SEVENTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
First Regular Session
SENATE
SB. No. 1
S>eunrp
ti( IIK £>»frvft«r/
*16 NOV 29 P5 09
RECEIVED m1:
Prepared by the Committees on Bank, Financial Institutions and Currencies; 
and Justice and Human Rights with Senators Panfilo M. Lacson, Joel 
Villanueva, Paolo Benigno “ Bam” Aquino IV, Francis G. Escudero and Richard
J. Gordon as authors thereof
AN A a
TO FURTHER AMEND REPUBLIC ACT NO. 9160, OTHERWISE KNOWN AS THE ANTI-MONEY 
LAUNDERING ACT OF 2001, AS AMENDED, AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the Philippines 
in Congress assembled:
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SECTION 1. 
Section 3(a) o f Republic Act No. 9160, as amended, is hereby amended as
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follows:
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(a) 
'Covered Persons', natural or juridical, refer to:
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(1) 
banks, non-banks, quasi-banks, trust entities, foreign
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exchange 
dealers, 
pawnshops, 
money 
changers,
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remittance and transfer companies and other similar
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entities and all other persons and their subsidiaries and
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affiliates supervised or regulated by the Bangko Sentral
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ng Pilipinas (BSP).
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(2) 
insurance companies, pre-need companies and all
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other persons supervised or regulated by the Insurance
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Commission (1C);
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(3) 
(i) securities dealers, brokers, salesmen, investment
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houses and other similar persons managing securities
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or rendering services as investment agent, advisor, or
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consultant, (ii) mutual funds, close-end investment
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companies, common trust funds and other similar


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persons, and (iii) other entities administering or 
otherwise dealing in currency, commodities or financial 
derivatives based thereon, valuable objects, cash 
substitutes and other similar monetary instruments or 
property supervised or regulated by Securities and 
Exchange Commission and Exchange Commission (SEC);
(4) 
MONEY SERVICE BUSINESS OR MONEY TRANSFER 
COMPANIES;
(5) 
TRUST AND Company service providers -  WHEN THEY 
PREPARE FOR OR CARRY OUT TRANSACTIONS FOR A 
CLIENT CONCERNING THE FOLLOWING ACTIVITIES: (i) 
acting as a form ation agent of juridical persons; (ii) 
acting as (or arranging for another person to act as) a 
director or corporate secretary of a company, a partner 
of a partnership, or a similar position in relation to 
other juridical persons; (iii) providing a registered 
office, 
business 
address 
or 
accommodation, 
correspondence 
or 
administrative 
address 
for 
a 
company, a partnership or any other legal persons or 
arrangement; (iv) acting as (or arranging for another 
person to act as) a nominee shareholder for another 
person; AND (V) ACTING AS (OR ARRANGING FOR 
ANOTHER PERSON TO ACT AS) A TRUSTEE OF AN 
EXPRESS TRUST OR PERFORMING THE EQUIVALENT 
FUNCTION 
FOR 
ANOTHER 
FORM 
OF 
LEGAL 
ARRANGEMENT;
(6) 
Persons, who provide any of the following services:
(i) 
managing of client money, securities or other 
assets;
(ii) 
management o f bank, savings or securities 
accounts;


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SECTION 3.
SECTION 2. 
(B)
(iii) 
organization of contributions for the creation, 
operation or management of companies; and
(iv) 
creation, operation or management of juridical 
persons or arrangements, and 
buying and 
selling business entities.
Notwithstanding the foregoing, the term  "covered 
persons" shall exclude lawyers [and accountants acting as 
independent legal professionals] acting in relation to 
inform ation 
concerning 
their 
clients 
or 
where 
disclosure of inform ation would compromise the 
attorney-client relationship; provided, that THEY are 
authorized to practice in the Philippines.
(7) 
DEALERS OF PRECIOUS STONES, JEWELS AND/OR 
PRECIOUS METALS;
(8) 
DEALERS OF HIGH- VALUE ITEMS OR GOODS;
(9) 
REAL ESTATE DEVELOPERS, BROKERS AND SALES 
AGENT; AND
(10) 
CASINOS, INCLUDING INTERNET AND SHIP-BASED 
CASINOS, 
AND 
CHIPWASHING 
OR 
JUNKET 
OPERATORS, WITH RESPECT TO THEIR FINANCIAL 
TRANSACTIONS 
RELATED 
TO 
THEIR 
GAMING 
OPERATIONS.
Section 3(b) o f the same Act shall have a new paragraph, as follows: 
"Covered Transaction" REFERS TO:
(1) TRANSACTION 
IN 
CASH 
EXCEEDING 
FIVE 
HUNDRED 
THOUSAND PESOS (PHP500,000.00); AND
(2) A TRANSACTION 
IN 
CASH 
OR 
OTHER 
EQUIVALENT 
MONETARY INSTRUMENT EXCEEDING FIVE HUNDRED 
THOUSAND PESOS (PHP500,000.00) WITH 
COVERED 
PERSONS UNDER SECTION 3(A) (1), (2), (3), (5) AND (10);
Section 3(b-l) o f the same Act IS HEREBY AMENDED, as follows:


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(B-1) 
"Suspicious Transactions" are transactions regardless of the amounts 
involved, where:
XXX
6. 
THE COVERED PERSON SUSPECTS OR HAS REASONABLE 
GROUND TO SUSPECT THAT THE MONETARY INSTRUMENT 
OR PROPERTY IS THE PROCEEDS OF OR IS IN ANY WAY related 
to a PREDICATE OFFENSE under this act that is about to be, is 
being or has been com m itted; or
7. 
THERE ARE CIRCUMSTANCES DETERMINED TO BE SUSPICIOUS 
BY THE ANTI-MONEY LAUNDERING COUNCIL (AMLC).
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SECTION 4. 
Section 3(i) o f the same Act is hereby amended as follows:
(i) 
["Unlawful Activity"]'PREDICATE OFFENSE' refers to any act or 
omission or series or combination thereof involving or having 
direct relation to the following
XXX
(6) 
Illegal gambling under Presidential Decree No. 1602, AS 
AMENDED.
XXX
(19) Violations of Sections 4 to 6 o f Republic Act No. 9208, 
otherwise known as the Anti-Trafficking in Persons Act of 
2003, AS AMENDED;
(26) Violations of REPUBLIC ACT NO. 10591, OTHERWISE 
KNOWN AS THE COMPREHENSIVE FIREARMS AND 
AMMUNITION REGULATION ACT; [Violations of Sections 
1, 3 and 5 of Presidential Decree No. 1866, as amended, 
otherwise known as the decree Codifying the Laws on 
Illegal/Unlawful Possession, Manufacture, Dealing In, 
Acquisition or Disposition of Firearms, Am m unition or 
Explosives]
XXX


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SECTION 4.
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and (r).
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(33) VIOLATIONS OF REPUBLIC ACT NO. 10175, OTHERWISE 
KNOWN AS THE CYBERCRIME PREVENTION ACT OF 
2012;
(34) VIOLATIONS OF REPUBLIC ACT NO. 10697, OTHERWISE 
KNOWN AS THE STRATEGIC TRADE MANAGEMENT ACT;
(35) VIOLATIONS OF CHAPTER II, TITLE X OF THE NATIONAL 
INTERNAL REVENUE CODE OF 1997, AS AMENDED; AND
(36) FALSIFICATION OF DOCUMENTS UNDER ARTICLES 171 
AND 172 OF THE REVISED PENAL CODE, AS AMENDED;
(37) VIOLATIONS OF REPUBLIC ACT NO. 8484, OTHERWISE 
KNOWN AS ACCESS DEVICES REGULATION ACT OF 1998;
(38) VIOLATIONS OF REPUBLIC ACT NO. 10173, OTHERWISE 
KNOWN AS THE DATA PRIVACY ACT OF 2012;
(39) VIOLATIONS OF REPUBLIC ACT NO. 8791, OTHERWISE 
KNOWN AS THE GENERAL BANKING LAW;
(40) VIOLATIONS OF REPUBLIC ACT NO. 7653, OTHERWISE 
KNOWN 
AS 
THE 
NEW 
CENTRAL 
BANK 
ACT, 
AS 
AMENDED;
(41) VIOLATIONS 
OF 
THE 
INSURANCE 
CODE 
OF 
THE 
PHILIPPINES, AS AMENDED.
(42) Fraudulent practices and other violations under Republic 
Act No. 
8799, otherwise 
known as the Securities 
Regulation Code of 2000; and
(43) 
Felonies and offenses of a similar nature that are 
punishable under the penal laws of other counties.
(44) ACTS OR OMISSIONS THAT ARE INSTRUMENTAL IN THE 
COMMISSION OF PREDICATE OFFENSES AND RESULTING 
IN MONEY LAUNDERING OF THE ILLEGAL PROCEEDS 
THEREOF.
Section 3 o f the same Act shall have new paragraphs (I), (m) (n), (a), (p), (q)


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(l) 
"DEALER/S" REFERS TO ANY PERSON ENGAGED IN THE BUSINESS OF 
BUYING, SELLING OR EXCHANGING ITEMS OR GOODS, FOR PROFIT OR 
GAIN, DIRECTLY OR INDIRECTLY, INLCUDING BY CONSIGNMENT.
(m) "HIGH-VALUE ITEMS OR GOODS" REFERS TO THE FOLLOWING GOODS 
OR 
ITEMS THE 
VALUE 
OF 
WHICH 
EXCEEDS 
ONE 
MILLION 
PESOS 
(P1,000,000.00):
i. 
MOTOR VEHICLES, INCLUDING AIR, WATER AND LAND 
VEHICLES;
ii. 
ART AND ANTIQUES
ill. 
OTHER LUXURY ITEMS, SUCH AS JEWELRY, WATCHES, BAGS
(n) 
"CASINO" 
REFERS 
TO 
A 
BUSINESS 
AUTHORIZED 
BY 
THE 
APPROPRIATE 
GOVERNMENT 
AGENCY 
TO 
ENGAGE 
IN 
GAMING 
OPERATIONS.
(i) 
"INTERNET-BASED CASINO" SHALL REFER TO CASINOS IN 
WHICH 
PERSONS 
PARTICIPATE 
BY 
THE 
USE 
OF 
REMOTE 
COMMUNICATION FACILITIES SUCH AS, BUT NOT LIMITED TO, 
INTERNET, TELEPHONE, TELEVISION, RADIO OR ANY OTHER KIND OF 
ELECTRONIC 
OR 
OTHER 
TECHNOLOGY 
FOR 
FACILITATING 
COMMUNICATION.
(ii) 
"SHIP-BASED CASINO" SHALL REFER TO CASINOS, THE 
OPERATION OF WHICH IS UNDERTAKEN ON BOARD A VESSEL, SHIP, 
BOAT OR ANY OTHER WATER-BASED CRAFT WHOLLY OR PARTLY 
INTENDED FOR GAMBLING.
(o) 
"CHIPWASHING OR JUNKET OPERATOR" REFERS TO ANY PERSON 
WHO BRINGS A PERSON, A GROUP OF PERSONS, OR JUNKET PLAYER/S IN 
THE CASINO PREMISES TO PARTICIATE IN THE GAMING OPERATIONS.
(p) "GAMING OPERATIONS" REFERS TO THE ACTIVITIES OF THE CASINO, OR 
CHIPWASHING OR JUNKET OPERATORS OFFERING GAMES OF CHANCE AND 
ANY VARIATIONS THEREOF APPROVED BY THE SUPERVISING AUTHORITY.
(q) "CASINO PREMISES" REFERS TO THE PLACE OR SPACE WHERE GAMING 
OPERATIONS 
TAKES 
PLACE 
AS 
AUTHORIZED 
BY 
THE 
SUPERVISING 
AUTHORITY.


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(r) "JUNKET PLAYER" REFERS TO FOREIGN-PASSPORT HOLDING 
PLAYERS
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WHO WERE SPECIFICALLY BROUGHT INTO THE PHILIPPINES BY CASINO
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OPERATORS OR ITS THIRD-PARTY CHIPWASHING OR JUNKET OPERATOR TO
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PLAY IN THE CASINO PREMISES.
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SECTIONS. 
Section 7 o f the same Act is hereby amended as follows:
•
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SEC.7. Creation of Anti-M oney Laundering Council (AMLC). -  x x x The AMLC
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shall act unanimously in the discharge of its functions as defined hereunder:
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X X X
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(2) 
to 
issue 
orders 
addressed 
to 
the 
appropriate
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Supervising Authority or the covered person to determine the
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true identity of the owner of any monetary instrum ent or
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property subject of a covered transaction or suspicious
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transaction report or request for assistance from  a foreign
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State, or believed by the Council to be, in whole or in part.
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wherever located, representing, involving, or related to,
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directly or indirectly, in any manner or by any means, [the
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proceeds of an unlawful activity] a PREDICATE OFFENSE, OR
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MONEY LAUNDERING, NOTWITHSTANDING THE PROVISIONS
•
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OF REPUBLIC ACT NO. 1405, AS AMENDED, REPUBLIC ACT
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NO. 6426, AS AMENDED; REPUBLIC ACT NO. 8791; REPUBLIC
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ACT NO. 10173 AND OTHER LAWS;
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X X X
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(5) 
to investigate, THROUGH THE AMLC SECRETARIAT,
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suspicious transactions and covered transactions deemed
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suspicious, POSSIBLE money laundering activities, and other
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violations of this Act MOTU PROPIO, OR UPON COMPLAINT
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OR REQUEST OF APPROPRIATE DEPARTMENT, OFFICE OR
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AGENCY, OR BRANCH OF GOVERNMENT, OR FOREIGN STATE
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OR AUTHORITY;
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X X X
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(6) 
to FILE, DIRECTLY OR THROUGH THE OFFICE OF THE
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SOLICITOR GENERAL, before the Court of Appeals AN ex parte
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[for the freezing of] PETITION FOR ISSUANCE OF FREEZE
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ORDER, OR, IN CASES SPECIFIED UNDER SECTION 10 HEREOF,
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TO ISSUE EX PARTE FREEZE ORDER, AGAINST any monetary
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instrum ent or property, alleged to be laundered, proceeds
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from, or instruments used in, or intended for use in, OR IN
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ANY WAY RELATED to ANY PREDICATE OFFENSE [any unlawful
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activity] as defined in Section 3(i) hereof;
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(7) 
to im plem ent such measures as may be necessary and
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justified under this Act to counteract OR PREVENT money
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laundering, AND 
ENSURE 
COMPLIANCE AND 
EFFECTIVE
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IMPLEMENTATION OF THIS ACT.
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XX X
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(10) 
to enlist the assistance of any branch, departm ent.
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bureau, office, agency or instrum entality of the government
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including government-owned and controlled corporations, in
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undertaking any and all anti-money laundering operations.
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AND 
ENSURING 
COMPLIANCE 
AND 
EFFECTIVE
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IMPLEMENTATION OF THIS ACT, which may include the use of
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its personnel, facilities and resources [for the more resolute
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prevention, detection and investigation o f money laundering
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offenses and prosecution of offenders];
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SECTION 6.
Section 7 o f the same Act shall have new paragraphs (13), (14), and (15) as
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follows:
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(13) 
TO 
SUBPOENA 
ANY 
PERSON 
AND 
COMPEL HIS
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ATTENDANCE TO PRODUCE INFORMATION, BOOKS, PAPERS,
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DOCUMENTS, 
OBJEaS, 
DATA, 
AND 
OTHER 
RELEVANT
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INFORMATION OR TO GIVE STATEMENT, UNDER OATH, FOR
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PURPOSES OF VERIFICATION, INVESTIGATION, OR CHECKING
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COMPLIANCE WITH THE PROVISIONS OF THIS ACT. 
ANY
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INVESTIGATING OFFICER OF THE AMLC SECRETARIAT MAY
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ADMINISTER OATH OR AFFIRMATION TO ANY PERSON
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APPEARING BEFORE IT.
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(14) 
TO REQUIRE THE SUBMISSION OF CROSS-BORDER
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DECLARATION ON PHYSICAL TRANSPORT OF CURRENCIES
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AND BEARER NEGOTIABLE INSTRUMENTS.
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(15) TO SET OR AMEND THRESHOLDS PROVIDED FOR UNDER
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THIS 
LAW 
BASED 
ON 
INTERNATIONAL 
ANTI-MONEY
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LAUNDERING/COMBATTING 
FINANCING 
OF 
TERRORISM
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STANDARDS AND THE RESULTS OF REGULAR NATIONAL RISK
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ASSESSMENT ON MONEY LAUNDERING AND TERRORISM
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FINANCING.
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(16) TO CHECK COMPLIANCE WITH THIS ACT BY COVERED
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PERSONS NOT UNDER ANY SUPERVISING AUTHORITY.
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SECTION 7. 
Section 9 o f the same Act is hereby amended as follows:
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(a) 
CUSTOMER [Identification] DUE DILIGENCE.
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(1) 
Covered persons shall establish and record the
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true identity of THEIR customers based on official
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documents, 
OR 
RELIABLE 
AND 
INDEPENDENT
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SOURCES, DOCUMENTS, DATA OR INFORMATION.
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They shall maintain a system of verifying the true
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identity of their clients and, in case o f corporate
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clients, require a system of verifying their legal
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existence and organizational structure, as well as the
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authority and identification of all persons purporting to
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act on their behalf. THEY SHALL ALSO ASSESS AND, IF
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APPROPRIATE, 
OBTAIN 
INFORMATION 
ON 
THE
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PURPOSE 
AND 
NATURE 
OF 
THE 
TRANSACTION.
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COVERED 
PERSONS 
SHALL, 
LIKEWISE, 
CONDUCT
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ONGOING 
MONITORING 
ON 
THEIR 
CUSTOMERS,
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DEPENDING ON THE RISK ASSESSMENT.
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(2) The 
provisions of existing 
laws to the contrary
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notwithstanding, anonymous accounts, accounts under
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fictitious names, and all other similar accounts shall be
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absolutely prohibited.
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(3) Peso and foreign currency non-checking numbered 
accounts shall be allowed. The BSP may conduct annual 
testing solely lim ited to the determ ination o f the 
existence and true identity of the owners of such 
accounts.
(b) RECORD KEEPING. - All records of all transactions of 
covered persons shall be maintained and safely stored for 
[Five (5)] TEN (10) years from the dates of transactions. W ith 
respect 
to 
closed 
accounts, 
the 
records 
on 
customer 
identification, account files and business correspondence, shall 
be preserved and safely stored for at least [Five (5)] TEN (10) 
years from the dates when they were closed.
(c) 
REPORTING 
OF 
COVERED 
AND 
SUSPICIOUS
TRANSACTIONS. - Covered persons shall report to the AMLC 
all covered transactions and suspicious transactions w ithin five 
(5) working days from  occurrence thereof, unless the AMLC 
prescribes a different period not exceeding fifteen (15) 
working days.
Lawyers 
[and 
accountants 
acting 
as 
independent 
legal 
professionals] 
are 
not required to 
report covered 
and 
suspicious transactions 
if the 
relevant 
inform ation was 
obtained 
in 
circumstances 
where 
they 
are 
subject 
to 
[professional secrecy or] legal professional privilege.
Should a transaction be determined to be both a covered 
transaction and a suspicious transaction, the covered person 
shall report the same as a suspicious transaction.
(c-1) 
When reporting covered or suspicious transactions to 
the AMLC, covered persons and their officers and employees 
shall not be deemed to have violated Republic Act No. 1405, as 
amended. Republic Act No. 6426, as amended. Republic Act 
No. 8791 and other similar laws, but are prohibited from 
communicating, directly or indirectly, in any manner or by any
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means, to any person, the fact that a covered or suspicious 
transaction report was made, the contents thereof, or any 
other 
inform ation 
in 
relation 
thereto, 
EXCEPT 
WHEN 
DISCLOSURE OF INFORMATION IS IN ACCORDANCE WITH THE 
SUPERVISORY AUTHORITIES' 
EXERCISE 
OF SUPERVISORY 
POWERS. In case of violation thereof, the concerned officer 
and employee of the covered person shall be criminally liable. 
However, no administrative, criminal or civil proceedings, shall 
lie against any person for having made a covered or suspicious 
transaction report in the regular performance of his duties in 
good faith, whether or not such reporting results in any 
criminal prosecution under this Act or any other law.
When reporting covered or suspicious transactions to the 
AMLC, covered persons and their officers and employees are 
prohibited from  communicating directly or indirectly, in any 
manner or by any means, to any person or entity, the media, 
the fact that a covered or suspicious transaction has been 
reported or is about to be reported, the contents of the 
report, or any other inform ation in relation thereto, EXCEPT 
WHEN DISCLOSURE OF INFORMATION IS IN ACCORDANCE 
WITH 
THE 
SUPERVISORY 
AUTHORITIES' 
EXERCISE 
OF 
SUPERVISORY POWERS. 
Neither may such reporting be 
published or aired in any manner or form  by the mass media, 
electronic mail, or other similar devices. In case of violation 
thereof, the concerned officer and employee of the covered 
person and media shall be held criminally liable.
(c-2) 
IN 
THE 
COURSE 
OF 
VERIFYING 
WHETHER 
A 
TRANSACTION IS SUSPICIOUS OR NOT, A COVERED PERSON 
MAY TEMPORARILY WITHHOLD SAID TRANSACTION AND/OR 
SUBSEQUENT TRANSACTIONS FOR A PERIOD NO LONGER 
THAN FIVE (5) WORKING DAYS FROM OCCURRENCE OF THE 
TRANSACTION. THE COVERED PERSON SHALL IMMEDIATELY
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SECTION 8.
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1
REPORT 
TO 
THE 
AMLC 
THAT 
IT 
HAD 
TEMPORARILY 
WITHHELD 
A 
TRANSACTION 
AND/OR 
SUBSEQUENT 
TRANSACTIONS AND THAT IT IS CONDUCTING VERIFICATION 
THEREOF. 
UPON 
REASONABLE 
BELIEF 
THAT 
THERE 
IS 
POSSIBLE VIOLATION OF THIS ACT, THE COVERED PERSON 
MAY 
TERMINATE 
THE 
TRANSACTION 
OR 
ACCOUNT 
CONNECTED THERETO. THE AUTHORITY TO TEMPORARILY 
WITHHOLD A TRANSACTION SHALL BE MADE PART OF THE 
COVERED PERSON'S INTERNAL POLICY AND IT SHALL INCLUDE 
GUIDELINES AND EFFECTIVE CONTROLS TO PREVENT ABUSE. 
COVERED 
PERSONS, 
THEIR 
OFFICERS, 
DIRECTORS 
AND 
EMPLOYEES SHALL NOT BE SUBJECT TO ANY ACTION, CLAIM 
OR DEMAND IN THE EXERCISE OF THEIR AUTHORITY UNDER 
THIS PROVISION, PROVIDED THAT, IT WAS EXERCISED IN THE 
REGULAR PERFORMANCE OF THEIR DUTIES, IN GOOD FAITH 
AND IN ACCORDANCE WITH THEIR POLICY, THIS ACT AND ITS 
IMPLEMENTING RULES AND REGULATIONS.
Section 10 o f the same Act is hereby amended as follows: 
Upon a verified ex parte petition [by the AMLC] and after 
determ ination that probable cause exists that any monetary 
instrum ent or property is in any way related to [an unlawful 
activity] A PREDICATE OFFENSE as defined in Section 3(i) 
hereof OR MONEY LAUNDERING, the Court of Appeals may, 
WITHIN TWENTY-FOUR (24) HOURS FROM THE FILING OF THE 
PETITION, issue a freeze order which shall be effective 
immediately, and which shall not exceed six (6) months 
depending upon the circumstances of the case, PROVIDED, 
THAT IN CASES INVOLVING UNLAWFUL ACTIVITIES UNDER 
SEaiO N  3(i)(l), (2), (3), (4), (9), (12), (13), (14), (15), (17), 
(19), (28), (31), (32), 
(33), (34) AND (42) HEREOF, AND
FELONIES OR OFFENSES OF SIMILAR NATURE PUNISHABLE 
UNDER THE PENAL LAWS OF OTHER COUNTRIES, THE AMLC
12


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MAY ISSUE EX PARTE FREEZE ORDER WHICH SHALL BE
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EFFECTIVE IMMEDIATELY, AND WHICH SHALL NOT EXCEED
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THIRTY (30) DAYS.
4
BEFORE THE EXPIRATION OF THE 30-DAY PERIOD, THE AMLC
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MAY FILE BEFORE THE COURT OF APPEALS A PETITION TO
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EXTEND THE FREEZE ORDER. THE EXTENSION SHALL NOT
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EXCEED 
FIVE 
(5) 
MONTHS 
DEPENDING 
UPON 
THE
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CIRCUMSTANCES OF THE CASE. THE COURT SHALL ACT ON
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THE PETITION FOR EXTENSION WITHIN TWENTY-FOUR (24)
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HOURS FROM FILING OF THE PETITION. PROVIDED, THAT THE
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30-DAY FREEZE ORDER SHALL REMAIN EFFECTIVE PENDING
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RESOLUTION OF THE PETITION FOR EXTENSION.
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FOR PURPOSES OF THIS SECTION, COVERED PERSONS, UPON
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RECEIPT OF THE FREEZE ORDER, SHALL LIKEWISE FREEZE
•
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RELATED ACCOUNTS.
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THE MEMBERS OF THE AMLC AND ITS SECRETARIAT SHALL BE
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IMMUNE FROM ANY CIVIL, CRIMINAL, OR ADMINISTRATIVE
18
LIABILITY IN THE EXERCISE OF THE FOREGOING FUNCTIONS,
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PROVIDED THAT, IT WAS EXERCISED IN THE REGULAR
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PERFORMANCE OF THEIR DUTIES IN GOOD FAITH AND IN
21
ACCORDANCE WITH THIS ACT AND ITS IMPLEMENTING RULES
22
AND REGULATIONS.
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A PERSON WHOSE ACCOUNT HAS BEEN FROZEN BY THE
24
AMLC OR COURT OF APPEALS MAY FILE A PETITION OR
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MOTION, AS THE CASE MAY BE, TO LIFT THE FREEZE ORDER
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BEFORE THE COURT OF APPEALS WITHIN FIFTEEN (15) DAYS
27
FROM NOTICE. PROVIDED, THAT THE PETITION OR MOTION
•
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TO LIFT SHALL BE RESOLVED BEFORE THE EXPIRATION OF THE
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FREEZE ORDER ISSUED BY THE AMLC OR THE COURT OF
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APPEALS.
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IF THE 30-DAY FREEZE WAS NOT EXTENDED BY THE COURT
32
OF APPEALS, OR [Provided, That] if there is no case filed
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33
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1
SECTION 9.
against a person whose account has been frozen w ithin the 
period determined by the Court of Appeals, the freeze order 
shall be deemed ipso facto lifted. Provided, that BEFORE 
LIFTING THE EFFECTS OF THE FREEZE ORDER, THE COVERED 
PERSON SHALL VERIFY WITH THE AMLC IF THERE IS ANY 
PENDING CASE.
[Provided, further. That this new rule shall not apply to 
pending cases in the courts. In any case, the court should act 
on the petition to freeze w ithin tw enty-four (24) hours from 
filing of the petition. If the application is filed a day before a 
nonworking day, the com putation of the tw enty-four (24)- 
hour period shall exclude the nonworking days.
A person whose account has been frozen may file a m otion to 
lift the freeze order and the court must resolve this m otion 
before the expiration of the freeze order.]
No court shall issue a tem porary restraining order or a w rit of
injunction against any freeze order, except the Supreme 
Court."
Section 11 of the same Act is hereby amended as follows;
SEC. 
11. 
Authority 
to 
Inquire 
into 
Bank 
Deposits. 
-  
Notwithstanding the provisions of Republic Act No. 1405, as 
amended; Republic Act No. 6426, as amended; Republic Act 
No. 8791; REPUBLIC ACT NO. 10173; and other laws, the AMLC 
may inquire into or examine any particular deposit or 
investment, including related accounts, w ith any banking 
institution or non-bank financial institution upon order of [any 
competent court] THE COURT OF APPEALS based on an ex 
parte application in cases of violations of this Act, when [it has 
been established that there is probable cause that] THERE IS 
REASONABLE GROUND TO SUSPECT that the deposits or 
investments, including related accounts involved, are related 
to [an unlawful activity] A PREDICATE OFFENSE as defined in 
Section 3(i) hereof or a money laundering offense under 
Section 4 hereof; except that no court order shall be required
14


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1
in cases involving activities defined in Section 3(i)(l), (2), (3),
(4), (9), (12), (13), (14), (15), (17), (19), (28), (31), (32), (33), 
(34) and (42) hereof, and felonies or offenses of a nature 
similar (to those mentioned in Section 3 (i)(l), (2) and (12),] 
THERETO which are punishable under the penal laws of other 
countries, [and terrorism  and conspiracy to com m it terrorism  
as defined and penalized under Republic Act No. 9372.)
The Court of Appeals shall act on the application to inquire 
into or examine any deposit or investment w ith any banking 
financial institution or non-bank financial institution within 
tw enty-four (24) hours from  filing of the application.
To ensure compliance w ith this Act AND ITS IMPLEMENTING 
RULES AND REGULATIONS, the Bangko Sentral ng Pilipinas 
may, [in the course of a periodic or special examination, check 
the compliance of a covered person w ith the requirements of 
the AMLA and its implementing rules and regulations.] IN 
ACCORDANCE WITH 
ITS SUPERVISORY POWERS UNDER 
SECTION 4 OF REPUBLIC ACT NO. 8791, LIKEWISE RANDOMLY 
INQUIRE INTO OR EXAMINE ANY DEPOSIT, INVESTMENT, 
TRUST OR OTHER ACCOUNTS, AND ACCESS COVERED AND 
SUSPICIOUS TRANSACTION DATABASES WITH ANY BANKING 
INSTITUTION OR NON-BANK FINANCIAL INSTITUTION.
[For purposes of this section, 'related accounts' shall refer to 
accounts, the funds and sources of which originated from  
and/or are materially linked to the monetary instrument(s) or 
property(ies) subject of the freeze order(s).]
A court order ex parte must first be obtained before the AMLC 
can inquire into these related accounts: Provided, that the 
procedure for the ex parte application [of the ex parte court 
order for the principal] FOR THE RELATED accounts shall be 
the same w ith that of [the related] PRINCIPAL account.
15


1 
The authority to inquire into or examine the main account and
2 
the related accounts shall comply with the requirements of
3 
Article III, Sections 2 and 3 of the 1987 Constitution which are
4 
hereby incorporated by reference.
5 
SECTION 10. 
Section 12 o f the same shall have a new paragraph (d) as follows:
6 
SEC. 12. Forfeiture Provisions. -  x xx
7 
(d) RETENTION OF FORFEITED ASSETS. -  THE AMLC SHALL RETAIN TWENTY
8 
PERCENT (20%) OF THE TOTAL ASSETS FORFEITED LESS THE COST OF
9 
LITIGATION, 
TAXES, 
LOCAL 
AND 
NATIONAL, 
AND 
OTHER 
RELATED
10 
EXPENSES, PROVIDED THAT, IN NO CASE SHALL THE RETAINED AMOUNT
11 
EXCEED TWICE THE HIGHER BUDGETARY APPROPRIATION FOR THE AMLC IN
12 
THE LAST TWO (2) YEARS.
13 
THE REMAINING PORTION SHALL BE TURNED OVER TO THE NATIONAL
14 
TREASURY. THE RETAINED AMOUNT SHALL BE UTILIZED BY THE AMLC FOR
15 
ANTI-MONEY LAUNDERING OPERATIONS AND CAPACITY BUILDING.
16 
SECTION 11. 
Section 14(c) o f the same Act shall be segregated into as paragraphs 14(c),
17 
(d), and (e) as follows:
18 
c) 
Malicious Reporting. Any person who, w ith malice, or in bad faith,
19 
reports or files a completely unwarranted or false inform ation relative to
20 
money laundering transaction against any person shall be subject to a
21 
penalty of six (6) months to four (4) years im prisonment and a fine of not less
22 
than One hundred thousand Philippine pesos (Phpl00,000.00) but not more
23 
than Five hundred thousand Philippine pesos (Php500,000.00), at the
24 
discretion of the court: Provided, That the offender is not entitled to avail the
25 
benefits of the Probation Law.
26 
(d) 
CRIMINAL LIABILITY OF JURIDICAL ENTITIES. - If the offender is a
27 
corporation, association, partnership or juridical person, the penalty shall be
28 
imposed upon the responsible officers, as the case may be, who participated
29 
in, or allowed by their gross negligence, the commission of the crime. If the
30 
offender is a juridical person, the court may suspend or revoke Its license. If
31 
the offender is an alien, he shall, in addition to the penalties herein
32 
prescribed, be deported w ithout further proceedings after serving the
16


1 
penalties herein prescribed. If the offender is a public official or employee, he
2 
shall, in addition to the penalties prescribed herein, suffer perpetual or
3 
tem porary absolute disqualification from  office, as the case may be.
4 
(e) 
REFUSAL TO TESTIFY. Any public official or employee who is called
5 
upon to testify and refuses to do the same or purposely fails to testify shall
6 
suffer the same penalties prescribed herein.
7 
SECTION 12. 
Items (d) to fe) o f Section 14 o f the same Act are hereby renumbered,
8 
accordingly.
9 
SECTION 13. 
Items (f) to (g) o f Section 14 o f the same Act shall be new Section 15 as
10 
follows:
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
SEC. 15. ADMINISTRATIVE SANCTIONS. -
[Imposition of Administrative Sanctions. The imposition of the administrative 
sanctions shall be w ithout prejudice to the filing of criminal charges against 
the persons responsible for the violation.
After due notice and hearing, the AMLC shall, at its discretion, impose 
sanctions, including monetary penalties, warning or reprimand, upon any 
covered person, its directors, officers, employees or any other person for the 
violation of this Act, its implementing rules and regulations, or for failure or 
refusal to comply w ith AMLC orders, resolutions and other issuances. Such 
monetary penalties shall be in amounts as may be determined by the AMLC 
to be appropriate, which shall not be more than Five hundred thousand 
Philippine pesos (P500,000.00) per violation.]
(a) 
IMPOSITION 
OF 
ADMINISTRATIVE 
SANCTIONS. 
-  
WITHOUT
PREJUDICE TO THE CRIMINAL SANCTIONS UPON ANY COVERED PERSON, ITS 
DIRECTORS, OFFICERS, EMPLOYEES OR ANY OTHER PERSON FOR THE 
VIOLATION OF THIS ACT, THE AMLC MAY, AT ITS DISCRETION, IMPOSE 
UPON ANY COVERED PERSON, THEIR DIRECTORS AND/OR OFFICERS, FOR 
ANY VIOLATION OF THIS ACT, IMPLEMENTING RULES AND REGULATIONS, 
OR ANY ORDER, INSTRUCTION OR REGULATION ISSUED BY THE AMLC AND 
ITS 
SECRETARIAT, 
THE 
FOLLOWING 
ADMINISTRATIVE 
SANCTIONS, 
WHENEVER APPLICABLE:
1. 
REPRIMAND OR WARNING;
17


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1
2. 
FINES IN AMOUNTS AS MAY BE DETERMINED BY THE AMLC TO BE 
APPROPRIATE, BUT IN NO CASE TO EXCEED ONE MILLION PHILIPPINE 
PESOS (PHP1,000,000.00) FOR EACH VIOLATION, TAKING INTO 
CONSIDERATION THE ATTENDANT CIRCUMSTANCES, SUCH AS THE 
NATURE AND GRAVITY OF THE VIOLATION OR IRREGULARITY AND 
THE SIZE OF THE COVERED PERSON. IN ADDITION, THE AMLC MAY 
RECOMMEND TO THE APPROPRIATE SUPERVISING AUTHORITY THE 
REVOCATION OR SUSPENSION OF LICENSE OR AUTHORITY TO 
OPERATE OF COVERED PERSON, AND THE SUSPENSION AND 
TERMINATION 
OF 
RESPONSIBLE 
DIRECTORS, 
OFFICERS 
AND 
EMPLOYEES OF COVERED PERSONS.
RESIGNATION OR TERMINATION FROM OFFICE SHALL NOT EXEMPT SUCH 
DIRECTOR OR OFFICER FROM ADMINISTRATIVE OR CRIMINAL SANCTIONS. 
The 
AMLC 
AND 
THE 
RESPECTIVE 
SUPERVISING 
AUTHORITIES 
may 
promulgate rules on fines and penalties taking into consideration the 
attendant circumstances, such as the nature and gravity of the violation or 
irregularity.
(b) 
NON-DISCRIMINATION AGAINST CERTAIN TYPES OF CUSTOMERS. - 
The provisions of this law shall not be construed or implemented in a manner 
that will discriminate against certain customer types, such as politically- 
exposed persons, as well as their relatives, or against a certain religion, race 
or ethnic origin, or such other attributes or profiles when used as the only 
basis to deny these persons access to the services provided by the covered 
persons. Whenever a bank, or quasi-bank, financial institution or whenever 
any person or entity commits said discriminatory act, the person or persons 
responsible for such violation shall be subject to the sanctions as may be 
deemed 
appropriate 
by 
their 
respective 
[regulators] 
SUPERVISING 
AUTHORITIES.
18


1 
SECTION 14. 
Section 201 o f Republic Act No. 9160, as amended by Republic Act No.
2 
10365, is hereby repealed.
3 
SECTION 15. 
The new provision on section 20 o f the same act shall be as follows:
4 
SEC. 20. CROSS-BORDER DECLARATION. -  ALL PERSONS WHO BRING INTO
5 
OR TAKE OUT OF THE PHILIPPINES, ANY CURRENCY AND 
BEARER
6 
NEGOTIABLE INSTRUMENTS, IN EXCESS OF TEN THOUSAND UNITED STATES
7 
DOLLARS (US$10,000.00) OR ITS EQUIVALENT SHALL DECLARE THE SAME IN
8 
WRITING.
9 
THE AMLC MAY CAUSE THE RESTRAINT OF THE CURRENCY OR BEARER
10 
NEGOTIABLE INSTRUMENTS NOT DECLARED, OR FALSELY OR ERRONEOUSLY
11 
DECLARED, OR IF THERE IS REASONABLE GROUND TO SUSPECT THAT THE
12 
CURRENCY OR BEARER NEGOTIABLE INSTRUMENT IS RELATED TO MONEY
13 
LAUNDERING OR TERRORISM FINANCING. THE RESTRAINT SHALL NOT
14 
EXCEED THIRTY 
(30) 
DAYS. 
THIS 
IS WITHOUT 
PREJUDICE TO THE
15 
INSTITUTION OF ADMINISTRATIVE, CIVIL OR CRIMINAL PROCEEDINGS,
16 
AFTER INVESTIGATION BY THE AMLC.
17 
FOR PURPOSES OF THIS SECTION, THE AMLC MAY ENLIST THE ASSISTANCE
18 
OF AND/OR DEPUTIZE THE BUREAU OF CUSTOMS, PHILIPPINE PORTS
19 
AUTHORITY AND OTHER RELEVANT GOVERNMENT AGENCIES.
20 
SECTION 16. 
Separability 
Clause. 
- 
If 
any 
provision 
o f 
this 
Act 
is declared
21 
unconstitutional, the same shall not affect the validity and effectivity o f other provisions
22 
thereof.
23 
SECTION 17. 
Repealing Clause. - All laws, decrees, orders, and issuances or portions
24 
thereof, which are inconsistent w ith  the provisions of this Act, are hereby repealed,
25 
amended or m odified accordingly; Provided, th a t all provisions o f Republic Act No. 9160,
26 
as amended, which are not inconsistent w ith this Act are hereby adopted.
27 
SECTION 18. 
Effectivity. -This Act shall take effect fifteen (15) days follow ing its
28 
publication in, at least, tw o  (2) newspapers of general circulation.
Approved,
1 SEC. 20. Non-intervention in the Bureau of Internal Revenue (BIR) Operations. -  Nothing contained in this Act 
nor in related antecedent laws or existing agreements shall be construed to allow the AMLC to participate in 
any manner in the operations of the BIR.
19