laws.sg

Singapore legislation

Clause 6

of Deposit Insurance and Policy Owners’ Protection Schemes (Amendment) Bill

Clause 6

Amendment of section 27

Section 27 of the principal Act is amended by deleting subsections (5) and (6) and substituting the following subsections:“(5) Despite any provision in the Companies Act, the Agency is entitled —

(a)

in the case where the failed DI Scheme member is wound up, to be reimbursed out of the assets of the failed DI Scheme member for the expenses incurred for or in respect of —

(i)

the payment of any compensation to any insured depositor, including any interest charged on moneys borrowed by the Agency for the purpose of making payment of any compensation to any insured depositor under the DI Scheme;

(ii)

the lodging of any claim with the liquidator of the failed DI Scheme member for any compensation that has been paid out to any insured depositor;

(iii)

any communication with any insured depositor and the public on, or relating to, the payment of any compensation to any insured depositor under the DI Scheme; and

(iv)

such other matters as may be prescribed by the Authority; and

(b)

in any other case, to be reimbursed by the failed DI Scheme member or the provisional liquidator of the failed DI Scheme member, as the case may be, for the expenses incurred for or in respect of —

(i)

the payment of any compensation to any insured depositor, including any interest charged on moneys borrowed by the Agency for the purpose of making payment of any compensation to any insured depositor under the DI Scheme;

(ii)

the lodging of any claim with the provisional liquidator of the failed DI Scheme member for any compensation that has been paid out to any insured depositor;

(iii)

any communication with any insured depositor and the public on, or relating to, the payment of any compensation to any insured depositor under the DI Scheme; and

(iv)

such other matters as may be prescribed by the Authority.(6) The Authority may by regulations —

(a)

provide for the manner, process or method by which the Agency may exercise its rights to be subrogated to the rights and remedies as set out in subsection (1); and

(b)

prescribe the matters mentioned in subsection (5)(a)(iv) and (b)(iv).”.

Read in full context — Deposit Insurance and Policy Owners’ Protection Schemes (Amendment) Bill →