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Two men, aged 35 and 36, who served as the director and company secretary respectively of two Singapore-incorporated companies will be charged in court on 20 March 2026 for their suspected involvement in money-laundering activities.

Between February and August 2023, the two companies received fraudulent monies amounting to USD 1,080,328.00 and EUR 44,808.54 in their respective bank accounts. These monies were allegedly derived from investment and inheritance scams perpetrated against victims overseas. 

Investigations revealed that the companies were owned by foreign individuals who required a local resident to be appointed as a director to meet Singapore’s company incorporation requirements. A 36-year-old man who owns a corporate service provider assisted with the incorporation and was appointed as secretary for both companies. He engaged a 35-year-old man to serve as the resident director for both companies. The 36-year-old secretary liaised with the director to open bank accounts for the two companies. However, the 35-year-old director failed to adequately monitor or supervise the companies’ operations despite his involvement in the opening of the bank accounts. He was unable to provide satisfactory explanations for the receipt of fraudulent funds in the companies’ bank accounts. The 36-year-old secretary similarly failed to exercise proper oversight and allegedly abetted the director’s failure to supervise the companies and their financial activities. As a result, both individuals are alleged to have enabled the receipt of fraudulent funds due to their neglect of their duties as company officers.

The 35-year-old director will be charged with:

1. Two counts of offences under Section 55(1) punishable under Section 55(2)(a) read with Section 73 and Section 80(1)(b) of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act 1992 (“CDSA”).
   
   
2. Two counts of offences under Section 157(1) punishable under Section 157(3)(b) of the Companies Act 1967 (“CA”).

The 36-year-old secretary will be charged with:

1. Two counts of offences under Section 55(1) punishable under Section 55(2)(a) read with Section 73 and Section 80(1)(b) of the CDSA.
   
   
2. Two counts of offences under Section 157(1) punishable under Section 157(3)(b) of the CA read with Section 109 of the Penal Code 1871. 

Under Section 55(1) of the CDSA, the offence of possessing property reasonably suspected to be benefits of criminal conduct carries an imprisonment term not exceeding three years or a fine not exceeding S$150,000, or both, if the person is an individual. In the case of a corporate entity, offenders can be given a fine not exceeding S$300,000 for each charge.

Under Section 157(1) of the CA, the offence of failing to use reasonable diligence in the discharge of duties as a director carries an imprisonment term of up to 12 months or a fine of up to S$5,000.

The Police take a serious stance against any person(s) involved in laundering proceeds of crime, and offenders will be dealt with firmly in accordance with the law. Individuals are advised to be cautious when assuming directorships and opening bank accounts that are subsequently relinquished. To avoid becoming involved in money laundering activities, members of the public should refrain from allowing their or their companies’ bank accounts to be used for receiving or transferring money for others. 

For more information on scams, members of the public can visit www.scamshield.gov.sg or call the ScamShield Helpline at 1799. Anyone with information on such scams may call the Police Hotline at 1800-255-0000 or submit information online at www.police.gov.sg/i-witness. All information will be kept strictly confidential.