After uncovering its first case of improper trading, Singapore is on guard and asking companies in its $10 billion mutual fund industry to ensure that the one instance was isolated, Reuters reports.
Last week, Alliance Capital Managements Singapore office was fined for altering buy and sell forms after transactions were made. Specifically, the fine centered around three employees, all of whom have since left the company. The Monetary Authority of Singapore (MAS), which regulates the countrys fund industry, issued a statement about Alliances transgressions on Friday.
"The timely detection of the fraud helped limit its financial impact, and Alliance has informed MAS that it has made appropriate adjustments to bring the funds financial positions to what they would have been had the fraud not occurred," said MAS. The regulator also serves as the city states central banking office.
A unit of Alliance Capital Management Holding, which itself has settled with the Securities and Exchange Commission for $250 million stemming from improper trade charges, Alliance Singapore is the first in the Asian region to be charged in the probe.
"MAS has no reason to believe that similar fraudulent practices are widespread in the unit trust industry in Singapore," the regulator assured.