The Monetary Authority of Singapore (MAS) and six banks have launched COSMIC, a common data platform to let financial institutions exchange insights on possible financial crime activities. DBS, UOB, Standard Chartered, Citibank, and HSBC have begun sharing customer information carrying “red flags” so they can warn each other of potential financial crime, such as money laundering and terrorism financing, MAS said. The six banks will only share data if the customer’s profile or behavior exhibits “certain objectively-defined indicators of suspicion,” the central bank said in a statement on Monday. COSMIC is supposed to plug gaps where financial institutions are unable to alert each other about unusual activities involving their customers due to confidentiality requirements.Also: Singapore wants banks and telcos to bear losses if found negligent in phishing scamsIn May 2023, Singapore proposed amendments to its Financial Services and Markets Bill to facilitate the sharing of data and establish the legal framework to do so via the data platform. These amendments have kicked in with the launch of COSMIC, according to MAS. The bill sets out policies and operational guidelines to which participants must adhere to safeguard the confidentiality of the shared data.”This will allow participant financial institutions to share information on potential criminal behavior, while safeguarding the interests of the vast majority of customers who are legitimate,” MAS said. “Customers are encouraged to continue to provide timely responses if requested by financial institutions to provide clarifications on their risk profiles or transactions, so that financial institutions can make informed risk assessments.” More