|
 |
|
Source:
www.mas.gov.sg |
|
The Money-Changing and
Remittance Businesses (Amendment) Bill 2005 |
|
|
The Minister for Education and Deputy
Chairman of the Monetary Authority of Singapore (MAS) today moved the
Money-Changing and Remittance Businesses (Amendment) Bill 2005 [MCRB(A)]
for first reading in Parliament. |
|
The Amendment Bill aims to fine-tune and
better reflect MAS' supervisory approach of remittance houses. |
|
MAS does not supervise remittance houses for
their safety and soundness. MAS' supervision of remittance houses and
money-changers focuses on anti-money laundering (AML) and countering of
terrorist financing (CFT) purposes. |
|
This approach is in line with the practices
in other reputable financial centers where the supervisory oversight is
scoped in this way. The amendments are aimed at raising the professional
and AML/CFT standards in the remittance industry. |
|
KEY AMENDMENTS IN THE MCRB(A) |
|
The MCRB(A) implements the following key
changes to the Money-Changing and Remittance Businesses Act (Cap. 187) [MCRBA]: |
|
(a) Requiring the Holder of a Remittance
Licence to be Incorporated as a Company with Minimum Capital (Section
7B) - Currently, a holder of a remittance licence can be set up as a
sole proprietorship, a partnership or a company. The proposed amendment
will require the holder of a remittance licence to be incorporated as a
company and to have a minimum capital of S$100,000. |
|
(b) Expanding the Scope of MAS' Powers to
Revoke and Suspend a Money-changer's Licence and Remittance Licence
(Section 14) - |
| |
(i) The grounds under
which MAS may revoke a money-changer's licence and remittance
licence will be expanded to include cases where the licensee has
failed to comply with any written direction issued to him or it by
MAS; |
| |
(ii) A new provision
will be introduced to empower MAS to suspend a money-changer's
licence and remittance licence, in lieu of revocation; and |
| |
(iii) The
circumstances under which a money-changer's licence and remittance
licence will lapse or may be surrendered will be spelt out. |
|
|
(c) Extending the Liability of Losses
Suffered under Certain Circumstances to Officers or Partners of a
Licensee (Section 21) - Officers of a company or partners of a limited
liability partnership are currently not liable for any losses suffered
where the holder of a money-changer's licence or remittance licence, as
the case may be, has carried on its business in a fraudulent manner. The
proposed amendment will allow victims of fraud to have legal recourse to
officers or partners of the licensee. |
|
(d) Increasing the Quantum of Penalties -
The quantum of penalties for certain offences under the MCRBA will be
increased to provide more effective deterrent purpose. |
MONETARY AUTHORITY OF SINGAPORE
18 July 2005 |
|
Source:
www.mas.gov.sg Press Release 18 Jul 2005 |
|
 |
|
|
Money-changing & Remittance Businesses (Amendment) Bill 2005
