Lee said he sent the money as he had been threatened with legal action if he did not cooperate with the authorities. - ST/ANN
SINGAPORE: When a man received a video call from a fake cop in May 2024 accusing him of money laundering, he made more than ten bank transfers totalling S$300,000 (US$223,560).
Wanting to be known only as Lee, 60, he said he sent the money as he had been threatened with legal action if he did not cooperate with the authorities.
Under tougher sentencing guidelines introduced on Aug 21, 2024, the money mule involved in his case, a 23-year-old man, was jailed for 19 months and two weeks and fined S$5,200 (US$3875).
He was one of 230 money mules charged between August 2024 and March 2025 under the guidelines, which recommended significant imprisonment terms for scam-related offences.
All adult offenders charged during this period were handed jail terms of at least six months, while those below 21 were sent for reformative training, said the police.
Some of them were fined to remove any financial gains they obtained from the offences.
And more prosecutions of such offenders can be expected with the guidelines, said a police spokesperson.
Scam victims in Singapore lost S$1.1 billion (US$0.82 billion) in 2024, a record high of losses suffered in a year.
This is around 70 per cent higher than the losses recorded in 2023, said the police in their annual scam statistics released on Feb 25.
Speaking to the media on March 25, the police said the money mule in Lee’s case had relinquished control of his bank account to an unknown person, in exchange for $$900 (US$671).
The money mule later responded to a Telegram advertisement from another anonymous individual offering S$1,500 (US$1118) in exchange for a bank account.
He opened four more bank accounts with different banks, and handed the access details over to the unknown person.
He received $$5,200 (US$3875) in total for surrendering five bank accounts.
These were used to launder about S$487,000 (US$362,907) in scam proceeds – including Lee’s savings.
Speaking to the media on March 25, Lee, 60, said the scammers told him to transfer money to different bank accounts, so the Monetary Authority of Singapore could investigate his funds.
Lee said: “He told me I would be locked up for months if I did not cooperate with them.”
He also had to report his whereabouts to the scammers, and was not allowed to tell his family about the ‘investigations’.
It was only after the scammers had ignored him when he asked for his money that he realised he had been scammed. He lodged a police report in July 2024.
In 2023, amendments were made to the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Bill and the Computer Misuse Bill was introduced in Parliament to deal with money mules.
These new laws, which came into effect on Feb 8, 2024, allow the authorities to prosecute those who allow scammers to use their bank and Singpass accounts in exchange for money.
Under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act, new offences of rash and negligent money laundering were introduced.
Rash money laundering occurs when a money mule knows or has some idea that what he is doing involves a criminal element. A person convicted of rash money laundering can be jailed for up to five years and fined up to S$250,000 (US$186,297).
Negligent money laundering is when a person did not notice red flags about a transaction that would be spotted by an ordinary, reasonable person. This carries the penalty of up to three years’ imprisonment and a fine of up to S$150,000 (US$111,778).
Those who disclose their Singpass credentials to facilitate an offence can face up to three years’ jail, be fined up to S$10,000 (US$7,451), or both under the Computer Misuse Act.
The Government is also considering caning for some scam-related offences.
Unable to recoup his losses, Lee said he is choosing to maintain a positive outlook and treat the incident as a lesson learnt.
Reflecting on the incident, Lee said: “It was stupid, come to think of it.” - The Straits Times/ANN
