ANTI-MONEY LAUNDERING

LAW
Prepared By: GRACE
ANTI MONEY LAUNDERING ACT OF
2001
REPUBLIC ACT 9160
as Amended by RA 9194, RA 10167 & RA
AN ACT DEFINING10365
THE CRIME OF MONEY
LAUNDERING, PROVIDING PENALTIES
THEREFOR AND FOR OTHER PURPOSES
 SALIENT
FEATURES:
Criminalizes money laundering.
Creates a Financial Intelligence Unit
(FIU).
Imposes requirements on customer
identification, record-keeping and
reporting of covered and suspicious
transactions.
Relaxes strict bank deposit secrecy
laws.
Provides for
MONEY
LAUNDERING
It is a SCHEME whereby the
PROCEEDS of an ILLEGAL or
UNLAWFUL ACTIVITY are
TRANSACTED AND MADE TO
APPEAR TO HAVE ORIGINATED
FROM LEGITIMATE SOURCES.
Section 4 of AMLA
 WHO COMMITS Money Laundering?
Any person knowing that a monetary
instrument is RELATED to the proceeds of an
unlawful activity, ENTERS or ATTEMPTS TO
ENTER into a transaction USING the said
monetary instrument.

PENALTY:
7-17 Years of Imprisonment
Fine of NOT LESS than 3 MILLION Pesos
BUT NOT MORE than TWICE the value of
the monetary instrument or property
WHO COMMITS Money Laundering?

Any person knowing that a monetary

instrument INVOLVES the proceeds of an
unlawful activity, PERFORMS or FAILS TO
PERFORM any act as a result of which he
FACILITATES the offense of money laundering.

PENALTY:
4-7 Years of Imprisonment
Fine of NOT LESS than 1 MILLION PESOS
BUT NOT MORE than 3 MILLION PESOS
WHO COMMITS Money Laundering?

Any person knowing that a monetary

instrument under the AMLA to be
DISCLOSED and FILED with the Anti-Money
Laundering Council, FAILS to do so.

PENALTY:
6 MOS. 4 Years of Imprisonment
Fine of NOT LESS than PHP 100, 000.00
BUT NOT MORE than PHP 500, 000.00 or
BOTH
 COVERED INSTITUTIONS
ALL those SUPERVISED and
REGULATED BY BSP
ALL those SUPERVISED and
REGULATED BY THE SEC
ALL those SUPERVISED and
REGULATED BY THE INSURANCE
COMMISSION
 COVERED TRANSACTIONS
It is a transaction IN CASH or
OTHER EQUIVALENT monetary
instrument involving a total
amount IN EXCESS of FIVE
HUNDRED THOUSAND PESOS
(Php 500, 000.00) that is done
with the covered institution,
WITHIN ONE (1) BANKING
 SUSPICIOUS TRANSACTION

It is a transaction which must be

REPORTED BY a covered institution
REGARDLESS of the amount involved
PROVIDED that the following
circumstances are present:
SUSPICIOUS TRANSACTION

1) The individual making the

transaction is NOT properly
identified;

2) There is NO underlying LEGAL OR

TRADE OBLIGATION, PURPOSE OR
ECONOMIC JUSTIFICATION for that
transaction;
SUSPICIOUS TRANSACTION

3) The amount involved is NOT

COMMENSURATE with the BUSINESS
OR FINANCIAL CAPACITY of the
individual MAKING the transaction;

4) The transaction is structured in a

manner that INVITES SUSPICION, that
it is TRYING TO AVOID the reporting
requirement under the AMLA;
SUSPICIOUS TRANSACTION

5) ANY CIRCUMSTANCE relating to

the transaction which is observed TO
DEVIATE from the clients past
transactions;

6) The transaction is in any way

RELATED TO AN UNLAWFUL
ACTIVITY under the AMLA.
 UNLAWFUL ACTIVITIES
under AMLA
- The offense which generates dirty
money or property. It is commonly
called the predicate crime.

- ANY act or omission or SERIES or

COMBINATION thereof involving
or having relation to the following:
UNLAWFUL ACTIVITIES under
AMLA
KIDNAPPING FOR RANSOM
GRAFT and CORRUPT PRACTICES
PLUNDER
ROBERRY and EXTORTION
JUETENG and MASIAO
PIRACY ON THE HIGH SEAS
QUALIFIED THEFT
SWINDLING
SMUGGLING
ELECTRONIC COMMERCE CRIMES
HIJACKING, DESTRUCTIVE ARSON and MURDER
SECURITIES FRAUD
FELONIES OF OFFENSES OF A SIMILAR NATURE PUNISHABLE
UNDER THE PENAL LAWS OF OTHER COUNTRIES
DRUG TRAFFICKING and DRUG RELATED OFFENSES
NOTE:
Under the AMLA, a person can
be PROSECUTED and
PUNISHED for BOTH the
underlying UNLAWFUL
ACTIVITY and the MONEY
LAUNDERING offense, and
the PROCEEDS thereof can be
CONFISCATED or
 JURISDICTION:
The REGIONAL TRIAL COURTS shall
have the jurisdiction to try all cases on
money laundering.
Those committed by public officers and
private persons who are IN
CONSPIRACY with such public
officers shall be under the jurisdiction of
the SANDIGANBAYAN.
ANTI-MONEY LAUNDERING COUNCIL
1) To require and receive covered or suspicious
transaction reports from covered persons;
2) To issue orders addressed to the appropriate
Supervising Authority or the covered person to
determine the true identity of the owner of any
monetary instrument or property subject of a
covered or suspicious transaction report, or
request for assistance from a foreign State, or
believed by the Council, on the basis of substantial
evidence, to be, in whole or in part, wherever
located, representing, involving, or related to,
directly or indirectly, in any manner or by any
means, the proceeds of any unlawful activity;
ANTI-MONEY LAUNDERING COUNCIL

3) To institute civil forfeiture proceedings and all

other remedial proceedings through the Office of
Solicitor General;
4) To initiate investigations of covered
transactions, money laundering activities and
violations of the Act;
5) To freeze any monetary instrument or property
alleged to be proceeds of any unlawful activity;
6) To implement such measures as may be
necessary and justified under the Act to
counteract money laundering.
REQUIREMENTS FOR
PREVENTING MONEY
LAUNDERING:
CUSTOMER IDENTIFICATION
RECORD KEEPING
REPORTING OF COVERED
TRANSACTIONS
 PENALTIES for
FAILURE TO KEEP
RECORDS:
6 MONTHS to 1 YEAR of
imprisonment
FINE of NOT LESS THAN PHP 100,
000.00 BUT NOT MORE THAN PHP
500, 000.00 or BOTH
 PENALTIES for
MALICIOUS REPORTING:
6 MONTHS to 4 YEARS of
imprisonment
FINE of NOT LESS THAN PHP 100,
000.00 BUT NOT MORE THAN PHP
500, 000.00
 PENALTIES for
BREACH OF
CONFIDENTIALITY:
3 to 8 YEARS of imprisonment
FINE of NOT LESS THAN PHP
500, 000.00 BUT NOT MORE
THAN 1 MILLION
 AUTHORITY TO FREEZE
The AMLC may file before the Court of
Appeals, before the verified application
ex parte (without notice to the other
party) after determination that probable
cause exists that any instrument or
property is in any way related to an
unlawful activity.
The freeze order shall be effective
IMMEDIATELY.
 AUTHORITY TO INQUIRE
INTO BANK DEPOSITS
The AMLC may inquire into or examine any
particular deposit or investment with any
banking institution or non-bank financial
institution UPON ORDER OF ANY
COMPETENT COURT in cases of violation of
the AMLA when it has been established that
there is probable cause that the deposits or
investments involved are in any way related to
a money laundering offense.
EFFECT OF THE BANK DEPOSIT SECRECY
LAWS ON THE IMPLEMENTATION OF AMLA

When reporting covered or suspicious

transactions to the Anti-Money Laundering
Council, covered institutions and their
officers and employees are NOT deemed
to have violated the bank secrecy law.
However, they are STRICTLY PROHIBITED
from DISCLOSING such transactions to
any person in any manner or by any
means. The VIOLATION of
 FORFEITURE PROVISIONS
Revised Rules of Court on Civil Forfeiture should
be applied
The offender should submit a verified petition to
declare segregation or exclusion of the legitimate
property from the corresponding monetary
instrument or property.
If any particular monetary instrument or property
has been altered in value, the convicted offender
should pay an amount equal to the said value.
 -END-
THANK YOU!!!