Amendments were introduced to the Futures Trading Act and the Futures Trading Regulations allowing the MAS to more closely monitor activities of traders selling futures contracts.
The amendments were carried over to the Securities and Futures Act introduced in 2002.
SIMEX and its successor the Singapore Exchange Derivatives Trading Ltd beefed up their regulatory and risk management framework to strengthen oversight over the futures market, MAS said.
But the MAS, the city-state's de facto central bank, stressed that the primary responsibility for preventing fraud lies with the boards and management of financial institutions.
This is why the MAS and other regulators put increasing emphasis on reinforcing corporate boards and senior management to ensure good internal controls and sound risk-management practices within their companies, it said.
Jessop, the economist, said that overall, Asia's record of financial scandals pales when compared with the rest of the world.
"Consider the scandals at WorldCom, Enron, Parmalat and Allied Irish Bank -- [they are] all outside Asia. Barings and China Aviation Oil are small beer," Jessop said.
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