BOARD OF ADVISERS:
Gerardo Sicat
Cesar A. Virata
BOARD OF TRUSTEES:
Roberto De Ocampo Chairman Romeo Bernardo Vice-Chairman Calixto Chikiamco President Ernest Leung Treasurer Atty. Ricardo Balatbat III Corporate Secretary Anthony Abad Art Corpuz Eduardo Gana Felipe Medalla Vaughn Montes Simon Paterno Perry Pe Gloria Tan-Climaco Atty. Ricardo Balatbat III Executive Director
Foundation for Economic Freedom, Inc.
105 Philippine Social Science Center (PSSC) Commonwealth Ave., Diliman, Quezon City
Telefax: (632) 4532375 (Main Office) Tel No.: (632) 8939602 (Accounting)
Website: www.fef.org.ph Email: [email protected] / [email protected]
FEF Statement on Money Laundering and the Anti-Money Laundering Act
Recent events, most notably the laundering of money stolen from the Bangladesh Central Bank using the country’s financial system and casino industry, have demonstrated the need to strengthen the authority of government to prosecute those who criminally violated the Anti-Money Laundering Act (AMLA).
The Philippine financial system is put at risk when banking and Anti-Money Laundering authorities are blocked from uncovering the truth about offenses of money laundering due to the current bank secrecy laws. Money laundering using the Philippine financial system is already adversely affecting our Overseas Filipino workers by increasing their remittance costs.
Therefore, we in the Foundation for Economic Freedom, an organization advocating good governance, market-friendly economic reforms, and economic and political liberty, supports the relaxation of certain provisions of the bank secrecy law that impede investigation by banking and Anti-Money Laundering authorities of suspicious accounts, for the prosecution of money laundering, drug dealing, terrorist activities, and other major crimes. Criminals will be put on notice that they cannot use the bank secrecy law to hide the movement of ill-gotten wealth and will be deterred in using the Philippine financial system in the first place.
We support the amendment of the AMLA to cover casinos, real estate transactions, and art purchases, and giving the Anti-Money Laundering Council the power to immediately freeze suspicious accounts under certain conditions.
Because fictitious bank accounts were reportedly used in the transaction under investigation, FEF is calling for the implementation of a biometric-based National ID system to prevent the easy creation of fictitious accounts. Together with sound bank practices (KYC or Know Your Client), a biometric based National ID system can be used as an additional safeguard to prevent money laundering in banks and other financial in-stitutions.
Moreover, a biometric-based National ID system can also help in the targeted delivery of public assistance and in the promotion of financial inclusion.
Release Date: March 24, 2016 For more information, please check our website: www.fef.org.ph, or contact the following: Ranna Pintor, Senior Program Officer – [email protected] /+63 2 453 2375 Angela Arnante, Program Officer – [email protected]/ +63 2 453 2375
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