Overview
Combating money laundering, terrorism financing and proliferation financing are priorities for MAS. We require our financial institutions to have sufficiently robust controls to detect and deter such illicit activities. We also partner the industry to bolster their defences, by engaging them on emerging risks, evolving criminal typologies and industry best practices. MAS is firmly committed to safeguarding Singapore as a clean and trusted financial centre.
- Ravi Menon, Managing Director, MAS
MAS Annual Report 2016/2017
COSMIC
Our Role in International Standard Setting
Regulations and Guidance
The controls that MAS requires of financial institutions include the need to identify and know their customers (including beneficial owners), conduct regular account reviews, and monitor and report any suspicious transaction.
The requirements and expectations on financial institutions are set out in MAS' AML/CFT Notices, Guidelines, and other Guidance issued by MAS.
Financial institutions should also refer to:
- AML/CFT announcements and media releases for information on high-risk jurisdictions.
- AML/CFT Guidance Papers issued by international bodies, including the FATF.
Financial institutions must also comply with the various Regulations made pursuant to section 192, read with sections 15(1)(b) and 219(d), of the Financial Services and Markets Act 2022 to discharge or facilitate the discharge of Singapore’s obligations by virtue of decisions of the Security Council of the United Nations. They must also comply with obligations to combat terrorism financing such as those found in the Terrorism (Suppression of Financing) Act 2002.
In response to Russia's invasion of Ukraine, the Singapore Government has imposed sanctions and restrictions against Russia. All financial institutions must comply with the financial measures set out in the Notices.
More information can be found here.
Under the Financial Services and Markets Act 2022 , a financial institution that fails or refuses to comply with any requirements in the applicable AML/CFT Notice is guilty of an offence and is liable on conviction to a fine not exceeding $1 million for each offence. In the case of a continuing offence, such a financial institution will be subject to a further fine of $100,000 for every day or part of the day during which the offence continues after conviction.
Resources
What's New
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Gambling Control Act Order
Payment Blocking Order to financial institutions, issued pursuant to section 118(3) of the Gambling Control Act 2022
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Remote Gambling Act Order
Payment Blocking Order to financial institutions, issued pursuant to section 21(3) of the Remote Gambling Act 2014.
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"Financial Services and Markets (Amendment) Bill" – Second Reading Speech by Mr Alvin Tan, Minister of State, Ministry of Culture, Community and Youth & Ministry of Trade and Industry, and Board Member of MAS, on behalf of Mr Tharman Shanmugaratnam, Senior Minister and Minister-in-charge of the Monetary Authority of Singapore, on 9 May 2023
The Second Reading Speech for the Financial Services and Markets (Amendment) Bill provides an overview of COSMIC (Collaborative Sharing of ML/TF Information & Cases), highlights the main amendments of the Bill, and how it will support responsible information sharing within the COSMIC platform.
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Financial Services and Markets Act 2022
The Financial Services and Markets Act 2022 (FSMA) is an omnibus Act for the sector-wide regulation of financial services and markets. Parliament passed the FSMA on 5 April 2022. The FSMA will be implemented in phases, with Phase 1 commencing on 28 Apr 2023. Phase 1 of the FSMA implementation relates to the porting of the Anti-Money Laundering/Countering the Financing of Terrorism framework, the financial dispute resolution schemes framework, and the general powers over financial institutions from the Monetary Authority of Singapore Act 1970 to the FSMA.
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Circular on Money Laundering and Terrorism Financing Risks in the Wealth Management Sector
This circular reminds all financial institutions (FIs) to stay vigilant to the ML/TF risks in wealth management sector, and sets out MAS’ expectations for FIs to review its existing controls to ensure that they remain adequate to mitigate the ML/TF risks from high growth areas. In conducting its review, FIs should take into account the additional information provided in this circular as well as previous MAS guidance that was issued to the industry.