Singapore legislation

Regulation 11

of Financial Holding Companies (Corporate Governance of Designated Financial Holding Companies with Licensed Insurer Subsidiary) Regulations 2022

Regulation 11

Nominating Committee

Subregulation 1

Subject to paragraphs (2) and (4) and regulations 14(3) and 19, a Tier 1 DFHC (Licensed Insurer) must have a Nominating Committee comprising —

(a)

at least 3 members of the Board of the Tier 1 DFHC (Licensed Insurer); and

(b)

at least a majority of directors (including the chairperson of the Nominating Committee) who are independent directors.

Subregulation 2

Where a single substantial shareholder holds 50% or more of the share capital or the voting power in the Tier 1 DFHC (Licensed Insurer), paragraph (1)(b) does not apply to the Tier 1 DFHC (Licensed Insurer) only if the Tier 1 DFHC (Licensed Insurer) has a Nominating Committee comprising —

(a)

at least a majority of directors who are independent from management and business relationships with the Tier 1 DFHC (Licensed Insurer); and

(b)

at least one‑third of directors (including the chairperson of the Nominating Committee) who are independent directors.

Subregulation 3

Every member of the Nominating Committee is appointed to hold office until the next annual general meeting following that member’s appointment, and is eligible for reappointment.

Subregulation 4

If a member of the Nominating Committee resigns, ceases to be a director or for any other reason ceases to be a member of the Nominating Committee —

(a)

the Tier 1 DFHC (Licensed Insurer) must notify the Authority of the event within 14 days after the occurrence of the event; and

(b)

if this results in a breach of any requirement under paragraph (1), the Board must, within 3 months after that event, appoint the number of new members that is necessary to rectify the composition of the Nominating Committee in accordance with that requirement.

Subregulation 5

A Tier 1 DFHC (Licensed Insurer) that contravenes paragraph (1) shall be guilty of an offence and shall be liable on conviction —

(a)

to a fine not exceeding $25,000; and

(b)

in the case of a continuing offence, to a further fine not exceeding $2,500 for every day or part of a day during which the offence continues after conviction.

Subregulation 6

A Tier 1 DFHC (Licensed Insurer) that contravenes paragraph (4)(a) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000.