MAS fines Credit Suisse and UOB for 1MDB-related transactions

SINGAPORE - Credit Suisse and United Overseas Bank (UOB) have been penalised by the Monetary Authority of Singapore (MAS) today for 1MDB-related transactions.

Financial penalties for Credit Suisse and UOB amount to S$700,000 and $900,000 respectively.

Prohibition Orders (POs) were issued against three individuals and the MAS also served notice of its intention to impose the same regulatory action on three others.

According to MAS, it completed a series of bank inspections targeted at 1MDB-related fund flows known to date.

It was revealed that the two banks had several breaches of anti-money laundering requirements and control lapses. These include weaknesses in conducting due diligence on customers and inadequate scrutiny of customers' transactions and activities.

MAS said it did not, however, detect any pervasive control weaknesses within these banks.

MAS has also directed the banks to appoint independent parties to assess and ensure that rectification measures have been implemented.

Management of Credit Suisse and UOB have also been instructed by MAS to take disciplinary measures against errant staff.

klim@sph.com.sg