The Monetary Authority of Singapore (MAS) recently announced that it has withdrawn approval from the Singapore branch of an international bank due to serious breaches of anti-money laundering (AML) requirements, poor management oversight, and gross misconduct by certain bank staff. MAS also imposed financial penalties on the bank and referred members of staff and senior management to be assessed for possible criminal prosecution.
Termed by MAS to be the “worst case of control lapses and gross misconduct” seen in Singapore, this is the first time in over thirty years that MAS has taken such stringent action against a bank to withdraw its license. The case serves as a strong reminder to financial institutions that MAS is a vigorous regulator that will not hesitate to take strong action in respect of regulated financial institutions that are found to have breached regulations or fallen short of expectations. Click here to read our ebulletin which takes a closer look at the AML breaches and control failures, poor management oversight and misconduct, imposition of financial penalties, AML enforcement by other regulators and concluding remarks.
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Simon Chapman KC
Managing Partner, Dispute Resolution and Global Co-Head – International Arbitration, Hong Kong
Kathryn Sanger
Partner, Head of China and Japan, Dispute Resolution, Co-Head of Private Capital, Asia, Hong Kong
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