AN ACT FURTHER STRENGTHENING THE ANTI-MONEY LAUNDERING LAW (2021)

Case Overview and Summary

Summary of Republic Act No. 11521

Declaration of Policy (Section 1)
- Protect the integrity and confidentiality of bank accounts
- Ensure the Philippines is not used as a money laundering site
- Extend cooperation in transnational investigations and prosecutions of money laundering activities
- Implement targeted financial sanctions related to financing of weapons of mass destruction proliferation, terrorism, and terrorism financing

Definitions (Section 2)
- "Covered persons" include real estate developers and brokers, offshore gaming operators and service providers (Section 3(a)(9-10))
- "Covered transaction" is a cash transaction exceeding P500,000 within one banking day; for real estate, exceeding P7,500,000; for casinos, exceeding P5,000,000 (Section 3(b))
- "Suspicious transactions" are transactions with covered persons, regardless of amount, where certain circumstances exist (Section 3(b-1))
- "Unlawful activity" includes violations of the Securities Regulation Code, Strategic Trade Management Act related to weapons of mass destruction proliferation, tax evasion exceeding P25,000,000, and similar foreign offenses (Section 3(i))
- Definitions for "offshore gaming operator", "service providers", "real estate developer", "real estate broker", "targeted financial sanctions", and "proliferation financing" (Section 3(l-p))

Anti-Money Laundering Council (AMLC) (Section 3)
- Composed of the BSP Governor, IC Commissioner, and SEC Chairman
- Powers include receiving and analyzing reports, conducting investigations, issuing freeze orders, implementing targeted financial sanctions, and preserving/managing assets (Section 7)

Information Security and Confidentiality (Section 4)
- AMLC and Secretariat must securely protect information and not reveal it, even after separation (Section 8-A)

Freezing Monetary Instrument or Property (Section 5)
- Court of Appeals may issue a freeze order for up to 6 months upon AMLC's verified petition (Section 10(a))
- AMLC may issue ex parte freeze order for targeted financial sanctions related to weapons of mass destruction proliferation financing (Section 10(b))

Civil Forfeiture (Section 6)
- No court shall issue a TRO or writ of injunction against a provisional asset preservation order or asset preservation order, except the Court of Appeals or Supreme Court (Section 12(d))

Penal Provisions (Section 7)
- Breach of information security and confidentiality is punishable by 3-8 years imprisonment and a fine of P500,000-P1,000,000 (Section 14(d))

Non-intervention in BIR Operations (Section 8)
- AMLC may coordinate with BIR on investigations related to tax evasion as a predicate offense to money laundering (Section 20)

Implementing Rules and Regulations (Section 9)
- AMLC shall issue necessary rules and regulations within 90 days from effectivity of the Act