New measures to clamp down on money laundering in Singapore

High-value goods dealers to be advised on how to spot red flags, among other moves

- Andrew Wong and Nadine Chua

To deter criminals from laundering money through Singapore's financial system, unregulated sectors, including dealers of high-value goods, will be advised on how to identify red flags in suspicious transactions.

These businesses, currently considered as unregulated dealers, will also be engaged by relevant agencies on how they can refuse to accept large payments in cash for their goods.

These measures to clamp down on money laundering were revealed on Oct 4 in a report by the Inter-Ministerial Committee (IMC) on Anti-Money Laundering.

Stressing the importance of striking a balance between keeping Singapore open for business and keeping out criminals, Minister in the Prime Minister's Office Indranee Rajah said: “We welcome clean funds and legitimate investments which generate economic growth, jobs and create real value for our people and our country.

“But we will be hostile ground for illegal funds and criminal activities should they find their way to our shores.”

The committee was set up in November 2023 to look into Singapore's anti-money laundering framework, following the arrest of 10 foreigners in August that year in what became Singapore's largest money laundering case. It involved over $3 billion in property and assets seized by the authorities.

The nine men and one woman, who are originally from China, were sentenced to between 13 and 17 months' jail.

Over $940 million worth of their assets were forfeited to the state. They have since been deported and barred from re-entering Singapore.

While measures on regulated entities like banks, corporate service providers (CSPs) and real estate agencies have been tightened, unregulated entities like car dealers will also be advised on how to prevent illicit funds from entering the financial system.