Singapore legislation
Clause 40
Clause 40
Revocation of recognition
(1)
The Authority may, in writing, revoke any recognition granted under section 36 if —
the recognised trading system provider ceases to operate its securities market or futures market;
the recognised trading system provider is being wound up or otherwise dissolved, whether in Singapore or elsewhere;
the recognised trading system provider is contravening or is likely to contravene or has contravened any condition or restriction that is applicable to it under this Act;
the recognised trading system provider is contravening or is likely to contravene or has contravened any direction issued to it by the Authority;
the recognised trading system provider is operating in a manner that is, in the opinion of the Authority, contrary to the public interest;
any information provided to the Authority under section 36, 38 or 42 was false or misleading in a material particular; or
the Authority deems fit upon the application of the recognised trading system provider to cancel the recognition.
(2)
For the purposes of subsection (1)(a), a recognised trading system provider shall be deemed to have ceased to operate its securities market or futures market if it has ceased to operate such securities market or futures market for more than 30 days unless it has obtained the prior approval of the Authority to do so, or unless it has ceased to operate such securities market or futures market by virtue of any direction issued by the Authority under section 43.
(3)
Subject to subsection (4), the Authority shall not revoke any approval granted to a recognised trading system provider under section 36 without giving the recognised trading system provider an opportunity to be heard.
(4)
Where the Authority revokes a recognition granted to a recognised trading system provider under section 36 on any ground referred to in subsection (1) on the basis of any of the following circumstances:
the recognised trading system provider or its substantial shareholder is in the course of being wound up or otherwise dissolved, whether in Singapore or elsewhere;
execution against the recognised trading system provider or its substantial shareholder in respect of a judgment debt has been returned unsatisfied in whole or in part;
a receiver, a receiver and manager, judicial manager or equivalent person has been appointed, whether in Singapore or elsewhere, in relation to or in respect of any property of the recognised trading system provider or its substantial shareholder;
the recognised trading system provider or its substantial shareholder has, whether in Singapore or elsewhere, entered into a compromise or scheme of arrangement with its creditors, being a compromise or scheme of arrangement that is still in operation; or
the recognised trading system provider or its substantial shareholder, or any officer of the recognised trading system provider has been convicted, whether in Singapore or elsewhere, of an offence involving fraud or dishonesty or the conviction for which involved a finding that it or he acted fraudulently or dishonestly,the Authority need not give the recognised trading system provider an opportunity to be heard.
(5)
A recognised trading system provider that is aggrieved by the decision of the Authority made under subsection (1) may, within 30 days after it is notified of the decision, appeal to the Minister whose decision shall be final.
(6)
Notwithstanding the lodging of an appeal under subsection (5), any action taken by the Authority under this section shall continue to have effect pending the determination or withdrawal of the appeal.
(7)
The Minister may make such modification to any action taken by the Authority that is the subject of an appeal and such modified action shall have effect.