MAS Imposes a Composition Amount of $5,000 on Mr Imran bin Eunos for Contravention of Section 7(1) of the Financial Advisers Act [“FAA”]

1          Mr Imran bin Eunos (“Mr Imran”) paid a composition amount of $5,000 on 13 June 2013 for the contravention of section 7(1) of the FAA (in force before 26 November 2010)[1].

2          Under section 7(1) of the FAA, (in force before 26 November 2010), no person shall act as or hold himself out to be a representative of a licensed financial adviser unless that person holds a representative's licence related to that financial adviser. Mr Imran provided financial advisory services from 6 October 2006 to 29 October 2006 (the “material time”) when he was with Elpis Financial Pte Ltd, without holding a representative's licence, thereby contravening section 7(1) of the FAA (in force at the material time).

Any person intending to conduct financial advisory services under the FAA needs to be authorised. This serves to safeguard the interests of consumers as only persons who meet the fit and proper criteria and who have passed the relevant regulatory examinations are granted authorisation to conduct regulated activities. 

Note:

[1] Prior to 26 November 2010, section 7 prohibited any person from acting or holding himself out as a representative of a financial adviser without a representative’s licence.  Section 7 and other sections such as those relating to the renewal, variation and revocation of the representative’s licence were replaced on 26 November 2010 with the provisions of Division 2, Part II of the FAA in conjunction with MAS’ launch of the Representative Notification Framework (“RNF”).  Under the RNF, financial institutions have to notify MAS when they intend to appoint a representative to provide financial advisory services under the FAA.

Last Modified on 26/11/2016