Singapore, 4 August 2006...The Monetary Authority of Singapore (MAS) today released draft notices on anti-money laundering and countering the financing of terrorism (AML/CFT) for banks, finance companies, merchant banks, money changers and remittance licence holders, life insurers, capital markets intermediaries, financial advisers, approved trustees, and trust companies.
2 The draft notices take into account the comments received for the consultation on the first draft of the revised MAS Notice to Banks No. 626 on AML/CFT released in January 2005 and developments in the implementation of the Financial Action Task Force (FATF) standards since that time. The key changes in the notices include:
A more rigorous set of Customer Due Diligence (CDD) measures, including measures to identify and verify the identity of customers and beneficial owners, timing of verification, measures for existing customers and legal entities, and the consequential steps to be taken should CDD measures cannot be satisfactorily performed;
An element of risk sensitivity in CDD which requires that enhanced measures be taken for higher risk customers, including correspondent banks and politically exposed persons (PEP); and
Requirements to give effect to FATF's Special Recommendation on cross-border wire transfers.
Each of these notices will impose legally binding obligations on the respective financial sectors.
3 MAS invites comments on the draft notices which can be found on the MAS website [Click here to view the consultation paper (9.96 KB) ]. Comments may be submitted to aml@mas.gov.sg by 4 September 2006.