The Monetary Authority of Singapore (MAS) announced today that it has directed DBS Trustee Limited (Trustee), in its capacity as the trustee of Eagle Hospitality Real Estate Investment Trust (EH-REIT), to remove Eagle Hospitality REIT Management Pte Ltd (EH-REIT Mgt) as the Manager of EH-REIT, and to appoint a new manager as soon as practicable. This direction follows MAS’ Notice of Intention (NOI) issued on 26 October 2020 to direct the Trustee to remove EH-REIT Mgt and appoint a new manager.
2 The NOI gave the Trustee and EH-REIT Mgt an opportunity to provide reasons as to why EH-REIT Mgt should not be removed. In response to the NOI, EH-REIT Mgt’s shareholder, Mandarin West Holdings, LLC, provided written submissions to MAS. MAS has carefully considered the written submissions. As the written submissions raise no new material facts, MAS has proceeded to issue the direction to the Trustee.
3 MAS continues to have serious concerns with EH-REIT Mgt’s ability and commitment to comply with MAS’ rules and regulations, given the numerous breaches of the Securities and Futures Act, including recurrent and ongoing breaches of capital and financial requirements. MAS will take stern action against any financial institution which does not comply with MAS’ rules and regulations.