Singapore legislation
Regulation 8
Regulation 8
Enhanced customer due diligence measures
Subregulation 1
Where any of the circumstances mentioned in paragraph (2) exists, a licensed housing developer must, in addition to performing the customer due diligence measures specified in rules 5, 6 and 7, perform enhanced customer due diligence measures.
Subregulation 2
The circumstances requiring enhanced customer due diligence measures to be performed are any of the following:
the relevant person in any transaction is —
a foreign politically‑exposed person;
a family member of a foreign politically‑exposed person; or (iii)a close associate of a foreign politically‑exposed person;
(aa)the relevant person in any transaction is —
an individual who is a domestic politically-exposed person or an international organisation politically-exposed person;
a family member of a domestic politically-exposed person or an international organisation politically-exposed person; or
a close associate of a domestic politically-exposed person or an international organisation politically-exposed person,and the relevant person presents a higher risk of money laundering, proliferation financing or terrorism financing, as assessed by the licensed housing developer under rule 10(1);
the relevant person —
is a resident of or originates from a relevant country; or
is a person that the Controller has notified the licensed housing developer to be a person that presents a higher risk of money laundering, proliferation financing or terrorism financing;
in any other case, the licensed housing developer has, under rule 10(1), assessed that the relevant person may present a higher risk of money laundering, proliferation financing or terrorism financing.
Subregulation 3
The enhanced customer due diligence measures to be performed by a licensed housing developer are as follows:
a person holding a senior managerial or executive position in the licensed housing developer must specially approve before the licensed housing developer does any of the following:
grants to the purchaser concerned an option to purchase a unit of any housing accommodation in a building project undertaken by that licensed housing developer;
accepts any sum of money (including any booking fee) from the purchaser concerned in relation to the intended purchase of that unit;
enters into an agreement with the purchaser concerned for the sale and purchase of a unit of any housing accommodation in a building project undertaken by that licensed housing developer;
take reasonable measures to establish the income level, source of wealth, and the source of funds, of the relevant person concerned;
where the licensed housing developer suspects or has reason to believe that the purchaser concerned is trying to conceal the identity of a person (P) on whose behalf the purchaser is acting, ascertain the identity of P and obtain P’s identifying information;
conduct enhanced ongoing monitoring of the transactions entered into with the purchaser so as to identify suspicious transactions, including transactions or patterns of transactions that are inconsistent with the purchaser’s profile;
take all reasonable measures as are appropriate to the risks of money laundering, proliferation financing or terrorism financing in relation to the relevant person.
Subregulation 4
A licensed housing developer must implement appropriate policies, controls and procedures to determine whether the circumstances mentioned in paragraph (2) exist.
Subregulation 5
In this rule and for the purposes of rules 10 and 14, “relevant person” means a purchaser, a beneficial owner of a purchaser, a person (P) on whose behalf a purchaser is acting or a beneficial owner of P.