Bloomberg: How Suspects Laundered Billions in Singapore for Years
Wang Dehai was already on the run when he made Singapore his home five years ago. Police in China were offering a bounty for information about him for his alleged role in an illegal gambling ring.
Once in Singapore, Wang and his wife set up a family office and he got an employment pass, giving him the right to stay in the city-state. They banked with Credit Suisse, and the couple got passports from the tax haven of Cyprus. Wang, 34, splurged on a S$23 million ($17.2 million) condominium in the prime Orchard area and held about $2.8 million in cryptocurrency.
Wang’s idyllic world came crashing down in August when he was among 10 people of Chinese origin arrested and charged in the biggest money-laundering case the nation has ever seen. Authorities have seized more than S$2.8 billion in assets including gold bars, jewelry, 62 cars and 152 properties. The tally may rise, with many suspects still on the loose.
The seizures have sent shockwaves through the orderly nation, prompting a review of the policies that were exploited to allow so much money to allegedly be laundered for so long at some of the world’s biggest banks. The police raids across the toniest neighborhoods also highlight how Singapore is paying the price for its open borders just as some wealthy Chinese with suspected tainted funds are looking for places to park their money.