Question & AnswerQ&A (Republic Act No. 10927)
The main purpose of Republic Act No. 10927 is to designate casinos, including internet and ship-based casinos, as covered persons under the Anti-Money Laundering Act of 2001 (Republic Act No. 9160), thereby making their casino cash transactions subject to anti-money laundering regulations.
'Covered persons' under Section 3(a) include natural or judicial persons engaged in specific financial activities. The act specifically adds casinos, including internet-based and ship-based casinos, as covered persons with respect to their casino cash transactions related to their gaming operations.
A 'covered transaction' for casinos is defined as any single casino cash transaction involving an amount in excess of Five million pesos (P5,000,000.00) or its equivalent in any other currency within one banking day.
A 'casino' refers to a business authorized by the appropriate government agency to engage in gaming operations. It includes internet-based casinos, where participation is via remote communication technologies, and ship-based casinos, which operate on vessels or watercraft intended for gambling.
A 'casino cash transaction' involves the receipt of cash by a casino paid by or on behalf of a customer, or the payout of cash by the casino to a customer or a person on behalf of the customer.
'Gaming operations' refer to the activities of a casino offering games of chance and any approved variations thereof authorized by the appropriate government authority.
Upon a verified ex parte petition by the AMLC and a determination of probable cause, the Court of Appeals may issue a freeze order effective immediately for 20 days. Within this period, a summary hearing is held to decide on modifying, lifting, or extending the order, which may last up to six months. If no case is filed within six months, the freeze order is deemed lifted.
The freeze or asset preservation order is limited to the amount or value of cash, monetary instruments, or property considered by the court as proceeds of a predicate offense. It does not apply to amounts in the same account exceeding the value of such proceeds.
The Anti-Money Laundering Council (AMLC), the Philippine Amusement and Gaming Corporation (PAGCOR), and other government regulatory agencies shall jointly promulgate the implementing rules and regulations within ninety (90) days from the Act's effectivity.
The Act takes effect fifteen (15) days following its publication in the Official Gazette or in a newspaper of general circulation.