Financial Crime World

Anti-Money Laundering Efforts Target Illegal Gambling, Piracy, and Other Crimes in the Philippines

The Philippine government has intensified its efforts to combat illegal gambling, piracy, and other criminal activities that facilitate money laundering and financing of terrorism. This multi-faceted approach aims to create a safer and more stable financial environment for all Filipinos.

Targeting Illegal Activities

  • Illegal Gambling: Under Presidential Decree No. 1602, operators of Jueteng and Masiao have been punished for engaging in illegal gambling activities.
  • Piracy: Pirates operating on the high seas are being targeted under the Revised Penal Code, as amended by Presidential Decree No. 532.
  • Financial Crimes: The government has cracked down on qualified theft, swindling, smuggling, and other financial crimes under various laws, including Republic Act Nos. 455 and 1937, and Republic Act No. 8792.

Pursuing Criminals

  • Hijackers: Authorities are pursuing those who engage in destructive arson and murder.
  • Fraudulent Practices: Those perpetrating fraudulent practices under Republic Act No. 8799 are also being targeted.

Anti-Money Laundering Council (AMLC)

The AMLC has been instrumental in the government’s efforts to combat money laundering and financing of terrorism. As the highest policy-making body on anti-money laundering matters, it is responsible for investigating money laundering offenses and assisting in the prosecution of such cases.

Philippines’ Compliance with Global Standards

The country has complied with global standards by establishing an Anti-Money Laundering Act (AMLA) in 2001. The AMLA criminalizes money laundering and imposes penalties of up to 14 years’ imprisonment and fines of at least P3 million.

FATF Deemed the AMLA Inadequate

However, the Financial Action Task Force (FATF) deemed the AMLA inadequate, leading to amendments in March 2003. The revised law lowered the threshold amount for single covered transactions from P4 million to P500,000 and expanded reporting requirements for financial institutions.

Authorizing Investigations

The government has authorized the Bangko Sentral ng Pilipinas (BSP) to inquire into or examine any deposit or investment with any banking institution or non-bank financial institution in cases of violation of the law.

Conclusion

These efforts have been hailed as a significant step towards combating money laundering and financing of terrorism in the Philippines. The government’s determination to tackle these issues is expected to contribute to a safer and more stable financial environment for all Filipinos.