Monday, April 13, 2015

MAS Issues Order to Financial Institutions on the Remote Gambling Act

The Monetary Authority of Singapore (‘MAS’) has issued a Payment Blocking Order to financial institutions with regards to the Remote Gambling Act, effectively blocking financial transactions with specified parties.

The Remote Gambling Act was enacted to regulate gambling activities in Singapore. Singapore prohibits all types of remote gambling activities and the Act provides the government with the powers to introduce control measures.

The Order applies to any bank licensed under the Banking Act ("BA"), any person licensed under the BA to carry on the business of issuing credit cards or charge cards in Singapore, any merchant bank approved as a financial institution under the MAS Act, any finance company licensed under the Finance Companies Act, any holder of a stored value facility under the Payment Systems (Oversight) Act and any operator of a payment system designated under the Payment Systems (Oversight) Act. These financial institutions (“FIs”) must not accept credit or proceeds of credit, extended to or on behalf of a Relevant Person. The FIs must not accept any cheque, bank draft or similar instrument which is drawn by or on behalf of a Relevant Person. The FIs must also not make or accept, an electronic funds transfer, or any funds transmission, to or from the Relevant Person. In addition, the FIs must block payments, or otherwise prevent or prohibit transactions to the specified merchant category codes.

Under the Order, a “Relevant Person” is referred to as any holder of a specified account number with a specified FI, as notified by the MAS to the FI from time to time as a Relevant Person for the purposes of the Order. The FI may, upon request of any of its customers disclose to that customer the document received from the MAS identifying the specific Relevant Person. However, it must not disclose information in the document identifying other Relevant Persons.

1 comment:

  1. The post has been updated to reflect the latest version of the Remote Gambling Order issued by the MAS on 10 April 2015.