Singapore Police Granted New Powers to Freeze Bank Accounts in Anti-Scam Crackdown
Singapore has enacted a new law empowering police to temporarily seize control of individuals’ bank accounts and block financial transactions if they suspect the person is at risk of being scammed. The Protection from Scams Act, which took effect on Tuesday, is the latest in a series of aggressive steps by authorities to curb the island nation’s growing scam epidemic.
The law allows officers to restrict access to funds, suspend ATM and credit services, and halt digital transfers – even if the account holder does not believe they are being defrauded. The Ministry of Home Affairs (MHA) clarified that while essential payments such as daily expenses and bills will still be allowed, all spending must be approved by police during the restriction period.
These powers can be enforced for up to 30 days, with a maximum of five extensions if further investigation is required.
Authorities say the move addresses a persistent problem: victims often remain in denial, even when warned. “This measure will be used as a last resort, only after other attempts to convince the individual have failed,” the MHA said in a statement. The police will assess each case based on information from the potential victim and their family.
Despite its intentions, the law has sparked debate. During parliamentary discussions earlier this year, several lawmakers voiced concerns about privacy, overreach, and potential misuse of power. Some MPs proposed giving citizens the choice to opt out or allowing individuals to appoint someone they trust to monitor their finances instead of handing control to the state.
Still, supporters argue the measure is necessary to curb skyrocketing scam-related losses, which hit a record S$1.1 billion (US$860 million) in 2024. Reported scam cases in Singapore have more than tripled in the past four years – from 15,600 in 2020 to over 50,000 in 2024.
Scams in the city-state range from job offers and bogus investments to e-commerce fraud and romance scams, where fraudsters build long-term emotional relationships before manipulating victims into sending money.
The new law complements existing tools, such as emergency “kill switches” that allow customers to immediately freeze their bank accounts if they suspect fraudulent activity. Since 2023, banks have also allowed customers to lock specific funds that cannot be digitally transferred.
With scammers becoming more sophisticated and targeting victims across all demographics, Singapore’s government says stronger, more proactive measures are critical. The latest law is seen as a controversial but decisive effort to protect citizens in a digital financial age where trust can be weaponised.
