Singapore legislation
Regulation 32
Regulation 32
Exemption from section 23 of Act
Subregulation 1
Subject to paragraph (2), a major payment institution that is licensed to carry on a business of providing a merchant acquisition service is exempt from section 23(2) of the Act in respect of the relevant money that is received by the major payment institution —
on account of a customer that is a foreign entity in respect of a provision of a merchant acquisition service by the major payment institution to the customer; or
on account of a customer that is a foreign entity in respect of a provision of a cross‑border money transfer service by the major payment institution to the customer for the purpose of enabling the major payment institution to provide a merchant acquisition service to the customer.
Subregulation 2
The major payment institution must inform the customer mentioned in paragraph (1)(a) or (b) (as the case may be) in writing that the money the major payment institution receives on account of the customer is not safeguarded under the Act.
Subregulation 3
Subject to paragraph (4), a major payment institution that is licensed to carry on a business of providing a cross‑border money transfer service is exempt from section 23(2) of the Act in respect of relevant money that is received from, or on account of, a customer in respect of a provision of any cross‑border money transfer service mentioned in paragraph (c) of the definition of “cross‑border money transfer service” in paragraph 3 of the First Schedule to the Act.
Subregulation 4
The exemption in paragraph (3) is subject to the following conditions:
the major payment institution must inform the customer in writing that the money the major payment institution receives from, or on account of, the customer is not safeguarded under the Act; (b)the major payment institution must not accept or receive the relevant money in Singapore; (c)the payer must be a foreign individual or foreign entity;
the payee must be a foreign individual or foreign entity.
Subregulation 5
In this regulation —
Definition
“foreign entity” means any entity that —
is not incorporated, formed or registered in Singapore; and
does not carry on business in Singapore;
Definition
“foreign individual” means any individual who is not resident in Singapore.