Singapore legislation

Clause 26

of Business Trusts Bill

Clause 26

Power of Authority to issue directions to trustee-manager or temporary trustee-manager

(1)

The Authority may —

(a)

for the purpose of ensuring compliance with the provisions of this Act; or

(b)

if it thinks it necessary in the public interest for the proper administration of this Act,issue written directions, either of a general or specific nature, to the trustee-manager or temporary trustee-manager of a registered business trust.

(2)

Without prejudice to the generality of subsection (1), the Authority may issue written directions —

(a)

where the trustee-manager or temporary trustee-manager of a registered business trust is contravening, is likely to contravene or has contravened any provision of this Act, to require that person —

(i)

to comply with that provision or to cease contravention of that provision; or

(ii)

to resign as trustee-manager of the registered business trust; or

(b)

with respect to any other matter which the Authority considers necessary for the proper administration of this Act,and the trustee-manager or temporary trustee-manager shall comply with any such directions.

(3)

The Authority may at any time vary, rescind or revoke any written direction issued under this section.

(4)

Any trustee-manager or temporary trustee-manager of a registered business trust which contravenes any written direction issued under this section shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000 and, in the case of a continuing offence, to a further fine not exceeding $5,000 for every day or part thereof during which the offence continues after conviction.

(5)

For the avoidance of doubt, a written direction issued under this section shall be deemed not to be subsidiary legislation.