Singapore, China and a $2 Billion Money Laundering Scandal

Singapore has long been a haven for the super wealthy, with its low taxes, safety and stability.Threatening to upend that carefully crafted image, however, is a sprawling $2.2 billion money laundering scandal. Though the vast majority of investment in the city-state is above board, its famous openness to inflows is now under scrutiny.

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[silverchairsg]

I'm Singaporean, and I'm really mad at this. So much dirty money passing through my country, and I don't even get a cut.

[davidrichards]

This is nothing. Don't forget that for a century or more, Switzerland specialized in coaching & helping customers evade taxes of other countries and helped by hiding their money in secret accounts.

[bbnv]

That's why, in May 2023, a group from the Cayman Islands went to Singapore and Hong Kong. They aimed to make progress in opening an office in either city. The Cayman Islands are trying to keep up with Singapore and Hong Kong, which are becoming popular places for Asia's hedge funds and wealthy people to keep their money.

[lesterksi]

Without dirty money, Singapore will collapse. Same with other financial centres.

[johnnynephrite]

In March of 2006 I was in the DBS Bank on Orchard Rd in Singapore. A guy from China was was also waiting for a bank agent to serve him. He opened his bag and proceeded to pull out brick after brick of Chinese 100 yuan notes. He had no less than 2 dozen of these stacks of cash. Later I estimated that each stack was 100, 000 yuan for a total of around $75, 000USD. I asked my real estate agent who was helping me find an apartment. She said mainlanders routinely bring wads of cash into Singapore. In fact she had helped a 12 year old Chinese mainland boy rent an apartment as his parents had sent him to Singapore to attend school. He arrived alone by plane with a similar bag full of cash. Corrupt banking involving illicit money is as common as a bowl of steam boat or curry crab.

[ptpcufg]

They knew abt this kind of dirty money all along. The Indonesians hv been doing this before the mainlanders came. The decision to zoom in came only when the price is right.

[Qoonutz]

The world's most efficient laundromat - Singapore.

[CameronAdamsify]

If the system managed to pick it up, and the authorities acted on it, to me that means the system is working. What is Singapore without their credibility? That's their biggest currency, after all. I think the problem for SG authorities is trying to trace down the illicit gains of wealth without, ruffling the hairs of some very important people in — for example — the Communist Party of China.

They want to clean up shop, but not upset a key trading partner

[asi-oquabassey]

If the dirty money flowing through Singapore somehow helps to expand their economy, then I'm afraid I fail to see how the government would enforce any measures that at face value could negatively affect their economic growth.

[ArabicReja]

The $2B money laundering case shows Singapore 🇸🇬 is a haven for Chinese money laundrers.
This is only a floating part of an iceberg.

[LordBagdanoff]

Just too expensive living there. Look at the property prices

[ShootingStar_JB]

People are sickened...until they are bought.

[albertwinston]

The system is running at par, maybe better. It's got one of the best bank secrecy laws in the world, that's how they keep the country so well maintained. It's Asia's Swiss, what do you expect.

[benitzers]

"The issue is, Singapore operates with strict governance, limiting public dissent, which has led to concerns when it comes to purchasing property or a vehicle."

[oiramsq]

...wait...wait... wait... people are JUST figuring this out?

Nice work!

[Kilimanjaro]

No wonder mainlanders are parking their families and wealth in SG. Pity the locals, though.

[Parakeet-pkdl]

There is no such thing as non dirty money, only legalised crime.

[davidlim]

Above board or Under board, still uses the same board, by simply flipping over.

[stantalovesalisia]

one coin has two sides, letting money flowing in def. attracts money laundry or "dirty" money.

[scottsanett]

What Singapore is to mainlanders now is essentially HK 10 to 15 years ago. Singapore needs to learn the lesson of HK.