Written Answer by Minister for Law K Shanmugam to PQ on Accountability of Lawyers in Performing Background Checks on Foreign Clients Setting Up Companies in Singapore

15 OCT 2024

15 October 2024 Posted in Parliamentary speeches and responses

Question for Written Answer

Mr Yip Hon Weng (Member of Parliament for Yio Chu Kang SMC)

Question:
To ask the Minister for Law with regard to the case of the members of a Japanese money-laundering syndicate setting up companies in Singapore (a) what is the accountability of the lawyers who acted for such companies as Corporate Service Provider; and (b) whether the current verification process by lawyers to do background checks on clients will be reviewed.

Written Answer:

  1. The Ministry of Law and the Accounting and Corporate Regulatory Authority are looking into this matter.
  1. There are anti-money laundering / countering the financing of terrorism (AML/CFT) requirements that apply separately to both lawyers and corporate service providers (CSPs). Lawyers who act as CSPs are expected to fully comply with the AML/CFT requirements applicable to all CSPs. These include requirements to conduct customer due diligence, enhanced customer due diligence for higher risk customers, and to report suspicious transactions.
  1. Singapore’s AML/CFT requirements on verification and background checks are reviewed to be consistent with applicable international standards.

Last updated on 15 October 2024