Singapore legislation

Clause 12

of Payment Systems (Oversight) Bill

Clause 12

Obligation of operator and settlement institution to notify Authority of certain events

(1)

An operator and a settlement institution of a designated payment system shall notify the Authority as soon as practicable after the occurrence of any of the following events:

(a)

an intention to make a material change to the nature of the operating rules, settlement procedures or activities of the designated payment system;

(b)

an event or irregularity that impedes or prevents access to, or impairs the usual operations of the designated payment system or its settlement operations, as the case may be;

(c)

the operator or settlement institution, as the case may be, becoming, or likely to become, insolvent or unable to meet its financial, statutory, contractual or other obligations;

(d)

any other event that the Authority may prescribe by regulations or specify by notice in writing.

(2)

Any operator or settlement institution of a designated payment system who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $200,000.