AMLC freezes P3.3 billion worth of assets 

The Philippines continues to ramp up its battle against money launderers and financiers of terrorist activities after it froze P3.3 billion worth of assets and filed 63 cases in the first six months of 2021, according to a report by Philippine Star.

Anti-Money Laundering Council (AMLC) chairman and Bangko Sentral ng Pilipinas Governor Benjamin Diokno said the country’s lone financial intelligence unit has filed cases ranging from money laundering and terrorism financing as well as civil forfeiture and administrative cases in the first half.

Diokno told a virtual forum organized by the Makati Business Club (MBC), Center for International Private Enterprises (CIPE) and K2 Integrity that the AMLC has deprived money launderers and other criminals of various assets including 121 hectares of properties related to terrorism and terrorism financing.

Other assets frozen, Diokno said, included a five-hectare land from two United Nations Security Council resolution-designated individuals as well as a property owned by an alleged associate of a designated-terrorist group.

“The AMLC ensures compliance of covered persons with anti-money laundering and counterterrorism financing laws and their corresponding rules and regulations by conducting regular and targeted onsite examinations and offsite supervision of covered persons,” Diokno said.

Last June 25, Paris-based global dirty money watchdog Financial Action Task Force (FATF) included the Philippines anew in the gray list of jurisdictions under increased monitoring after the country failed to address the technical deficiencies raised by the Asia Pacific Group on Money Laundering (APG) in its October 2019 Mutual Evaluation Report (MER).

However, the regional affiliate of FATF said the Philippines has made notable progress in addressing the technical compliance deficiencies in its anti-money laundering/combating the financing of terrorism (AML/CFT) framework resulting to an upgrade to enhanced follow-up list from the enhanced (expedited) list last July.

Diokno said the AMLC and the rest of the Philippines is continuously working toward the country’s removal from the gray list of the FATF – International Cooperation Review Group (FATF-ICRG).

“Despite the constant adversity brought about by the COVID-19 pandemic and other obstacles, we ultimately pursue a more robust regime not only against financial crime but against other lawlessness related to it,” he added.

Diokno pointed out the AMLC has undertaken a two-phase reorganization in 2017 and 2018 to expand its financial intelligence analysis functions to address specific areas mirrored in the FATF recommendations including the compliance and supervision group as well as other specialized units.

The AMLC, he explained, now works as a fully functional intelligence unit as one of its investigation units is now dedicated to anti-corruption and as a reliable partner in law enforcement, prosecution, asset forfeiture, and an efficient supervisor.

It is mandated to implement Republic Act 9160 or the Anti-Money Laundering Act (AMLA) of 2001, as amended; RA 10168 or the Terrorism Financing Prevention and Suppression Act of 2012; and RA 11479 or the Anti-Terrorism Act of 2020.

“The AMLC is tasked to protect and preserve the integrity and confidentiality of bank accounts and to ensure that the Philippines will not be used as a site for the money laundering of proceeds of any unlawful activity and for terrorism financing,” Diokno said.

As the threat of money laundering and terrorism financing are evolving, the AMLC chief said there is a need to adequately manage and monitor the level and direction of these risks in coordination with various stakeholders and to further strengthen this hybrid-type of organizational structure.