Nearly S$10,000 in scam proceeds laundered through e-wallets allegedly bought for S$50 each

SINGAPORE: A 21-year-old man has been arrested for his suspected involvement in a scheme to purchase e-wallets from work permit holders for use in scam transactions, with at least S$9,792 in scam proceeds traced through the fraudulently created accounts since May 2026.

Officers from Clementi Police Division mounted the operation between August 25 and 26, 2026, to establish the identities of the man and the work permit holders involved, resulting in the arrest of the man.

How the scheme worked

The man allegedly accessed the Singpass accounts of work permit holders to apply for e-wallets on their behalf, with each work permit holder receiving S$50 in exchange. The e-wallets were then used to receive and transact scam proceeds.

The arrangement is a variation of the money mule model, which uses legitimate identity holders to create financial accounts that serve as conduits for criminal funds, in exchange for small cash payments that obscure the account holders’ awareness or culpability.

Charges and penalties

The man was charged on Aug 27 with cheating under Section 417 of the Penal Code 1871, which carries a fine, imprisonment of up to three years, or both.

Investigations into the work permit holders for selling their e-wallets are ongoing for abetment of cheating under Section 417 read with Section 109 of the Penal Code 1871, which carries the same penalties.

The Police reiterated their warning against accepting cash in exchange for bank accounts, e-wallets, Singpass accounts, or credentials. Singpass access can be used to open financial accounts and mobile lines for illegal purposes, and those who sell or lend their credentials, even unknowingly, may face criminal liability.

To report information on such crimes, call the Police Hotline at 1800-255-0000 or submit at www.police.gov.sg/i-witness. For scam information, visit www.scamshield.gov.sg or call 1799.

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