Singapore Considers Stricter Punishments for Crypto Fraud
Disclaimer: The information in this article was translated using artificial intelligence from a foreign source.
Have you engaged in cryptocurrency fraud? If so, you may face not only hefty fines and potential jail time but also an unusual form of punishment—caning. This is reportedly under consideration by authorities in Singapore.
As cryptocurrency scams continue to escalate, the Singaporean government is taking decisive steps to combat this growing threat. With fraudsters increasingly leveraging digital assets to evade conventional banking regulations, the Minister of State for Home Affairs, Sun Xueling, has indicated that authorities are exploring the introduction of stricter penalties, which could include corporal punishment, to deter financial crimes.
During a recent parliamentary budget debate, initially reported by the well-known Chinese-language publication Lianhe Zaobao, Xueling revealed that a staggering 25% of all fraud-related losses in Singapore last year stemmed from crypto scams. These scams often involve criminals deceiving victims into converting their money into digital assets, only to siphon off their funds shortly thereafter. Other tactics include the use of malware and phishing schemes designed to drain victims’ cryptocurrency wallets.
Member of Parliament Tan Wu Meng, representing Jurong GRC, argued that the existing penalties for fraudsters and money mules are far too lenient. He proposed legal amendments that would mandate caning for serious financial crimes. Wu Meng pointed out the disparity in punishments, highlighting that loan sharks’ runners who handle illegal funds amounting to $10,000 face caning, while those committing fraud and stealing $100,000 or more currently do not.
In response, Sun noted that while individuals found guilty of fraud already face incarceration, authorities are seriously contemplating the addition of caning to the list of potential punishments for certain financial offenses.
In an effort to address the rising incidence of scams, Singapore has recently enacted the Protection from Scams Act. This new legislation empowers law enforcement to temporarily restrict transactions involving suspected scam victims. Reports indicate that this law is expected to come into effect later this year.
It is important to note that caning is a form of corporal punishment sanctioned in Singapore for a variety of offenses, making this proposed measure a significant shift in the approach to dealing with financial crime.
