Enhanced Enforcement Powers

Implementation of new and harmonised power to issue prohibition orders (POs)

31 July 2024

The new PO regime under Part 3 of the Financial Services and Markets Act 2022 came into force on 31 July 2024 with the following enhancements: (i) Broadened the scope of persons who may be subject to POs, from representatives only to ‘any person’ with a nexus to the financial industry; (ii) Rationalised the grounds for issuing POs, from a list of specific criteria into a single fit and proper test; and (iii) Expanded the scope of the prohibition to include functions that are critical to the integrity and functioning of financial institutions, including risk management and control and critical system administration.

Commencement of the enhanced powers of investigation under the Securities and Futures Act 2001, Financial Advisers Act 2001, Financial Services and Markets Act 2022, Insurance Act 1966, Payment Services Act 2019 and Trust Companies Act 2005 (“MAS-administered Acts”)

24 January 2025

The amendments to enhance MAS’ powers of investigation under the MAS-administered Acts were passed by Parliament on 7 March 2024 and came into force on 24 January 2025.

Following the amendments, under the MAS-administered Acts, MAS can (i) compel individuals to attend interviews and record written statements; (ii) require a person to produce books, information or data relevant to the investigation; (iii) enter premises without a warrant, subject to conditions; (iv) apply for a warrant to enter premises; (v) transfer to the Police / Public Prosecutor evidence gathered by MAS for use in criminal proceedings for offences under the MAS-administered Acts; and (vi) use evidence obtained by other agencies under the Criminal Procedure Code 2010 for MAS’ investigations and regulatory actions.