MAS ISSUES REPRIMAND TO MILKIWAY CAPITAL INVESTMENT PTE LTD FOR BREACHES OF THE SECURITIES AND FUTURES (LICENSING AND CONDUCT OF BUSINESS) REGULATIONS (CAP. 289, REGULATION 10) AND FINANCIAL ADVISERS REGULATIONS (CAP. 110, REGULATION 2)

        

                


1        On 28 November 2011, MAS reprimanded Milkiway Capital Investment Pte Ltd ["MCIPL"] for repeated late lodgments of Form 25 of the Securities and Futures (Licensing and Conduct of Business) Regulations ["SF(LCB)Regs"] and Form 23 of the Financial Advisers Regulations ["FAR"] after the end of its financial year, such lodgments being required under the SF(LCB)Regs and FAR respectively. MCIPL is an exempt fund manager under paragraph 5(1)(d) of the Second Schedule to the SF(LCB)Regs, undertaking fund management activity in Singapore on behalf of not more than 30 qualified investors and an exempt financial adviser under section 23(1)(f) of the Financial Advisers Act read with regulation 27(1)(d) of the FAR.

2        Under the SF(LCB)Regs, information to be filed in SF(LCB)Regs Form 25 includes the total assets under management of the exempt fund manager, and the total number of qualified investors whom the exempt fund manager undertakes such fund management activity on behalf of.  By failing to submit SF(LCB)Regs Form 25 within 14 days after its financial year end of 31 December 2010, MCIPL has contravened paragraph 5(7)(d) of the Second Schedule to the SF(LCB)Regs.  This was not MCIPL’s first breach of the SF(LCB)Regs.  MCIPL was late in its submission of SF(LCB)Regs Form 25 on two previous occasions, in 2005 and 2008.

3       Under the FAR, information to be filed in FAR Form 23 includes the total number of accredited investors whom the exempt financial adviser has acted on behalf of.  By failing to submit FAR Form 23 within 14 days after its financial year end of 31 December 2010, MCIPL has contravened regulation 37(2)(d) of the FAR.  This was not MCIPL’s first breach of the FAR.  MCIPL was late in its submission of FAR Form 23 in 2008.

All financial institutions should comply with all relevant reporting requirements by submitting their statutory forms within the time period stipulated under the law. The Authority may take such breaches into account when considering actions to be taken for any future contravention of the applicable laws and regulatory requirements, or in the assessment of any future applications for licences or registrations.

Last Modified on 26/11/2016