in paragraph (a) and not withdrawn.

Amended by34/2007

(5)

The notice in subsection (4)(a) must state —

(a)

that the Minister intends to issue the written order; and

(b)

the period within which written representations may be made in relation to the proposed written order.

Amended by34/2007

(6)

Any person to whom a written order is issued under subsection (1) must comply with the written order, and the written order takes effect despite the provisions of any other written law or anything contained in the memorandum or articles of association, or other constitution, of the postal licensee.

Amended by34/2007

(7)

Any person who contravenes subsection (6) 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.

Amended by34/2007
Section 26G — Postal Services Act 1999 | laws.sg