Singapore legislation
Section 22
of Deposit Insurance and Policy Owners’ Protection Schemes Act 2011
Section 22
Entitlement to compensation
(1)
Subject to subsection (5) and section 23, where an insured depositor has one or more insured deposits placed with a failed DI Scheme member (other than any moneys denominated in Singapore dollars placed with the failed DI Scheme member under the CPFIS and CPFRS), which —
the insured depositor holds in the insured depositor’s own right;
the insured depositor holds in the insured depositor’s own right jointly with one or more other persons in a joint account;
the insured depositor holds in the name of the insured depositor’s sole‑proprietorship; or
consists of moneys denominated in Singapore dollars placed with the failed DI Scheme member under the Supplementary Retirement Scheme,the insured depositor is entitled to compensation from the DI Fund computed on the basis of the aggregate amount, as at the quantification date, of such insured deposits falling within paragraphs (a), (b), (c) and (d), and such compensation must not exceed the aggregate amount of such insured deposits or the Maximum DI Coverage, whichever is lower.
(2)
Where any insured depositor has one or more insured deposits placed with a failed DI Scheme member (other than moneys denominated in Singapore dollars placed with the failed DI Scheme member under the CPFIS and CPFRS) which the insured depositor holds in an account as trustee under a trust or holds in a client account, the insured depositor is entitled, in respect of every such account, to compensation from the DI Fund, not exceeding the amount of such insured deposits in that account or the Maximum DI Coverage, whichever is lower.
(3)
For the purposes of subsection (2), where there are 2 or more insured depositors holding any insured deposit in an account under a trust or in a client account jointly, the compensation referred to in subsection (2) must be divided equally among those insured depositors and paid accordingly.
(4)
Where any insured deposit of any insured depositor placed with a failed DI Scheme member consists of moneys denominated in Singapore dollars placed with the failed DI Scheme member under the CPFIS or CPFRS, such moneys must not be aggregated with the insured depositor’s other insured deposits placed with that failed DI Scheme member for the purposes of determining the amount of compensation that the insured depositor is entitled to, and the insured depositor is entitled, in respect of moneys denominated in Singapore dollars placed with the failed DI Scheme member under the CPFIS and CPFRS, to compensation from the DI Fund, not exceeding the amount of such moneys placed with the failed DI Scheme member or the Maximum DI Coverage, whichever is lower.
(5)
Where an insured depositor has one or more prescribed products placed with a failed DI Scheme member, which the Minister has, by order in the Gazette, determined to be subject to separate coverage under the DI Scheme (called in this section the firstmentioned prescribed products), whether on their own or in aggregation with other prescribed products (called in this section the other prescribed products) —
the insured depositor is entitled to compensation from the DI Fund computed on the basis of the aggregate amount, as at the quantification date —
of the firstmentioned prescribed products; or
of the firstmentioned prescribed products in aggregation with the other prescribed products,as the case may be; and
such compensation must not exceed —
in the case where the firstmentioned prescribed products are subject to separate coverage on their own, the aggregate of the amounts of all the firstmentioned prescribed products held by the insured depositor or the Maximum DI Coverage, whichever is lower; or
in the case where the firstmentioned prescribed products are to be aggregated with the other prescribed products, the aggregate of the amounts of all the prescribed products held by the insured depositor or the Maximum DI Coverage, whichever is lower.
(6)
For the purposes of determining the amount of compensation which an insured depositor is entitled under this section, the liabilities (if any) that are owing from the insured depositor to the failed DI Scheme member are disregarded.
(7)
Despite the provisions in this section —
in the case of an insured depositor who is deceased, the Agency must pay the compensation to the personal representatives of the deceased insured depositor;
in the case where a final order under Order 49, Rule 1 of the Rules of Court has been made with respect to the insured deposit pursuant to an order to show cause served on the failed DI Scheme member prior to the quantification date, the Agency must pay the whole or part (as the case may be) of the compensation to the judgment creditor in favour of whom the final order is made; and
the Agency must pay the compensation to such other persons in such circumstances as the Minister may prescribe.