Clause 14

A financial adviser’s licence shall lapse —

if the licensed financial adviser is wound up or otherwise dissolved, whether in Singapore or elsewhere; or

in the event of such other occurrence or in such other circumstances as may be prescribed.(2) The Authority may revoke a financial adviser’s licence if —

there exists a ground on which the Authority may refuse an application under section 9(1);

the licensed financial adviser has contravened any provision of this Act, or any condition or restriction imposed or any written direction given by the Authority under this Act;

it appears to the Authority that the licensed financial adviser has failed to satisfy any of its obligations under or arising from this Act;

it appears to the Authority that the licensed financial adviser is carrying on its business in a manner that is —

likely to be detrimental to its clients; or

contrary to the interests of the public;

the licensed financial adviser has furnished any information or document to the Authority that is false or misleading;

the Authority has reason to believe that the licensed financial adviser, or any of its officers or employees, has not performed its or his duties efficiently, honestly or fairly;

a prohibition order under section 59 has been made by the Authority, and remains in force, against the licensed financial adviser;

the licensed financial adviser fails to pay the licence fee referred to in section 14; or

the licensed financial adviser fails or ceases to carry on business in all types of financial advisory service for which it was licensed.(3) The Authority may, if it considers it desirable to do so —

suspend a financial adviser’s licence for a specific period instead of revoking it under subsection (2); and

at any time extend or revoke the suspension.(4) Subject to subsection (5), the Authority shall not revoke or suspend a financial adviser’s licence under subsection (2) or (3) without giving the licensed financial adviser an opportunity to be heard.(5) The Authority may revoke or suspend a financial adviser’s licence without giving the licensed financial adviser an opportunity to be heard on any of the following grounds:

the licensed financial adviser is in the course of being wound up or otherwise dissolved, whether in Singapore or elsewhere;

a receiver, a receiver and manager or an equivalent person has been appointed, whether in Singapore or elsewhere, for or in respect of any property of the licensed financial adviser;

a prohibition order under section 59 has been made by the Authority, and remains in force, against the licensed financial adviser;

the licensed financial adviser 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 had acted fraudulently or dishonestly.(6) A person whose financial adviser’s licence is revoked or suspended shall cease to act as a financial adviser from the date on which the revocation or suspension takes effect.(7) Where the Authority has revoked or suspended a financial adviser’s licence, the licensed financial adviser shall —

in the case of a revocation of its licence, immediately inform all its representatives by notice in writing of such revocation, and the representatives who are so informed shall cease to act as representatives of that licensed financial adviser; or

in the case of a suspension of its licence, immediately inform all its representatives by notice in writing of such suspension, and the representatives who are so informed shall cease to act as representatives of that licensed financial adviser during the period of the suspension.(8) A lapsing, revocation or suspension of a financial adviser’s licence shall not operate so as to —

avoid or affect any agreement, transaction or arrangement relating to any investment product entered into by the licensed financial adviser, whether the agreement, transaction or arrangement was entered into before, on or after the lapsing, revocation or suspension of the licence; or

affect any right, obligation or liability arising under any such agreement, transaction or arrangement.(9) Any person who continues to act as a financial adviser in contravention of subsection (6) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $150,000 and, in the case of a continuing offence, to a further fine not exceeding $15,000 for every day or part thereof during which the offence continues after conviction.(10) Any financial adviser which contravenes subsection (7) 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.”.