Singapore Deepens Cooperation with Foreign Authorities to Combat Money Laundering Risks

In its continued efforts to stem money laundering risks and solidify its position as a reputable financial hub, Singapore has strengthened its cooperation with foreign authorities to trace and interdict illicit funds. Recent cases have highlighted the country’s commitment to this cause.

Tracing Illicit Funds

One notable example is the investigation into alleged embezzlement of Angolan state funds, which was laundered through foreign banks into Singapore. In February 2021, the Police received information from international partners and launched an investigation, resulting in the seizure of over S$750 million from several bank accounts.

International Partnerships

In another instance, Singapore worked closely with UK law enforcement agencies to investigate and prosecute former Formula One boss Bernie Ecclestone. The country’s domestic sectoral regulators have also taken firm action against financial institutions that failed to meet anti-money laundering (AML) and combating the financing of terrorism (CFT) requirements.

Strengthening AML/CFT Regime

Singapore has a robust AML/CFT regime in place, and we are committed to continually strengthening it," said [Name], Minister for [Ministry]. “We recognize that no screening process is foolproof, but we will review our verification checks to minimize risks and ensure that our business environment remains friendly.

Immigration Screening

Singapore’s immigration authorities have also been scrutinizing applications for work passes and other long-term immigration facilities. To identify high-risk individuals, the authorities use data analytics to screen applicants against a database of blacklisted individuals.

Frameworks in Place

The country has frameworks in place to assess applications, incorporating information from multiple sources and agencies. Foreigners convicted of an offence in Singapore may be deported or banned permanently.

Cooperation with Foreign Authorities

Singapore’s cooperation with foreign authorities is crucial in combating money laundering risks. “We need rules that are internationally accepted and workable,” said [Name]. “Our task is to minimize the risks and increase our ability to catch these persons without affecting the majority of proper, legal transactions.”

FATF Recognition

Singapore has been recognized for its strong anti-money laundering regime by the Financial Action Task Force (FATF), which assessed the country’s legal and institutional framework as strong in 2016. The country has since updated its prevention frameworks to keep pace with evolving risks and typologies of money laundering.

Future Plans

“While even the most stringent preventive measures can be circumvented, our system is able to detect suspicious individuals and activities,” said [Name]. “We will continue to work closely with foreign authorities to combat money laundering risks and maintain Singapore’s reputation as a financial hub.”