Singapore's Protection from Scams Bill

In January 2025, Singapore's Parliament passed the Protection from Scams Bill, granting the police authority to restrict the bank accounts of individuals suspected of being targeted by scams. This legislative move aims to curb the rising tide of scams and cybercrimes that have led to significant financial losses among Singaporeans. While the bill seeks to protect potential victims, it also raises pertinent concerns regarding financial autonomy and the potential for overreach.

In the first half of 2024, Singapore experienced a 25% increase in funds lost to scams and cybercrime cases, totaling S$385.6 million. This alarming trend prompted the government to introduce the Protection from Scams Bill, empowering the police to issue restriction orders to banks. These orders can limit banking transactions, including money transfers, ATM usage, and credit facilities, for individuals deemed at risk of falling victim to scams. The initial focus was on remote scams conducted via digital platforms, but the scope has since expanded to include traditional cheating cases involving in-person interactions.

The implementation of restriction orders raises significant concerns about individual financial autonomy. Critics argue that such measures could infringe upon personal freedoms by allowing authorities to control access to one's financial resources without prior consent. Non-Constituency Member of Parliament Hazel Poa expressed apprehension, suggesting that while the bill is crucial for protecting potential victims, it should not override an individual's right to manage their finances. She proposed safeguards, such as a cooling-off period and mandatory counseling, to ensure that victims fully comprehend the implications of opting out of the restriction orders.

The challenge lies in balancing the need to protect individuals from scams with the preservation of financial autonomy. While the government's intent is to prevent financial harm, there is a risk of paternalism, where individuals are deprived of the agency to make their own financial decisions. Implementing measures that respect personal autonomy while effectively preventing scams requires a nuanced approach. This could involve providing victims with comprehensive information about the risks and consequences of their actions, ensuring that any intervention is proportionate and justified.

Another concern is the potential for overreach. The broad powers granted to the police could lead to situations where individuals are subjected to restriction orders without sufficient evidence of imminent risk. This could result in undue hardship, especially for those who rely on their bank accounts for daily living expenses. To mitigate this, it is essential to establish clear criteria and oversight mechanisms to ensure that restriction orders are applied judiciously and only when absolutely necessary.

​The Protection from Scams Bill represents a proactive step by the Singaporean government to combat the escalating threat of scams and cybercrimes. However, it is imperative to strike a balance between safeguarding individuals from financial harm and upholding their right to financial autonomy. By implementing appropriate safeguards and oversight, the legislation can achieve its objectives without compromising personal freedoms.