Singapore banks intensify scrutiny of Chinese-born clients with multiple citizenships after a money laundering crackdown involving $1.8 billion worth of assets. Some lenders are closing accounts, while others evaluate fresh funds on a case-by-case basis.
According to Bloomberg, Singapore banks have intensified their scrutiny of Chinese-born clients with multiple citizenships following a recent crackdown on money laundering. The crackdown, which involved over $1.8 billion worth of assets, has led to increased vigilance among lenders.
Some international banks are closing accounts held by clients with citizenship from countries like Cambodia, Cyprus, Turkey, and Vanuatu. Other lenders are evaluating whether to accept fresh funds from clients with similar profiles on a case-by-case basis. These measures are part of Singapores efforts to strengthen its anti-money laundering framework.
The crackdown came after the arrest and charging of 10 wealthy individuals of Chinese origin in August. The investigations have uncovered substantial assets, including cash, cryptocurrencies, and properties. Judges have denied bail due to flight risks associated with their multiple passports.
Additionally, it is alleged that some of the suspects are involved in illegal gambling activities in other countries. Despite residing in Singapore, they carry travel documents from countries like Cambodia, Vanuatu, Cyprus, and Dominica.