Clause 8

No bank shall, after the commencement of the Banking (Amendment) Act 1983, enter into an agreement to acquire the share capital of any company by virtue of which the bank would, if the agreement is carried out, acquire or hold, whether directly or indirectly, an interest exceeding 20 per cent or more of the share capital of that company, without first notifying the Authority of its intention to enter into the agreement and obtaining the approval of the Authority to its entering into the agreement.(2) The Authority may approve the entering into the agreement with or without conditions or may disapprove it without giving any reasons.(3) Subsection (1) shall not apply to an agreement by virtue of which the bank would acquire an interest exceeding 20 per cent or more of the share capital in a company by way of enforcement of security to satisfy debts due to it by the company, if, upon making the acquisition, the bank obtains the approval of the Authority to retain the shareholdings as an investment. In the event however that the Authority does not grant approval, the bank shall dispose of the shareholdings at the earliest opportunity.(4) In this section, “company” means a company whether incorporated in or outside Singapore.(5) A bank that contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000.”.