Legal Changes Affecting Corporate Services Providers and Enhancing Beneficial Ownership Transparency

The Corporate Service Providers Bill and the Companies and Limited Liability Partnerships (Miscellaneous Amendments Bill) was passed by Parliament in July 2024. When effective at a date to be announced:

•          the provision of providing corporate services in and from Singapore to register with ACRA as registered as corporate service providers (CSPs);

•          CSPs would have to comply with prevailing rules on anti-money laundering, countering the financing of terrorism and the proliferation of weapons of mass destruction (AML/ CFT/ PF obligations);

•          CSPs would be subject to fines for breaches of AML/ CFT/ PF obligations;

•          persons acting as nominee directors by way of business may not do so unless the appointments are arranged by registered CSPs who have assessed the individual as fit and proper;

•          nominee directors’ and nominee shareholders’ nominee status and the identities of their nominators must be disclosed to ACRA;

•          fines relating to the keeping and maintenance of the register of registrable controllers, register of nominee directors and register of nominee shareholders will be increased.