Sheng Siong has temporarily suspended and reinstated its PayNow cash withdrawal service after discovering a money laundering scheme that exploited its Simple Teller Machines ($TMs).
The supermarket chain halted the service on 19 June 2025 after identifying abnormal withdrawal patterns. It resumed operations on 23 June, following the introduction of tighter transaction limits.
The $TM system allows users to scan a PayNow QR code and withdraw up to S$1,000 per transaction.
However, on 18 June, Sheng Siong observed that large withdrawals were being made simultaneously at multiple outlets using the same PayNow account.
The activity raised suspicions, prompting the company to act swiftly. According to Sheng Siong’s customer and operations director Lin Zikai, the company’s headquarters identified the anomaly and alerted both the bank and police.
When similar withdrawals continued the next day, Sheng Siong staff detained individuals involved and handed them over to the authorities.
Four males, aged 16 to 23, were subsequently charged on 21 June in connection with the scheme. Investigations revealed they had responded to “fast cash job” advertisements on Telegram.
The alleged job required them to visit $TMs, generate PayNow QR codes, and send photos of these codes to the Telegram group. Once the QR codes were scanned remotely, the machines dispensed cash, which the individuals were instructed to collect and pass to another party.
Authorities believe the criminals were using compromised bank accounts to make the payments remotely via the QR code images. The police took two of the accused back to the $TMs on 26 June as part of their investigations.
One of the accused, 20-year-old Muhammad Noraidilsahiq Muhammad Norasif, is alleged to have withdrawn S$8,000 from a $TM at the Sengkang West Avenue Sheng Siong outlet on 19 June. He faces a charge under the Penal Code for receiving stolen property.
Muhammad Izz Iryan Mod Ali, 23, was allegedly found with S$20,300, believed to be proceeds of criminal conduct. He faces a charge under the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act.
His brother, 18-year-old Muhammad Izz Irshad Mod Ali, allegedly withdrew S$4,000 from the Jurong West Street 42 outlet between 9 and 13 June. He is also charged under the Penal Code for receiving stolen property.
The youngest accused, a 16-year-old male, is believed to have withdrawn S$19,500 from the Serangoon North Avenue 5 outlet over two days. He too faces a charge under the Penal Code.
All four individuals have been remanded, with their next court appearance scheduled for 27 June.
Following the incident, Sheng Siong implemented a safeguard to limit withdrawals to five transactions per PayNow account per day. This caps the maximum daily withdrawal at S$5,000, significantly reducing the risk of abuse.
Lin explained that prior to the new safeguard, while users were limited to S$1,000 per transaction, the total number of transactions was governed only by the user’s PayNow limit, which could be manually increased to S$200,000.
This allowed the possibility of up to 200 separate withdrawals of S$1,000 each, making the system vulnerable to misuse.
“This case was actually detected by our Sheng Siong HQ office. They realised there were multiple transactions from the same (PayNow) user at different outlets at the same time. That’s when we contacted the bank and made a police report,” said Lin.
Under Singapore law, individuals convicted of receiving stolen property face up to five years in prison and fines. The case remains under active investigation.
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