Singapore has enacted a new law allowing police to seize control of an individual’s bank account if they suspect the person is being targeted by scams. This measure specifically addresses the most concerning and rapid increase in scams’ occurrences. In 2024, these scams led to a record S$1.1 billion ($860 million; £630 million) in losses reported.
The Ministry of Home Affairs (MHA) stated that under the new law, police can control a potential victim’s bank account for up to 30 days. If more time is needed, the police can extend this control up to five extensions. The account holder still will have access to their money for non-prohibited costs, including everyday expenses and bills. Even with this access, any potential use of funds will largely be at the discretion of the police.
This law, which went into effect on Tuesday, is a remarkable addition to Singapore’s long-term anti-scam fight. Reported cases have more than tripled, shooting up from an estimated 15,600 in 2020 to over 50,000 in 2024. Job and investment fraud scams are among the most common. E-commerce scams are another hotbed of fraud, with victims sending payment for goods that don’t arrive. Internet romance scams are increasing at an alarming rate. Scammers spend months cultivating online friendships before eventually convincing their victims to transfer them cash.
The MHA emphasized that “the restriction order will only be issued as a last resort, after other options to convince the individual have been exhausted.” This demonstrates the government’s commitment to introducing this measure carefully and with targeted need.
Many members of parliament share these concerns and are concerned that the law will be overly intrusive. They think it has the potential to violate personal liberties. The government feels that such intervention is necessary to tackle the increasing menace of scammers in Singapore.
In 2023, Singaporean bank account holders were given the option to “cocoon” a share of their funds within their accounts. This shift followed an increasing wave of fraudulent activity. This new layer of security prevents digital transfers of these funds. Its goal is to shield people from being scammed.