Section 188 Investments and Securities Act

Section 188 of the Investments and Securities Act 2025 is about Power of intervention. It is under Part XIII (Collective Investments Schemes) of the Act. It provides as follows:

(1) Where it appears to the Commission that —
(a) any of the requirements for the registration of a scheme is no longer satisfied;

(b) the manager or trustee or custodian of such a scheme has contravened any provision of this Act or any rules or regulations made under it or, in purported compliance with any such provisions has furnished the Commission with false, inaccurate or misleading information or has contravened any prohibition or requirement imposed under this Act; or

(c) it is desirable in the interests of participants or potential participants in
the scheme, the Commission may give directives in accordance with the
provisions of subsection (2).

(2) The directives referred to in subsection (1) may —
(a) require the manager of the scheme to cease the issue or redemption, or both the issue and redemption of units or participatory interest in the scheme on a date specified in the directive until such further date as is specified in that order or directive;

(b) require the manager and trustee or custodian of the scheme to wind it up by such date as is specified in the directive or if no date is specified, as soon as practicable; or
(c) appoint any person to take-over and discharge the duties of the manager or trustee or custodian for such interim period as may be required pending the appointment of such manager, trustee or custodian under the provisions of the trust deed or custodial agreement.

(3) The revocation of the registration of a scheme shall not affect the operation of any directive under subsection (1).