Overview of the New Regulation

In a significant change to the claims process, relatives of individuals who pass away without a will will no longer need legal documents to claim their loved ones' assets held with the Central Depository (CDP), as long as the total asset value does not exceed $5,000. This new regulation, set to take effect on November 19, comes as a relief for families who would otherwise incur legal expenses that could surpass the value of the claim.

Comments from SGX Group CEO

According to Mr. Loh Boon Chye, CEO of SGX Group, this streamlined process is not only aimed at reducing unnecessary costs but is also expected to expedite the time it takes for claims to be processed. The CDP, which is a wholly-owned subsidiary of the Singapore Exchange (SGX), plays a crucial role in the clearing, settling, and depository services for the country’s securities market.

Mitigating Disputes Over Claims

In an effort to mitigate disputes over claims, specific criteria must be satisfied before applicants can submit their claims to the CDP. Applicants are required to secure signed consent from all potential beneficiaries to ensure that there are no conflicting claims on the assets in accordance with the estate distribution rules. Furthermore, applicants who are not the deceased's closest living relatives must obtain consent from such relatives before CDP discloses any personal information regarding the deceased.

Statement from the Public Trustee

Mr. Francis Ng, the Public Trustee at the Ministry of Law, emphasized that this new procedure aims to alleviate the administrative burden on families. "This change is particularly beneficial for those facing financial hardships after losing a loved one," he stated.

Conclusion

Overall, this development marks a positive step forward in simplifying the often complicated and costly process of asset claims in a scenario where no will exists, ultimately providing much-needed support to grieving families.