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Contents

Long Title

Part I PRELIMINARY

Part II LICENSING OF TRUST COMPANIES

Part III CONTROL OF SHAREHOLDINGS AND VOTING POWERS

Part IIIA CONTROL OVER LICENSED TRUST COMPANY

Part IIIB VOLUNTARY TRANSFER OF BUSINESS

Part IV PROBATE AND ADMINISTRATION

Part V CONDUCT OF BUSINESS

Part VI BOOKS, ACCOUNTS AND AUDIT

Division 1 — Books and accounts

Division 2 — Audit

Part VII SUPERVISION AND INVESTIGATION

Division 1 — General

Division 2 — Inspection powers of Authority

Division 3 — Investigative powers of Authority

Part VIII DISCLOSURE OF INFORMATION

Part IX APPEALS

Part X MISCELLANEOUS

FIRST SCHEDULE Trust Business

SECOND SCHEDULE Specified Persons

THIRD SCHEDULE Purposes for Which and Persons to Whom Protected Information May be Disclosed

FOURTH SCHEDULE Specified Provisions

Legislative Source Key

Legislative History

Comparative Table

 
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On 18/04/2014, you requested the version in force on 18/04/2014 incorporating all amendments published on or before 18/04/2014. The closest version currently available is that of 18/04/2013.
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PART VI
BOOKS, ACCOUNTS AND AUDIT
Division 1 — Books and accounts
Keeping of books and furnishing of returns
28.
—(1)  Where a licensed trust company acts as a trustee of any express trust, the licensed trust company shall keep, or cause to be kept, such books as will sufficiently explain the transactions entered into by the licensed trust company on behalf of the trust and the financial position of such trust.
(2)  A licensed trust company shall keep, or cause to be kept, the books relating to the company as will —
(a)
sufficiently explain the transactions and financial position of its business; and
(b)
enable true and fair profit and loss accounts and balance-sheets to be prepared from time to time,
and its books shall be kept in such a manner as will enable them to be conveniently and properly audited.
(3)  An entry in the books of a licensed trust company required to be kept in accordance with this section shall be deemed to have been made by, or with the authority of, the licensed trust company.
(4)  A licensed trust company shall retain such books as may be required to be kept under this Act for a period of not less than 5 years.
[2/2007 wef 01/03/2007]
(5)  A licensed trust company shall —
(a)
furnish such returns and records in such form and manner as may be prescribed or as may be notified by the Authority in writing; and
(b)
provide such information relating to its business as the Authority may require.
(6)  The Authority may, without prejudice to the generality of section 82(1), make regulations in respect of all or any of the matters in this section, including the keeping of such books, by a licensed trust company, in such form and manner as the Authority may prescribe.
(7)  Any licensed trust company which, without reasonable excuse, contravenes subsection (1), (2) or (4) or any regulations made under subsection (6) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000.
(8)  Any licensed trust company which, without reasonable excuse, contravenes subsection (5) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000 and, in the case of a continuing offence, to a further fine not exceeding $5,000 for every day or part thereof during which the offence continues after conviction.
[SFA, s. 102]
Division 2 — Audit
Appointment of auditors
29.
—(1)  A licensed trust company shall appoint an auditor to audit its accounts and where, for any reason, the auditor ceases to act for such licensed trust company, the licensed trust company shall, as soon as practicable thereafter, appoint another auditor.
(2)  Notwithstanding any other provision of this Act or any other written law, the Authority may, if it is not satisfied with the performance of duties by an auditor appointed by a licensed trust company —
(a)
at any time direct the licensed trust company to remove the auditor; and
(b)
direct the licensed trust company, as soon as practicable thereafter, to appoint another auditor,
and the licensed trust company shall comply with such direction.
(3)  Any licensed trust company which contravenes subsection (1) or (2) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000.
[SFA, s. 106]
Lodgment of annual accounts, etc.
30.
—(1)  A licensed trust company shall, in respect of each financial year —
(a)
prepare a true and fair profit and loss account and a balance-sheet in relation to its business made up to the last day of the financial year; and
(b)
lodge the profit and loss account and balance-sheet with the Authority within 5 months, or such extension thereof permitted by the Authority under subsection (2), after the end of the financial year, together with an auditor’s report on that profit and loss account and balance-sheet.
(2)  Where an application for an extension of the period of 5 months specified in subsection (1) has been made by a licensed trust company to the Authority and the Authority is satisfied that there is a special reason for requiring the extension, the Authority may extend that period by not more than 4 months, subject to such conditions or restrictions as the Authority may think fit to impose.
(3)  A licensed trust company shall submit to the Authority, at such intervals and in such manner as the Authority may specify, consolidated statements or information relating to the trusts that are administered by the licensed trust company or for which it provides trust administration services.
(4)  Any licensed trust company which contravenes subsection (1) or (3) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $500 for every day or part thereof that the lodgment is late, subject to a maximum fine of $50,000.
(5)  Any licensed trust company which contravenes any condition or restriction imposed under subsection (2) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000.
[SFA, s. 107]
Reports by auditor to Authority in certain cases
31.
—(1)  Where the auditor of a licensed trust company, in the performance of his duties as such auditor, becomes aware of —
(a)
any matter which, in his opinion, adversely affects or may adversely affect the financial position of the licensed trust company to a material extent;
(b)
any matter which, in his opinion, constitutes or may constitute a contravention of any provision of this Act or an offence involving fraud or dishonesty; or
(c)
any irregularity that has or may have a material effect upon the accounts, including any irregularity that may affect or jeopardise the moneys or other assets of any protected party of the licensed trust company,
the auditor shall immediately thereafter send a report in writing of the matter or irregularity to the Authority.
(2)  Any auditor who contravenes subsection (1) shall be guilty of an offence.
[SFA, s. 108]
Power of Authority to appoint auditor
32.
—(1)  Where —
(a)
a licensed trust company fails to lodge an auditor’s report under section 31; or
(b)
the Authority receives a report under section 31,
the Authority may, without prejudice to its powers under section 36, if it is satisfied that it is in the interests of the licensed trust company, any protected party of the licensed trust company or the public, appoint in writing an auditor to examine and audit, either generally or in relation to any particular matter, the books of the licensed trust company.
(2)  Where the Authority is of the opinion that the whole or any part of the costs and expenses of an auditor appointed by the Authority under subsection (1) should be borne by the licensed trust company, the Authority may by notice in writing, direct the licensed trust company to pay a specified amount, being the whole or part of such costs and expenses, within such time and in such manner as may be specified in the direction.
(3)  Where a licensed trust company fails to comply with a direction under subsection (2), the amount specified in the direction may be recovered by the Authority as a civil debt.
(4)  An auditor appointed under subsection (1) shall, on the conclusion of the examination and audit, submit a report to the Authority.
(5)  Any auditor who contravenes subsection (4) shall be guilty of an offence.
[SFA, s. 109]
Offence to destroy, conceal, alter, etc., books
33.
—(1)  Any person who, with intent to prevent, delay or obstruct the carrying out of any audit under this Part —
(a)
destroys, conceals or alters any book relating to the business of a licensed trust company or any trust that is administered by the licensed trust company; or
(b)
sends, or conspires with any other person to send, out of Singapore, any book or asset of any description belonging to, in the possession of or under the control of a licensed trust company,
shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000 or to imprisonment for a term not exceeding 2 years or to both.
(2)  If, in any proceedings for an offence under subsection (1), it is proved that the person charged with the offence —
(a)
destroyed, concealed or altered any book referred to in subsection (1)(a); or
(b)
sent, or conspired to send, out of Singapore, any book or asset referred to in subsection (1)(b),
the onus of proving that, in so doing, he did not act with intent to prevent, delay or obstruct the carrying out of an examination and audit under this Part shall lie on him.
[SFA, s. 111]
Safeguarding of books
34.
—(1)  A licensed trust company shall take reasonable precautions —
(a)
to prevent falsification of the books required to be kept by it under this Act; and
(b)
to facilitate the discovery of any falsification of any such book.
(2)  Any licensed trust company which contravenes subsection (1) shall be guilty of an offence.
[SFA, s. 112]
Restriction on auditor’s and employee’s right to communicate certain matters
35.
—(1)  Except as may be necessary for the carrying into effect of the provisions of this Act or so far as may be required for the purposes of any legal proceedings, whether civil or criminal, an auditor appointed under section 32 or carrying out any duty imposed under section 36, and any employee of such an auditor, shall not disclose any information which may come to his knowledge or possession in the course of performing his duties as such auditor or employee, as the case may be, to any person other than —
(a)
the Authority; and
(b)
in the case of an employee of such auditor, the auditor.
(2)  Any auditor who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $50,000.
(3)  Any employee of an auditor who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000.
[SFA, s. 113]
Additional powers of Authority in respect of auditors
36.
—(1)  The Authority may impose all or any of the following duties on an auditor of a licensed trust company:
(a)
a duty to submit to the Authority such additional information in relation to his audit as the Authority considers necessary;
(b)
a duty to enlarge or extend the scope of his audit of the business and affairs of the licensed trust company;
(c)
a duty to carry out any other examination or establish any procedure in any particular case;
(d)
a duty to submit a report to the Authority on any of the matters referred to in paragraphs (b) and (c),
and the auditor shall carry out such additional duty or duties.
(2)  A licensed trust company shall remunerate the auditor in respect of the discharge of such additional duty or duties as the Authority may impose under subsection (1).
(3)  Any auditor who contravenes subsection (1) shall be guilty of an offence.
(4)  Any licensed trust company which contravenes subsection (2) shall be guilty of an offence.
[SFA, s. 115]
Defamation
37.
—(1)  No auditor of a licensed trust company or employee of such auditor shall, in the absence of malice on his part, be liable to any action for defamation at the suit of any person in respect of —
(a)
any statement made orally or in writing in the discharge of his duties under this Part; or
(b)
the submission of any report to the Authority under section 31(1), 32(4) or 36(1)(d).
(2)  Subsection (1) shall not restrict or otherwise affect any right, privilege or immunity that, apart from this section, the auditor or his employee has as a defendant in an action for defamation.
[SFA, s. 116]