Standard Chartered Bank was slapped with a 5.2 million SGD for breaching anti-money laundering regulations (Photo: bangkokpost.com)Singapore (VNA) - The Monetary Authority ofSingapore (MAS) has imposed penalties on the local units of two UK-based banks– Standard Chartered and Coutts – for breaching anti-money laundering (AML) rulesrelated to Malaysia's 1MDB fund.
According to a statement of MAS, Standard Chartered Bank wasfined 5.2 million SGD (3.65 million USD) while the Coutts received a penalty of2.4 million SGD (1.68 million USD).
The inspection at Standard Chartered Bank revealed"significant lapses" in due diligence measures, the MAS said, addingthat some staff members were unaware of money laundering risks.
While the 28 breaches here were "serious", theSingaporean central bank did not find "wilful misconduct."
At the Coutts, which was sold to Union Bancaire Privee in2015, the investigation revealed 24 breaches of AML requirements in relation tocustomer due diligence measures for “politically exposed persons”, a term forpeople with close government connections.
MAS is also in the process of issuing a 10-year prohibitionorder against former Goldman Sachs director Tim Leissner, thus he would not beable to work in the Singapore finance industry during the term.
Leissner, who oversaw the 1MDB account, had issued anunauthorised reference letter saying that due diligence had been carried out onLow Taek Jho and his family, and that no money laundering concerns had beendetected. Low Taek Jho is said to have close ties with Malaysian Prime MinisterNajib Razak.
Leissner resigned from the bank in February.
MAS said Leissner’s statements were untrue and were madewithout Goldman Sachs' approval.
MAS said it would continue to examine Goldman Sachs' role in1MDB bond transactions.
The 1MDB fund was set up by the Malaysian Government topromote economic development through global partnership and foreign directinvestment. However, it was revealed in 2015 that the fund suffered lossesamounting to 3.5 billion USD during transactions for years.-VNA
According to a statement of MAS, Standard Chartered Bank wasfined 5.2 million SGD (3.65 million USD) while the Coutts received a penalty of2.4 million SGD (1.68 million USD).
The inspection at Standard Chartered Bank revealed"significant lapses" in due diligence measures, the MAS said, addingthat some staff members were unaware of money laundering risks.
While the 28 breaches here were "serious", theSingaporean central bank did not find "wilful misconduct."
At the Coutts, which was sold to Union Bancaire Privee in2015, the investigation revealed 24 breaches of AML requirements in relation tocustomer due diligence measures for “politically exposed persons”, a term forpeople with close government connections.
MAS is also in the process of issuing a 10-year prohibitionorder against former Goldman Sachs director Tim Leissner, thus he would not beable to work in the Singapore finance industry during the term.
Leissner, who oversaw the 1MDB account, had issued anunauthorised reference letter saying that due diligence had been carried out onLow Taek Jho and his family, and that no money laundering concerns had beendetected. Low Taek Jho is said to have close ties with Malaysian Prime MinisterNajib Razak.
Leissner resigned from the bank in February.
MAS said Leissner’s statements were untrue and were madewithout Goldman Sachs' approval.
MAS said it would continue to examine Goldman Sachs' role in1MDB bond transactions.
The 1MDB fund was set up by the Malaysian Government topromote economic development through global partnership and foreign directinvestment. However, it was revealed in 2015 that the fund suffered lossesamounting to 3.5 billion USD during transactions for years.-VNA
VNA
