The Financial Authority of Singapore (MAS) has formally rolled out the COSMIC platform, a digital initiative aimed toward bolstering the protection towards cash laundering, terrorism financing, and the proliferation of weapons of mass destruction.
The system, which turned operational immediately (1 April 2024), alongside the enforcement of the Monetary Providers and Markets (Modification) Act 2023, permits the seamless trade of buyer data amongst monetary establishments (FIs) on a world scale.
The introduction of COSMIC—brief for Collaborative Sharing of Cash Laundering/TF Info & Circumstances—follows the modification of the Monetary Providers and Markets Act in Could 2023.
This modification established a authorized and regulatory framework facilitating FIs to share essential buyer information, however solely underneath strict situations. Such information sharing is contingent on the detection of particular, objectively-defined indicators of suspicious conduct or “crimson flags”.
With the first goal of sustaining buyer confidentiality whereas enabling FIs to alert one another about potential threats, the brand new system imposes stringent insurance policies and operational safeguards.
This stability ensures the safety of authentic prospects’ pursuits whereas empowering FIs to successfully assess and mitigate dangers related to monetary crimes.
COSMIC’s growth was a collaborative effort between MAS and 6 of Singapore’s largest business banks, together with DBS, OCBC, UOB, Citibank, HSBC, and Normal Chartered Financial institution.
These establishments will take part within the preliminary part of the platform, which at present focuses on addressing three fundamental dangers: the misuse of authorized entities, commerce finance exploitation for illicit functions, and proliferation financing.
Bathroom Siew Yee
Bathroom Siew Yee, Assistant Managing Director (Coverage, Funds & Monetary Crime), MAS, mentioned,
“COSMIC will allow FIs to warn one another of suspicious actions and make extra knowledgeable threat assessments on a well timed foundation. It enhances the business’s current shut collaboration with MAS and legislation enforcement authorities to fight monetary crime. It will strengthen Singapore’s capabilities to uphold our popularity as a well-regulated and trusted monetary centre.”
