FAQs: Obligations of Designated Entities

Key obligations of designated entities include the following:

• Notifying the Minister within 7 calendar days after becoming aware of any relevant change in ownership or control;

• Seeking the Minister’s approval prior to the appointment of specific key personnel;

• Seeking the Minister’s approval, (together with the acquiror) prior to selling, as a going concern, of (any part of) the business or undertaking;

• Seeking the Minister’s approval prior to winding up, dissolving, or terminating the entity, the making of any judicial management order or the appointment of any (interim) judicial manager; or

• Complying with conditions, directions or orders imposed by the Minister, if any.

Please refer to Overview of Ownership & Control Obligations under SIRA for more details on the obligations of a designated entity. 

Parties may seek clarification from OSIR at contact@osir.gov.sg before the commencement of any formal application.

To submit a notification or approval, please download the relevant Notification Form or Approval Formand email the completed form to submissions@osir.gov.sg.

For specified key personnel roles, designated entities will need to seek approval prior to the appointment of any new personnel to those roles. Please refer to Appointment of Key Personnel in a Designated Entity for a step-by-step process flow.

The Minister may require the removal of an appointed key personnel of a designated entity if this was done without the necessary approval, or if any condition of approval has been breached. The Minister can also require the removal of any key personnel if deemed necessary in the interest of national security.

Key personnel include:

• [For corporations] Chief Executive Officers, Directors, and Chairpersons of the Board of Directors;

• [For limited liability partnerships] Managers and Partners;

• [For partnerships] Partners.

In consideration for the appointment of key personnel, the Minister may consider the following:

• An assessment of the key personnel on criteria relating, but not limited to honesty, integrity, reputation and financial soundness; and

• Potential impact on national security interests.
  

Please refer to the Guidelines on Criteria for Key Personnel for more information.

Parties can seek reconsideration from the Minister within 14 calendar days after his decision; after which, they may appeal to a Reviewing Tribunal within 30 calendar days after the reconsideration decision.

OSIR will process all applications promptly. Applicants will be notified should more time or documents be required. Applicants can contact OSIR regarding the status or next steps of their application.

Parties may wish to contact contact@osir.gov.sg on any clarifications prior to the commencement of any formal application.

Please refer to the pages below for the step-by-step process flows for:

• Acquiring Equity Interest or Voting Power in a Designated Entity

• Disposal of Equity Interest or Voting Power in a Designated Entity

• Acquisition of the Business or Undertaking of a Designated Entity

• Appointment of Key Personnel in a Designated Entity

Special Administration Orders (SAO) will only be exercised in the interest of security and reliability of the continued provisioning of critical functions by the designated entity, or when it is necessary in Singapore’s national security interests.

The Minister may issue SAOs to direct the takeover of control of the affairs, businesses, and property of a designated entity by another party. Other orders can also be issued, such as directing the designated entity to immediately take or cease any action; or appointing a person to advise the designated entity in the proper conduct of its businesses or undertaking.