Singapore legislation
Section 46
Section 46
Power of Authority in organised market
(1)
Without limiting section 45, where the Authority is of the opinion that it is necessary to prohibit trading in —
particular securities of, or made available by, an entity;
particular securities‑based derivatives contracts of, or made available by, an entity; or
particular units in a collective investment scheme,on an organised market of an approved exchange or a recognised market operator —
in order to protect persons buying or selling the securities, securities‑based derivatives contracts or units in a collective investment scheme, as the case may be; or
in the interests of the public,the Authority may give written notice to the approved exchange or recognised market operator stating that it is of that opinion and setting out the reasons for its opinion.
(2)
If, after the receipt of the notice given under subsection (1), the approved exchange or recognised market operator fails to take any action in relation to the particular securities, securities‑based derivatives contracts or units in a collective investment scheme (as the case may be) on that organised market and the Authority continues to be of the opinion that it is necessary to prohibit trading in the particular securities, securities‑based derivatives contracts or units in a collective investment scheme (as the case may be) on that organised market so as to achieve the objectives under subsection (1)(d) or (e), the Authority may, by written notice to the approved exchange or recognised market operator —
prohibit trading in the particular securities, securities‑based derivatives contracts or units in a collective investment scheme (as the case may be) on that organised market for such period not exceeding 14 days, as specified in the notice; and
impose conditions or restrictions on the approved exchange or recognised market operator, as specified in the notice.
(3)
The Authority may, at any time, by written notice, add to, vary or revoke any condition or restriction mentioned in subsection (2)(b).
(4)
An approved exchange or a recognised market operator on which a condition or restriction is imposed under subsection (2)(b) or (3) must satisfy that condition or restriction.
(5)
Where the Authority gives a notice to an approved exchange or a recognised market operator under subsection (2), the Authority must —
at the same time send a copy of the notice to —
in the case of securities, the entity;
in the case of securities‑based derivatives contracts, the entity; or
in the case of units in a collective investment scheme, the responsible person of the collective investment scheme,together with a statement setting out the reasons for the giving of the notice; and
as soon as practicable, submit to the Minister a written report setting out the reasons for the giving of the notice and send a copy of the report to the approved exchange or recognised market operator.
(6)
Any person who is aggrieved by any action taken by the Authority, an approved exchange or a recognised market operator under this section may, within 30 days after the person is notified of the action, appeal to the Minister whose decision is final.
(7)
Despite the lodging of an appeal under subsection (6), any action taken by the Authority, an approved exchange or a recognised market operator under this section continues to have effect pending the Minister’s decision.
(8)
The Minister may, when deciding an appeal under subsection (6), make such modification as the Minister considers necessary to any action taken by the Authority, an approved exchange or a recognised market operator under this section, and such modified action has effect starting on the date of the Minister’s decision.
(9)
Any approved exchange or recognised market operator which permits trading in securities, securities‑based derivatives contracts or units in a collective investment scheme, on the organised market of the approved exchange or recognised market operator in contravention of a notice given under subsection (2) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000 and, in the case of a continuing offence, to a further fine not exceeding $10,000 for every day or part of a day during which the offence continues after conviction.