Singapore legislation

Regulation 21B

of Moneylenders Rules 2009

Regulation 21B

Prohibition of foreign sureties for unsecured loans

Subregulation 1

A licensee must not grant an unsecured loan for which a person who is not a citizen of Singapore or a permanent resident is or is proposed to be a surety.

Subregulation 2

A licensee who grants an unsecured loan in contravention of paragraph (1) —

(a)

knowing that a surety for that loan is not a citizen of Singapore or a permanent resident; or

(b)

recklessly or negligently failing to ascertain whether a surety for that loan is a citizen of Singapore or a permanent resident,shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000.