§ 169 — Inspection by Authority

169.—(1) The Authority may from time to time inspect, under conditions of secrecy, the books of any of the following persons: (a)

a financial institution, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, sections 15(1) and 16(1);

(b)

any subsidiary, branch, agency or office outside Singapore of a financial institution incorporated or established in Singapore, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, sections 15(1) and 16(1);

(ba)

a prescribed financial institution (A) —(i)

where A requests risk information from another prescribed financial institution purportedly under section 28D, for the purpose of —(A)

determining whether the request falls within section 28D(1); or

(B)

determining whether A has complied with section 28D(2) or (3);

(ii)

where a prescribed financial institution requests risk information from A under section 28D, for the purpose of determining whether A has complied with section 28D(6) or (7);

(iii)

where A discloses to another prescribed financial institution any risk information purportedly under section 28E, for the purpose of —(A)

determining whether the disclosure falls within section 28E(1); or

(B)

determining whether A has complied with section 28E(2);

(iv)

where A publishes risk information purportedly under section 28F, for the purpose of —(A)

determining whether all the conditions mentioned in section 28F(1) have been satisfied; or

(B)

determining whether A has complied with section 28F(2);

(v)

for the purpose of determining whether A has made any false or misleading disclosure, publication or correction in contravention of section 28J; or

(vi)

for the purpose of determining whether A has complied with section 28G(2), 28K(1) or 28N(2) or a requirement of a written notice issued under section 28H;[Act 19 of 2023 wef 01/04/2024]

(c)

a financial institution, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, section 29(1);

(d)

any subsidiary, branch, agency or office outside Singapore of a financial institution incorporated or established in Singapore, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, section 29(1);

(e)

a licensee, for a purpose other than the purpose mentioned in sub‑paragraph (a) or (c);

(f)

a person exempt under section 189, for a purpose other than the purpose mentioned in sub‑paragraph (a) or (c).

(2) The Authority may appoint any person, including an auditor (not being an auditor of the relevant person), to carry out an inspection under this section.

(3) If the inspection is carried out on the ground that the Authority has reason to believe that —(a)

the financial institution has contravened or is contravening any direction issued under, or regulations mentioned in, section 15, 16 or 29;

(b)

the licensee has contravened or is contravening any provision of Part 9; or

(c)

the person exempt under section 189 has contravened or is contravening any provision of Part 9,

and if the Authority so directs, then the financial institution, licensee or person exempt under section 189 (as the case may be) is liable to pay for the remuneration and expenses of any person appointed under subsection (2) for the inspection.

(4) The Authority may recover from the relevant person the remuneration and expenses referred to in subsection (3) as a civil debt due to the Authority.

(5) The Authority may waive the payment of all or any part of the remuneration and expenses referred to in subsection (3).

(6) Where, in the course of an inspection under subsection (1), the Authority obtains any protected information as defined in section 17(1), and that information is not necessary for taking any action regarding —(a)

non-compliance with any direction issued under, or regulations mentioned in, section 15 or 16;

(aa)

non-compliance with any provision in Part 4A;[Act 19 of 2023 wef 01/04/2024]

(b)

non-compliance with any direction issued under, or regulations mentioned in, section 29; or

(c)

non-compliance with any provision in Part 9,

then the Authority must treat that information as secret.

(7) Subsection (6) does not prevent the transmission under section 20, 22, 25 or 172 by the Authority of any information to any authority referred to in the applicable section.

—(1) The Authority may from time to time inspect, under conditions of secrecy, the books of any of the following persons: (a)

a financial institution, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, sections 15(1) and 16(1);

(b)

any subsidiary, branch, agency or office outside Singapore of a financial institution incorporated or established in Singapore, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, sections 15(1) and 16(1);

(ba)

a prescribed financial institution (A) —(i)

where A requests risk information from another prescribed financial institution purportedly under section 28D, for the purpose of —(A)

determining whether the request falls within section 28D(1); or

(B)

determining whether A has complied with section 28D(2) or (3);

(ii)

where a prescribed financial institution requests risk information from A under section 28D, for the purpose of determining whether A has complied with section 28D(6) or (7);

(iii)

where A discloses to another prescribed financial institution any risk information purportedly under section 28E, for the purpose of —(A)

determining whether the disclosure falls within section 28E(1); or

(B)

determining whether A has complied with section 28E(2);

(iv)

where A publishes risk information purportedly under section 28F, for the purpose of —(A)

determining whether all the conditions mentioned in section 28F(1) have been satisfied; or

(B)

determining whether A has complied with section 28F(2);

(v)

for the purpose of determining whether A has made any false or misleading disclosure, publication or correction in contravention of section 28J; or

(vi)

for the purpose of determining whether A has complied with section 28G(2), 28K(1) or 28N(2) or a requirement of a written notice issued under section 28H;[Act 19 of 2023 wef 01/04/2024]

(c)

a financial institution, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, section 29(1);

(d)

any subsidiary, branch, agency or office outside Singapore of a financial institution incorporated or established in Singapore, for the purpose of determining the extent of compliance by the financial institution with the directions issued under, and the regulations mentioned in, section 29(1);

(e)

a licensee, for a purpose other than the purpose mentioned in sub‑paragraph (a) or (c);

(f)

a person exempt under section 189, for a purpose other than the purpose mentioned in sub‑paragraph (a) or (c).

(2) The Authority may appoint any person, including an auditor (not being an auditor of the relevant person), to carry out an inspection under this section.

(3) If the inspection is carried out on the ground that the Authority has reason to believe that —(a)

the financial institution has contravened or is contravening any direction issued under, or regulations mentioned in, section 15, 16 or 29;

(b)

the licensee has contravened or is contravening any provision of Part 9; or

(c)

the person exempt under section 189 has contravened or is contravening any provision of Part 9,

and if the Authority so directs, then the financial institution, licensee or person exempt under section 189 (as the case may be) is liable to pay for the remuneration and expenses of any person appointed under subsection (2) for the inspection.

(4) The Authority may recover from the relevant person the remuneration and expenses referred to in subsection (3) as a civil debt due to the Authority.

(5) The Authority may waive the payment of all or any part of the remuneration and expenses referred to in subsection (3).

(6) Where, in the course of an inspection under subsection (1), the Authority obtains any protected information as defined in section 17(1), and that information is not necessary for taking any action regarding —(a)

non-compliance with any direction issued under, or regulations mentioned in, section 15 or 16;

(aa)

non-compliance with any provision in Part 4A;[Act 19 of 2023 wef 01/04/2024]

(b)

non-compliance with any direction issued under, or regulations mentioned in, section 29; or

(c)

non-compliance with any provision in Part 9,

then the Authority must treat that information as secret.

(7) Subsection (6) does not prevent the transmission under section 20, 22, 25 or 172 by the Authority of any information to any authority referred to in the applicable section.