Amendments to Anti-money Laundering Act proposed

THE Bangko Sentral ng Pilipinas (BSP) said that it is pursuing the strengthening of the Anti- Money Laundering Act (AMLA) of 2001 to cover possible loopholes in the law and to criminalize terrorist financing.

BSP Governor Amando Tetangco Jr. said that the proposed amendments will make the Philippines fully compliant with the international standards set by the Financial Action Task Force (FATF), the United Nations Conventions and other agencies in combating money laundering and terrorist financing.

” Indeed, the success rate of our campaign against money laundering and terrorist financing escalates . . . with stronger and broader cooperation with other Financial Intelligence Unit. In this connection, we continue to strengthen such coordination and cooperation through memoranda of understanding with other FIUS,” Tetangco said.

He also said that the Anti-money Laundering Council ( AMLC) has signed 30 memorandums of understanding (MOUS) since it joined the Egmont Group in 2005.

”We are slated to sign four MOUS more in the course of the Egmont Meetings here in the Philippines. In addition, we are in the process of finalizing several other MOUS which we hope to sign during the 20th Egmont Group Plenary in St. Petersburg in June 2012,” the BSP chief said.

According to Tetangco, BSP has a continuing program to enhance the expertise of AMLC for financial analysis, a key tool in the fight against money laundering and terrorist financing.

He said that the BSP, the Securities and Exchange Commission and the Insurance Commission— the three institutions that compose AMLC— are engaging their stakeholders to ensure compliance with updated regulations and advisories against money laundering.

”All these should make the Philippines an even more effective participant in the global fight against money laundering and terrorist financing. Far from perfect, of course, but doing its best, constantly, to be better,” Tetangco added.

Accordingly, the AMLC submitted for consideration of the Congressional Oversight Committee proposed amendments to the AMLA in line with the Revised FATF 40 recommendations and nine Special Recommendations on Terrorist Financing.

These amendments, intended to give more teeth to the Anti-money Laundering legislation, are: the addition of more predicate crimes such as trafficking in persons, bribery, counterfeiting, frauds and other illegal exactions, malversation, forgery, environmental crimes and terrorism and its financing; the inclusion of an appropriate regime for designated non-financial businesses and professionals, such as casinos, real estate agents, dealers in precious metals and stones, lawyers and accountants; provision for a system of incentives and rewards; and retention by the AMLC of a percentage of civilly forfeited funds.