Singapore legislation
Clause 37
Clause 37
Subrogation
(1)
On payment out of the Fund of any compensation under this Act to, or for the benefit of, any insured depositor in respect of his insured deposit, the Agency shall be subrogated to the extent of such payment to all the rights and remedies of —
the insured depositor;
the person who received the compensation on behalf of the insured depositor;
in the case where payment is made to an insured depositor who is a beneficiary of a trust, the trustee; or
in the case where payment is made to an insured depositor who is a client in a client account, the depositor who held the insured deposit in that client account,as the case may be, in respect of the insured deposit in priority over —
the rights and remedies of the insured depositor, the person who received the compensation on behalf of the insured depositor, the trustee or the depositor of a client account, as the case may be, in relation to that insured deposit; and
the rights and remedies of any person who is subrogated, whether or not before the Agency’s subrogation, to the rights and remedies of any of the persons referred to in paragraphs (a), (b), (c) and (d) in relation to that insured deposit,and may maintain an action in respect of those rights and remedies in the name of the person referred to in paragraph (a), (b), (c) or (d), as the case may be, or in the name of the Agency.
(2)
The persons referred to in paragraphs (a), (b), (c) and (d) of subsection (1), or any person who is subrogated, whether or not before the Agency’s subrogation, to the rights and remedies of those persons, shall not be entitled to receive any amount from, or out of, the assets of the failed Scheme member until the Agency has been reimbursed in full the amount of compensation paid to those persons.
(3)
The Agency shall be entitled —
in the case where the failed Scheme member is wound up, to be reimbursed out of the assets of the failed Scheme member for the expenses incurred in —
the payment of any compensation to insured depositors; and
the lodging of a claim with the liquidator of the failed Scheme member for any compensation that has been paid out to insured depositors; or
in any other case, to be reimbursed by the failed Scheme member or the provisional liquidator of the failed Scheme member, as the case may be, for the expenses incurred in —
the payment of any compensation to insured depositors; and
where a claim has been lodged with the provisional liquidator of the failed Scheme member for any compensation that has been paid out to insured depositors, the lodging of the claim.