The Monetary Authority of Singapore (MAS) has reprimanded the infamous crypto hedge fund Three Arrows Capital for providing false information and exceeding the threshold set for assets under management.
According to the central bank, 3AC obtained a local registration in 2013, allowing it to manage up to S$250 million ($180 million) with no more than 30 “qualified investors”.
According to the statement, Three Arrows Capital (TAC) exceeded the asset management limit from July 2020 to September 2020, and from November 2020 to August 2021.
“In light of recent developments which call into question the solvency of the fund managed by TAC, MAS is assessing if there were further breaches by TAC of MAS’ regulations,” the regulator said.
It also reprimanded 3AC for failing to notify changes to directorships and shareholdings, as well as for failing to notify MAS about Su Zhu, the common shareholder of 3AC’s offshore entity. Zhu also serves as the director of 3AC.
MAS also stated that, because there is speculation that the hedge fund may no longer be solvent, it is investigating whether there were any additional violations of its regulations.
The current news comes just a day after a court ordered liquidation of 3AC in the British Virgin Islands (BVI).