FATF grey list: DOJ undersecretary hopes Philippines will be removed in October
Jesse Hermogenes Andres said the country has addressed 15 of the 18 action items required.
The Philippines.- Department of Justice (DOJ) undersecretary Jesse Hermogenes Andres has said that the Philippines is likely to be removed from the Financial Action Task Force’s (FATF) grey list by 2025. At the National Committee on Intellectual Property Rights press conference, Andres said he was confident the Philippines could exit from the grey list in October due to its performance in various areas, including intellectual property rights protection.
The Philippines has been on the list since June 2021. Issues include the risk of money laundering from casino junkets and a lack of prosecution for terrorism funding cases. The FATF has been waiting for the Philippines to implement an action plan to address strategic deficiencies.
In July, the body highlighted 18 deficiencies in AML/CFT controls. Andres says the country has now resolved 15. “I think we are very confident that we have delivered on the three remaining (items) that include cross-border measures, the casino junkets and terrorism financing cases that will be announced most probably at the end of October,” he said.
Philippine senator files resolution to investigate banks’ role in offshore gaming operators
Senator Win Gatchalian has filed Senate Resolution 1193, which seeks a probe into the alleged participation of banks in the development and establishment of offshore gaming operators. It also calls for an investigation to aid legislation on the apparent failure of banks to identify suspicious financial activities related to offshore gaming operators tied to criminal activities.
Gatchalian said that recent Senate inquiries had uncovered bank dealings involving companies owned by Guo Hua Ping (Alice Guo, the suspended mayor of Bamban, Tarlac) totalling hundreds of millions of pesos, which facilitated the establishment of an offshore gaming operator in Bamban. According to the senator, the amount involved was far beyond the financial capacity of the companies as indicated in their financial statements. The transactions were not flagged by financial institutions.
He concluded: “The Philippines remains on the Financial Action Task Force’s grey list, and our country needs to enhance its anti-money laundering and counter-terrorism financing activities. The private sector’s support and compliance are crucial to strengthening the country’s AML-CTF regime, including increased adherence with AMF-CTF obligations.”
