21. The Trustees Act is amended by inserting, immediately after section 85, the following sections:
86. For the avoidance of doubt, every settlement or disposition of property made or caused to be made on trust, before, on or after the date of commencement of the Trustees (Amendment) Act 2004, with intent to defraud creditors, shall be voidable at the instance of any person thereby prejudiced, in accordance with section 73B of the Conveyancing and Law of Property Act (Cap. 61).
—(1) For the avoidance of doubt, every settlement or disposition of property made or caused to be made on trust, before, on or after the date of commencement of the Trustees (Amendment) Act 2004, that is —
a transaction at an undervalue as defined in section 98 (read with sections 100 and 101) of the Bankruptcy Act (Cap. 20); or
an unfair preference as defined in section 99 (read with sections 100 and 101) of the Bankruptcy Act;
shall be subject to the respective sections, as the case may be.
(2) Where the person making the settlement or disposition is a body corporate, the provisions of sections 98 to 101 of the Bankruptcy Act shall be read subject to such modifications as are prescribed under the Companies Act (Cap. 50) for the application of those provisions for the purposes of sections 227T and 329 of the Companies Act.
—(1) Subject to subsection (3), where a person creates a trust or transfers movable property to be held on an existing trust during his lifetime, he shall be deemed to have the capacity to so create the trust or transfer the property if he has capacity to do so under any of the following laws:
the law applicable in Singapore;
the law of his domicile or nationality; or
the proper law of the transfer.
(2) No rule relating to inheritance or succession shall affect the validity of a trust or the transfer of any property to be held on trust if the person creating the trust or transferring the property had the capacity to do so under subsection (1).
(3) Subsection (1) ––
does not apply if, at the time of the creation of the trust or the transfer of the property to be held on trust, the person creating the trust or transferring the property is a citizen of Singapore or is domiciled in Singapore; and
applies in relation to a trust only if the trust is expressed to be governed by Singapore law and the trustees are resident in Singapore.
(4) In subsection (1), the reference to “law” does not include any choice of law rules forming part of that law.
(5) No trust or settlement of any property on trust shall be invalid by reason only of the person creating the trust or making the settlement reserving to himself any or all powers of investment or asset management functions under the trust or settlement.”.