Clause 29

The designated shares of a designated shareholder vest in the Board in the following circumstances and at the times prescribed by regulations made under section 77(1):

the Board is notified that the designated shareholder has died;

any other circumstances prescribed by regulations made under section 77(1).(2) Where the Board is notified that a designated shareholder has died and the designated shareholder died before 1 January 1996 or did not execute a memorandum under section 25(1), the Board must transfer the designated shareholder’s designated shares to —

the securities account (if any) belonging to and in the sole name of the deceased designated shareholder; or

if the deceased designated shareholder does not have any securities account in his or her sole name, the securities account opened and operated by the personal representatives of the deceased designated shareholder on behalf and for the benefit of the estate of the deceased designated shareholder, if any.(3) The following is a discharge to the Board in respect of a designated shareholder’s vested shares:

the transfer of the vested shares under subsection (2)(a);

the transfer of the vested shares under subsection (2)(b), and the receipt of the personal representatives of the deceased designated shareholder in respect of those shares.(4) Where subsection (2) does not apply in respect of a deceased designated shareholder, the following persons may instruct the Board, in the manner required by the Board, as follows:

a relevant person in respect of the deceased designated shareholder — to sell the deceased designated shareholder’s vested shares;

the deceased designated shareholder’s nominee — to transfer the deceased designated shareholder’s vested shares to the nominee’s securities account; (c)if the deceased designated shareholder’s nominee has died on or after the designated shareholder’s death, that nominee’s personal representatives — to transfer the deceased designated shareholder’s vested shares to a securities account opened and operated by the nominee’s personal representatives on behalf and for the benefit of the estate of that nominee.(5) Subject to subsection (6), the Board must transfer or sell the vested shares according to the instructions given under subsection (4).(6) Subject to regulations made under section 77(1), the Board may sell a designated shareholder’s vested shares and credit the designated shares payments in accordance with subsection (7) if —

the Board has not, within the prescribed time, received any instructions under subsection (4) in respect of the vested shares; or

there exist such other circumstances as may be prescribed by such regulations.(7) Subject to regulations made under section 77(1) —

if the Board is notified that the designated shareholder has died — the Board may credit the deceased designated shareholder’s designated shares payments into the general moneys of the Fund to the credit of the deceased designated shareholder or into one or more accounts of the relevant person in relation to the deceased designated shareholder;

if the designated shareholder’s account in the Fund has been deemed dormant under section 2(1B) — the Board may credit the designated shareholder’s designated shares payments into the general moneys of the Fund to the credit of the designated shareholder; and

in any other case — the Board must credit a designated shareholder’s designated shares payments into one or more accounts of the designated shareholder.(8) Subsection (9) applies where —

the Board is notified that the designated shareholder has died and the designated shareholder has executed a memorandum under section 25(1) that provides for payment to a nominee in accordance with section 25(1)(a)(iii); or

a designated shareholder’s designated shares payments have been credited to the general moneys of the Fund under subsection (7)(b) and the Board is satisfied that the designated shareholder is still alive.(9) Where the Board has credited any designated shares payments into the general moneys of the Fund under subsection (7)(a) or (b), or section 26, 26A, 26B or 26D as in force immediately before the commencement date, the Board must, in the circumstances set out in subsection (8), transfer or pay (as the case may be) the following amounts to a nominee account or such other account of the designated shareholder in the Fund as may be prescribed:

the designated shares payments;

the whole or such part of the interest, as the Board may determine, that would have been payable if the designated shares payments had not been credited into the general moneys of the Fund.(10) The whole or any part of any fee or charge in connection with —

the transfer of vested shares mentioned in subsection (2)(a) or (b) or (4)(c) — may be recovered by the Board from the relevant person mentioned in those subsections;

the transfer of vested shares to the nominee mentioned in subsection (4)(b) — may be deducted by the Board from any amount payable to the nominee from the member’s account in the Fund; or

the sale of any vested shares — may be deducted by the Board from the proceeds of the sale of those vested shares.(11) The Board is discharged —

in respect of vested shares transferred by the Board according to instructions under subsection (4)(b) or (c) — by that transfer, and the receipt of the relevant persons mentioned in those subsections for those vested shares; and

in respect of any designated shares payment where the account of the designated shareholder has been deemed dormant under section 2(1B) — by the transfer of the designated shares payment to an account in the Fund of the designated shareholder under subsection (9).(12) Where any document or information is necessary for the Board to effect the transfer of vested shares under subsection (2) or (4), the Board may by notice to any person who possesses the document or information, require that person to provide the document or information to the Board within a reasonable time specified in the notice.(13) This section applies despite any other written law or rule of law, except regulations made for the purposes of this section under section 77(1) or as expressly provided to the contrary in this section.(14) In this section —“commencement date” means the date of commencement of section 29 of the Central Provident Fund (Amendment) Act 2021;“nominee”, in relation to a deceased designated shareholder, is a person who is entitled to receive the designated shareholder’s vested shares under a memorandum executed under section 25(1);“prescribed time” means the time prescribed under section 77(1), which may differ in relation to different classes of designated shareholders or relevant persons, as the case may be;“relevant person”, in relation to a designated shareholder who has died before, on or after the commencement date, means —

a nominee of the deceased designated shareholder;

where the nominee of a deceased designated shareholder has died on or after the designated shareholder’s death — the nominee’s personal representatives; or

where the deceased designated shareholder died before 1 January 1996 or did not execute a memorandum under section 25(1) — the designated shareholder’s personal representatives.Transfer or payment of deceased designated shareholder’s moneys26A.—

Where the Board is notified that a designated shareholder has died on or after 1 January 1996 and the designated shareholder has executed a memorandum under section 25(1), the Board must transfer or pay (as the case may be) the following amounts (if any) in accordance with sections 20(1)(b) and (1A) and 25:

designated shares payments that have been credited to the general moneys of the Fund to the credit of a deceased designated shareholder under section 26(7)(a) or (b) or section 26, 26A, 26B or 26D as in force immediately before the commencement date;

moneys transferred or paid to a nominee account of a deceased designated shareholder under section 26(9).(2) Where a designated shareholder died before 1 January 1996 or has not executed a memorandum under section 25(1), the Board must pay the amounts mentioned in subsection (1)(a) —

to the personal representatives of the deceased designated shareholder; or (b)if to the best of the Board’s knowledge the deceased designated shareholder does not have any personal representatives, and if the proceeds of the sale of the shares do not exceed such amount as the Minister may specify — to a proper claimant.(3) The transfer or payment under subsection (1) or (2) may be made subject to any terms and conditions imposed by the Board.(4) The Board is discharged, in respect of any designated shares payment, by the receipt of a person to whom the designated shares payment is payable under subsection (1) or (2), for the designated shares payment.(5) Where any designated shares payment has been paid to a proper claimant under subsection (2), this section does not affect any recourse that any person may have against the proper claimant for that amount.(6) This section applies despite any other written law or rule of law, except regulations made for the purposes of this section under section 77(1) or as expressly provided to the contrary in this section.(7) In this section —“child” means a legitimate child and includes any child adopted by virtue of an order of court under any written law for the time being in force in Singapore, Malaysia or Brunei Darussalam;“commencement date” means the date of commencement of section 29 of the Central Provident Fund (Amendment) Act 2021;“parent” includes an adoptive parent;“proper claimant”, in relation to any designated shares payment, means a person who —

claims to be entitled to the designated shares payment as executor of a deceased designated shareholder; or

claims to be entitled to the designated shares payment (whether for his or her own benefit or not) and is the widower, widow, child, grandchild, parent, brother, sister, nephew, niece, grandparent, uncle or aunt of the deceased designated shareholder.”.