Leong Mun Wai: Jail terms for 5 in S$3B money laundering case ‘not severe enough’

SINGAPORE: Mr Leong Mun Wai, Non-Constituency Member of Parliament (NCMP) from Progress Singapore Party (PSP), expressed his view that the jail terms handed down to the five individuals convicted in Singapore’s landmark S$3 billion money laundering case are “not severe enough.”

He emphasized that under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act (CDSA), offenders could face a maximum imprisonment term of up to 10 years.

While acknowledging the commendable efforts of the authorities in successfully uncovering the case, he argued that Singapore would not be adequately honouring their “hard work unless we seriously strengthen our deterrents against money laundering.”

Earlier, Mr Leong had filed a Parliamentary question (PQ) to Home Affairs Minister K. Shanmugam, inquiring whether sentences for offences under the CDSA have sufficiently deterred individuals from engaging in money laundering; and if not, whether the Government will consider strengthening the sentencing regime.

Shanmugam: MHA to table bill to strengthen Singapore’s money laundering enforcement

In response, Minister Shanmugam on Wednesday (8 May) affirmed that the Ministry of Home Affairs (MHA) will introduce a Bill during an upcoming parliamentary session to amend the CDSA.

This amendment aims to bolster law enforcement agencies’ capabilities in pursuing and prosecuting individuals involved in money laundering offences.

The proposed Bill will additionally grant sectoral regulators access to Suspicious Transaction Reports submitted by the entities they oversee.

Minister Shanmugam explained that under the CDSA, offenders may face imprisonment ranging from 3-10 years, fines ranging between S$150,000 and S$500,000, or both, depending on the nature of the money laundering offences.

Regarding the S$3 billion money laundering case, Mr Shanmugam mentioned that the courts likely took into account factors such as the defendants’ early admission of guilt, which helped conserve public resources by avoiding protracted legal proceedings.

The courts would have also taken into account the agreement by the foreigners involved for most of the seized funds to be forfeited to the state.

Mr Shanmugam noted: “So far, the sentences meted out by the Singapore Courts have been comparable to those in other jurisdictions.

“And, like other foreigners convicted of serious offences in Singapore, these offenders will be deported after serving their sentence and will be banned from re-entering Singapore.”

He emphasized that the threat of imprisonment serves as a significant deterrent against money laundering.”

NCMP Leong urges strengthening deterrents against money laundering

Commenting on the Minister’s response, Mr Leong noted in a Facebook post on Friday that the Minister provided a written answer to his Parliamentary question because it was not addressed during Question Time.

He added that had his PQ been answered orally in the House, he would have further asked the Minister about the specific types of money laundering crimes the Government envisaged would warrant a maximum sentence when proposing the range of jail terms under Sections 54 and 55 of the CDSA.

He also mentioned that since the CDSA amendment bill will soon be debated in Parliament, he plans to bring up these concerns in the House and anticipates receiving direct answers from the Minister.

Additionally, he commended the hard work of many officers in the Home Team for uncovering the S$3 billion money laundering case.

“I recognise their efforts and applaud them for a job well done. We would not be doing justice to their hard work unless we seriously strengthen our deterrents against money laundering.”

Singaporean community shocked by wealth amassed by the ten accused in S$3 billion money laundering case

10 Fujian-origin individuals were apprehended in an islandwide police operation in August 2023, following approximately two years of investigative efforts prompted by tipoffs regarding potential illicit activities involving a group of foreign nationals.

Subsequent legal actions led to the imprisonment of five individuals as of last month.

Notably, Su Wenqiang, Su Haijin, Wang Baosen, Su Baolin, and Zhang Ruijin received jail sentences ranging from 13 to 15 months for their involvement in money laundering activities.

Su Wenqiang and Wang were deported to Cambodia by the Immigration and Checkpoints Authority on Monday (6 May) and are prohibited from re-entering Singapore.

Vang Shuiming (王水明),  also implicated in the S$3 billion money laundering case, is scheduled to enter his guilty pleas on 15 May.

The accused individuals had amassed substantial wealth, not only investing in existing companies but also founding their ventures, fostering diverse networks within the country.

Furthermore, these individuals were involved in local charitable activities and led lavish lifestyles, contributing donations to causes like the President’s Challenge and ComChest.

It was revealed that some of the accused in the S$3 billion money laundering case, are wanted by Chinese authorities for their involvement in various unlawful activities, such as illegal gambling or fraud.

A comparison with Chinese media reports suggests that Chinese authorities have sought some of these suspects for their alleged involvement in criminal activities dating back to 2015.

In 2015,  the Guiyang County Public Security Bureau discovered that Su Jianfeng, along with other individuals, Wang Dehai, Su Wenqiang, Wang Huoqiang, and Su Yongcan were suspects of a major crime, and they were fugitives at that time.