MAS Reports Robust Enforcement Outcomes and Enhances Disclosure of Statistics

The Monetary Authority of Singapore, MAS, has published its latest Enforcement Report which presents key statistics on enforcement activities and related outcomes in the period from January 1, 2022 to June 30, 2023 and outlines supervisory priorities for the near future.
#### Some notable facts are:
– MAS key focus in the reporting period was on tackling market abuse, detecting Money Laundering-related breaches, and on identifying financial services misconduct;
– MAS achieved 39 criminal convictions primarily relating to „false“ securities trading or insider trading;
– MAS opened up 136 new investigations with the top three suspected violations being „false“ securities trading, insider trading, and disclosure-related breaches;
– MAS imposed a total of $7.10 million in „composition penalties for anti-ML related breaches and $12.96 million in civil penalties for market abuse cases“; and
– MAS imposed various penalties on four financial institutions, including Citibank, DBS Bank Ltd, OCBC Singapore, and Swiss Life, which had inadequate AML/CFT controls in place when dealing with persons related to Wirecard AG.
#### MAS priorities in the near future:
1. Asset and wealth management: MAS notes that it will continue to closely monitor asset and wealth managers to maintain Singapore’s status as a prominent hub for asset and wealth management. It expects firms to adhere to all relevant laws and regulations, particularly those related to business conduct and anti-money laundering/counter-terrorism financing requirements. In this context, MAS plans to increase its supervisory efforts, especially focusing on serious regulatory violations involving dishonesty, severe conflicts of interest, and inadequate risk management. MAS concludes by noting that it is prepared to take strong measures against violators and will hold senior management responsible, if a firm fails to comply with the laws and regulations.
2. Digital assets ecosystem: MAS recognizes the evolving nature of digital assets and has thus implemented various regulations to address risks related to money laundering and terrorist financing, technology, and consumer protection. Because digital asset service providers operate across borders, MAS expects an increasing number of requests from foreign regulators and law enforcement agencies for assistance. MAS plans to collaborate with these foreign entities by sharing information about suspicious individuals or entities involved in digital asset services fraud or misconduct. To combat such misconduct, MAS will further develop its capabilities in this sector, including additional training and engaging with international regulators and industry participants to improve its ability to address issues in the digital asset ecosystem.