Alterations made to rules and regulations that don’t allow conveyancing lawyers to abscond with their clients' money were passed in Parliament on Monday. The MPs however expressed a little concern regarding its impact on the legal profession.

According to the new law, the practice of banking money from property transactions into the accounts of the clients of law firms will be put to a stop.

Law firms will be needed to open conveyancing accounts in banks that the Law Minister will provide, and there can be withdrawals from the accounts only following the getting the signatures from both the parties – normally lawyers for the buyers and sellers.

The Singapore Academy of Law (SAL) also has the authority to hold the conveyancing money for the buyers and sellers.

Violating these new rules will amount to a criminal offence the penalty for which is fine of up to $50,000 or even imprisonment for up to 3 months.

The changes made to the Conveyancing and Law of Property Act comes after and because of many cases wherein lawyers have escaped the nation with their clients' money.

The new rules for safeguarding the property of buyers and sellers from rogue lawyers will likely become effective from 1st Aug.