The Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act (the “CDSA”) has been amended with effect from 3 June 2015 to include various offences as “drug dealing offences” and “serious offences” under the CDSA. By way of background, the CDSA criminalises the laundering of benefits or proceeds from “predicate offences” which are prescribed as “drug dealing offences” and “serious offences”. These offences include criminal conduct and drug dealing committed in or outside Singapore.
A person who knows or has reasonable grounds to suspect that any property represents the proceeds of or was/is to be used in connection with any act which may constitute any of the“predicate offences” is required under the CDSA to disclose his knowledge or suspicion to a Suspicious Transaction Reporting Officer as soon as is reasonably practicable after it comes to his attention. This reporting duty arises if the knowledge or suspicion came to his attention in the course of his trade, profession, business or employment.
The new “predicate offences” which were included in the CDSA with effect from 3 June 2015 include:
- Companies Act (section 340(5)): Fraudulent trading offence which involves the carrying on the business of a company with intent to defraud creditors of the company or creditors of any other person or for any fraudulent purpose;
- Customs Act (section 128D): Fraudulent evasion of customs duty or excise duty;
- Income Tax Act (section 37J): Giving false information or falsifying records to assist another person to obtain cash payout or Productivity and Innovation Credit (PIC) bonus; and
- Other Acts: Offences under the Prevention of Human Trafficking Act 2014, Remote Gambling Act 2014 and offences for violating the UN sanctions which are prescribed under the United Nations Act, etc.