Clause 18

In order to facilitate the clearing of cheques and other credit instruments for banks, the Post Office Savings Bank of Singapore established under the Post Office Savings Bank of Singapore Act [Cap. 237], and other financial institutions approved by the Authority, the Authority shall, in conjunction with such banks and institutions, by regulations, establish a Clearing House.(2) The Authority may, from time to time, inspect under conditions of secrecy the operations, books, accounts and transactions of a Clearing House.(3) Where the Authority is of the opinion that a Clearing House is carrying on its operations in a manner likely to be detrimental to the interest of banks, the Post Office Savings Bank of Singapore or other participating financial institutions, the Authority may —

require the Clearing House forthwith to take any action or to do or not to do any act or thing whatsoever in relation to its business as the Authority may consider necessary;

appoint a person to advise the Clearing House on the proper conduct of its business; or

assume control of and carry on the business of the Clearing House or direct some other person to assume control of and carry on the business of the Clearing House.(4) The Authority may at any time fix the remuneration and expenses to be paid by the operator of the Clearing House to any person appointed by the Authority under subsection (3)(b) or (c), whether or not the appointment of such person has terminated.(5) Where the Authority has taken action pursuant to subsection (3), it may, at any time, vary or reverse any requirement, appointment or direction made by it.”.