MAS issues a Consultation Paper on proposed AML/CFT Notices for Payment Services Providers
The Monetary Authority of Singapore (MAS) published yesterday a Consultation Paper about the proposed AML (anti-money laundering) and CFT (counter-terrorism financing) Notices for Payment Services Providers.
Consultation Paper on the Proposed Payment Services Notices on Prevention of Money Laundering and Countering the Financing of Terrorism
The Payment Services Bill (“PSB”) was passed in Parliament on 14 January 2019. At the commencement of the Payment Services Act (“PS Act”), the Payment Systems (Oversight) Act (Cap. 222A) (“PS(O)A”) and the Money-Changing and Remittance Businesses Act (Cap. 187) (“MCRBA”) will be repealed. Under the PS Act, the Monetary Authority of Singapore (“MAS”) will regulate significant payment systems and the provision of payment services in Singapore.
MAS is proposing to issue new notices to payment services providers on anti-money laundering and countering the financing of terrorism (“AML/CFT”). These new notices will update requirements applicable to activities currently regulated under the MCRBA and PS(O)A, and introduce new requirements on newly regulated payment services under the PS Act.
AML/CFT measures will apply to: Money-Changing license, Standard Payment Institution license, and Major Payment Institution license. The scope of the Notices will cover account issuance services, domestic money transfer services, cross-border money transfer services, money-changing services, and digital payment token services.
Two sets of AML/CFT Notices are set to be issued under the MAS Act:
- Notice to Payment Services Providers (Specified Payment Services) on Prevention of Money Laundering and Countering the Financing of Terrorism
- Notice to Payment Services Providers (Digital Payment Token Service) on Prevention of Money Laundering and Countering the Financing of Terrorism
MAS expects comments from Financial Institutions, potential licensees and regulated entities under the PS Act and other interested parties before 5 July 2019.
We at Argus are happy to collect your response and submit it on your behalf to the MAS before the deadline.
Please click here to read the full paper and submit a response to the questions listed in Annex A of the paper.