Singapore Targets Criminal Mules with New Banking Restrictions

Singapore is stepping up its efforts to tackle scam syndicates by restricting the access of "scam mules" to essential banking and communication services. Authorities announced that starting in October 2025, individuals who knowingly provide their bank accounts or phone lines to criminal networks will face significant limitations, including restrictions on internet and mobile banking, ATM transactions, and PayNow services.

This move comes in response to the growing threat posed by scam syndicates that rely on local mules to facilitate illegal money transfers. In the first half of 2025 alone, nearly $460 million was lost to scams, with a portion of the stolen funds funneled through domestic banking systems. Scammers also increasingly turn to cryptocurrency for its anonymity, contributing to a rising trend in digital asset-related fraud.

The crackdown will affect a variety of offenders, including repeat offenders and those who have already been fined or prosecuted for mule-related offenses. "The success of scam syndicates hinges on local persons providing their bank accounts, mobile lines and other essential facilities," the agencies explained in their joint statement. This initiative expands enforcement beyond traditional prosecution, aiming to disrupt the criminal networks by cutting off their access to the local infrastructure that enables them to operate.

Authorities are not only focusing on restricting financial access but have also updated sentencing guidelines for scam-related offenses. Money mules could face up to 10 years in prison and hefty fines for their involvement. In addition to banking restrictions, the government plans a future phase that will address the abuse of digital identity systems like Singpass and Corppass, which are also used to access government services that criminals exploit.

While the efforts seem to be making a difference, with scam losses showing a slight decline compared to 2024, the issue remains a serious concern. The facility restriction framework is seen as an essential part of Singapore's strategy to curb scam activities and safeguard the public from the growing tide of financial fraud.