Definitions and Scope of Covered Persons and Transactions
- Defines "covered persons" to include various sectors such as real estate developers and brokers, offshore gaming operations, and their service providers.
- Sets thresholds for "covered transactions": generally above ₱500,000 within one banking day; ₱5,000,000 for single casino cash transactions; and ₱7,500,000 for real estate cash transactions.
- Defines "suspicious transactions" with criteria including lack of legal justification, improper client identification, disproportionate amounts, attempt to avoid reporting, deviation from client profile, relation to unlawful activity, and analogous transactions.
- Provides extensive definitions covering unlawful activities, offshore gaming operators, service providers, real estate developers, brokers, targeted financial sanctions, and proliferation financing.
Creation and Powers of the Anti-Money Laundering Council (AMLC)
- AMLC composed of BSP Governor (Chairman), Insurance Commissioner, and SEC Chairman.
- Functions unanimously including investigating suspicious and covered transactions, money laundering, and Act violations.
- Can apply for search and seizure orders and subpoenas.
- Implements targeted financial sanctions related to weapons proliferation financing including ex parte freezing of assets.
- Authorized to preserve, manage, or dispose assets under freeze or forfeiture orders.
Information Security and Confidentiality
- AMLC and Secretariat must securely protect information and maintain strict confidentiality even after separation from office.
- AMLC responsible for rules on information exchange, dissemination, security, confidentiality, handling, storage, protection, and access.
Freezing of Monetary Instruments or Property
- AMLC may petition ex parte for immediate freeze order from Court of Appeals upon probable cause relating to unlawful activity.
- Freeze effective immediately for 20 days; summary hearing within such period to modify, lift, or extend up to six months.
- Freeze limited to value related to probable cause; excess amount in account not frozen.
- Account holders may file motion to lift freeze; courts must resolve before freeze expires.
- TRO or injunction against freeze order is prohibited except by Supreme Court.
- AMLC empowered to issue ex parte freeze orders without delay for targeted financial sanctions related to weapons proliferation.
- Aggrieved parties can challenge freeze orders within 20 days; limited withdrawal permitted for family needs and counsel.
- AMLC may initiate civil forfeiture to protect assets; injunctions only by Court of Appeals or Supreme Court.
Restrictions on Court Intervention in Asset Preservation
- Courts other than Court of Appeals or Supreme Court cannot issue TRO or injunction against provisional or final asset preservation orders.
Penal Provisions on Breach of Information Security and Confidentiality
- Imprisonment: 3-8 years; fine: ₱500,000 - ₱1,000,000 for violations of confidentiality.
- Additional penalty of disqualification from public office for public officials.
- Media personnel liable if reporting breaches confidentiality obligations.
Non-Intervention in Bureau of Internal Revenue (BIR) Operations
- AMLC prohibited from participating in BIR operations.
- Coordination allowed on investigations involving Section 254 violations of the Tax Code as predicate offense for money laundering.
Implementing Rules and Regulations
- AMLC to issue necessary rules and regulations within 90 days of enactment.
Separability Clause
- Unconstitutional or invalid provisions do not affect validity of other provisions.
Repealing Clause
- Inconsistent laws, orders, rules, and regulations repealed or modified.
- Existing provisions of RA 9160 consistent with this Act are retained.
Effectivity
- Act takes effect immediately after publication in the Official Gazette or newspaper of general circulation.