A significant money-laundering scandal involving around $740 million has affected major local and international banks in Singapore. A group of 10 individuals has been charged, revealing a complex network of illicit financial activities.
The accused allegedly held large sums of money from unlicensed moneylending and illegal gambling operations. The funds were collected in respected financial institutions such as United Overseas Bank, Citigroup, and RHB Bank. The individuals even attempted to deceive other reputable banks like Oversea-Chinese Banking Corp., Standard Chartered, and CIMB Bank using fake documents, Bloomberg reported.
This scandal extends beyond finance, implicating property agents, precious metals dealers, and even golf clubs. The accused used their criminal gains to acquire luxury cars, upscale condominiums, and notably, Tether stablecoins.
The arrests included individuals from various countries. Some had considerable sums stored in safe deposit boxes provided by Certis Cisco Security, supported by Temasek Holdings. Police also seized millions of cryptocurrencies during a raid.
Many of the arrested individuals face additional charges, and authorities have requested documents from various financial institutions. The involvement of DBS Group and Bank of Singapore as creditors to investment firms linked to the accused underscores the scandal’s extensive implications.
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The Monetary Authority of Singapore has promised strict action against any financial firms breaching anti-money laundering rules. While some banks commented on the situation, they didn’t directly address the scandal. DBS emphasized its commitment to preventing criminals from finding refuge in Singapore, and Citigroup highlighted its cooperation with authorities to bolster the financial system’s integrity.
Earlier in a report by Todayq News in 2022, Federal prosecutors in Texas charged 21 Americans with a variety of crimes for allegedly helping criminal gangs launder their illicit wealth using cryptocurrencies. The investigation was conducted by the Department of Justice, the U.S. Secret Service, the Postal Inspection Service, and the U.S. Postal Service’s law enforcement division. By looking at these money laundering activities US lawmakers reintroduced crypto anti-money laundering laws on February 13, 2023, to slow down such activities in the states as reported by Todayq News.