Singapore legislation
Section 341
Section 341
Regulations
(1)
The Authority may make regulations for carrying out the purposes and provisions of this Act and for the due administration thereof.
(2)
Without limiting subsection (1), the Authority may make regulations for or with respect to —
the criteria for authorisation or recognition of collective investment schemes and the constitution, operation, management and offer of such schemes including but not limited to the powers and duties of the managers, trustees or representatives and the rights and obligations of the participants of the schemes;
the financial requirements and other criteria that a public company must fulfill for it to be considered for approval as a trustee;
applications for capital markets services licences to carry on business in any regulated activity and matters incidental thereto;
the activities of, and standards to be maintained by persons holding a capital markets services licence to carry on business in any regulated activity and their representatives, including the manner, method and place of soliciting business by the holder of the licence and their representatives, the conduct of such solicitation and the risk management of the business;
[Deleted by Act 16 of 2003](f)the conditions for the conduct of business on any approved exchange, recognised market operator, licensed trade repository, licensed foreign trade repository, approved clearing house or recognised clearing house;
the form, content distribution and publication of written, printed or visual material and advertisements that may be distributed or used by a person in respect of any regulated activity, including advertisements offering the services of persons holding a capital markets services licence or offering capital markets products for sale;
the particulars to be recorded in the profit and loss accounts and balance sheets and the information to be contained in auditor’s reports required to be lodged under this Act on the annual accounts of persons holding a capital markets services licence to carry on business in any regulated activity;
the remuneration of an auditor appointed under this Act and for the costs of an audit carried out under this Act;
the manner in which persons holding a capital markets services licence to carry on a business in any regulated activity conduct their dealings with their customers, conflicts of interest involving the holder of the licence and its customers, and the duties of the holder of a licence to its customers when making recommendations in respect of capital markets products;
the purchase or sale of capital markets products for their own accounts, directly or indirectly by holders of capital markets services licences to carry on business in any regulated activity and their representatives;
the disclosure by a holder of a capital markets services licence of any material interest that such person might have in a proposed transaction relating to trading in capital markets products;
(la)the maintenance by the holder of a capital markets services licence, and a representative of such a holder, of registers of their interests in specified products and their duties relating to the registers, and matters relating thereto;
the specification of manipulative and deceptive devices and contrivances in connection with the purchase or sale of capital markets products;
the regulation or prohibition of trading on the floor of an approved exchange or a recognised market operator by members of an approved exchange or a recognised market operator (as the case may be) or their representatives directly or indirectly for their own accounts and the prevention of such excessive trading on an approved exchange or a recognised market operator but off the floor of an approved exchange or a recognised market operator by members of an approved exchange or a recognised market operator (as the case may be) or their representatives directly or indirectly for their own accounts as the Authority may consider is detrimental to the maintenance of a fair and orderly organised market; and the exemption of such transactions as the Authority may decide to be necessary in the interests of the public or a section of the public or for the protection of investors;
the borrowing in the ordinary course of business by persons holding a capital markets services licence as the Authority may consider necessary or appropriate in the interests of the public or a section of the public or for the protection of investors;
the prohibition or regulation of dealing in capital markets products in circumstances where the person who deals in the capital markets products does not hold or have an interest in the capital markets products which are being or are proposed to be dealt with;
the prohibition or restriction of securities‑based derivatives contracts that are admitted to the official list of an approved exchange;
the forms for the purposes of this Act;
the fees to be paid in respect of any matter or thing required for the purposes of this Act, including licences required under this Act and the refund and remission, whether in whole or in part, of such fees;
the collection by or on behalf of the Authority, at such intervals or on such occasions as may be prescribed, of statistical information as to such matters relevant to capital markets products as may be prescribed and for the collection and use of such information for any purpose, whether or not connected with the prescribed capital markets products; and
all matters and things which by this Act are required or permitted to be prescribed or which are necessary or expedient to be prescribed to give effect to this Act.
(3)
Except as otherwise expressly provided in this Act, the regulations made under this Act —
may be of general or specific application;
(aa)may contain provisions of a saving or transitional nature;
may provide that a contravention of any specified provision thereof shall be an offence; and
may provide for penalties not exceeding a fine of $50,000 or imprisonment for a term not exceeding 12 months or both for each offence and, in the case of a continuing offence, a further penalty not exceeding a fine of 10% of the maximum fine prescribed for that offence for every day or part of a day during which the offence continues after conviction.
(3A)
For the purposes of paragraphs (b) and (i) of the definition of “derivatives contract” in section 2(1), the Authority may prescribe different contracts, arrangements, transactions and classes of contracts, arrangements or transactions for different purposes.
(3B)
For the purposes of the definition of “financial instrument” in section 2(1), the Authority may prescribe different things for different purposes.
(3C)
For the purposes of the definition of “underlying thing” in section 2(1), the Authority may prescribe different arrangements, events, indices, intangible properties, tangible properties, transactions and classes of arrangements, events, indices, intangible properties, tangible properties or transactions for different purposes.
(4)
Where a person is charged with an offence for contravening a regulation made under subsection (2)(la), it is a defence for the person to prove —
that the person’s contravention was due to the person not being aware of a fact or occurrence, the existence of which was necessary to constitute the offence; and
that —
the person was not so aware on the date of the summons issued for the charge; or
the person became so aware before the date of the summons and complied with the regulation within 14 days after becoming so aware.
(5)
For the purposes of subsection (4), a person is, in the absence of proof to the contrary, conclusively presumed to have been aware of a fact or occurrence at a particular time which an employee or agent of the person, being an employee or agent having duties or acting in relation to his or her employer’s or principal’s interest or interests in the specified products concerned, was aware of at that time.