In forceAmended2020 Revised Edition

Contents

123ZA. Objection to control of authorised benchmark administrator

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Amended

Last amended by an amending law of 2022. 2 amendments in all.

(1)

The Authority may serve a written notice of objection on —

(a)

any person required to obtain the Authority’s approval or who has obtained the approval under section 123Z; or

(b)

any person who, whether before, on or after 8 October 2018, either alone or together with any connected person, holds, directly or indirectly, 20% or more of the issued share capital of the authorised benchmark administrator or controls, directly or indirectly, 20% or more of the voting power in the authorised benchmark administrator,if the Authority is satisfied that —

(c)

any condition of approval imposed on the person under section 123Z(4) has not been complied with;

(d)

the person is not or ceases to be a fit and proper person to have effective control of the authorised benchmark administrator;

(e)

having regard to the likely influence of the person, the authorised benchmark administrator is not able to or is no longer likely to conduct the activity of administering a designated benchmark prudently or to comply with the provisions of this Act or any direction made thereunder;

(f)

the person does not or ceases to satisfy such criteria as may be prescribed by regulations made under section 123ZZA;

(g)

the person has provided false or misleading information or documents in connection with an application under section 123Z; or

(h)

the Authority would not have granted its approval under section 123Z had it been aware, at that time, of circumstances relevant to the person’s application for such approval.

(2)

The Authority must not serve a notice of objection on any person without giving the person an opportunity to be heard, except in the following circumstances:

(a)

the person is in the course of being wound up or otherwise dissolved or, in the case of an individual, is an undischarged bankrupt whether in Singapore or elsewhere;

(b)

a receiver, a receiver and manager, a judicial manager or an equivalent person has been appointed, whether in Singapore or elsewhere, in relation to or in respect of any property of the person;

(c)

a section 123ZZC prohibition order or an FSMA prohibition order has been made, and remains in force, against the person;

(d)

the person has been convicted, whether in Singapore or elsewhere, of any offence involving fraud or dishonesty or the conviction for which involved a finding that the person had acted fraudulently or dishonestly.

(3)

The Authority must, in any written notice of objection, specify a reasonable period within which the person to be served the written notice of objection must —

(a)

take such steps as are necessary to ensure that the person ceases to be a party to the arrangement described in section 123Z(2), ceases to hold 20% or more of the issued share capital of the authorised benchmark administrator in the manner described in subsection (1)(b), or ceases to control 20% or more of the voting power in the authorised benchmark administrator in the manner described in subsection (1)(b); or

(b)

comply with such other requirements as the Authority may specify in written directions.

(4)

Any person served with a notice of objection under this section must comply with the notice.

(5)

Any person who contravenes subsection (4) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $150,000 or to imprisonment for a term not exceeding 3 years or to both.

Terms defined in this Act

administering a designated benchmark
Defined · s 2
“administering a designated benchmark” means —(a)controlling the development of the definition of a designated benchmark for the purpose of determining a designated benchmark;(b)controlling the development of the methodology of determining a designated benchmark;(c)controlling the review of the definition of a designated benchmark for the purpose of determining a designated benchmark;(d)controlling the review of the methodology of determining a designated benchmark;(e)managing any arrangements, processes or mechanisms for the purpose of determining a designated benchmark;(f)collecting, analysing or processing any information or expression of opinion for the purpose of determining a designated benchmark;(g)applying a formula or other methods of calculation to information or expressions of opinion in order to determine a designated benchmark; or(h)monitoring and conducting surveillance of any information or expressions of opinion provided for the purpose of determining a designated benchmark,but does not include providing information in relation to a designated benchmark or any act that is necessary or incidental to providing such information;
Open s 2
authorised benchmark administrator
Defined · s 2
“authorised benchmark administrator” means a corporation that is authorised by the Authority under section 123F(1) as an authorised benchmark administrator;
Open s 2
Authority
Defined · s 2
“Authority” means the Monetary Authority of Singapore established under the Monetary Authority of Singapore Act 1970;
Open s 2
connected person
Defined · s 2
“connected person”, in relation to —(a)an individual, means —(i)the individual’s spouse, son, adopted son, stepson, daughter, adopted daughter, stepdaughter, father, stepfather, mother, stepmother, brother, stepbrother, sister or stepsister; and(ii)a firm, a limited liability partnership or a corporation in which the individual or any of the persons mentioned in sub‑paragraph (i) has control of not less than 20% of the voting power in the firm, limited liability partnership or corporation, whether such control is exercised individually or jointly; or(b)a firm, a limited liability partnership or a corporation, means another firm, limited liability partnership or corporation in which the firstmentioned firm, limited liability partnership or corporation has control of not less than 20% of the voting power in that other firm, limited liability partnership or corporation,and a reference in this Act to a person connected to another person is to be construed accordingly;
Open s 2
manager
Defined · s 2
“manager”, in relation to a collective investment scheme, means a person, by whatever name called, who is responsible for managing the property of, or operating, the collective investment scheme;
Open s 2
property
Defined · s 46AAH
“property” includes property, right and power of every description;
Open s 46AAH
share
Defined · s 2
“share” has the meaning given by section 4(1) of the Companies Act 1967;
Open s 2

Report

Read on from s 123ZB

Part 6A

Reporting of Derivatives Contracts

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Part 6B

Clearing of Derivatives Contracts

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Part 6C

Trading of Derivatives Contracts

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Part 7

Disclosure of Interests

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Part 7A

Short Selling

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Part 8

Securities Industry Council and Take‑Over Offers

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Part 9

Supervision and Investigation

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Part 10

Assistance to Foreign Regulatory Authorities

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Part 11

Investor Compensation Scheme

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Part 12

Market Conduct

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Part 13

Offers of Investments

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Part 13A

Modification of Act for Purposes of Dual Listing Boards

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Part 14

Appeals

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Part 15

Miscellaneous

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Schedules

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