SINGAPORE Law and Practice Contributed by: Kenneth Pereire and Lin YingXin, KGP Legal LLC
systems such as pseudonymisation, anonymisa - tion and data minimisation are also being widely adopted to mitigate risks associated with data breaches, aligning with global principles and local regulations such as PDPA. Moreover, a collaborative industry approach involves regular information sharing, cybersecu - rity forums and joint initiatives, fostering a col - lective defence against evolving cyber threats. Continuous investments in cybersecurity infra - structure, employee training and periodic securi - ty audits underline the commitment of Singapo - rean banks and technology providers to secure customer data and maintain the integrity of the open banking ecosystem 12. Fraud 12.1 Elements of Fraud Fraud in Singapore There are two main categories of fraud in Sin - gapore: • fraud in criminal proceedings; and • fraud in civil proceedings, of which both involve and require the elements and proof of dishonesty/deceit. Fraud in Relation to Financial Services and Fintech Generally, fraud that occurs in relation to finan - cial services and fintech will often fall under the category of fraud in criminal proceedings. Some examples of criminal fraud are identity theft, embezzlement, money laundering and forgery – all of which occur in relation to financial ser - vices and fintech. Such offences would render the offender criminally liable of cheating.
Pursuant to the nature of the crime, the sections that offenders are likely to be found liable and punishable under the Penal Code 1871 include but are not limited to: • Section 415 – Cheating; • Section 416 – Cheating by personation; • Section 416A – Illegally obtained personal information; • Section 417 – Punishment for cheating; and • Section 419 – Punishment for cheating by personation. 12.2 Areas of Regulatory Focus In 2024, the types of fraud which had the high - est average losses in Singapore are as follows: • government officials’ impersonation scams; • investment scams; • job scams; • e-commerce scams; • fake friend call scams; • phishing scams; • investment scams; • market manipulation; • money laundering and terrorist financing; and • cyber fraud. It is therefore likely for Singapore regulators to focus more on the above-mentioned frauds in 2025. 12.3 Responsibility for Losses In Singapore, fintech service providers can be liable for customer losses due to contract breaches, negligence, fraud or regulatory viola - tions. Providers may be held accountable for fail - ing to execute transactions, protecting customer data or complying with AML/CFT and PDPA regulations. Although liability can be limited by contractual clauses, these cannot exclude neg - ligence or breach of contract. Under the Con -
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