S’pore Urged to Take Tougher Stand on Money Laundering Crimes
The Paris-based Financial Action Task Force (FATF) commended Singapore in making significant improvements in its counter terrorist financing and anti-money laundering framework since its last review in 2008.
However, the efforts are insufficient given the past incidence relating to the Malaysian state investment fund 1MDB where it was alleged that some of the money had passed through Singapore’s banking system. “Foreign predicate” which refers to cases originating in other countries, with proceeds going through Singapore, is one area where Singapore needs to focus on.
Singapore is one of Asia’s top financial centres and exposed to these “foreign predicate” money-laundering cases. Therefore, Singapore should more aggressively target the more complex cases which are expected of a sophisticated financial centre.
Singapore should take steps to improve the capability of its law enforcement agencies to proactively identify and investigate money-laundering, particularly complex and foreign predicate cases.