Singapore legislation
Regulation 5
Regulation 5
Internal policies, procedures and controls
Subregulation 1
A moneylender must develop and implement internal policies, procedures and controls to enable the moneylender to effectively manage and mitigate any risks of money laundering, terrorism financing or proliferation financing —
identified under rule 5B; or (b)notified to the moneylender by the Registrar or any relevant law enforcement authority.
Subregulation 2
The moneylender must —
monitor the implementation of the policies, procedures and controls referred to in paragraph (1); and
enhance those policies, procedures and controls where necessary, if a higher risk of money laundering, terrorism financing or proliferation financing is —
identified under rule 5B; or (ii)notified to the moneylender by the Registrar or any relevant law enforcement authority.
Subregulation 3
The moneylender must ensure that the policies, procedures and controls referred to in paragraph (1) (including those enhanced under paragraph (2)) are —
approved by the senior management of the moneylender; and
communicated to the employees and officers of the moneylender.
Subregulation 4
The policies, procedures and controls referred to in paragraph (1) include those relating to —
CDD measures;
record keeping;
detection of unusual or suspicious applications or transactions, and the making of disclosures under section 45(1) of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act 1992 or Part 3 of the Terrorism (Suppression of Financing) Act 2002;
audit of the policies, procedures and controls;
compliance management arrangements; (f)the hiring, appointment and training of employees and officers; and
measures to determine if a borrower, an agent of a borrower, any connected party of a borrower, or any beneficial owner of a borrower is a politically-exposed person.
Subregulation 5
In formulating the policies, procedures and controls referred to in paragraph (1) or enhancing them under paragraph (2), a moneylender must take into consideration any threat of money laundering, terrorism financing or proliferation financing that may arise from the use of new or developing technologies, especially those that favour anonymity.
Subregulation 6
Any moneylender who contravenes paragraph (1), (2)(a) or (b), (3)(a) or (b) or (5) shall be guilty of an offence.