In charge sheets seen by Bloomberg News, some of the individuals who were arrested and charged this month held funds totally millions from unlicensed moneylending in China and illegal gambling in United Overseas Bank Ltd. and the local units of Citigroup Inc. and RHB Bank Bhd. They also allegedly tried to cheat banks Oversea-Chinese Banking Corp., Standard Chartered Plc. and CIMB Bank Bhd. using fake documents, the charge sheets show.
The wide roster of banks join property agents, precious metals dealers and golf clubs in the city that have been drawn into this scandal. This has raised questions about guardrails against illicit money flowing into one of the world’s most important financial hubs.
The accused allegedly used their criminal proceeds to buy luxury cars, Tether stablecoins and in one case, an upscale condominium unit near the city’s prime shopping belt for S$23 million, the charge sheets show. Some also allegedly had millions in safe deposit boxes held with Certis Cisco Security Pte., a security firm backed by state investor Temasek Holdings Pte.
Most of the 10 people arrested were charged with more offenses on Wednesday in court. Authorities have earlier said they are seeking documents from at least 10 financial institutions in relation to the case, although they were not named.
Before this case, Singapore was rocked by scandals involving huge money flows from Malaysia’s state fund 1MDB and German firm Wirecard AG. The blow-ups have led to financiers being banned, people jailed and banks slapped with fines for inadequate controls. In May, lawmakers passed a bill that paved the way for banks to share information on potentially risky clients.
