Jeweller charged for failing to perform due diligence for suspected money laundering in gold transactions

A jeweler was charged in Singapore on Tuesday ( May 7 ) with failing to carry out due diligence as part of anti-money laundering laws.

Kim Heng Jewellers and Goldsmiths, located at People’s Park Complex, &nbsp, allegedly committed the offence on three occasions between September and October last year, when it handled gold transactions worth more than S$ 313, 000 ( US$ 231, 000 ).

Under the law, &nbsp, traffickers in precious gems and precious metals are required to&nbsp, carry buyer due diligence under many circumstances, including situations where dealings involving&nbsp, settlement in golden exceed S$ 20, 000.

The process of inspections includes investigating customers ‘ information through&nbsp, separate and reputable sources.

According to a media release from the Ministry of Law and the Singapore Police Force ( SPF), the police received reports of phishing scams involving Android malware during the alleged offences by&nbsp, Kim Heng Jewellers and Goldsmiths.

Unauthorized bank transfers were made using the damaged accounts of the scam victims. &nbsp,

According to the authorities, investigations revealed that Kim Heng and an unidentified man used the funds from scam victims in three sales.

The trades, involving many gold chains, a silver pendant and a golden table, amounted to more than&nbsp, S$ 313, 000.

Kim Heng, who has been a registered since 1979, is accused of failing to carry out due diligence on the days of Sep 15, Sep 16, and Oct. 2, 2023 despite having a legitimate suspicion of wealth fraud. &nbsp,

Under the 2019 Precious Stones and Precious Metals ( Prevention of Money Laundering and Terrorism Financing ) Act, it was charged with three counts. &nbsp,

On June 10, the goldsmith may go back to court to make a more comment about its case. &nbsp,

The Law Ministry stated that it regularly checks controlled dealers for compliance with the regulations and will continue to take legal action against those who break the rules.

If convicted, a restricted trader who fails to comply with regulations may be fined up to S$ 100, 000. &nbsp,