Indonesian arrested in Singapore over fake banknotes was fraud victim: lawyer

SINGAPORE, 23 SEPTEMBER 2026 —

Indonesian businessman claims he was duped into exchanging fake S$10,000 casino chips in Singapore fraud scheme

His lawyers say he was tricked into exchanging the forged bills by three men who promised him a commission, only for the casino to later flag the notes as fake, sparking a cross-border legal dispute between Singapore and Indonesian authorities.

The case has exposed a dark underbelly of Singapore’s high-denomination currency market, where the now-defunct S$10,000 note—once the world’s largest banknote—remains a magnet for fraudsters despite being withdrawn from circulation in 2014. Legal experts warn the incident could reignite concerns over money laundering risks in Southeast Asia’s casino hub, particularly as Indonesian nationals have repeatedly been caught in similar schemes targeting the now-obsolete bills.

The businessman, identified only as Steven, was detained by Singapore police on June 26 after exchanging 27 of the fake notes on June 25 and the remaining six on June 26. His arrest came after casino security discovered the bills were counterfeit during his third visit, just hours before he was scheduled to settle a separate property payment in Singapore.

According to his lawyers, Steven had no knowledge the notes were fake and was acting as a middleman for an unnamed buyer in Indonesia.

Dosma Sijabat, one of Steven’s lawyers, told Tempo magazine on Tuesday that his client was approached by three men in Tangerang, a satellite city of Jakarta, who offered him a commission to exchange the 1973-series S$10,000 notes. The men, who provided a video allegedly absolving them of responsibility if the bills were forged, claimed the notes were part of an inheritance.

Steven, who previously worked in Singapore, initially exchanged a single fake note on June 9 as a test run, successfully converting it into casino chips before meeting the men again on June 11 to report progress.

Two days later, Steven returned to Singapore to exchange 27 of the remaining notes, which were accepted by casino staff and later deposited. Upon his return to Jakarta, one of the men inquired about the transaction’s status, to which Steven reportedly replied that the process was delayed due to the large sum involved. He even offered to take the man to Singapore to oversee the exchange in person.

On his final visit on June 26, casino security flagged the last six notes as counterfeit, leading to his arrest.

A second lawyer, Yosia Ginting, told The Straits Times that Steven had received the notes as payment for a shophouse he was selling for 4.5 billion rupiah (US$252,600) in South Tangerang. The prospective buyer, identified only as Anthony, allegedly instructed Steven to exchange the notes in Singapore, claiming they were part of his inheritance.

Both lawyers confirmed that Steven had filed a police report in South Tangerang on July 3, alleging fraud, embezzlement, and currency counterfeiting.

South Tangerang Police Precinct Chief Boy Jumalolo confirmed the report was filed and that investigators were awaiting an official declaration from Singapore police certifying the notes were counterfeit. To date, Indonesian authorities have only received a casino receipt bearing the notation “believed to be non-genuine”. Boy told Tempo that investigators were summoning additional witnesses while awaiting a formal response from Singapore’s police force.

A Zoom meeting between Indonesian and Singaporean police on September 14 included a request for an official declaration, but no definitive confirmation has been provided.

The case has drawn parallels to previous incidents involving Indonesian nationals and the S$10,000 note. In February 2024, a 22-year-old Indonesian man was sentenced to seven months in jail after attempting to deposit a fake S$10,000 bill from his girlfriend into his uncle’s bank account. The previous year, a 36-year-old Indonesian was charged with attempting to exchange a counterfeit note at the DBS South Bridge branch in Singapore.

Under Singapore law, using forged or counterfeit banknotes carries a maximum penalty of 20 years in prison and heavy fines.

The S$10,000 note, once the highest denomination in the world, was withdrawn from circulation in July 2014 to curb money laundering and financial crime risks. While still legal tender, retailers and money changers in Singapore typically refuse to accept them due to their association with illicit activities. The note’s persistence in underground markets has made it a favored tool for fraudsters, particularly those exploiting unsuspecting individuals like Steven.

Legal experts say the case highlights the need for greater vigilance in cross-border financial transactions, especially as Singapore remains a regional hub for high-stakes gambling and currency exchanges. The Monetary Authority of Singapore (MAS) has previously warned that the note’s continued circulation poses risks, though enforcement remains challenging given its legal status.

Steven’s lawyers maintain he was a pawn in a larger fraud scheme and have urged both Singapore and Indonesian authorities to treat the case as a matter of deception rather than criminal intent. However, without a definitive declaration from Singapore police confirming the notes’ authenticity, Indonesian investigators remain stalled in their probe.

The outcome of the case could set a precedent for how authorities handle disputes involving counterfeit currency, particularly when foreign nationals claim they were misled. For now, Steven remains in Singaporean custody, awaiting further legal proceedings while his lawyers push for a resolution that acknowledges his role as a victim rather than a perpetrator.