Singapore Precious Metal Registration
The Precious Stones and Precious Metals (Prevention of Money Laundering and Terrorism Financing) Act 2019 requires any dealer of precious stones, precious metals, precious products, or asset-backed tokens to register as a "registered dealer" with the Registrar of Regulated Dealers.
Who needs to register?
Anyone who carries on a business of regulated dealing in precious stones, precious metals, and/or precious products.
Intermediaries for regulated dealing in precious stones, precious metals, and/or precious products.
How to register:
Determine if you are a regulated dealer: Use the self-assessment questionnaire provided by the Ministry of Law (MinLaw) to determine if you fall under the definition of a regulated dealer.
Submit an application: If you are a regulated dealer, submit an online application through the GoBusiness portal.
Pay fees: Pay a non-refundable application fee of $120 and a registration fee based on the registration tier and number of outlets operated.
Registration tiers and fees:
Class A Registration: For dealers who sell precious stones, precious metals, precious products, or asset-backed tokens of any value.
Registration Fee: $350 per outlet annually.
Duration: To be renewed annually.
Class B Registration: For dealers who sell precious stones, precious metals, precious products, or asset-backed tokens with a net price of less than $2,000 apiece.
Registration Fee: $250 per outlet annually.
Duration: To be renewed annually.
Important notes:
Registration is subject to approval by the Registrar of Regulated Dealers.
Regulated dealers must comply with anti-money laundering and counter-financing of terrorism measures.
Failure to register or comply with the regulations can result in penalties, including fines and imprisonment.
Here's more information on the registration of precious stones and precious metals dealers in Singapore:
What are "precious stones," "precious metals," and "precious products"?
Precious stones: Diamonds, emeralds, rubies, sapphires, and other gemstones.
Precious metals: Gold, silver, platinum, and palladium.
Precious products: Items made from precious stones or precious metals, such as jewelry, coins, and bullion.
What is "regulated dealing"?
Buying or selling precious stones, precious metals, or precious products.
Accepting precious stones, precious metals, or precious products as security for a loan.
Storing or transferring precious stones, precious metals, or precious products on behalf of others.
Acting as an intermediary in any of the above activities.
Who is exempt from registration?
Individuals who occasionally sell precious stones, precious metals, or precious products at flea markets or garage sales.
Pawnbrokers licensed under the Moneylenders Act.
Banks and financial institutions licensed under the Banking Act.
Singapore Exchange Securities Trading Limited (SGX-ST).
What are the obligations of registered dealers?
Implement and maintain anti-money laundering and counter-financing of terrorism (AML/CFT) measures, such as customer due diligence (CDD) and suspicious transaction reporting (STR).
Keep accurate records of all transactions.
Submit annual returns to the Registrar of Regulated Dealers.
Comply with any other requirements specified in the Precious Stones and Precious Metals (Prevention of Money Laundering and Terrorism Financing) Act 2019.
What are the penalties for non-compliance?
Fines of up to S$75,000.
Imprisonment of up to 3 years.
Both fine and imprisonment.
For more information:
Visit the MinLaw website: https://www.mlaw.gov.sg/pspm-regulated-dealer-to-be-charged-for-failure-to-perform-prescribed-cdd-measures/
Contact the Registrar of Regulated Dealers: https://acd.mlaw.gov.sg/list-of-registered-dealers/
Ministry of Law (MinLaw) website: https://www.mlaw.gov.sg/pspm-regulated-dealer-to-be-charged-for-failure-to-perform-prescribed-cdd-measures/
Registrar of Regulated Dealers: https://acd.mlaw.gov.sg/list-of-registered-dealers/
GoBusiness portal: https://www.gobusiness.gov.sg/
How Bestar can Help
Bestar can provide a number of valuable services to precious stones and precious metals dealers in Singapore, including:
Registration Guidance:
Determining Registration Status: Assist in accurately assessing whether your business activities fall under the definition of "regulated dealing" and therefore require registration.
Application Preparation: Guide you through the registration process, including completing the necessary forms and gathering the required documentation.
Fee Calculation: Help you determine the appropriate registration fees based on your business activities and the number of outlets you operate.
Application Submission: Assist in submitting your application through the GoBusiness portal and ensuring all necessary information is provided.
Regulatory Compliance:
AML/CFT Framework: Provide guidance on implementing and maintaining effective anti-money laundering and counter-financing of terrorism (AML/CFT) measures, including customer due diligence (CDD) and suspicious transaction reporting (STR).
Record Keeping: Advise on the types of records that must be kept, the retention periods for those records, and the best practices for record-keeping.
Regulatory Updates: Keep you informed of any changes to the regulations or guidelines issued by the Registrar of Regulated Dealers.
Risk Assessment: Conduct a risk assessment to identify potential money laundering and terrorism financing risks within your business and develop appropriate mitigation measures.
Legal Representation:
Investigations: Represent you in any investigations conducted by the Registrar of Regulated Dealers or other authorities.
Enforcement Actions: Defend you in legal proceedings if you are accused of violating the Precious Stones and Precious Metals (Prevention of Money Laundering and Terrorism Financing) Act 2019.
Litigation: Represent you in any civil or criminal litigation arising from your business activities.
Other Services:
Contract Drafting: Assist in drafting and reviewing contracts related to your business, such as supply agreements, sales contracts, and lease agreements.
Business Structuring: Advise on the most appropriate legal structure for your business, such as sole proprietorship, partnership, or company.
Tax Advice: Provide guidance on the tax implications of your business activities.
By engaging Bestar, you can ensure that your business complies with all applicable laws and regulations, minimize your risk of legal and financial penalties, and protect your business interests.
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