General Announcement::DBS' Response to MAS' Media Release on Breaches of AML Requirements

Issuer & Securities

Issuer/ Manager
DBS GROUP HOLDINGS LTD
Securities
DBS GROUP HOLDINGS LTD - SG1L01001701 - D05
Stapled Security
No

Announcement Details

Announcement Title
General Announcement
Date &Time of Broadcast
21-Jun-2023 18:14:06
Status
New
Announcement Sub Title
DBS' Response to MAS' Media Release on Breaches of AML Requirements
Announcement Reference
SG230621OTHR4WKB
Submitted By (Co./ Ind. Name)
MARC TAN
Designation
GROUP SECRETARY
Description (Please provide a detailed description of the event in the box below)
The Monetary Authority of Singapore (MAS) announced today a penalty on DBS for breaches of anti-money laundering (AML) controls. Please see DBS' response below:

DBS takes our AML obligations seriously and accepts MAS' decision. MAS' actions were for lapses occurring between July 2015 and February 2020 relating to a network of customers which is ultimately traceable to Wirecard. These transactions were part of an elaborately orchestrated scheme involving a network of complex corporate structures, nominee arrangements and financial products to conceal actual control and/or beneficial ownership. While we detected and acted upon some of these activities through transaction monitoring and customer due diligence - and ultimately exited all relevant entities - we were unable to unravel the scheme in its entirety. We acknowledge that we could have done better.

Today, DBS is in a materially better position to respond faster and more robustly if faced with similar circumstances. Between 2019 and 2022, we had worked closely with MAS to enhance the effectiveness of our anti-money laundering controls. This has materially improved our ability to detect and mitigate risks arising from complex networks. MAS has recognised the improvements made. Cognisant that AML is an industry-wide concern, we also continue to actively contribute to public-private industry collaborations such as AML/CFT Industry Partnership (ACIP) and Collaborative Sharing of Money Laundering/Terrorism Financing Information & Cases (COSMIC) to combat financial crime.