Mr Pritam Singh: To ask the Minister for Trade and Industry (Trade) what safeguards are instituted by the Ministry to ensure that investigations carried out by the Competition Commission of Singapore against Government-linked companies (GLCs) or companies predominantly owned by statutory boards and/or GLCs are free from conflicts of interests.
Written reply:
1.Private sector entities, regardless of ownership[1], are required to comply with the Competition Act. Entities in specified sectors such as media, telecommunications, gas and electricity, which are regulated by other government regulatory agencies are excluded from the Competition Act.
2.Private sector entities which engage in anti-competitive activities can be investigated by the Competition Commission of Singapore (CCS). The First Schedule of the Competition Act[2] requires any member of the Commission who may have a vested interest in a business being investigated to declare this interest and recuse himself or herself where deliberations or decisions involving that business may take place[3].
[1] During the second reading of the Compettion Bill in 2004, Senior Minister of State for Trade and Industry, Dr. Vivian Balakrisnan, highlighted that “The Bill will apply to commercial and economic activities carried on by private sector entities in all sectors, regardless of whether the undertaking is owned by a foreign entity, a Singapore entity, the Government or a statutory body. ”
[2] Paragraph 11 of the First Schedule to the Competition Act states that “a member who is in any way, directly or indirectly, interested in a transaction or project of the Commission shall disclose the nature of his interest at the first meeting of the Commission at which he is present after the relevant facts have come to his knowledge.”
[3] If a member does not declare his interests as required under the Act, he may be disqualified from membership or have his membership revoked, pursuant to paragraphs 5 and 10 of the First Schedule of the Competition Act.