Law Summary
Integration with International Counter-Terrorism Efforts
- The AMLC disseminated several United Nations Security Council Resolutions (UNSCRs 1267, 1269, 1333, 1368, 1373) pertaining to counter-terrorism.
- Also circulated were US Executive Order No. 13224 and related Terrorist Lists issued in 2001 and early 2002.
- Supervising authorities and covered institutions are required to act on these resolutions and orders, especially to report any transactions involving listed terrorists.
Predicate Crimes and Money Laundering Offenses
- Specific predicate crimes under Section 3 of AMLA include hijacking, destructive arson, and murder by terrorists targeting non-combatants.
- The laundering of proceeds derived from such terrorist acts constitutes a money laundering offense under Section 4 of AMLA.
Definition of Proceeds
- Rule 3.f of the AMLA Implementing Rules and Regulations (IRRs) defines "proceeds" broadly to include money and other financial aspects facilitating unlawful activities.
- This definition encompasses all expenses, payments, disbursements, costs, and other financial documents related to financing and operating unlawful activities.
Obligations Imposed on Supervising Authorities and Covered Institutions
- Supervising authorities must disseminate updates on Terrorist Lists to covered institutions within their jurisdiction.
- Covered institutions, such as banks and offshore banking units, are required to submit covered and suspicious transaction reports involving listed individuals or entities.
- These reporting requirements are pursuant to Rules 5 and 9.3 of the AMLA IRRs and related regulations issued by supervising authorities.
Cooperation with Foreign Governments
- Under Sections 2, 7, and 13 of AMLA, and Rule 7.2(8) of the IRRs, the AMLC is authorized to cooperate with foreign governments in identifying, freezing, and blocking transactions and properties of terrorist individuals and groups.
- This cooperation must be effectively executed and enforced within the framework of existing Philippine laws.
Enforcement and Implementation
- The Council’s resolution dated March 21, 2002 mandates strict compliance with the reporting and dissemination directives.
- All banks and offshore banking units are directly involved in filing reports to the AMLC regarding suspicious and covered transactions related to persons on the Terrorist Lists.
- The resolution ensures the Philippine Government’s active role in global efforts to combat terrorism financing and money laundering through coordinated implementation of AMLA provisions and international mandates.