Travellers must declare money exceeding $20,000 from September

SINGAPORE - Starting September 1, foreign visitors and Singapore residents will be required to make a declaration if the money they carry in or out of the country exceeds S$20,000.

The police said that the revision of the declarable value of CBNI (physical currency or bearer negotiable instruments) from S$30,000 to S$20,000 is in line with the recommendations made by the Financial Action Task Force (FATF), of which Singapore is a member of.

This requirement to submit a report, when stipulated amounts are exceeded, was put in place to detect and monitor the movements of CBNI and take enforcement actions against cash couriers supporting terrorism financing or money laundering activities, the police said in a statement to the media today.

"The reduced reporting threshold will allow us to keep a closer watch over large volume CNBI movements," the statement said.

Travellers entering Singapore carrying more than S$20,000 (or its equivalent in a foreign currency) are required to fill up the CBNI Report (Traveller) form and submit it to any Immigration Officer at the Customs Red Channel.

Travellers departing from Singapore who are required to give a report can complete the CBNI Report (Traveller) form and submit it to the Immigration Officer at the Immigration Counter.

The forms are available at the major checkpoints and police establishments. They can also be downloaded from the Singapore Police Force and the CAD websites.

Posters and brochures have been placed prominently at the checkpoints to remind the public to comply with the new measure.

"We would like to seek the cooperation of the public with the authorities in the event of a security check. Travellers are encouraged to pre-fill the report forms early," the police added.

CBNI moved via cargo, post or other means

Those who move in to or out of Singapore - through cargo, post or other means, or receive from outside Singapore - a sum of money that exceeds S$20,000 (or its equivalent in a foreign currency), will be required to complete the CBNI Report (Sender, Carrier or Recipient) form.

The form is to be submitted to the Suspicious Transaction Reporting Office (STRO) of the Commercial Affairs Department (CAD), Singapore Police Force

The report should be given to the STRO no later than one business day prior to the moving of the CBNI. If the CBNI is to be sent by post, the report should be submitted no later than two business days prior to the moving of the CBNI.

If it is not reasonably practicable to do so, the person should give the report to the STRO at the first opportunity, but before the CBNI is moved.

Those who receive CBNI from outside of Singapore will be required to submit the report to STRO within five business days upon receipt.

A business day is defined as a day other than Saturday, Sunday or public holiday.

For assistance on how to complete the report forms, the public can approach any Immigration Officer at the Singapore Checkpoint(s); contact the Suspicious Transaction Reporting Office at +65 6557 5480; or visit the Singapore Police Force Website at www.police.gov.sg/advisories.

The police warned that failure to give a full and accurate report is an offence under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act (Chapter 65A).

A person convicted of such an offence is liable to a fine of up to $50,000, an imprisonment term of up to three years, or both. The CBNI may also be seized.

Below is a list of frequently asked questions answered by the police:

What constitutes physical currency?

Physical currency means the coin and printed money (whether of Singapore or of a foreign country) that - (a) is designated as legal tender; and (b) circulates as, and is customarily used and accepted as, a medium of exchange in the country of issue.

What constitutes bearer negotiable instrument?

Bearer negotiable instrument means - (a) a traveller's cheque; or (b) any negotiable instrument that is in bearer form, indorsed without any restriction, made out to a fictitious payee or otherwise in such form that title thereto passes upon delivery, and includes a negotiable instrument that has been signed but with the payee's name omitted. Examples of negotiable instruments are a bill of exchange, cheque or promissory note.

Is the revision consistent with the practices in other countries?

Yes, it is consistent with the approach taken by other countries that are similarly aligned to the Financial Action Task Force (FATF) standards. For information, the cross-border cash movement reporting thresholds in the United States, Australia and New Zealand are $10,000 in their respective currencies.

Why is it necessary to implement the reporting of cross-border movement of physical currency or bearer negotiable instruments in Singapore?

Criminals and terrorism financiers around the world have been known to use cash couriers to move physical funds across borders either to finance their illicit activities or to launder their ill-gotten gains. As an active and integrated member of the global economy, Singapore could also be susceptible to such illegal activities.

This initiative is part of Singapore's overall efforts to combat transnational crime, money laundering and terrorism financing by requiring the reporting of cross-border movements of physical currency or bearer negotiable instruments. This is also in line with international practices and standards recommended by the Financial Action Task Force (FATF), an inter-governmental body that develops and promotes policies to combat money laundering and terrorism financing. Singapore has been a member of FATF since 1992.

Which countries have implemented the reporting of cross-border movements of physical currency or bearer negotiable instruments?

These countries include the United States, United Kingdom, New Zealand, Spain, Canada and Australia.

If this initiative is meant to combat terrorism financing, then why is the threshold not set lower? Terrorists do not need significant amount of funds to carry out acts of terrorism.

There is a need to strike a balance between detecting and monitoring Singapore's terrorism financing risks, and minimizing the inconvenience to travellers.

What is the assessed impact on the travelling community with this change? Will it inconvenience travellers?

Currently, any traveller who travels into or out of Singapore and carries with them Singapore physical currency or bearer negotiable instrument above SGD 30,000 is required to submit a Cash Movement Report (CMR). The change will simply lower the threshold to SGD 20,000.

Since the regime was introduced in 2007, authorities have minimized inconvenience to travellers by making it convenient for travellers to submit the report. The report forms are available at the immigration counters. Alternatively they can be downloaded from the Commercial Affairs Department's (CAD's) website. CAD will continue to work with the Immigration & Checkpoints Authority, as well as other relevant stakeholders, to raise public awareness on the revised threshold.

Which government agency is responsible for enforcing the reporting requirement?

The Commercial Affairs Department of the Singapore Police Force enforces the reporting requirement with support from other government agencies such as the Immigration & Checkpoints Authority.

Is the reporting of cross-border movements of physical currency or bearer negotiable instruments a form of currency control?

No, it is not a currency control measure. There are no restrictions on the type or amount of physical currency or bearer negotiable instruments which may be carried into or out of Singapore as long as a person gives a full and accurate report to the authorities when the total value of the physical currency or bearer negotiable instruments exceeds SGD 20,000 or its equivalent in a foreign currency.

yamadak@sph.com.sg