On 21/05/2013,
you requested for the version in force on 21/05/2013
incorporating all amendments published on or before 21/05/2013.
The closest version currently available is that of 02/01/2011.
PART IV
ACCOUNTS AND AUDIT
22.
—(1) The Board may, with the approval of the Minister, make regulations to provide for the keeping by commodity brokers of such accounting and other records as may be prescribed.
[22/2001; 35/2007]
(2) Without prejudice to the generality of subsection (1), such regulations may in particular provide —
(a)
for the particulars to be shown or recorded in such accounts or records;
(b)
for the keeping of separate or segregated accounts;
(c)
for the period during which such accounts or records are required to be kept;
(d)
for the form and manner in which such accounts or records are to be kept;
(e)
for the appointment of an auditor by every commodity broker and for the duties of such auditor, including the duty to report to the Board any matter adversely affecting the financial position of the broker and such other matters in such circumstances as may be prescribed;
(f)
for the information to be contained in the auditor’s reports;
(g)
for the remuneration of an auditor appointed under this Act and for the costs of an audit carried out under this Act;
(h)
for the lodging of annual accounts and the auditor’s report with the Board in such manner and form and within such time as may be prescribed; and
(i)
that a contravention thereof shall be punishable with a fine not exceeding $10,000 or with imprisonment for a term not exceeding 12 months or with both.
[22/2001; 35/2007]
23.
—(1) Where —
(a)
a commodity broker fails to lodge an auditor’s report as is required under regulations made pursuant to section 22(2)(h); or
(b)
the Board receives an auditor’s report on any matter adversely affecting the financial position of the broker or such other matter as the auditor is required to report under regulations made pursuant to section 22(2)(e),
the Board may, without prejudice to its powers under section 28, if it is satisfied that it is in the interests of the commodity broker, the customers of the commodity broker or the general public to do so, appoint in writing an auditor to examine and audit, either generally or in relation to any particular matter, the books, accounts and records of the commodity broker.
[22/2001; 35/2007]
(2) Where the Board is of the opinion that the whole or any part of the costs and expenses of an auditor appointed by it under subsection (1) should be borne by the commodity broker, the Board may, by order in writing, direct the commodity broker to pay a specified amount, being the whole or part of such costs and expenses, within the time and in the manner specified in the order.
[22/2001; 35/2007]
(3) Where a commodity broker fails to comply with an order under subsection (2), the amount specified in the order may be sued for and recovered by the Board as a debt due to the Board.
[22/2001; 35/2007]
(4) An auditor appointed under this section shall, on the conclusion of the examination and audit, make a report thereon to the Board.
24.
—(1) An auditor appointed under section 23 to examine and audit the books, accounts and records of a commodity broker may, for the purpose of carrying out the examination and audit —
(a)
examine on oath any of the commodity broker’s directors, employees and agents and any other auditor appointed under this Act in relation to those books, accounts and records;
(b)
require any of the commodity broker’s directors, employees and agents, to produce any books, accounts and records held by or on behalf of the commodity broker relating to his business and make copies of or take accounts and records for such period as is necessary to enable them to be inspected;
(c)
require an auditor appointed by the commodity broker to produce any books, accounts and records held by him relating to the business of the commodity broker;
(d)
require a commodity market or a clearing house to produce any books, accounts and records kept by it relating to the business of the commodity broker;
(e)
require a commodity market or a clearing house to provide any information in its possession relating to the business of the commodity broker;
(f)
employ such persons as he considers necessary to assist him in carrying out the examination and audit; and
(g)
by instrument in writing under his hand, authorise any person employed by him to do, in relation to the examination and audit, any act or thing that he could do himself as an auditor, except the examination of any person on oath, under this subsection.
[22/2001; 35/2007]
(2) Any person who, without reasonable excuse, refuses or fails to answer any question put to him, or fails to comply with any request made to him, by an auditor appointed under section 23, or a person authorised under subsection (1)(g), shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both.
(3) If a commodity market or a clearing house, without reasonable excuse, fails to comply with any request made to it by an auditor appointed under section 28, or a person authorised under subsection (1)(g), that market or the clearing house shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $30,000.
[22/2001; 35/2007]
25.
—(1) Any person who, with intent to prevent, delay or obstruct the carrying out of any examination and audit under this Part —
(a)
destroys, conceals or alters any book, account or record relating to the business of a commodity broker; or
(b)
sends, or conspires with any other person to send, out of Singapore any such book, account or record, or any property of any description belonging to or in the possession or under the control of a commodity broker,
shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000 or to imprisonment for a term not exceeding 2 years or to both.
[22/2001; 35/2007]
(2) If, in a prosecution for an offence under subsection (1), it is proved that the person charged —
(a)
destroyed, concealed or altered any book, account or record mentioned in subsection (1)(a); or
(b)
sent, or conspired to send, out of Singapore any such book, account or record, or any property mentioned in subsection (1)(b),
he shall be presumed until the contrary is proved, 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.
26. 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 23 or any regulations made pursuant to section 22 and any employee of such auditor shall not divulge any information which may come to his knowledge in the course of performing his duties as such auditor or employee, as the case may be, to any person other than —
(a)
the Board or any person approved or designated by the Board; and
(b)
in the case of an employee, the auditor by whom he is employed.
Maintenance of books and records and furnishing accounts, etc., by trading adviser and pool operator
27.
—(1) Every commodity trading adviser and commodity pool operator shall cause to be kept such books and records and file such reports, in such form and manner, as may be prescribed by the Board.
[22/2001; 35/2007]
(2) Every commodity trading adviser and commodity pool operator shall make full and complete disclosure to his subscribers, customers or participants of all open commodity market positions taken or held by such adviser or operator on their behalf or if a corporation by any director, manager or employee of the corporation, whether directly or indirectly.
[22/2001; 35/2007]
(3) Every commodity pool operator shall furnish —
(a)
statements of account, at such periodic intervals, as the Board may prescribe; and
(b)
an annual report, to each participant in his pool operations.
[22/2001; 35/2007]
(4) Such statements and annual report shall be in such form and manner as may be prescribed by the Board and shall include complete information as to the current status of all trading accounts in which such participant has an interest.
(5) Any person who, without reasonable excuse, contravenes subsection (1), or who knowingly or recklessly furnishes any information under subsection (2) or (3) which is false or misleading in a material particular, shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $20,000 or to imprisonment for a term not exceeding 2 years or to both.
(6) The provisions of this Part in relation to the appointment of an auditor whether by the Board or otherwise, the powers and duties of an auditor and the filing of an auditor’s report shall apply with the necessary modifications to a commodity market, a clearing house, a commodity trading adviser and a commodity pool operator as they apply to a commodity broker under this Part.
[22/2001; 35/2007]
28.
—(1) Notwithstanding the provisions of the Companies Act (Cap. 50) or anything contained in this Part, the Board may —
(a)
itself appoint an auditor under this Part; and
(b)
impose all or any of the following duties on an auditor of a commodity market, a clearing house, a commodity broker, a commodity trading adviser or a commodity pool operator, as the case may be:
(i)
a duty to submit such additional information in relation to his audit as the Board considers necessary;
(ii)
a duty to enlarge or extend the scope of his audit of the business and affairs of a commodity market, a clearing house, a commodity trading adviser or a commodity pool operator;
(iii)
a duty to carry out any other examination or establish any procedure in any particular case; and
(iv)
a duty to submit a report on any of the matters referred to in sub-paragraphs (ii) and (iii),
and a commodity market, a clearing house, a commodity broker, a commodity trading adviser or a commodity pool operator, as the case may be, shall remunerate the auditor in respect of the discharge of all or any of the additional duties.
[22/2001; 35/2007]
(2) If an auditor in the course of the performance of his duties as an auditor of a commodity market, a clearing house, a commodity broker, a commodity trading adviser or a commodity pool operator, as the case may be, is satisfied that —
(a)
there has been a serious breach or non-observance of this Act or any regulations made thereunder, or that otherwise a criminal offence involving fraud or dishonesty has been committed;
(b)
serious irregularities have occurred, including irregularities that jeopardise the funds, securities or property of the customers; or
(c)
he is unable to confirm whether claims of creditors are still covered by the assets,
he shall immediately report the matter to the Board.
[22/2001; 35/2007]
(3) An auditor appointed under subsection (1)(a) shall have all the powers conferred upon an auditor under section 24.
(4) Where the Board is of the opinion that the whole or any part of the costs and expenses of an auditor appointed under subsection (1)(a) should be borne by a commodity market, a clearing house, a commodity broker, a commodity trading adviser or a commodity pool operator, as the case may be, the Board may by order in writing direct that the market, clearing house, broker, trading adviser or pool operator, as the case may be, pay a specified amount (being the whole or part of the costs and expenses) within the time and manner specified in the order.
[35/2007]
29.
—(1) An auditor shall not, 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; or
(b)
the sending of any report to the Board under any regulations made pursuant to section 22 or 28.
(2) This section does not restrict or affect any right, privilege or immunity that the auditor has, apart from this section, as a defendant in an action for defamation.