Clause 5

A licensed housing developer must not, in connection with any housing development carried out or undertaken by the licensed housing developer, open or maintain any account (whether or not in a Project Account) for, or hold and receive moneys from —

an anonymous source; or

a purchaser with an obviously fictitious name.(2) A licensed housing developer that contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000.Customer due diligence measures, additional measures and measures relating to targeted financial sanctions 12B.—

A licensed housing developer must perform such customer due diligence measures as may be prescribed at such times as may be prescribed.(2) A licensed housing developer must perform —

the prescribed measures relating to targeted financial sanctions against terrorism; and

any prescribed additional measures which are necessary or expedient to give effect to any relevant FATF Recommendation.(3) A licensed housing developer that contravenes subsection (1) or (2) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000.Record keeping12C.—

A licensed housing developer must keep, for such period as may be prescribed, all documents and information (including any analysis performed) relating to a person that the licensed housing developer obtains as a result of performing the customer due diligence measures required by section 12B.(2) For the purposes of subsection (1), different periods may be prescribed for different documents and information.(3) A licensed housing developer must keep the documents and information required to be kept under subsection (1) in such form as may be prescribed.(4) A licensed housing developer must make the documents and information required to be kept under subsection (1) available upon request to the Controller or an inspector and such other authorities as may be prescribed.(5) A licensed housing developer that contravenes subsection (1), (3) or (4) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000.Suspicious transaction reporting12D.—

Where a licensed housing developer knows or has reasonable grounds to suspect any matter mentioned in section 39(1) of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act, the licensed housing developer must, in accordance with section 39 of that Act, disclose the matter to a Suspicious Transaction Reporting Officer under that Act by way of a suspicious transaction report.(2) A licensed housing developer that contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000.Programmes and measures to prevent money laundering and terrorism financing12E.—

Without limiting sections 12A to 12D, a licensed housing developer must, in relation to its business of carrying out or undertaking housing development in Singapore, implement adequate programmes and measures to prevent money laundering and terrorism financing.(2) A licensed housing developer must, in particular —

take appropriate steps to identify, assess and understand the money laundering and terrorism financing risks in relation to —

its purchasers;

the countries or jurisdictions which its purchasers are from or in; (iii)the countries or jurisdictions in which the licensed housing developer has operations; and

its services, transactions and delivery channels;

for the purpose of paragraph (a) —

document its risk assessments;

consider all relevant risk factors before determining the overall level of risk and the appropriate type and extent of mitigation to be applied;

keep its risk assessments up to date; and

have appropriate mechanisms to provide its risk assessments to the Controller;

develop and implement internal policies, procedures and controls, which must be approved by its senior management, to manage and effectively mitigate the money laundering and terrorism financing risks identified by it or notified to it by the Controller, including —

making appropriate compliance management arrangements, including the appointment of a compliance officer at the management level; and

applying adequate screening procedures when hiring employees;

have an ongoing programme to train employees on the internal policies, procedures and controls mentioned in paragraph (c);

have an independent audit function to test the internal policies, procedures and controls mentioned in paragraph (c); and

monitor the implementation of the internal policies, procedures and controls mentioned in paragraph (c), and enhance them if necessary.(3) The type and extent of the measures to be taken under subsections (1) and (2) must be appropriate having regard to the risk of money laundering and terrorism financing and the size of the licensed housing developer’s business.(4) Where a licensed housing developer is a company incorporated in Singapore and has a branch or subsidiary, whether in Singapore or elsewhere, the licensed housing developer must develop and implement a group‑level programme to prevent money laundering and terrorism financing, which programme —

must be applicable to the licensed housing developer’s branches and subsidiaries, whether in Singapore or elsewhere; (b)must include the measures specified under subsection (2);

must be appropriate to the business of the licensed housing developer’s branches and subsidiaries; (d)must be implemented effectively at the level of the licensed housing developer’s branches and subsidiaries; (e)must include policies and procedures for providing and sharing information required for the purposes of customer due diligence measures prescribed for the purposes of section 12B and generally for the management of risks relating to money laundering and terrorism financing; and

must include adequate safeguards on the confidentiality and use of information exchanged between the licensed housing developer and its branches and subsidiaries.(5) Where a licensed housing developer mentioned in subsection (4) has a branch or subsidiary in a country or territory outside Singapore that has laws for the prevention of money laundering or the financing of terrorism that differ from those in Singapore —

the licensed housing developer must require the management of that branch or subsidiary to apply the more stringent set of laws, to the extent that the law of the host country or territory permits; and

where that branch or subsidiary is unable to fully apply the more stringent set of laws, the licensed housing developer must report this to the Controller and must, in lieu of paragraph (a), comply with such directions as may be given by the Controller.(6) A licensed housing developer that contravenes subsection (1), (2), (4) or (5) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000. Person disqualified to be substantial shareholder 12F.—

A person —

who has been convicted (whether before, on or after the date of commencement of section 5 of the Developers (Anti‑Money Laundering and Terrorism Financing) Act 2018) of any money laundering or terrorism financing offence; or (b)if a company, partnership, society or limited liability partnership, which has an individual mentioned in paragraph (a) holding a responsible position in that company, partnership, society or limited liability partnership, as the case may be,must not be or become a substantial shareholder of a licensed housing developer, whether by increasing the person’s shareholding in the licensed housing developer or otherwise.(2) A person who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $100,000.“Part IIIB MONITORING AND ENFORCEMENT POWERS”.