Singapore, a "safe haven for wealth", is becoming a "hunting ground" in the eyes of scammers.

With the surge in the number of family offices and the influx of high-net-worth individuals, various sophisticated scams have quietly grown in Singapore: from disguising themselves as investment advisors to infiltrate the core of family wealth, to manipulating virtual assets and impersonating bank employees to commit transnational fraud.

Criminals have targeted system loopholes and blind spots in trust, setting traps one after another, causing some wealthy people and individuals to fall into scams and suffer huge losses. Singapore, which appears to have strict rule of law and mature systems, is facing a dual test of wealth security and regulatory upgrades.

“Six out of 10 people are scammed”

At the end of 2024, Lee, who worked in sales, suddenly received a call from a foreign number on WhatsApp, saying that they could provide her with a part-time online job. Lee, who always thought that her job was ordinary, readily agreed.

Soon after, she was contacted by another man who claimed to be a Malaysian living in Singapore, married with a child. Although she suspected it was a scam, she decided to participate. "I just wanted to scare the scammers. I thought I could outsmart them."

For several months, the man sent her encouraging and happy messages every day. Gradually, Lee also regarded him as a real friend. "He would ask every day, 'Sister, how are you? ' Do you want to try this Internet job? Over time, I thought this must be just a part-time job to make some extra money."

The job allegedly required her to make a deposit in cryptocurrency and complete surveys related to about 30 brands, and then get her deposit back along with commissions. At first, Lee's deposited funds quickly earned more than her principal, so she increased her investment. When she deposited more than $11,000, the cryptocurrency platform suspended the transfer and warned her via email that she might have been scammed.

But Lee still trusted the man until the platform asked her to invest $120,000, which she did not have. At this point, she had transferred $78,000 but was told that she could not withdraw the money until the work was completed.

Lee was devastated and begged them to return her hard-earned money, but they refused and advised her to borrow money from a bank or licensed money lender.

Lee is not the only one who has lost $167,000 simply by clicking on fraudulent ads on Facebook or Instagram.

According to data, six out of 10 people in Singapore have been scammed. The government said that nearly half of the scams came from Meta's platforms - Facebook, WhatsApp and Instagram.

Singaporeans have been, and still are, among the biggest victims of fraud in the world. In 2023, Singaporeans lost US$4,031 per capita, the highest amount of any country.

Since 2019, the number of fraud cases and the amount of losses in Singapore have hit new highs every year. In 2024, a total of 51,501 fraud cases were reported, involving more than US$1.1 billion, the first time that annual fraud losses exceeded the US$1 billion mark. Of this, the police only recovered about US$182 million. Among them, more than two-thirds of Singaporean victims did not report the case.

In 2025, more than 13,000 fraud cases were reported in Singapore from January to April alone, with victims losing more than US$313.7 million.

They are "rich and naive"

Even the “rich” cannot escape the fate of being “scammed”.

Singaporean actor Mike (pseudonym) always warned himself to be wary of scams, especially online scams. But when he met a young Filipino woman named Debra on a dating website, he couldn't help but talk to her.

Over a period of several months, Debra persuaded Mike to invest nearly S$40,000 ($30,000) in cryptocurrency in an e-commerce venture. When it became clear that his money had gone nowhere, Mike requested a face-to-face call with Debra, only to discover that the person in the video bore little resemblance to the photo on her profile.

There are more than one high net worth individuals as "rich" as Mike who have been "scammed".

Since 2017, a certain gang has invited Chinese business owners to Singapore to sign contracts and charged "management fees" or "administrative fees". They rented office space in places such as Marina Bay Financial Centre to create a formal office environment, supplemented by fake contracts, etc., to imitate the atmosphere of high-end business. At least 10 business owners were deceived, with a total amount of more than 2.5 million Singapore dollars.

In March 2025, during a cross-border operation, a Singaporean financial director was contacted by a scammer using Deepfake technology to impersonate the CEO of his multinational company and tricked him into transferring about 499,000 Singapore dollars. Fortunately, through cross-border cooperation, the police successfully recovered the money.

In early 2025, a Singapore financial advisor was defrauded of S$1.2 million by an impostor from the Anti-Scam Centre. The scammer lied that he was suspected of money laundering and needed to cooperate with the investigation.

In March 2025, the Singapore High Court ordered the private trustee responsible for handling the bankruptcy estate of suspected fraudster Ng Yu Zhi to accept a $12 million claim from creditors, which had previously been rejected. Previously, Ng Yu Zhi created fake nickel metal trading projects through his Envy series of companies and attracted about S$1.5 billion in funds since 2017.

The project promised a 15% quarterly return, using forged trading contracts and historical records, and some early investors received returns to lure more people in. The case involves nearly 300 (high net worth) victims, with a total amount of S$1.5 billion, and is still under trial, and is known as "the largest metal fraud case in Singapore's history."

In March 2025, a wealthy Chinese tycoon sued four former employees, accusing them of stealing funds from his Singapore-based family offices, Panda Enterprise and Li & Fung International (LFI), through fraudulent transactions and false claims over many years, highlighting the fragility of some family office structures.

The tycoon, Zhong Renhai, who controls family offices Panda Enterprise and Li & Fung International (LFI), accused the four former employees of abusing his trust and confidence by transferring S$74 million (about RMB 400 million) into their own accounts or misappropriating funds belonging to him without authorization over the years.

It seems that these “rich people” are often more vulnerable to fraud. As one person who has been involved in asset recovery said: “They are rich and naive.”

 

Even Temasek was deceived

In 2025, Singapore's Senior Minister of State Low Yen Ling and Singapore's sovereign wealth fund Temasek warned the public to beware of an investment scam linked to a doctored photo of Low Yen Ling, a fake app and a WeChat group that purportedly promoted Chinese wealth management products.

In the doctored photo, Liu Yanling attended a signing ceremony for a memorandum of understanding (MOU) between two fictitious organizations - a Chinese chamber of commerce and an asset management company called Taibai.

Temasek clarified on May 12 that Taibai Investments is one of its wholly-owned subsidiaries, but denied any association with the Taibai app or WeChat chat group. Liu Yanling said in a Facebook post on May 12 that her original photo was taken at the Singapore-China Economic Partnership Conference on February 1, 2024, and attached the real and fake photos.

Temasek and Taibai Investments said they do not sell or market investment products in China, nor have they authorised any third party to do so. Several people have reportedly lost huge sums of money through the Taibai financial management app.

In addition, Temasek decided to cut its investment in early-stage companies by 88% within three years due to its failed investments in two fraudulent companies, FTX and eFishery.

Temasek, one of FTX’s largest investors, joins SoftBank, BlackRock and others in falling victim to the biggest scam in cryptocurrency history. The company also counts venture capital firm Sequoia Capital among its institutional investors.

The investment accounted for about 0.1% of Temasek's portfolio in fiscal 2023, resulting in a loss of one million yuan, which was "humiliating".

As of March 31, 2023, the financial report showed that Temasek had a net loss of US$7.3 billion in fiscal year 2023. After Temasek wrote off the investment, some Singaporean lawmakers questioned the organization's due diligence.

While Temasek said it had conducted "extensive due diligence on FTX, which took approximately eight months from February to October 2021," Temasek said of FTX's founder: "It is clear from this investment that our trust in Sam Bankman-Fried's conduct, judgment and leadership, which stemmed from our interactions with him and the views expressed in discussions with others, now appears to be misplaced."

The impact of the failed investment went far beyond the financial loss. Singapore’s then-Finance Minister Lawrence Wong (now Prime Minister) publicly stated that the investment had damaged Temasek’s reputation. Subsequently, Temasek implemented salary cuts for its investment team and senior management.

Even more shocking was Temasek's failed investment in Indonesian agricultural technology company eFishery. The startup, which developed an automated feeding system for fish and shrimp farming, was exposed for allegedly falsifying sales and profit data. According to media reports in April, one of eFishery's founders admitted to falsifying data in the company's financial reports.

"Hunter" images

In Singapore, the types of scams are numerous and complex, including phishing, investment scams, impersonation scams, e-commerce scams, job scams, romance scams, application fraud, credit card fraud, email scams, online dating, identity theft, malware, money laundering, sextortion scams, loan scams, etc.

There are so many fraud cases that even on the official website of the Singapore Police Force (SPF), fraud information and cases are announced almost every day.

For example, according to a news release from SPF on June 11, 2025, SPF received multiple reports from victims of the Government Official Impersonation Scam (GOIS), saying they were deceived by scammers posing as staff of the Monetary Authority of Singapore (MAS). The victims' funds were transferred to credit cards and then used to conduct unauthorized transactions. It is reported that the amount of fraud exceeded US$262,000.

In short, the methods of these scammers in Singapore are constantly upgrading, from traditional telecommunications fraud to "high-end customized" financial fraud, from impersonating bank personnel to disguising themselves as senior fund managers and even government officials. They are increasingly adept at using Singapore's own "advantages" as props for disguised rhetoric.

First, impersonating professional consultants. Scammers often impersonate law firm representatives, family office consultants, audit experts, or even HKMA staff. They forge documents and email domain names, and use carefully designed logos and rhetoric to make people think they are communicating with real professional organizations.

Second, packaging a "compliant identity". Fraud gangs often take advantage of Singapore's internationally trusted image, forge local company registration information, show bank cooperation certificates, and even rent an office address in the Marina Bay Financial Center to enhance the "authenticity" of the scam.

Third, establish a closed loop of trust. These scammers are not in a hurry to "strike", but have long-term contact with the target, gradually establishing a seemingly solid chain of trust. By participating in the same social circle, charity events or business forums, they create an "insider" image, build closer relationships, and prepare for the next step of "harvesting".

Fourth, using new technology tools. AI-generated videos, voice imitations, and investment reports generated by ChatGPT have become their "precision strike" weapons, which even experienced investors find difficult to detect at a glance.

What's more, some financial companies have also become "facilitators" intentionally or unintentionally. In 2020, a trust company in Singapore was fined US$793,000 (S$1.1 million) for serious violations of the MAS's anti-money laundering/counter-terrorist financing regulations on multiple different accounts. The MAS announced that the violations occurred over a period of more than ten years from 2007 to 2018.

In addition, the International Consortium of Investigative Journalists (ICIJ) revealed the trust company's efforts to recruit clients in the United States for Cook Islands trusts, a type of unbreakable, secure asset used to manage wealth and assets.

The "undercurrent" behind the prosperity of family offices

Singapore, a world-renowned wealth management center, has attracted a large amount of international capital with its strict rule of law, low tax environment, highly transparent financial system and immigration policy that is friendly to high net worth individuals. In recent years, more and more family offices have been established in Singapore to manage private wealth from all over the world.

According to relevant data, as of the end of 2024, there will be more than 2,000 family offices settled in Singapore.

However, just like a moth to a flame, "where there is wealth, there is risk." Behind the appearance of safety and prosperity, a silent hunting operation is unfolding. Fraudsters target family offices and high-net-worth individual investors, carefully design scams, savvy in disguise, and quietly infiltrate, trying to grab huge illegal profits from this glittering land.

While enjoying the fruits of their wealth, high net worth individuals are increasingly being targeted by scammers. So why do these high net worth individuals, who intuitively appear to have a strong sense of risk and investment judgment, frequently fall for scams? This is often due to the unique psychological and structural loopholes of the wealthy class.

First, information is closed-loop and relationship-oriented. Many family offices rely on relationship networks, and recommendations mostly come from "circles of acquaintances." Risk assessment is often replaced by trust instead of professional due diligence. Scammers target this point and use "internal recommendations" to break through the defense line.

Secondly, there is excessive trust in the "Singapore label". "This is a Singapore registered company" and "This is a project registered with the Monetary Authority of Singapore" often become a pass for exemption from inspection. High net worth individuals have great trust in local supervision, but ignore whether the company is truly operating behind the scenes.

Thirdly, they pursue "high confidentiality + high returns". Some people want their assets to be secretive, have high returns, and avoid overseas supervision. Such demands are exactly the "bull's eye" that scammers love to exploit.

Fourth, the misunderstanding of "child custody". Many high-net-worth individuals hand over their financial affairs to the younger generation or assistants. The lack of direct involvement makes them relax their vigilance, giving scammers an opportunity to take advantage.

Why do scammers “prefer” Singapore?

The reason why Singapore attracts scammers is not accidental, but is closely related to its unique economic structure, social trust environment and global reputation.

First, as a financial center, capital inflow and outflow are convenient. Singapore is one of the most important financial centers in the world, with highly free capital flows, open foreign exchange policies and banking systems, which are extremely convenient for capital transfers and cross-border financial operations. This is an ideal environment for scammers to "launder money."

Second, the tax system is relaxed and privacy protection is strong. Singapore has a low tax rate and strong financial privacy protection (especially the mature trust and family office systems), so some wealthy people and "people with unknown sources of funds" can easily set up shell companies or family offices with "legal cover" to carry out asset allocation and fund transfer.

Third, it is not difficult to obtain a "legal identity". Singapore's investment immigration system was once relatively relaxed, and scammers or money launderers could obtain long-term residence or even identity through investment, legalizing their existence. This made some criminals willing to use Singapore as a "stepping stone" or "safe house".

Fourth, the society is stable and the law enforcement system is trustworthy. Compared with traditional tax havens such as Caribbean island countries, Singapore has a higher reputation for rule of law and finance. It is easier for scammers to "hide" here and avoid suspicion, and they can create the appearance of "high net worth individuals" for a long time.

Fifth, a large influx of international funds has created great pressure for review. As a major global asset allocation hub, Singapore has attracted a large amount of international capital. Financial institutions face great pressure to comply with anti-money laundering regulations in the face of such a massive flow of funds. Sometimes it is difficult to review each and every one of them, which can easily lead to loopholes.

Sixth, Singapore has a high acceptance of "superficial compliance". Some banks, trusts, and family offices only require clients to comply with formal regulations (such as providing identity and source of income) and often do not delve into substantive issues. This allows some "pseudo high net worth individuals" or "fake family offices" to sneak in.

In addition, cross-border law enforcement cooperation is difficult. Many scammers do not commit fraud in Singapore, but transfer "dirty money" to Singapore. Since the place where the fraud occurs is separated from the place where the funds stay, Singapore's law enforcement agencies often need the cooperation of other countries, and the efficiency varies, resulting in some scammers being able to "get away with it."

As Singapore embraces digital transactions and cashless payments, fraudsters are adapting their strategies to target digital wallets and online platforms, leading to an increase in phishing and malware scams.

It is a "safe haven" and also a "battlefield"

Over the past five decades, Singapore has thrived on its strategic global and regional hub. However, as Southeast Asia faces growing transnational crime problems, challenges from illicit financial flows are also growing.

Scammers flock to Singapore not because Singapore is "condoned", but because its highly developed, free and mature financial system itself gives "interested people" the opportunity to play tricks. The policies that have been strictly scrutinized include the family office plan and a little-known loophole that helps people "commit crimes".

For many of the region’s criminals and corrupt, Singapore is the perfect “getaway”: a massive financial hub that allows bad actors to access the global financial system and move dirty money around the world — or hide it in shady real estate deals right under the noses of Singaporean authorities.

Prestige aside, Singapore's booming banking sector is a boon to jobs, the local economy and property values. But compliance is also a headache.

Singapore has tightened its anti-money laundering regulations following a major money laundering case in 2022-2023. However, regulation must be balanced with the freedom for financial firms to operate - a difficult balance for a trading city with both global and regional influence.

((New Wisdom for Family Offices) Reminder: The content and opinions are for reference only and do not constitute any investment advice.)