Singapore legislation
Section 309
Section 309
Securities hawking prohibited
(1)
A person must not —
make an offer to any person of units in a collective investment scheme, securities or securities‑based derivatives contracts for subscription or purchase, in the course of, or arising from, an unsolicited meeting with that other person; or
make an invitation to any person to subscribe for or purchase units in a collective investment scheme, securities or securities‑based derivatives contracts, in the course of, or arising from, an unsolicited meeting with that other person.
(2)
Subsection (1) does not apply to any person who makes an offer or invitation in respect of units in a collective investment scheme, securities or securities‑based derivatives contracts that does not need a prospectus by virtue of section 274, 275, 304 or 305.
(3)
The Authority may exempt —
any person or class of persons; or
any class or description of units in a collective investment scheme, securities or securities‑based derivatives contracts,from compliance with subsection (1), subject to such conditions as the Authority may determine.
(4)
Every person who acts, incites, causes or procures any person to act in contravention of subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 6 months or to both and, in the case of a second or subsequent offence, to a fine not exceeding $20,000 or to imprisonment for a term not exceeding 12 months or to both.
(5)
Where any person is convicted of having made an offer or invitation in contravention of subsection (1), the court before which the person is convicted may order that any contract made as a result of the offer or invitation is void and may give such consequential directions as it thinks proper for the repayment of any money or the retransfer of any units in a collective investment scheme, securities or securities‑based derivatives contracts, as the case may be.
(6)
An appeal against any order made under subsection (5) and any consequential directions shall lie to the General Division of the High Court.
(7)
In this section —
“securities” has the meaning given by section 2 and also includes the securities of an entity or a business trust, whether the entity or business trust is in existence or is to be formed;
“securities‑based derivatives contracts” has the meaning given by section 2 and also includes securities‑based derivatives contracts of an entity or a business trust, whether the entity or business trust is in existence or is to be formed;
“unit”, in relation to a collective investment scheme, has the meaning given by section 2 and also includes units in a collective investment scheme, whether the collective investment scheme is in existence or is to be formed;
a reference to an offer or invitation in respect of securities, securities‑based derivatives contracts or units in a collective investment scheme for subscription or purchase includes an offer or invitation in respect of securities, securities‑based derivatives contracts or units in a collective investment scheme (as the case may be) by way of barter or exchange.