Licensing of credit bureaus
6.—(1) Subject to the provisions of this Act, a person must not carry on any type of credit reporting business unless the person is licensed by the Authority under this Act in respect of that type of credit reporting business.
(2) Any person that contravenes this section shall be guilty of an offence and shall be liable on conviction —(a)
in the case of an individual, to a fine not exceeding $125,000 or to imprisonment for a term not exceeding 3 years or to both and, in the case of a continuing offence, to a further fine not exceeding $12,500 for every day or part of a day during which the offence continues after conviction; or
(b)
in any other case, to a fine not exceeding $250,000 and, in the case of a continuing offence, to a further fine not exceeding $25,000 for every day or part of a day during which the offence continues after conviction.
Application for licence
7.—(1) A person that desires to carry on a credit reporting business must apply in writing to the Authority for a licence under this section.
(2) Subject to subsection (3), the person in subsection (1) may apply for a licence to carry on —(a)
a consumer credit reporting business;
(b)
a corporate credit reporting business; or
(c)
both a consumer credit reporting business and a corporate credit reporting business.
(3) Upon receiving an application under subsection (1), the Authority must consider the application and may grant a licence to the applicant with or without conditions, or refuse to grant a licence.
(4) The Authority must not grant a licence to an applicant unless —(a)
the applicant is a company;
(b)
the applicant satisfies the financial and operational requirements specified by the Authority; and
(c)
the application is accompanied by —(i)
such information as the Authority may require; and
(ii)
a non‑refundable application fee of a prescribed amount that is paid in the manner the Authority specifies.
(5) A licence granted under this section is valid for 5 years or any shorter period that the Authority may specify, and is renewable in accordance with section 8.
(6) The Authority must not grant a licence to an applicant to carry on —(a)
a corporate credit reporting business; or
(b)
both a corporate credit reporting business and a consumer credit reporting business,
when another person holds a licence for that business.
(7) The Authority must publish the grant of any licence or change of name of a licensed credit bureau in the Gazette.
(8) The Authority may at any time add to, vary or revoke any of the existing conditions of the licence of a credit bureau.
(9) A licensed credit bureau must, at all times during the currency of its licence, satisfy such financial and operational requirements as the Authority may specify by written notice under section 75(1).
(10) Any licensed credit bureau that without reasonable cause fails to comply with subsection (9) or any condition imposed by the Authority under subsection (3) or (8) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000 and, in the case of a continuing offence, to a further fine not exceeding $10,000 for every day or part of a day during which the offence continues after conviction.
Renewal of licence
8.—(1) An application by a licensed credit bureau to renew its licence must be —(a)
made to the Authority in writing at least 6 months before the date the licence expires;
(b)
accompanied by such information as the Authority may require; and
(c)
accompanied by the non‑refundable prescribed application fee that is paid in the manner specified by the Authority.
(2) If an application to renew a licence is submitted to the Authority less than 6 months before the date of expiry of the licence, the application must, in addition to the renewal fee, be accompanied by the prescribed late application fee.
(3) Section 7(3) and (4)(a) and (b) applies, with the necessary modifications, to an application to renew a licence under this section as it applies to an application for a licence under section 7.
(4) Section 7(5) and (7) to (10) applies, with the necessary modifications, to a licence that is renewed under this section as it applies to a licence that is granted under section 7.
Holding out as licensed credit bureau
9.—(1) A person that is not a licensed credit bureau must not hold itself out as a licensed credit bureau.
(2) Any person that contravenes this section shall be guilty of an offence and shall be liable on conviction —(a)
in the case of an individual, to a fine not exceeding $125,000 or to imprisonment for a term not exceeding 3 years or to both and, in the case of a continuing offence, to a further fine not exceeding $12,500 for every day or part of a day during which the offence continues after conviction; or
(b)
in any other case, to a fine not exceeding $250,000 and, in the case of a continuing offence, to a further fine not exceeding $25,000 for every day or part of a day during which the offence continues after conviction.
Annual fees of licensed credit bureau
10.—(1) A licensed credit bureau must pay to the Authority such prescribed annual fee in the manner that the Authority specifies.
(2) The Authority may prescribe different annual fees for different licensed credit bureaus depending on the type of credit reporting business they are licensed to carry on.
(3) The Authority may, where it considers appropriate in a particular case, waive, refund or remit the whole or any part of any annual fee paid or payable to it.
Lapsing, revocation and suspension of licence
11.—(1) A licence lapses —(a)
if the licensed credit bureau is wound up or otherwise dissolved, whether in Singapore or elsewhere;
(b)
if the licence is not renewed on or before the expiry of the licence; or
(c)
upon the occurrence of such event as may be prescribed.
(2) The Authority may revoke a licence of a licensed credit bureau if —(a)
it appears to the Authority that any of the following persons of the licensed credit bureau are not fit and proper persons in accordance with the Guidelines on Fit and Proper Criteria:(i)
its officers and employees;
(ii)
its substantial shareholders, 12% controllers, 20% controllers and indirect controllers, as defined in section 39(2);
(b)
it appears to the Authority that —(i)
the financial standing of the licensed credit bureau; or
(ii)
the manner in which the licensed credit bureau’s business is being conducted,
is not satisfactory;
(c)
the licensed credit bureau is contravening or has contravened any provision of this Act, or any condition or restriction imposed or any notice issued by the Authority under this Act;
(d)
it appears to the Authority that the licensed credit bureau is failing or has failed to satisfy any of its obligations under or arising from —(i)
this Act; or
(ii)
any notice issued by the Authority under this Act;
(e)
the licensed credit bureau has provided to the Authority any information or document required under this Act that is false or misleading;
(f)
it appears to the Authority that the licensed credit bureau, or any of its officers or employees, has not performed its or his or her duties under this Act honestly or fairly;
(g)
it appears to the Authority that it would be contrary to the public interest for the licensed credit bureau to continue its operations;
(h)
the licensed credit bureau fails to pay the annual fee mentioned in section 10(1); or
(i)
the licensed credit bureau fails or ceases to carry on any credit reporting business for which it is licensed.
(3) The Authority may, if it considers it desirable to do so —(a)
suspend the licence of a licensed credit bureau for a specified period instead of revoking the licence under subsection (2); and
(b)
at any time —(i)
extend the suspension for a specified period; or
(ii)
revoke the suspension.
(4) Subject to subsection (5), the Authority must not revoke a licence under subsection (2) or suspend a licence under subsection (3) without giving the licensed credit bureau an opportunity to be heard.
(5) The Authority may, without giving the licensed credit bureau an opportunity to be heard, revoke or suspend a licence of a licensed credit bureau in any of the following circumstances:(a)
the licensed credit bureau is in the course of being wound up or otherwise dissolved, whether in Singapore or elsewhere;
(b)
a receiver, a receiver and manager, a judicial manager or an equivalent person has been appointed, whether in Singapore or elsewhere, for or in respect of any property of the licensed credit bureau;
(c)
the licensed credit bureau has been convicted —(i)
whether in Singapore or elsewhere; and
(ii)
whether before, on or after 31 May 2021,
of an offence involving fraud or dishonesty, or the conviction involved a finding that the licensed credit bureau had acted fraudulently or dishonestly.
(6) A licensed credit bureau whose licence has lapsed, or is revoked or suspended, must cease to carry on any credit reporting business from the date it lapses, or the date the revocation or suspension takes effect.
(7) Where the licence of a licensed credit bureau lapses or is revoked under this section, the former licensed credit bureau concerned must —(a)
immediately inform all its members by written notice of the lapse or revocation;
(b)
if directed by the Authority by a written notice, within the period specified in the notice —(i)
destroy the part of any book in its possession that contains any data and expunge all data from its information technology system, in such manner as may be specified in the notice;
(ii)
transfer all books containing any data, and data from its information technology system, to any third party appointed by the Authority, and expunge all data from its information technology system after the transfer; or
(iii)
transfer all books containing any data, and data from its information technology system, to any third party appointed by the Authority; and
(c)
within 3 months after the date the licence lapses or is revoked, or any other period that the Authority may approve for any particular case, submit to the Authority a report from its auditor confirming that the former licensed credit bureau has complied with paragraph (b).
(8) Where —(a)
the licence of a licensed credit bureau is suspended under subsection (3)(a); or
(b)
the suspension of the licence of the licensed credit bureau is extended under subsection (3)(b)(i),
the licensed credit bureau must immediately inform all its members by written notice of the suspension, or the extension of the suspension, as the case may be.
(9) Where a licence —(a)
lapses;
(b)
is revoked; or
(c)
is suspended,
the Authority must publish a notice of this in the Gazette.
(10) Despite the lapse or revocation of the licence, and unless the Authority otherwise directs, sections 21, 23, 48, 49 and 50 continue to apply in relation to the former licensed credit bureau and its approved members in respect of matters that occurred before the lapse or revocation as if it had not occurred.
(11) Any person that contravenes subsection (6), (7) or (8) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000 and, in the case of a continuing offence, to a further fine not exceeding $10,000 for every day or part of a day during which the offence continues after conviction.
(12) In this section, “information technology system”, in relation to a licensed credit bureau, means computer servers and network equipment operated, maintained or used by the licensed credit bureau, and any other electronic device that contains data.
Right of appeal
12. Any company that is aggrieved —(a)
by the refusal of the Authority to grant a licence to it, or renew its licence; or
(b)
by the revocation or suspension of its licence by the Authority,
may, within 30 days after having been informed of the refusal, revocation or suspension, appeal in writing to the Minister.
Source: Singapore Statutes Online (Attorney-General's Chambers), © Government of Singapore.
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