Unauthorised Use of CDA Withdrawals at Optical Shops and Retail Pharmacies for Past Five Years

Mr Gabriel Lam asked the Minister for Social and Family Development (a) in the past five years, how many cases of unauthorised Child Development Account (CDA) withdrawals at optical shops and retail pharmacies have been identified; (b) what recovery actions have been taken; and (c) whether the Ministry will consider putting in place safeguards to prevent future misuse while continuing to allow the use of CDA at these retail shops.

Mr Masagos Zulkifli B M M: In the past five years, the Ministry of Social and Family Development (MSF) identified about 1,600 unauthorised Child Development Account (CDA) transactions at optical shops and retail pharmacies.

MSF has sought refunds for the unauthorised transaction amounts to be returned to the children's CDA. Where the misuse of CDA moneys was egregious, with suspected fraudulent and criminal intent, MSF reported such cases to the Commercial Affairs Department (CAD).

Given the high risk of misuse of CDA monies at optical shops and retail pharmacies, feedback from merchants on the challenges of implementing effective point-of-sales checks in retail environments and the very low usage of CDA at these establishments, MSF will discontinue CDA usage at retail pharmacies and optical shops from 1 January 2026. Parents can tap on other Government support schemes, such as the Baby Bonus Cash Gift and Child LifeSG Credits, for purchases at these establishments. Lower-income families who require financial support can approach the Social Service Offices for assistance.