Singapore Strengthens AML Laws to Combat Environmental Crimes

Singapore has introduced a new Bill that encourages the authorities to ‘investigate’ illicit funds obtained through crimes such as “illegal mining, logging as well as waste trafficking.”

The “Anti-Money Laundering and Other Matters Bill” provides an official legal framework for new AML laws focused on addressing ‘environmental crimes’ and empowers law enforcement agencies (LEAs) to combat money laundering offenses associated with environmental crimes which had not been highlighted before under the Law.

AML Laws Target Global Environmental Crimes

New laws will broaden the scope of current laws by incorporating measures for detecting and preventing environmental crimes that have been a limitation previously. Serious crimes outside the country will be acknowledged even if they do not occur in Singapore; funds will be passed through the country.

New Reforms Strengthen Penalties for Wildlife

Some reforms related to wild trade offenses introduced under the “Organised Crime Act” are the following:

• Wildlife traces will be considered serious offenses from 30 August.
• Penalties will be enhanced up to an improvement of 20 years.
• Seizure of gains from illicit activities will happen.

Read Also:

• Singapore Publishes Updated Money Laundering National Risk Assessment Report
• Is Singapore Ready for Stricter AML Measures?
• Singapore MFA Reveals New Anti-Money Laundering Measures

Environmental Crimes AML Risk Assessment Released

In May, Singapore released its “first-ever environmental crimes money laundering national risk assessment” in compliance with the Financial Action Task Force (FATF)’s guidelines. FATF monitors the activities of other countries to ensure they follow the rules, regulations, and laws.

Suspicious Transactions Surge by 9% in 2022

49,846  suspicious transactions were reported in 2022 in Singapore, and a 9 percent increase has been observed since 2021 as more illegal financial activity has been noticed. Most of the reports were generated through banks, and one of the banks discovered a suspicious document related to a customer involved in illegal logging.