Division 1 — Regulatory action against licensees and class licensees
Regulatory action against licensees and class licensees
22.—(1) Subject to section 23, if the Licensing Officer is satisfied that —(a)
a licensee or class licensee has contravened or not complied with —(i)
any condition of its licence or class licence;
(ii)
any provision of this Act applicable to the licensee or class licensee, the contravention of or non‑compliance with which is not an offence under this Act;
(iii)
any provision of a code of practice applicable to the licensee or class licensee;
(iv)
in the case of the licensee — any direction given to the licensee under subsection (2)(a) or section 11(4), 21(6), 25(2)(b) or 26(5); or
(v)
in the case of a class licensee — any direction given to the class licensee under subsection (2)(a);
(b)
a licensee or class licensee has gone or is likely to go into compulsory or voluntary liquidation other than for the purpose of amalgamation or reconstruction;
(c)
a licensee or class licensee has made any assignment to, or composition with, its creditors or, if a corporation or limited liability partnership, is unable to pay its debts;
(d)
a licensee or class licensee has been convicted of any of the following offences that is committed during the term of the licence or class licence, as the case may be:(i)
an offence under this Act;
(ii)
an offence, whether in Singapore or elsewhere, involving dishonesty or the conviction for which involved a finding that the licensee or class licensee had acted dishonestly;
(iii)
an offence specified in the Second Schedule;
(e)
the licence of a licensee had been obtained by fraud or misrepresentation;
(f)
a licensee is no longer a fit and proper person to hold a licence, having regard to the criteria or requirements mentioned in section 8(3) or the matter or evidence mentioned in section 8(4);
(g)
a key appointment holder of a licensee is no longer a fit and proper person to act in that capacity, having regard to the criteria or requirements mentioned in section 8(3) or the matter or evidence mentioned in section 8(4);
(h)
a licensee has ceased to carry on the debt collection business; or
(i)
the public interest so requires,
the Licensing Officer may (without any compensation) revoke the licensee’s licence or disapply the class licence with respect to that class licensee.
(2) However, the Licensing Officer may, in lieu of revoking a licensee’s licence or disapplying a class licence with respect to a class licensee under subsection (1), do (without compensation) one or more of the following:(a)
direct the licensee or class licensee to do, or to refrain from doing, the things that are specified in a direction to rectify any contravention or non-compliance mentioned in subsection (1)(a);
(b)
suspend the licence or application of the class licence with respect to the class licensee for not more than 6 months;
(c)
in the case of a licensee — modify any condition of the licence.
(3) In taking any regulatory action under this section in relation to the conviction of a licensee or a class licensee for a criminal offence, the Licensing Officer may accept the licensee’s or class licensee’s conviction as final.
(4) For the purposes of subsection (1)(c) —(a)
a corporation is unable to pay its debts if it is deemed to be so unable under section 125(2) of the Insolvency, Restructuring and Dissolution Act 2018; and
(b)
a limited liability partnership is unable to pay its debts if it is deemed to be so unable under paragraph 3(2) of the Fifth Schedule to the Limited Liability Partnerships Act 2005.
Proceedings for regulatory action against licensees and class licensees
23.—(1) Before exercising any power under section 22, the Licensing Officer must give written notice to the licensee or class licensee concerned —(a)
stating that the Licensing Officer intends to take regulatory action against the licensee or class licensee;
(b)
specifying the type of regulatory action in section 22(1) or (2) the Licensing Officer proposes to take, and the ground for taking the regulatory action; and
(c)
specifying the time (being at least 14 days after the date the written notice is served on the licensee or class licensee) within which written representations may be made to the Licensing Officer with respect to the proposed regulatory action.
(2) The Licensing Officer may decide to take the appropriate regulatory action described in section 22(1) or (2) —(a)
after considering any written representation made to him or her pursuant to the written notice mentioned in subsection (1); or
(b)
after the time delimited in the written notice under subsection (1)(c) lapses, where no representation is so made or any representation made is subsequently withdrawn.
(3) Where the Licensing Officer has made any decision under subsection (2) against any licensee or class licensee, the Licensing Officer must serve on the licensee or class licensee a notice of his or her decision.
(4) Subject to section 37, a decision to revoke a licence or disapply a class licence under section 22(1), or to impose a regulatory action under section 22(2), which is specified in the notice given under subsection (1), takes effect on the date that is immediately after the date on which that notice is given, or on any other date that may be specified in the notice.
(5) Any suspension or revocation of any licence of any licensee, or any suspension of application or disapplication of a class licence with respect to any class licensee, under section 22 does not affect —(a)
the enforcement by any person of any right or claim against the licensee or class licensee or the former licensee or former class licensee, as the case may be; or
(b)
the enforcement by the licensee or class licensee or the former licensee or former class licensee (as the case may be) of any right or claim against any person.
Immediate suspension of licence or application of class licence
24.—(1) This section applies if —(a)
a licensee or class licensee is subject to criminal proceedings in respect of —(i)
an offence under this Act;
(ii)
an offence, whether in Singapore or elsewhere, involving dishonesty or the conviction for which involved a finding that the licensee or class licensee (as the case may be) had acted dishonestly; or
(iii)
an offence specified in the Second Schedule; and
(b)
the Licensing Officer is of the opinion that it is undesirable in the public interest for the licensee to carry on a debt collection business or the class licensee to carry out any debt collection activity mentioned in section 6(2), as the case may be,
and this section applies despite section 23.
(2) The Licensing Officer may (without compensation) —(a)
in the case of a licensee — serve on the licensee a notice of immediate suspension of the licensee’s licence; or
(b)
in the case of a class licensee — serve on the class licensee a notice of immediate suspension of application of the relevant class licence with respect to the class licensee,
which takes immediate effect and remains in force until the Licensing Officer makes an order under subsection (5)(a) or any appeal to the Minister under section 37 against an order under subsection (5)(b) is determined.
(3) The licensee or class licensee must, upon a notice being served under subsection (2) but subject to subsection (5), immediately cease to carry on the debt collection business or carry out the debt collection activity mentioned in section 6(2), as the case may be.
(4) A licensee or class licensee who is served with a notice under subsection (2) may, within 14 days after being served with the notice, apply to the Licensing Officer to review his or her decision under subsection (5).
(5) The Licensing Officer may, on reviewing his or her decision, by order —(a)
rescind the immediate suspension of the licensee’s licence or the immediate suspension of application of the class licence with respect to the class licensee; or
(b)
refuse to rescind the immediate suspension of the licensee’s licence or the immediate suspension of application of the class licence with respect to the class licensee.
Division 2 — Regulatory action against approved debt collectors
Regulatory action in respect of approved individuals
25.—(1) Subject to section 26, the Licensing Officer may (without compensation) cancel an approval granted under section 20 for an individual to be deployed as a debt collector of a licensee on any of the following grounds:(a)
any ground that would have entitled the Licensing Officer to refuse an application for approval in respect of the individual;
(b)
the individual is, in the opinion of the Licensing Officer, no longer a fit and proper person to be deployed by the licensee as the licensee’s debt collector, having regard to the criteria or requirements mentioned in section 20(3) or the matter or evidence mentioned in section 20(4);
(c)
the approval had been obtained by fraud or misrepresentation;
(d)
the individual has (during the period of approval) been —(i)
convicted of an offence under this Act;
(ii)
convicted, whether in Singapore or elsewhere, of an offence involving dishonesty or the conviction for which involved a finding that the individual had acted dishonestly;
(iii)
convicted of an offence specified in the Second Schedule; or
(iv)
ordered to be detained under Part 5 of the Criminal Law (Temporary Provisions) Act 1955 or Chapter 2 of Part 2 of the Internal Security Act 1960;
(e)
the licensee or individual has contravened or not complied with —(i)
any condition of the approval that is applicable to the licensee or individual, as the case may be;
(ii)
any provision of this Act applicable to the licensee or individual, the contravention of or non‑compliance with which is not an offence under this Act; or
(iii)
any direction issued under subsection (2)(b) or section 26(5).
(2) However, the Licensing Officer may, in lieu of cancelling the approval, do (without compensation) one or more of the following:(a)
modify any condition of the approval;
(b)
direct the licensee or individual to do, or to refrain from doing, the things that are specified in a direction to rectify any contravention or non‑compliance mentioned in subsection (1)(e);
(c)
suspend the approval in respect of the individual carrying out all or any debt collection activities for not more than 6 months.
(3) In taking any regulatory action under this section in relation to the conviction of an individual for a criminal offence, the Licensing Officer may accept the individual’s conviction as final.
Proceedings for regulatory action in respect of approved individuals
26.—(1) Before exercising any power under section 25, the Licensing Officer must give written notice to the licensee and the individual concerned, respectively —(a)
stating that the Licensing Officer intends to take regulatory action under section 25;
(b)
specifying the type of regulatory action in section 25(1) or (2) that the Licensing Officer proposes to take, and the ground for taking the regulatory action; and
(c)
specifying the time (being at least 14 days after the date the written notice is served on the licensee and the individual or (where the written notice is served on the licensee and the individual on different dates) the later of those dates) within which written representations may be made to the Licensing Officer with respect to the proposed regulatory action.
(2) The Licensing Officer may decide to take the appropriate regulatory action described in section 25(1) or (2) —(a)
after considering any written representation made to him or her pursuant to the written notice mentioned in subsection (1); or
(b)
after the time delimited in the written notice under subsection (1)(c) lapses, where no representation is so made or any representation made is subsequently withdrawn.
(3) Where the Licensing Officer has made any decision under subsection (2), the Licensing Officer must serve on the licensee and the individual concerned a notice of the Licensing Officer’s decision.
(4) Subject to section 37, a decision under section 25(1) to cancel an approval granted under section 20 for an individual to be deployed as a debt collector of a licensee, or to impose a regulatory action in section 25(2), which is specified in the notice given under subsection (1), takes effect on the date that is immediately after the date on which that notice is given, or on any other date that may be specified in the notice.
(5) In the case of the suspension of any approval granted under section 20 for an individual to be deployed as a debt collector of a licensee, the Licensing Officer may (without compensation), in addition to the notice mentioned in subsection (3), issue any direction to the licensee or the individual, or both, that the Licensing Officer thinks fit.
(6) Without limiting subsection (5), the Licensing Officer may issue a direction to the licensee under that subsection requiring the licensee to —(a)
put in place measures, including proper training, to ensure that the licensee’s debt collectors understand and comply with this Act and do not conduct debt collection activities in a manner that would contravene other written laws, including the Penal Code 1871 and the Protection from Harassment Act 2014; or
(b)
keep proper records of any matter that relates to the deployment of the licensee’s debt collectors.
(7) Any suspension or cancellation of an approval granted under section 20 for an individual to be deployed as a debt collector of a licensee does not affect —(a)
the enforcement by any person of any right or claim against the individual; or
(b)
the enforcement by the individual of any right or claim against any person.
Immediate suspension of approval
27.—(1) This section applies if —(a)
an individual in respect of whom approval has been granted under section 20 for the individual to be deployed as a debt collector of a licensee, is subject to criminal proceedings in respect of —(i)
an offence under this Act;
(ii)
an offence, whether in Singapore or elsewhere, involving dishonesty or the conviction for which involved a finding that the individual had acted dishonestly; or
(iii)
an offence specified in the Second Schedule; and
(b)
the Licensing Officer is of the opinion that it is undesirable in the public interest for the individual to continue to act as the licensee’s debt collector,
and this section applies despite section 26.
(2) The Licensing Officer may (without compensation) serve on the individual and the licensee which deploys the individual as a debt collector with the Licensing Officer’s approval granted under section 20, a notice of immediate suspension of the approval which takes immediate effect and remains in force until the Licensing Officer makes an order under subsection (6)(a) or any appeal to the Minister under section 37 against an order under subsection (6)(b) is determined.
(3) The individual must, upon a notice being served on him or her under subsection (2) but subject to subsection (6), immediately cease to act as the licensee’s debt collector.
(4) The licensee must, upon a notice being served on it under subsection (2) but subject to subsection (6), immediately cease to deploy the individual as a debt collector.
(5) An individual who is served with a notice under subsection (2) may, within 14 days after being served with the notice, apply to the Licensing Officer to review his or her decision under subsection (6).
(6) The Licensing Officer may, on reviewing his or her decision, by order —(a)
rescind the immediate suspension of the approval granted under section 20 for the individual to be deployed as a debt collector of the licensee; or
(b)
refuse to rescind the immediate suspension of that approval.
Notification of cessation of deployment of debt collectors
28.—(1) A licensee must notify the Licensing Officer of the cessation of the deployment of any individual as a debt collector of the licensee not later than the prescribed time after the cessation of the deployment.
(2) On receipt of a notification made under subsection (1), the Licensing Officer must cancel the approval granted under section 20 for the individual to be deployed by the licensee.
(3) A licensee who contravenes subsection (1) 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 2 years or to both.
Division 3 — Enforcement powers
Purpose for which enforcement powers are exercisable
29.—(1) An inspecting officer may exercise the powers set out in this Division for any of the following purposes:(a)
to determine compliance with this Act, including whether an offence under this Act has been committed;
(b)
to determine compliance with any condition of a licence or class licence;
(c)
to determine compliance with any direction issued by the Licensing Officer under this Act;
(d)
to determine compliance with any condition of an approval granted under section 20 for an individual to be deployed as a debt collector of a licensee;
(e)
to determine whether information provided to an inspecting officer or a compliance officer under a provision of this Act is correct;
(f)
to investigate whether there is any ground for —(i)
taking any regulatory action under section 22 against a licensee or class licensee; or
(ii)
taking any regulatory action under section 25 in respect of an approval granted under section 20 for an individual to be deployed as a debt collector of a licensee.
(2) A compliance officer may exercise the powers set out in this Division where specified, but subject to section 4 in respect of the compliance officer; and any reference in this Division to a compliance officer is a reference to a compliance officer who is so authorised.
Powers of entry, etc., at premises
30.—(1) An inspecting officer or a compliance officer may, in accordance with subsections (3) and (4), enter any premises occupied by a relevant person which the inspecting officer or compliance officer reasonably believes are used for or in connection with the conduct of any debt collection business or regulated business, and do all or any of the following at the premises:(a)
examine any thing or observe any activity conducted in or on the premises;
(b)
make a still or moving image or recording of the premises and any thing in or on the premises;
(c)
inspect any document in or on the premises and take extracts from, or make copies of, any such document;
(d)
take into or onto the premises any equipment and material that the inspecting officer or compliance officer requires for the purpose of exercising any power in relation to the premises;
(e)
operate electronic equipment in or on the premises;
(f)
require any individual found in or on the premises to answer any question (to the best of that individual’s knowledge, information and belief) and to provide any document or information that the inspecting officer or compliance officer reasonably requires for any of the purposes of section 29(1).
(2) The inspecting officer mentioned in subsection (1) may also, in accordance with subsection (4) —(a)
search the premises and any thing in or on the premises;
(b)
secure a thing for a period not exceeding 24 hours if the thing is found in or on the premises, where the inspecting officer believes on reasonable grounds that —(i)
the thing is evidential material that the inspecting officer reasonably requires for any of the purposes of section 29(1); and
(ii)
it is necessary to secure the thing in order to prevent it from being concealed, lost or destroyed before a warrant to seize the thing is obtained; or
(c)
seize any thing found in or on the premises which the inspecting officer reasonably suspects is as described in paragraph (b)(i).
(3) A compliance officer is not authorised to enter any premises which are not premises mentioned in subsection (1) to exercise any power mentioned in that provision except —(a)
with the consent of the occupier; or
(b)
under a warrant of a Magistrate’s Court or District Court.
(4) An inspecting officer —(a)
is not authorised to enter any premises which are not premises mentioned in subsection (1) to exercise any power mentioned in subsection (1) or (2)(a) or (b), except —(i)
with the consent of the occupier; or
(ii)
under a warrant of a Magistrate’s Court or District Court; and
(b)
is not authorised to seize any thing in or on any premises unless the seizure is made under a warrant of a Magistrate’s Court or District Court.
(5) A warrant mentioned in subsection (3) may be issued if a Magistrate’s Court or District Court is satisfied that it is necessary for a compliance officer to enter any premises to exercise any power mentioned in subsection (1) for any of the purposes of section 29(1).
(6) A warrant mentioned in subsection (4) may be issued if a Magistrate’s Court or District Court is satisfied that it is necessary for an inspecting officer to enter any premises to exercise any power mentioned in subsection (1) or (2)(a) or (b) or seize any thing (as the case may be) for any of the purposes of section 29(1).
(7) The power under subsection (1)(e) to operate electronic equipment in or on any premises includes the power —(a)
to use a disk, tape or other storage device that is in or on the premises and can be used with the equipment or in association with the equipment;
(b)
to operate electronic equipment in or on the premises to put the relevant data in documentary form and remove the documents so produced from the premises; and
(c)
to operate electronic equipment in or on the premises to transfer the relevant data to a disk, tape or other storage device that —(i)
is brought to the premises for the exercise of the power; or
(ii)
is in or on the premises and the use of which for that purpose has been agreed in writing by the occupier of the premises,
and to remove the disk, tape or other storage device from those premises.
(8) The power under subsection (2)(b) to secure any thing which is found during the exercise of enforcement powers in or on any premises includes the power —(a)
to secure the thing by locking it up, placing a guard or any other means; and
(b)
to prohibit any person from dealing with the thing.
(9) The power to require an individual to provide any document or information under subsection (1)(f) includes the power —(a)
to require that individual to provide an explanation of the document or information;
(b)
if the document or information is not provided, to require that individual to state, to the best of the individual’s knowledge and belief, where it is; and
(c)
if the information is recorded otherwise than in legible form, to require the information to be made available to the inspecting officer or compliance officer in legible form.
(10) In this section, “relevant person” means —(a)
a person to whom a licence is or was granted;
(b)
a person who is or was a class licensee;
(c)
an individual who is or was a key appointment holder of a person mentioned in paragraph (a) or (b);
(d)
an individual who is or was deployed as a debt collector of a person mentioned in paragraph (a) or (b);
(e)
an individual who is or was employed in any capacity (other than as a debt collector) by a person mentioned in paragraph (a) or (b); or
(f)
a person whom an inspecting officer or a compliance officer suspects on reasonable grounds has committed an offence under this Act.
Powers of investigation
31.—(1) An inspecting officer or a compliance officer may do all or any of the following:(a)
where the inspecting officer or compliance officer reasonably believes a person to have committed an offence under this Act or contravened any provision of this Act — require that person to provide evidence of that person’s identity;
(b)
require any person whom the inspecting officer or compliance officer reasonably believes has —(i)
any information; or
(ii)
any document or article in the person’s possession, custody or control,
that the inspecting officer or compliance officer reasonably requires for any of the purposes of section 29(1), to provide, within a reasonable period specified by the inspecting officer or compliance officer, that information or produce that document or article, and to provide an explanation of the information or document;
(c)
issue a written notice requiring any person within the limits of Singapore, who appears to be acquainted with the facts or circumstances of a matter that is relevant to any of the purposes of section 29(1), to attend before an inspecting officer or compliance officer;
(d)
examine orally any person who appears to be acquainted with the facts or circumstances of a matter that is relevant to any of the purposes of section 29(1) —(i)
whether before or after that person or anyone else is charged with an offence in connection with the matter; and
(ii)
whether or not that person is to be called as a witness in any inquiry, trial or other proceeding in connection with the matter.
(2) The power to require a person to provide any information, document or article under subsection (1)(b) includes the power —(a)
if the information, document or article is not provided, to require the person to state, to the best of the knowledge and belief of the person, where it is; and
(b)
if the information is recorded otherwise than in legible form, to require the information to be made available to the inspecting officer or compliance officer in legible form.
(3) Any person examined under this section is bound to state truly what the person knows of the facts and circumstances of the matter, except that the person need not say anything that might expose the person to a criminal charge, penalty or forfeiture.
(4) A statement made by any person examined under this section must —(a)
be reduced to writing;
(b)
be read over to the person;
(c)
if the person does not understand English, be interpreted in a language that the person understands; and
(d)
after correction (if necessary), be signed by the person.
(5) If any person fails to comply with a written notice issued to the person under subsection (1)(c), an inspecting officer or a compliance officer may report the failure to a Magistrate who may then, in the Magistrate’s discretion, issue a warrant ordering that person to comply with the written notice.
(6) An inspecting officer or a compliance officer may make copies of any document or article produced under subsection (1)(b) for further investigation.
(7) An inspecting officer may take possession of any document or article produced under subsection (1)(b) for further investigation.
Application of Criminal Procedure Code 2010
32. Sections 370, 371 and 372 of the Criminal Procedure Code 2010 apply, with the necessary modifications, when an inspecting officer seizes any thing under this Division.
Offences to be arrestable
33. Every offence under the following provisions is arrestable for the purposes of the Criminal Procedure Code 2010:(a)
section 6(5) in respect of a contravention of section 6(1);
(b)
section 17(3).
Offences
34.—(1) A person who, without reasonable excuse, fails to do anything required of the person by an inspecting officer or a compliance officer under section 30(1) or 31(1)(a) or (b), or by notice under section 31(1)(c), shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000.
(2) A person —(a)
who intentionally alters, suppresses or destroys any document, information or article which the person has been required by an inspecting officer or a compliance officer under section 30(1)(f) or 31(1)(b) to provide; or
(b)
who, in providing any document, information or article required by an inspecting officer or a compliance officer under section 30(1)(f) or 31(1)(b), makes any statement which the person knows or ought reasonably to know that, or is reckless as to whether, it is false or misleading in a material particular,
shall be guilty of an offence.
(3) A person guilty of an offence under subsection (2) shall be liable on conviction —(a)
to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both; and
(b)
where the person is a repeat offender — to a fine not exceeding $20,000 or to imprisonment for a term not exceeding 2 years or to both.
(4) In any proceedings for an offence under subsection (1), it is a defence for the accused to prove, on a balance of probabilities, that the person —(a)
does not possess the document, information or article required; or
(b)
has taken all reasonable steps available to the person to obtain the document, information or article required and has been unable to obtain it.
(5) To avoid doubt, for the purposes of subsection (1), it is a reasonable excuse for a person to refuse or fail to provide any information, produce any document or article or answer any question if doing so might tend to incriminate that person.
Composition of offences
35.—(1) The Licensing Officer or an authorised officer may compound any offence under this Act that is prescribed as a compoundable offence by collecting from a person reasonably suspected of having committed the offence a sum not exceeding the lower of the following:(a)
one half of the amount of the maximum fine that is prescribed for the offence;
(b)
$5,000.
(2) On payment of the sum of money under subsection (1), no further proceedings are to be taken against that person in respect of the offence.
(3) All sums collected under this section must be paid into the Consolidated Fund.
Source: Singapore Statutes Online (Attorney-General's Chambers), © Government of Singapore.
