A total of 32 questions were filed by Members of Parliament (MPs) from the People's Action Party, Workers' Party (WP) and Progress Singapore Party (PSP) pertaining to the recent S$1 billion laundering case, in which 10 foreigners were arrested.

In response, Minister of State for Home Affairs, Sun Xueling, said that these questions would be answered together by the Home Affairs Ministry and other ministries in a ministerial statement in October.

Are Singapore's laws adequate enough?

The questions touched on how such a case could happen despite Singapore's "robust" laws, whether the protocols of the relevant ministries and financial-related authorities are adequate, how suspicious transactions are detected, and how measures will be improved.

There were also specific questions regarding the number of money laundering cases involving more than S$500 million reported in the past three years, whether Singapore's reputation as a leading wealth management hub has been affected, and regulations regarding real estate transactions.

At least one question was raised about whether the Singapore Land Authority (SLA) considers a link to suspicious financial activity and what the considerations are, in being satisfied that a foreign national has made exceptional economic contributions, and in assessing whether to approve the purchase of landed residential property.

Recap of case

10 suspects arrested on Aug. 16

Nine men and one woman were charged in court on Aug. 16, 2023, following an islandwide raid on the same day, which led to the Singapore Police Force seizing more than S$1 billion worth of properties, cars, luxury goods and other assets.

They consist of three Cambodian nationals, three Chinese nationals, two Cypriot nationals, one Turkish national and one Ni-Vanuatu national.

During their arrest, one man, Su Haijin, allegedly jumped out of the second-floor balcony of his Good Class Bungalow residence and was later found hiding in a drain.

He was then sent to the hospital for injuries sustained from the jump.

According to the Monetary Authority of Singapore (MAS), intelligence and information from suspicious transaction reports filed by financial institutions in Singapore had earlier alerted the Commercial Affairs Department (CAD) to suspicious activities attempted through the financial system.

Indicators which prompted the financial institutions to file the reports included suspicious fund flows, dubious documentation of source of wealth or funds, and inconsistencies or evasiveness in the information provided to the financial institutions.

24 more suspects named on Aug. 27

On Aug. 27, 24 more suspects were named in a notice sent to precious stones and metal traders by the Anti-Money Laundering/ Countering the Financing of Terrorism Division (ACD) under the Ministry of Law.

This included the wives of two of the suspects.

According to the ACD, these persons are believed to "have connections amongst themselves", and all the persons involved are "neither Singapore citizens nor permanent residents".

Out of the 24 additional suspects, 12 are assisting with police investigations, eight are currently wanted by the police, and the identities of the remaining four individuals remain unknown for now.

7 out of 10 suspects are citizens of "higher-risk" countries

Amongst the initial 10 foreign nationals arrested, seven of them also hold passports issued by "higher-risk countries" identified by the OECD (Organisation for Economic Co-operation and Development).

These countries, which include Cyprus, Saint Kitts and Nevis, Dominica, and Turkey, are categorised as such because they allow foreigners to obtain their citizenship through investment, which may jeopardise the world's anti-money laundering efforts.

Since 2016, citizens of these "higher-risk countries" have begun purchasing significantly more residential units in Singapore 2016, with at least 232 residential units being purchased by buyers who share the same nationalities as the seven suspects.

These buyers included Su Haijin, who purchased a unit at Gramercy Park, a condominium located along Grange Road, for S$4.5 million in 2018.

Top left photo via SPF, right photo via Parliament of Singapore/Facebook