| RA 9194 |
Republic of the Philippines
Congress of the Philippines |
Metro Manila
Twelfth Congress
First Regular Session |
| Begun and held in Metro Manila, on Monday, the
twenty-second day of July, two thousand two. |
[ REPUBLIC ACT NO. 9194 ]
AN ACT AMENDING REPUBLIC ACT NO. 9160, OTHERWISE KNOWN AS THE "ANTI-MONEY
LAUNDERING ACT OF 2001" |
Be it enacted
by the Senate and House of Representatives of the
Philippines in Congress assembled: |
SECTION 1. Section 3, paragraph (b), of Republic Act No. 9160 is
hereby amended as follows:
"(b) 'Covered transaction' is
a transaction in cash or other equivalent monetary instrument involving
a total amount in excess of Five hundred thousand pesos (P500,000.00)
within one (1) banking day."
SEC. 2. Section 3 of the same Act is further amended by inserting
between paragraphs (b) and (c) a new paragraph designated as (b-1)
to read as follows:
"(b-1) 'Suspicious transaction' are transactions
with covered institutions, regardless of the amounts involved, where
any of the following circumstances exist:
"1. there is no
underlying legal or trade obligation, purpose or economic justification;
"2. the client is not properly identified;
"3.
the amount involved is not commensurate with the business or financial
capacity of the client;
"4. taking into account all known
circumstances, it may be perceived that the client’s transaction
is structured in order to avoid being the subject of reporting requirements
under the Act;
"5. any circumstance relating to the transaction
which is observed to deviate from the profile of the client and/or
the client’s past transactions with the covered institution;
"6. the transaction is in any way related to an unlawful activity
or offense under this Act that is about to be, is being or has been
committed; or
"7. any transaction that is similar or analogous
to any of the foregoing."
SEC. 3. Section 3(i) of the same Act is further amended to read as
follows:
"(i) 'Unlawful activity' refers to any act or omission
or series or combination thereof involving or having direct relation
to the following:
"(1) Kidnapping for ransom under Article
267 of Act No. 3815, otherwise known as the Revised Penal Code, as
amended;
"(2) Sections 4, 5, 6, 8, 9, 10, 12, 13, 14, 15,
and 16 of Republic Act No. 9165, otherwise known as the Comprehensive
Dangerous Drugs Act of 2002;
"(3) Section 3 paragraphs B,
C, E, G, H and I of Republic Act No. 3019, as amended, otherwise known
as the Anti-Graft and Corrupt Practices Act;
"(4) Plunder
under Republic Act No. 7080, as amended;
"(5) Robbery and
extortion under Articles 294, 295, 296, 299, 300, 301 and 302 of the
Revised Penal Code, as amended;
"(6) Jueteng and Masiao punished
as illegal gambling under Presidential Decree No. 1602;
"(7)
Piracy on the high seas under the Revised Penal Code, as amended and
Presidential Decree No. 532;
"(8) Qualified theft under Article
310 of the Revised Penal Code, as amended;
"(9) Swindling
under Article 315 of the Revised Penal Code, as amended;
"(10)
Smuggling under Republic Act Nos. 455 and 1937;
"(11) Violations
under Republic Act No. 8792, otherwise known as the Electronic Commerce
Act of 2000;
"(12) Hijacking and other violations under Republic
Act No. 6235; destructive arson and murder, as defined under the Revised
Penal Code, as amended, including those perpetrated by terrorists
against non-combatant persons and similar targets;
"(13)
Fraudulent practices and other violations under Republic Act No. 8799,
otherwise known as the Securities Regulation Code of 2000;
"(14)
Felonies or offenses of a similar nature that are punishable under
the penal laws of other countries."
SEC. 4. Section 4 of the same Act is hereby amended to read as follows:
"SEC. 4. Money Laundering Offense. – Money laundering is
a crime whereby the proceeds of an unlawful activity as herein defined
are transacted, thereby making them appear to have originated from
legitimate sources. It is committed by the following:
"(a)
Any person knowing that any monetary instrument or property represents,
involves, or relates to, the proceeds of any unlawful activity, transacts
or attempts to transact said monetary instrument or property.
"(b) Any person knowing that any monetary instrument or property
involves the proceeds of any unlawful activity, performs or fails
to perform any act as a result of which he facilitates the offense
of money laundering referred to in paragraph (a) above.
"(c)
Any person knowing that any monetary instrument or property is required
under this Act to be disclosed and filed with the Anti-Money Laundering
Council (AMLC), fails to do so."
SEC. 5. Section 7 of the same Act is hereby amended as follows:
"SEC. 7. Creation of Anti-Money Laundering Council (AMLC). –
The Anti-Money Laundering Council is hereby created and shall be composed
of the Governor of the Bangko Sentral ng Pilipinas as chairman, the
Commissioner of the Insurance Commission and the Chairman of the Securities
and Exchange Commission as members. The AMLC shall act unanimously
in the discharge of its functions as defined hereunder:
"(1)
to require and receive covered or suspicious transaction reports from
covered institutions;
"(2) to issue orders addressed to the
appropriate Supervising Authority or the covered institution to determine
the true identity of the owner of any monetary instrument or property
subject of a covered transaction 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 an unlawful activity.
"(3) to institute civil forfeiture
proceedings and all other remedial proceedings through the Office
of the Solicitor General;
"(4) to cause the filing of complaints
with the Department of Justice or the Ombudsman for the prosecution
of money laundering offenses;
"(5) to investigate suspicious
transactions and covered transactions deemed suspicious after an investigation
by AMLC, money laundering activities, and other violations of this
Act;
"(6) to apply before the Court of Appeals, ex parte,
for the freezing of any monetary instrument or property alleged to
be the proceeds of any unlawful activity as defined in Section 3(i)
hereof;
"(7) to implement such measures as may be necessary
and justified under this Act to counteract money laundering;
"(8)
to receive and take action in respect of, any request from foreign
states for assistance in their own anti-money laundering operations
provided in this Act;
"(9) to develop educational programs
on the pernicious effects of money laundering, the methods and techniques
used in money laundering, the viable means of preventing money laundering
and the effective ways of prosecuting and punishing offenders;
"(10) to enlist the assistance of any branch, department, bureau,
office, agency or instrumentality of the government, including government-owned
and -controlled corporations, in undertaking any and all anti-money
laundering operations, which may include the use of its personnel,
facilities and resources for the more resolute prevention, detection
and investigation of money laundering offenses and prosecution of
offenders; and
"(11) to impose administrative sanctions for
the violation of laws, rules, regulations and orders and resolutions
issued pursuant thereto."
SEC. 6. Section 9(c) of the same Act is hereby amended to read as
follows:
"(c) Reporting of Covered and Suspicious Transactions.
– Covered institutions shall report to the AMLC all covered
transactions and suspicious transactions within five (5) working days
from occurrence thereof, unless the Supervising Authority prescribes
a longer period not exceeding ten (10) working days.
"Should
a transaction be determined to be both a covered transaction and a
suspicious transaction, the covered institution shall be required
to report the same as a suspicious transaction.
"When reporting
covered or suspicious transactions to the AMLC, covered institutions
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 means,
to any person, the fact that a covered or suspicious transaction report
was made, the contents thereof, or any other information in relation
thereto. In case of violation thereof, the concerned officer and employee
of the covered institution 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 institutions 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 report was made,
the contents thereof, or any other information in relation thereto.
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 institution and media shall be held criminally liable."
SEC. 7. Section 10 of the same Act is hereby amended to read as follows:
"SEC. 10. Freezing of Monetary Instrument or Property. –
The Court of Appeals, upon application ex parte by the AMLC and after
determination that probable cause exists that any monetary instrument
or property is in any way related to an unlawful activity as defined
in Section 3(i) hereof, may issue a freeze order which shall be effective
immediately. The freeze order shall be for a period of twenty (20)
days unless extended by the court."
SEC. 8. Section 11 of the same Act is hereby amended to read 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, and other laws, 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 this Act, when it
has been established that there is probable cause that the deposits
or investments are related to an unlawful activity as defined in Section
3(i) hereof or a money laundering offense under Section 4 hereof;
except that no court order shall be required in cases involving unlawful
activities defined in Sections 3(i)(1), (2) and (12).
"To
ensure compliance with this Act, the Bangko Sentral ng Pilipinas (BSP)
may inquire into or examine any deposit or investment with any banking
institution or non-bank financial institution when the examination
is made in the course of a periodic or special examination, in accordance
with the rules of examination of the BSP."
SEC. 9. Section 14, paragraphs (c) and (d) of the same Act is hereby
amended to read as follows:
"(c) Malicious Reporting. Any
person who, with malice, or in bad faith, reports or files a completely
unwarranted or false information relative to money laundering transaction
against any person shall be subject to a penalty of six (6) months
to four (4) years imprisonment and a fine of not less than One hundred
thousand Philippine pesos (Php 100,000.00) but not more than Five
hundred thousand Philippine pesos (Php 500,000.00), at the discretion
of the court: Provided, That the offender is not entitled to avail
the benefits of the Probation Law.
"If the offender is a
corporation, association, partnership or any juridical person, the
penalty shall be imposed upon the responsible officers, as the case
may be, who participated in, or allowed by their gross negligence,
the commission of the crime. If the offender is a juridical person,
the court may suspend or revoke its license. If the offender is an
alien, he shall, in addition to the penalties herein prescribed, be
deported without further proceedings after serving the penalties herein
prescribed. If the offender is a public official or employee, he shall,
in addition to the penalties prescribed herein, suffer perpetual or
temporary absolute disqualification from office, as the case may be.
"Any public official or employee who is called upon to testify
and refuses to do the same or purposely fails to testify shall suffer
the same penalties prescribed herein.
"(d) Breach of Confidentiality.
The punishment of imprisonment ranging from three (3) to eight (8)
years and a fine of not less than Five hundred thousand Philippine
pesos (Php 500,000.00) but not more than One million Philippine pesos
(Php 1,000,000.00) shall be imposed on a person convicted for a violation
under Section 9(c). In the case of a breach of confidentiality that
is published or reported by media, the responsible reporter, writer,
president, publisher, manager and editor-in-chief shall be liable
under this Act."
SEC. 10. Section 15 of Republic Act No. 9160 is hereby deleted.
SEC. 11. Section 23 of the same Act is hereby amended to read as follows:
"SEC. 23. Effectivity. – This Act shall take effect fifteen
(15) days after its complete publication in the Official Gazette or
in at least two (2) national newspapers of general circulation."
SEC. 12. Transitory Provision. – Existing freeze orders issued
by the AMLC shall remain in force for a period of thirty (30) days
after the effectivity of this Act, unless extended by the Court of
Appeals.
SEC. 13. Effectivity. – This Act shall take effect fifteen (15)
days after its complete publication in the Official Gazette or in
at least two (2) national newspapers of general circulation. |
Approved,
(Sgd.) (Sgd.)
FRANKLIN M. DRILON JOSE DE VENECIA JR.
President of the Senate Speaker of the House
of Representatives
This Act which is a consolidation of House Bill No. 5655 and Senate
Bill No. 2419 was finally passed by the House of Representatives
and the Senate on March 5, 2003.
(Sgd.) (Sgd.)
OSCAR G. YABES ROBERTO P. NAZARENO
Secretary of the Senate Secretary General
House of Representatives
Approved: March 7, 2003
(Sgd.)
GLORIA MACAPAGAL-ARROYO
President of the Philippines
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