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BACKGROUND
The Ministry of Finance set up the Study Team on Limited
Partnerships ("LPs") and Limited Liability
Partnerships ("LLPs") in November 2002, to
work out the details of the legal framework governing
LPs and LLPs. The team members are:
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Co-Chairmen
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Mr Ronnie Quek
Cheng Chye, Allen & Gledhill
Mr Quek See Tiat, PricewaterhouseCoopers |
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Members
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Mr Chee Hong Tat,
MOF
Ms Julie Huan, AGC
Mr Ong Pang Chan, MOF
Ms Suria Suriakumari Sidambaram, RCB
Ms Toh Wee San, RCB |
2. An LP consists of one or more general partners and
one or more limited partners. Limited partners of an
LP enjoy limited liability but are unable to take part
in the management of the firm. LPs are increasingly
used for private equity and fund investment businesses.
3. An LLP, on the other hand, is a business structure
that offers all its members limited liability while
allowing them to retain the flexibility of operating
the LLP as a traditional partnership. A partner of an
LLP is not personally liable for the malpractice of
other partners in the firm. The partner is however personally
liable for his own negligence and personal misconduct.
LLPs are commonly used by professional firms and start-ups.
SCOPE OF THE CONSULTATION EXERCISE
4. The team would like to invite the business community,
professionals, academics and all interested persons
to comment on its preliminary views, which are contained
in the following two consultation papers. For greater
clarity, we would appreciate it if respondents could
cite the identification number of the issue that they
are commenting on.
PERIOD OF CONSULTATION
5. The two consultation papers on LP and LLP are available
for public feedback from 18 June 2003 to 31 July 2003.
Comments may be sent either by (a) fax to 63374134;
or (b) email to MOF_LP_LLP@mof.gov.sg.
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