Financial Services and Markets (Freezing of Assets of Persons — Democratic Republic of the Congo) Regulations 2023

The new Financial Services and Markets (Freezing of Assets of Persons — Democratic Republic of the Congo) Regulations 2023 were published on Singapore Statutes Online, the official website of the Singapore government for publicizing legal texts. The regulations set out an entirely new sanctions framework with respect to the Congo based on Resolution 1596 of the United Nations (UN) Security Council which primarily implements an arms embargo towards the country due to activities that threaten the stability and peace in the Congo.
The regulations thereby specify
– the grounds for sanctioning individuals, entities, and bodies (designations by the UN Security Council);
– the type of sanctions that will be applied towards such persons, entities, and bodies (asset freezing);
– situations where frozen funds may be released (e.g. to meet human basic needs); and
– the financial transactions that may still be made under the new regulations such as the crediting of frozen accounts with interest payments so long as these payments are also subject to asset freezing measures.
Additionally, the regulations stipulate reporting obligations of financial institutions when
(1) they become aware of transactions relating to funds of designated individuals, entities, or bodies; or
(2) they freeze assets pursuant to these regulations.
Finally, the regulations repeal the Monetary Authority of Singapore (Freezing of Assets of Persons — Democratic Republic of the Congo) Regulations 2006. Any sanction measures that were in effect in the 2006 regulations will continue to apply, including licenses that were granted to individuals, firms, or organizations.