Amendments to the Guidelines for Regulated Dealers in the PSMD sector on AML CFT as at 15 Nov 23

Pursuant to section 35(1) of the Precious Stones and Precious Metals (Prevention of Money Laundering and Terrorism Financing) Act 2019, the Registrar hereby amends the Guidelines for Regulated Dealers in the precious stones and metals dealers (“PSMD”) sector on anti-money laundering/countering the financing of terrorism (“Guidelines”) from version 2.0 to 3.0 with effect from 15 November 2023.

The main amendments to the Guidelines are:

• The inclusion of the requirements in the amendment PMLTF Regulations;
• Updating of the sample Risk Assessment Form to include the circumstances to perform CDD for transactions involving payment received in gold or digital payment tokens exceeding S$20,000;
• Updating of the sample Internal Policies, Procedures and Controls (“IPPC”) to include the circumstances to perform CDD for transactions involving payment received in gold or digital payment tokens exceeding S$20,000 and enhanced CDD where the customer is a legal person or a legal arrangement;
• Addition of red flag indicators for proliferation financing;
• Addition of red flag indicators for shell and front companies;
• Addition of red flag indicators for GST missing trader fraud involving precious metals; and
• Addition of guidance on non face-to-face identity verification.

Refer to the Guidelines to Regulated Dealers Version 3.0.

FOR REGULATED DEALERS TO TAKE ACTION:

• Regulated dealers should read the revised Guidelines to better understand what is expected of them.
• Regulated dealers are strongly encouraged to update the relevant documents, particularly dealers’ Risk Assessment and IPPC, where necessary.

Anti-Money Laundering/Countering the Financing of Terrorism Division (“ACD”)
Ministry of Law