REPUBLIC ACT NO.

9160
AN ACT DEFINING THE CRIME OF MONEY
LAUNDERING, PROVIDING PENALTIES
THEREFOR AND FOR OTHER PURPOSES
I. FULL TEXT OF R.A. 9160
SECTION 1. Short Title. This Act shall be known as the "Anti-Money
Laundering Act of 2001."
SEC. 2. Declaration of Policy. It is hereby declared the policy of the State to
protect and presere the inte!rity and confidentiality of bank acco"nts and to
ens"re that the #hilippines shall not be "sed as a $oney la"nderin! site for the
proceeds of any "nlawf"l actiity. Consistent with its forei!n policy% the State
shall e&tend cooperation in transnational inesti!ations and prosec"tions of
persons inoled in $oney la"nderin! actiities whereer co$$itted.
SEC. '. Definitions. (or p"rposes of this Act% the followin! ter$s are hereby
defined as follows)
*a+ ,Coered instit"tion, refers to)
*1+ banks% non-banks% ."asi-banks% tr"st entities% and all other
instit"tions and their s"bsidiaries and affiliates s"perised or
re!"lated by the /an!ko Sentral n! #ilipinas */S#+0
*2+ ins"rance co$panies and all other instit"tions s"perised or
re!"lated by the Ins"rance Co$$ission0 and

*'+
a. sec"rities dealers% brokers% sales$en% inest$ent ho"ses
and other si$ilar entities $ana!in! sec"rities or renderin!
serices as inest$ent a!ent% adisor% or cons"ltant0

b. $"t"al f"nds% close-end inest$ent co$panies% co$$on
tr"st f"nds% pre-need co$panies and other si$ilar entities0

c. forei!n e&chan!e corporations% $oney chan!ers% $oney
pay$ent% re$ittance% and transfer co$panies and other
si$ilar entities0 and

d. other entities ad$inisterin! or otherwise dealin! in
c"rrency% co$$odities or financial deriaties based
thereon% al"able ob1ects% cash s"bstit"tes and other si$ilar
$onetary instr"$ents or property s"perised or re!"lated by
the Sec"rities and E&chan!e Co$$ission.
*b+ "Coered transaction" is a sin!le% series% or co$bination of transactions
inolin! a total a$o"nt in e&cess of (o"r 2illion #hilippine pesos
*#h#3%444%444.44+ or an e."ialent a$o"nt in forei!n c"rrency based on the
preailin! e&chan!e rate within fie *5+ consec"tie bankin! days e&cept those
between a coered instit"tion and a person who% at the ti$e of the transaction
was a properly identified client and the a$o"nt is co$$ens"rate with the
b"siness or financial capacity of the client0 or those with an "nderlyin! le!al or
trade obli!ation% p"rpose% ori!in or econo$ic 1"stification.
It likewise refers to a sin!le% series or co$bination or pattern of "n"s"ally lar!e
and co$ple& transactions in e&cess of (o"r 2illion #hilippine pesos
*#h#3%444%444.44+ especially cash deposits and inest$ents hain! no credible
p"rpose or ori!in% "nderlyin! trade obli!ation or contract.
*c+ "Monetary instru!ent" refers to)
*1+ coins or c"rrency of le!al tender of the #hilippines% or of any
other co"ntry0
*2+ drafts% checks and notes0
*'+ sec"rities or ne!otiable instr"$ents% bonds% co$$ercial papers%
deposit certificates% tr"st certificates% c"stodial receipts or deposit
s"bstit"te instr"$ents% tradin! orders% transaction tickets and
confir$ations of sale or inest$ents and $oney $arket
instr"$ents0 and
*3+ other si$ilar instr"$ents where title thereto passes to another
by endorse$ent% assi!n$ent or deliery.
*d+ ""ffender" refers to any person who co$$its a $oney la"nderin! offense.
*e+ "Person" refers to any nat"ral or 1"ridical person.
*f+ "Proceeds" refers to an a$o"nt deried or reali6ed fro$ an "nlawf"l actiity.
*!+ "Su#erising Authority" refers to the appropriate s"perisory or re!"latory
a!ency% depart$ent or office s"perisin! or re!"latin! the coered instit"tions
en"$erated in Section '*a+.
*h+ "Transaction" refers to any act establishin! any ri!ht or obli!ation or !iin!
rise to any contract"al or le!al relationship between the parties thereto. It also
incl"des any $oe$ent of f"nds by any $eans with a coered instit"tion.
*i+ "$nla%ful actiity" refers to any act or o$ission or series or co$bination
thereof inolin! or hain! relation to the followin!)
*1+ 7idnappin! for ranso$ "nder Article 289 of Act No. ':15%
otherwise known as the ;eised #enal Code% as a$ended0
*2+ Sections '% 3% 5% 9% : and < of Article Two of ;ep"blic Act No.
8325% as a$ended% otherwise known as the =an!ero"s =r"!s Act
of 1<920
*'+ Section ' para!raphs /% C% E% >% ? and I of ;ep"blic Act No.
'41<% as a$ended% otherwise known as the Anti->raft and Corr"pt
#ractices Act0
*3+ #l"nder "nder ;ep"blic Act No. 94:4% as a$ended0
*5+ ;obbery and e&tortion "nder Articles 2<3% 2<5% 2<8% 2<<% '44%
'41 and '42 of the ;eised #enal Code% as a$ended0
*8+ @"eten! and 2asiao p"nished as ille!al !a$blin! "nder
#residential =ecree No. 18420
*9+ #iracy on the hi!h seas "nder the ;eised #enal Code% as
a$ended and #residential =ecree No. 5'20
*:+ A"alified theft "nder Article '14 of the ;eised #enal Code% as
a$ended0
*<+ Swindlin! "nder Article '15 of the ;eised #enal Code% as
a$ended0
*14+ S$"!!lin! "nder ;ep"blic Act Nos. 355 and 1<'90
*11+ Biolations "nder ;ep"blic Act No. :9<2% otherwise known as
the Electronic Co$$erce Act of 24440
*12+ ?i1ackin! and other iolations "nder ;ep"blic Act No. 82'50
destr"ctie arson and $"rder% as defined "nder the ;eised #enal
Code% as a$ended% incl"din! those perpetrated by terrorists
a!ainst non-co$batant persons and si$ilar tar!ets0
*1'+ (ra"d"lent practices and other iolations "nder ;ep"blic Act
No. :9<<% otherwise known as the Sec"rities ;e!"lation Code of
24440
*13+ (elonies or offenses of a si$ilar nat"re that are p"nishable
"nder the penal laws of other co"ntries.
SEC. 3. Money Laundering "ffense. 2oney la"nderin! is a cri$e whereby the
proceeds of an "nlawf"l actiity are transacted% thereby $akin! the$ appear to
hae ori!inated fro$ le!iti$ate so"rces. It is co$$itted by the followin!)
*a+ Any person knowin! that any $onetary instr"$ent or property
represents% inoles% or relates to% the proceeds of any "nlawf"l actiity%
transacts or atte$pts to transact said $onetary instr"$ent or property.
*b+ Any person knowin! that any $onetary instr"$ent or property inoles
the proceeds of any "nlawf"l actiity% perfor$s or fails to perfor$ any act
as a res"lt of which he facilitates the offense of $oney la"nderin! referred
to in para!raph *a+ aboe.
*c+ Any person knowin! that any $onetary instr"$ent or property is
re."ired "nder this Act to be disclosed and filed with the Anti-2oney
Ca"nderin! Co"ncil *A2CC+% fails to do so.
SEC. 5. &urisdiction of Money Laundering Cases. The re!ional trial co"rts shall
hae 1"risdiction to try all cases on $oney la"nderin!. Those co$$itted by p"blic
officers and priate persons who are in conspiracy with s"ch p"blic officers shall
be "nder the 1"risdiction of the Sandi!anbayan.
SEC. 8. Prosecution of Money Laundering.
*a+ Any person $ay be char!ed with and conicted of both the offense of
$oney la"nderin! and the "nlawf"l actiity as herein defined.
*b+ Any proceedin! relatin! to the "nlawf"l actiity shall be !ien
precedence oer the prosec"tion of any offense or iolation "nder this Act
witho"t pre1"dice to the free6in! and other re$edies proided.
SEC. 9. Creation of Anti-Money Laundering Council 'AMLC(. The Anti-2oney
Ca"nderin! Co"ncil is hereby created and shall be co$posed of the >oernor of
the /an!ko Sentral n! #ilipinas as chair$an% the Co$$issioner of the Ins"rance
Co$$ission and the Chair$an of the Sec"rities and E&chan!e Co$$ission as
$e$bers. The A2CC shall act "nani$o"sly in the dischar!e of its f"nctions as
defined here"nder)
*1+ to re."ire and receie coered transaction reports fro$ coered
instit"tions0
*2+ to iss"e orders addressed to the appropriate S"perisin! A"thority or
the coered instit"tion to deter$ine the tr"e identity of the owner of any
$onetary instr"$ent or property s"b1ect of a coered transaction report or
re."est for assistance fro$ a forei!n State% or belieed by the Co"ncil% on
the basis of s"bstantial eidence% to be% in whole or in part% whereer
located% representin!% inolin!% or related to% directly or indirectly% in any
$anner or by any $eans% the proceeds of an "nlawf"l actiity0
*'+ to instit"te ciil forfeit"re proceedin!s and all other re$edial
proceedin!s thro"!h the Office of the Solicitor >eneral0
*3+ to ca"se the filin! of co$plaints with the =epart$ent of @"stice or the
O$b"ds$an for the prosec"tion of $oney la"nderin! offenses0
*5+ to initiate inesti!ations of coered transactions% $oney la"nderin!
actiities and other iolations of this Act0
*8+ to free6e any $onetary instr"$ent or property alle!ed to be proceeds
of any "nlawf"l actiity0
*9+ to i$ple$ent s"ch $eas"res as $ay be necessary and 1"stified "nder
this Act to co"nteract $oney la"nderin!0
*:+ to receie and take action in respect of% any re."est fro$ forei!n states
for assistance in their own anti-$oney la"nderin! operations proided in
this Act0
*<+ to deelop ed"cational pro!ra$s on the pernicio"s effects of $oney
la"nderin!% the $ethods and techni."es "sed in $oney la"nderin!% the
iable $eans of preentin! $oney la"nderin! and the effectie ways of
prosec"tin! and p"nishin! offenders0 and
*14+ to enlist the assistance of any branch% depart$ent% b"rea"% office%
a!ency or instr"$entality of the !oern$ent% incl"din! !oern$ent-owned
and -controlled corporations% in "ndertakin! any and all anti-$oney
la"nderin! operations% which $ay incl"de the "se of its personnel%
facilities and reso"rces for the $ore resol"te preention% detection and
inesti!ation of $oney la"nderin! offenses and prosec"tion of offenders.
SEC. :. Creation of a Secretariat. The A2CC is hereby a"thori6ed to establish
a secretariat to be headed by an E&ec"tie =irector who shall be appointed by
the Co"ncil for a ter$ of fie *5+ years. ?e $"st be a $e$ber of the #hilippine
/ar% at least thirty-fie *'5+ years of a!e and of !ood $oral character%
"n."estionable inte!rity and known probity. All $e$bers of the Secretariat $"st
hae sered for at least fie *5+ years either in the Ins"rance Co$$ission% the
Sec"rities and E&chan!e Co$$ission or the /an!ko Sentral n! #ilipinas */S#+
and shall hold f"ll-ti$e per$anent positions within the /S#.
SEC. <. Preention of Money Laundering) Custo!er *dentification +e,uire!ents
and +ecord -ee#ing. .

*a+ Custo!er *dentification. - Coered instit"tions shall establish and record the
tr"e identity of its clients based on official doc"$ents. They shall $aintain a
syste$ of erifyin! the tr"e identity of their clients and% in case of corporate
clients% re."ire a syste$ of erifyin! their le!al e&istence and or!ani6ational
str"ct"re% as well as the a"thority and identification of all persons p"rportin! to
act on their behalf.
The proisions of e&istin! laws to the contrary notwithstandin!% anony$o"s
acco"nts% acco"nts "nder fictitio"s na$es% and all other si$ilar acco"nts shall be
absol"tely prohibited. #eso and forei!n c"rrency non-checkin! n"$bered
acco"nts shall be allowed. The /S# $ay cond"ct ann"al testin! solely li$ited to
the deter$ination of the e&istence and tr"e identity of the owners of s"ch
acco"nts.
*b+ +ecord -ee#ing. - All records of all transactions of coered instit"tions shall
be $aintained and safely stored for fie *5+ years fro$ the dates of transactions.
Dith respect to closed acco"nts% the records on c"sto$er identification% acco"nt
files and b"siness correspondence% shall be presered and safely stored for at
least fie *5+ years fro$ the dates when they were closed.
*c+ +e#orting of Coered Transactions. - Coered instit"tions shall report to the
A2CC all coered transactions within fie *5+ workin! days fro$ occ"rrence
thereof% "nless the S"perisin! A"thority concerned prescribes a lon!er period
not e&ceedin! ten *14+ workin! days.
Dhen reportin! coered transactions to the A2CC% coered instit"tions and their
officers% e$ployees% representaties% a!ents% adisors% cons"ltants or associates
shall not be dee$ed to hae iolated ;ep"blic Act No. 1345% as a$ended0
;ep"blic Act No. 8328% as a$ended0 ;ep"blic Act No. :9<1 and other si$ilar
laws% b"t are prohibited fro$ co$$"nicatin!% directly or indirectly% in any $anner
or by any $eans% to any person the fact that a coered transaction report was
$ade% the contents thereof% or any other infor$ation in relation thereto. In case of
iolation thereof% the concerned officer% e$ployee% representatie% a!ent% adisor%
cons"ltant or associate of the coered instit"tion% shall be cri$inally liable.
?oweer% no ad$inistratie% cri$inal or ciil proceedin!s% shall lie a!ainst any
person for hain! $ade a coered transaction report in the re!"lar perfor$ance
of his d"ties and in !ood faith% whether or not s"ch reportin! res"lts in any
cri$inal prosec"tion "nder this Act or any other #hilippine law.
Dhen reportin! coered transactions to the A2CC% coered instit"tions and their
officers% e$ployees% representaties% a!ents% adisors% cons"ltants or associates
are prohibited fro$ co$$"nicatin!% directly or indirectly% in any $anner or by any
$eans% to any person% entity% the $edia% the fact that a coered transaction
report was $ade% the contents thereof% or any other infor$ation in relation
thereto. Neither $ay s"ch reportin! be p"blished or aired in any $anner or for$
by the $ass $edia% electronic $ail% or other si$ilar deices. In case of iolation
thereof% the concerned officer% e$ployee% representatie% a!ent% adisor%
cons"ltant or associate of the coered instit"tion% or $edia shall be held
cri$inally liable.
SEC. 14. Authority to /ree0e. Epon deter$ination that probable ca"se e&ists
that any deposit or si$ilar acco"nt is in any way related to an "nlawf"l actiity%
the A2CC $ay iss"e a free6e order% which shall be effectie i$$ediately% on the
acco"nt for a period not e&ceedin! fifteen *15+ days. Notice to the depositor that
his acco"nt has been fro6en shall be iss"ed si$"ltaneo"sly with the iss"ance of
the free6e order. The depositor shall hae seenty-two *92+ ho"rs "pon receipt of
the notice to e&plain why the free6e order sho"ld be lifted. The A2CC has
seenty-two *92+ ho"rs to dispose of the depositorFs e&planation. If it fails to act
within seenty-two *92+ ho"rs fro$ receipt of the depositorFs e&planation% the
free6e order shall a"to$atically be dissoled. The fifteen *15+-day free6e order of
the A2CC $ay be e&tended "pon order of the co"rt% proided that the fifteen
*15+-day period shall be tolled pendin! the co"rtFs decision to e&tend the period.
No co"rt shall iss"e a te$porary restrainin! order or writ of in1"nction a!ainst any
free6e order iss"ed by the A2CC e&cept the Co"rt of Appeals or the S"pre$e
Co"rt.
SEC. 11. Authority to *n,uire into 1an2 De#osits. Notwithstandin! the
proisions of ;ep"blic Act No. 1345% as a$ended0 ;ep"blic Act No. 8328% as
a$ended0 ;ep"blic Act No. :9<1% and other laws% the A2CC $ay in."ire into or
e&a$ine any partic"lar deposit or inest$ent with any bankin! instit"tion or non-
bank financial instit"tion "pon order of any co$petent co"rt in cases of iolation
of this Act when it has been established that there is probable ca"se that the
deposits or inest$ents inoled are in any way related to a $oney la"nderin!
offense) Proided% That this proision shall not apply to deposits and inest$ents
$ade prior to the effectiity of this Act.
SEC. 12 /orfeiture Proisions.

*a+ Ciil /orfeiture. - Dhen there is a coered transaction report $ade% and the
co"rt has% in a petition filed for the p"rpose ordered sei6"re of any $onetary
instr"$ent or property% in whole or in part% directly or indirectly% related to said
report% the ;eised ;"les of Co"rt on ciil forfeit"re shall apply.
*b+ Clai! on /orfeited Assets. - Dhere the co"rt has iss"ed an order of forfeit"re
of the $onetary instr"$ent or property in a cri$inal prosec"tion for any $oney
la"nderin! offense defined "nder Section 3 of this Act% the offender or any other
person clai$in! an interest therein $ay apply% by erified petition% for a
declaration that the sa$e le!iti$ately belon!s to hi$ and for se!re!ation or
e&cl"sion of the $onetary instr"$ent or property correspondin! thereto. The
erified petition shall be filed with the co"rt which rendered the 1"d!$ent of
coniction and order of forfeit"re% within fifteen *15+ days fro$ the date of the
order of forfeit"re% in defa"lt of which the said order shall beco$e final and
e&ec"tory. This proision shall apply in both ciil and cri$inal forfeit"re.
*c+ Pay!ent in Lieu of /orfeiture. - Dhere the co"rt has iss"ed an order of
forfeit"re of the $onetary instr"$ent or property s"b1ect of a $oney la"nderin!
offense defined "nder Section 3% and said order cannot be enforced beca"se any
partic"lar $onetary instr"$ent or property cannot% with d"e dili!ence% be located%
or it has been s"bstantially altered% destroyed% di$inished in al"e or otherwise
rendered worthless by any act or o$ission% directly or indirectly% attrib"table to
the offender% or it has been concealed% re$oed% conerted or otherwise
transferred to preent the sa$e fro$ bein! fo"nd or to aoid forfeit"re thereof% or
it is located o"tside the #hilippines or has been placed or bro"!ht o"tside the
1"risdiction of the co"rt% or it has been co$$in!led with other $onetary
instr"$ents or property belon!in! to either the offender hi$self or a third person
or entity% thereby renderin! the sa$e diffic"lt to identify or be se!re!ated for
p"rposes of forfeit"re% the co"rt $ay% instead of enforcin! the order of forfeit"re
of the $onetary instr"$ent or property or part thereof or interest therein%
accordin!ly order the conicted offender to pay an a$o"nt e."al to the al"e of
said $onetary instr"$ent or property. This proision shall apply in both ciil and
cri$inal forfeit"re.
SEC. 1'. Mutual Assistance a!ong States.

*a+ +e,uest for Assistance fro! a /oreign State. - Dhere a forei!n State $akes
a re."est for assistance in the inesti!ation or prosec"tion of a $oney la"nderin!
offense% the A2CC $ay e&ec"te the re."est or ref"se to e&ec"te the sa$e and
infor$ the forei!n State of any alid reason for not e&ec"tin! the re."est or for
delayin! the e&ec"tion thereof. The principles of $"t"ality and reciprocity shall%
for this p"rpose% be at all ti$es reco!ni6ed.
*b+ Po%ers of the AMLC to Act on a +e,uest for Assistance fro! a /oreign State.
- The A2CC $ay e&ec"te a re."est for assistance fro$ a forei!n State by) *1+
trackin! down% free6in!% restrainin! and sei6in! assets alle!ed to be proceeds of
any "nlawf"l actiity "nder the proced"res laid down in this Act0 *2+ !iin!
infor$ation needed by the forei!n State within the proced"res laid down in this
Act0 and *'+ applyin! for an order of forfeit"re of any $onetary instr"$ent or
property in the co"rt) Proided3 That the co"rt shall not iss"e s"ch an order
"nless the application is acco$panied by an a"thenticated copy of the order of a
co"rt in the re."estin! State orderin! the forfeit"re of said $onetary instr"$ent
or property of a person who has been conicted of a $oney la"nderin! offense in
the re."estin! State% and a certification or an affidait of a co$petent officer of
the re."estin! State statin! that the coniction and the order of forfeit"re are final
and that no f"rther appeal lies in respect of either.
*c+ "4taining Assistance fro! /oreign States. - The A2CC $ay $ake a re."est
to any forei!n State for assistance in *1+ trackin! down% free6in!% restrainin! and
sei6in! assets alle!ed to be proceeds of any "nlawf"l actiity0 *2+ obtainin!
infor$ation that it needs relatin! to any coered transaction% $oney la"nderin!
offense or any other $atter directly or indirectly related thereto0 *'+ to the e&tent
allowed by the law of the forei!n State% applyin! with the proper co"rt therein for
an order to enter any pre$ises belon!in! to or in the possession or control of%
any or all of the persons na$ed in said re."est% andGor search any or all s"ch
persons na$ed therein andGor re$oe any doc"$ent% $aterial or ob1ect na$ed
in said re."est) Proided% That the doc"$ents acco$panyin! the re."est in
s"pport of the application hae been d"ly a"thenticated in accordance with the
applicable law or re!"lation of the forei!n State0 and *3+ applyin! for an order of
forfeit"re of any $onetary instr"$ent or property in the proper co"rt in the forei!n
State) Proided3 That the re."est is acco$panied by an a"thenticated copy of
the order of the re!ional trial co"rt orderin! the forfeit"re of said $onetary
instr"$ent or property of a conicted offender and an affidait of the clerk of
co"rt statin! that the coniction and the order of forfeit"re are final and that no
f"rther appeal lies in respect of either.
*d+ Li!itations on +e,uests for Mutual Assistance. - The A2CC $ay ref"se to
co$ply with any re."est for assistance where the action so"!ht by the re."est
contraenes any proision of the Constit"tion or the e&ec"tion of a re."est is
likely to pre1"dice the national interest of the #hilippines "nless there is a treaty
between the #hilippines and the re."estin! State relatin! to the proision of
assistance in relation to $oney la"nderin! offenses.
*e+ +e,uire!ents for +e,uests for Mutual Assistance fro! /oreign States. - A
re."est for $"t"al assistance fro$ a forei!n State $"st *1+ confir$ that an
inesti!ation or prosec"tion is bein! cond"cted in respect of a $oney la"nderer
na$ed therein or that he has been conicted of any $oney la"nderin! offense0
*2+ state the !ro"nds on which any person is bein! inesti!ated or prosec"ted for
$oney la"nderin! or the details of his coniction0 *'+ !ie s"fficient partic"lars as
to the identity of said person0 *3+ !ie partic"lars s"fficient to identify any coered
instit"tion belieed to hae any infor$ation% doc"$ent% $aterial or ob1ect which
$ay be of assistance to the inesti!ation or prosec"tion0 *5+ ask fro$ the
coered instit"tion concerned any infor$ation% doc"$ent% $aterial or ob1ect
which $ay be of assistance to the inesti!ation or prosec"tion0 *8+ specify the
$anner in which and to who$ said infor$ation% doc"$ent% $aterial or ob1ect
obtained p"rs"ant to said re."est% is to be prod"ced0 *9+ !ie all the partic"lars
necessary for the iss"ance by the co"rt in the re."ested State of the writs% orders
or processes needed by the re."estin! State0 and *:+ contain s"ch other
infor$ation as $ay assist in the e&ec"tion of the re."est.
*f+ Authentication of Docu!ents. - (or p"rposes of this Section% a doc"$ent is
a"thenticated if the sa$e is si!ned or certified by a 1"d!e% $a!istrate or
e."ialent officer in or of% the re."estin! State% and a"thenticated by the oath or
affir$ation of a witness or sealed with an official or p"blic seal of a $inister%
secretary of State% or officer in or of% the !oern$ent of the re."estin! State% or
of the person ad$inisterin! the !oern$ent or a depart$ent of the re."estin!
territory% protectorate or colony. The certificate of a"thentication $ay also be
$ade by a secretary of the e$bassy or le!ation% cons"l !eneral% cons"l% ice
cons"l% cons"lar a!ent or any officer in the forei!n serice of the #hilippines
stationed in the forei!n State in which the record is kept% and a"thenticated by
the seal of his office.
*!+ 56tradition. - The #hilippines shall ne!otiate for the incl"sion of $oney
la"nderin! offenses as herein defined a$on! e&traditable offenses in all f"t"re
treaties.
SEC. 13. Penal Proisions. *a+ Penalties for the Cri!e of Money Laundering. -
The penalty of i$prison$ent ran!in! fro$ seen *9+ to fo"rteen *13+ years and a
fine of not less than Three 2illion #hilippine pesos *#h#'%444%444.44+ b"t not
$ore than twice the al"e of the $onetary instr"$ent or property inoled in the
offense% shall be i$posed "pon a person conicted "nder Section 3*a+ of this Act.
The penalty of i$prison$ent fro$ fo"r *3+ to seen *9+ years and a fine of not
less than One $illion fie h"ndred tho"sand #hilippine pesos *#h#1%544%444.44+
b"t not $ore than Three $illion #hilippine pesos *#h#'%444%444.44+% shall be
i$posed "pon a person conicted "nder Section 3*b+ of this Act.
The penalty of i$prison$ent fro$ si& *8+ $onths to fo"r *3+ years or a fine of not
less than One h"ndred tho"sand #hilippine pesos *#h#144%444.44+ b"t not $ore
than (ie h"ndred tho"sand #hilippine pesos *#h#544%444.44+% or both% shall be
i$posed on a person conicted "nder Section 3*c+ of this Act.
*b+ Penalties for /ailure to -ee# +ecords. - The penalty of i$prison$ent fro$ si&
*8+ $onths to one *1+ year or a fine of not less than One h"ndred tho"sand
#hilippine pesos *#h#144%444.44+ b"t not $ore than (ie h"ndred tho"sand
#hilippine pesos *#h#544%444.44+% or both% shall be i$posed on a person
conicted "nder Section <*b+ of this Act.
*c+ Malicious +e#orting. - Any person who% with $alice% or in bad faith% reports or
files a co$pletely "nwarranted or false infor$ation relatie to $oney la"nderin!
transaction a!ainst any person shall be s"b1ect to a penalty of si& *8+ $onths to
fo"r *3+ years i$prison$ent and a fine of not less than One h"ndred tho"sand
#hilippine pesos *#h#144%444.44+ b"t not $ore than (ie h"ndred tho"sand
#hilippine pesos *#h#544%444.44+% at the discretion of the co"rt) Proided% That
the offender is not entitled to aail the benefits of the #robation Caw.
If the offender is a corporation% association% partnership or any 1"ridical person%
the penalty shall be i$posed "pon the responsible officers% as the case $ay be%
who participated in the co$$ission of the cri$e or who shall hae knowin!ly
per$itted or failed to preent its co$$ission. If the offender is a 1"ridical person%
the co"rt $ay s"spend or reoke its license. If the offender is an alien% he shall%
in addition to the penalties herein prescribed% be deported witho"t f"rther
proceedin!s after serin! the penalties herein prescribed. If the offender is a
p"blic official or e$ployee% he shall% in addition to the penalties prescribed herein%
s"ffer perpet"al or te$porary absol"te dis."alification fro$ office% as the case
$ay be.
Any p"blic official or e$ployee who is called "pon to testify and ref"ses to do the
sa$e or p"rposely fails to testify shall s"ffer the sa$e penalties prescribed
herein.
*d+ 1reach of Confidentiality. - The p"nish$ent of i$prison$ent ran!in! fro$
three *'+ to ei!ht *:+ years and a fine of not less than (ie h"ndred tho"sand
#hilippine pesos *#h#544%444.44+ b"t not $ore than One $illion #hilippine
pesos *#h#1%444%444.44+% shall be i$posed on a person conicted for a iolation
"nder Section <*c+.
SEC. 15. Syste! of *ncenties and +e%ards. A syste$ of special incenties
and rewards is hereby established to be !ien to the appropriate !oern$ent
a!ency and its personnel that led and initiated an inesti!ation% prosec"tion and
coniction of persons inoled in the offense penali6ed in Section 3 of this Act.
SEC. 18. Prohi4itions Against Political 7arass!ent. This Act shall not be "sed
for political persec"tion or harass$ent or as an instr"$ent to ha$per co$petition
in trade and co$$erce.
No case for $oney la"nderin! $ay be filed a!ainst and no assets shall be
fro6en% attached or forfeited to the pre1"dice of a candidate for an electoral office
d"rin! an election period.
SEC. 19. +estitution. ;estit"tion for any a!!rieed party shall be !oerned by
the proisions of the New Ciil Code.
SEC. 1:. *!#le!enting +ules and +egulations. Dithin thirty *'4+ days fro$ the
effectiity of this Act% the /an!ko Sentral n! #ilipinas% the Ins"rance Co$$ission
and the Sec"rities and E&chan!e Co$$ission shall pro$"l!ate the r"les and
re!"lations to i$ple$ent effectiely the proisions of this Act. Said r"les and
re!"lations shall be s"b$itted to the Con!ressional Oersi!ht Co$$ittee for
approal.
Coered instit"tions shall for$"late their respectie $oney la"nderin! preention
pro!ra$s in accordance with this Act incl"din!% b"t not li$ited to% infor$ation
disse$ination on $oney la"nderin! actiities and its preention% detection and
reportin!% and the trainin! of responsible officers and personnel of coered
instit"tions.
SEC. 1<. Congressional "ersight Co!!ittee. There is hereby created a
Con!ressional Oersi!ht Co$$ittee co$posed of seen *9+ $e$bers fro$ the
Senate and seen *9+ $e$bers fro$ the ?o"se of ;epresentaties. The
$e$bers fro$ the Senate shall be appointed by the Senate #resident based on
the proportional representation of the parties or coalitions therein with at least
two *2+ Senators representin! the $inority. The $e$bers fro$ the ?o"se of
;epresentaties shall be appointed by the Speaker also based on proportional
representation of the parties or coalitions therein with at least two *2+ $e$bers
representin! the $inority.
The Oersi!ht Co$$ittee shall hae the power to pro$"l!ate its own r"les% to
oersee the i$ple$entation of this Act% and to reiew or reise the i$ple$entin!
r"les iss"ed by the Anti-2oney Ca"nderin! Co"ncil within thirty *'4+ days fro$
the pro$"l!ation of the said r"les.
SEC. 24. A##ro#riations Clause. The A2CC shall be proided with an initial
appropriation of Twenty-fie $illion #hilippine pesos *#h#25%444%444.44+ to be
drawn fro$ the national !oern$ent. Appropriations for the s"cceedin! years
shall be incl"ded in the >eneral Appropriations Act.
SEC. 21. Se#ara4ility Clause. If any proision or section of this Act or the
application thereof to any person or circ"$stance is held to be inalid% the other
proisions or sections of this Act% and the application of s"ch proision or section
to other persons or circ"$stances% shall not be affected thereby.
SEC. 22. +e#ealing Clause. All laws% decrees% e&ec"tie orders% r"les and
re!"lations or parts thereof% incl"din! the releant proisions of ;ep"blic Act No.
1345% as a$ended0 ;ep"blic Act No. 8328% as a$ended0 ;ep"blic Act No. :9<1%
as a$ended and other si$ilar laws% as are inconsistent with this Act% are hereby
repealed% a$ended or $odified accordin!ly.
SEC. 2'. 5ffectiity. This Act shall take effect fifteen *15+ days after its
co$plete p"blication in the Official >a6ette or in at least two *2+ national
newspapers of !eneral circ"lation.
The proisions of this Act shall not apply to deposits and inest$ents $ade prior
to its effectiity.
Approed)

*S!d.+ (;AN7CIN 2. =;ICON *S!d.+ @OSE =E BENECIA @;.
President of the Senate S#ea2er of the 7ouse
of +e#resentaties
This Act which is a consolidation of ?o"se /ill No. '4:' and Senate /ill No. 1935
was finally passed by the ?o"se of ;epresentaties and the Senate on
Septe$ber 2<% 2441.


*S!d.+ OSCA; >. HA/ES *S!d.+ ;O/E;TO #.
NAIA;ENO
Secretary of the Senate Secretary-8eneral
7ouse of +e#resentaties
Approed)


II. ;ECES AN= ;E>ECATIONS
I2#CE2ENTIN>
T?E ANTI-2ONEH CAEN=E;IN> ACT O(
2441
*;ep"blic Act No. <184+



;ECE 1
#OCICH AN= A##CICATION

Section 1. Title. - These ;"les shall be known and cited as the "+ules and
+egulations *!#le!enting +e#u4lic Act 9o. :1;0" *the Anti-2oney Ca"nderin!
Act of 2441 JA2CAK+.
Sec. 2. Pur#ose. - These ;"les are pro$"l!ated to prescribe the proced"res and
!"idelines for the i$ple$entation of the A2CA.
Sec. '. Declaration of Policy. It is the policy of the State that)
*a+ The inte!rity and confidentiality of bank acco"nts shall be protected
and presered0
*b+ The #hilippines shall not be "sed as a $oney la"nderin! site for the
proceeds of any "nlawf"l actiity0 and
*c+ Consistent with its forei!n policy% the #hilippines shall e&tend
cooperation in transnational inesti!ations and prosec"tions of persons
inoled in $oney la"nderin! actiities whereer co$$itted.
Sec. 3. Definition of Ter!s. -
*a+ "Coered institutions" refer to the followin!)
*1+ /anks% offshore bankin! "nits% ."asi-banks% tr"st entities% non-
stock sain!s and loan associations% pawnshops% and all other
instit"tions incl"din! their s"bsidiaries and affiliates s"perised
andGor re!"lated by the /an!ko Sentral n! #ilipinas */S#+.
A s"bsidiary $eans an entity $ore than fifty percent *54L+ of the
o"tstandin! otin! stock of which is owned by a bank% ."asi-bank%
tr"st entity or any other instit"tion s"perised or re!"lated by the
/S#.
An affiliate $eans an entity at least twenty percent *24L+ b"t not
e&ceedin! fifty percent *54L+ of the otin! stock of which is owned
by a bank% ."asi-bank% tr"st entity% or any other instit"tion
s"perised andGor re!"lated by the /S#.
*2+ Ins"rance co$panies% ins"rance a!ents% ins"rance brokers%
professional reins"rers% reins"rance brokers% holdin! co$panies%
holdin! co$pany syste$s and all other persons and entities
s"perised andGor re!"lated by the Ins"rance Co$$ission *IC+.
An ins"rance co$pany incl"des those entities a"thori6ed to
transact ins"rance b"siness in the #hilippines% whether life or non-
life and whether do$estic% do$estically incorporated or branch of a
forei!n entity. A contract of ins"rance is an a!ree$ent whereby one
"ndertakes for a consideration to inde$nify another a!ainst loss%
da$a!e or liability arisin! fro$ an "nknown or contin!ent eent.
Transactin! ins"rance b"siness incl"des $akin! or proposin! to
$ake% as ins"rer% any ins"rance contract% or as s"rety% any contract
of s"retyship as a ocation and not as $erely incidental to any
other le!iti$ate b"siness or actiity of the s"rety% doin! any kind of
b"siness specifically reco!ni6ed as constit"tin! the doin! of an
ins"rance b"siness within the $eanin! of #residential =ecree *#.
=.+ No. 812% as a$ended% incl"din! a reins"rance b"siness and
doin! or proposin! to do any b"siness in s"bstance e."ialent to
any of the fore!oin! in a $anner desi!ned to eade the proisions
of #. =. No. 812% as a$ended.
An ins"rance a!ent incl"des any person who solicits or obtains
ins"rance on behalf of any ins"rance co$pany or trans$its for a
person other than hi$self an application for a policy or contract of
ins"rance to or fro$ s"ch co$pany or offers or ass"$es to act in
the ne!otiation of s"ch ins"rance.
An ins"rance broker incl"des any person who acts or aids in any
$anner in solicitin!% ne!otiatin! or proc"rin! the $akin! of any
ins"rance contract or in placin! risk or takin! o"t ins"rance% on
behalf of an ins"red other than hi$self.
A professional reins"rer incl"des any person% partnership%
association or corporation that transacts solely and e&cl"siely
reins"rance b"siness in the #hilippines% whether do$estic%
do$estically incorporated or a branch of a forei!n entity. A contract
of reins"rance is one by which an ins"rer proc"res a third person to
ins"re hi$ a!ainst loss or liability by reason of s"ch ori!inal
ins"rance.
A reins"rance broker incl"des any person who% not bein! a d"ly
a"thori6ed a!ent% e$ployee or officer of an ins"rer in which any
reins"rance is effected% acts or aids in any $anner in ne!otiatin!
contracts of reins"rance or placin! risks of effectin! reins"rance%
for any ins"rance co$pany a"thori6ed to do b"siness in the
#hilippines.
A holdin! co$pany incl"des any person who directly or indirectly
controls any a"thori6ed ins"rer.
A holdin! co$pany syste$ incl"des a holdin! co$pany to!ether
with its controlled ins"rers and controlled persons.
*'+ *i+ Sec"rities dealers% brokers% sales$en% associated persons of
brokers or dealers% inest$ent ho"ses% inest$ent a!ents and
cons"ltants% tradin! adisors% and other entities $ana!in!
sec"rities or renderin! si$ilar serices% *ii+ $"t"al f"nds or open-
end inest$ent co$panies% close-end inest$ent co$panies%
co$$on tr"st f"nds% pre-need co$panies or iss"ers and other
si$ilar entities0 *iii+ forei!n e&chan!e corporations% $oney
chan!ers% $oney pay$ent% re$ittance% and transfer co$panies and
other si$ilar entities% and *i+ other entities ad$inisterin! or
otherwise dealin! in c"rrency% co$$odities or financial deriaties
based thereon% al"able ob1ects% cash s"bstit"tes and other si$ilar
$onetary instr"$ents or property s"perised andGor re!"lated by
the Sec"rities and E&chan!e Co$$ission *SEC+.
A sec"rities broker incl"des a person en!a!ed in the b"siness of
b"yin! and sellin! sec"rities for the acco"nt of others.
A sec"rities dealer incl"des any person who b"ys and sells
sec"rities for hisGher acco"nt in the ordinary co"rse of b"siness.
A sec"rities sales$an incl"des a nat"ral person% e$ployed as s"ch
or as an a!ent% by a dealer% iss"er or broker to b"y and sell
sec"rities.
An associated person of a broker or dealer incl"des an e$ployee
thereof who directly e&ercises control of s"perisory a"thority% b"t
does not incl"de a sales$an% or an a!ent or a person whose
f"nctions are solely clerical or $inisterial.
An inest$ent ho"se incl"des an enterprise which en!a!es or
p"rports to en!a!e% whether re!"larly or on an isolated basis% in the
"nderwritin! of sec"rities of another person or enterprise% incl"din!
sec"rities of the >oern$ent and its instr"$entalities.
A $"t"al f"nd or an open-end inest$ent co$pany incl"des an
inest$ent co$pany which is offerin! for sale or has o"tstandin!%
any redee$able sec"rity of which it is the iss"er.
A closed-end inest$ent co$pany incl"des an inest$ent
co$pany other than open-end inest$ent co$pany.
A co$$on tr"st f"nd incl"des a f"nd $aintained by an entity
a"thori6ed to perfor$ tr"st f"nctions "nder a written and for$ally
established plan% e&cl"siely for the collectie inest$ent and
reinest$ent of certain $oney representin! participation in the plan
receied by it in its capacity as tr"stee% for the p"rpose of
ad$inistration% holdin! or $ana!e$ent of s"ch f"nds andGor
properties for the "se% benefit or adanta!e of the tr"stor or of
others known as beneficiaries.
A pre-need co$pany or iss"er incl"des any corporation s"perised
andGor re!"lated by the SEC and is a"thori6ed or licensed to sell or
offer for sale pre-need plans.
A forei!n e&chan!e corporation incl"des any enterprise which
en!a!es or p"rports to en!a!e% whether re!"larly or on an isolated
basis% in the sale and p"rchase of forei!n c"rrency notes and s"ch
other forei!n-c"rrency deno$inated non-bank deposit transactions
as $ay be a"thori6ed "nder its articles of incorporation.
An inest$ent a!ent or cons"ltant or tradin! adisor incl"des any
person who is en!a!ed in the b"siness of adisin! others as to the
al"e of any sec"rity and the adisability of tradin! in any sec"rity
or in the b"siness of iss"in! reports or $akin! analysis of capital
$arkets. ?oweer% in case the iss"ance of reports or the renderin!
of the analysis of capital $arkets is solely incidental to the cond"ct
of the b"siness or profession of banks% tr"st co$panies% 1o"rnalists%
reporters% col"$nists% editors% lawyers% acco"ntants% teachers% and
p"blishers of newspapers and b"siness or financial p"blications of
!eneral and re!"lar circ"lation% incl"din! their e$ployees% they
shall not be dee$ed to be inest$ent a!ents or cons"ltants or
trade adisors within the conte$plation of the A2CA and these
;"les.
A $oney chan!er incl"des any person in the b"siness of b"yin! or
sellin! forei!n c"rrency notes.
A $oney pay$ent% re$ittance and transfer co$pany incl"des any
person offerin! to pay% re$it or transfer or trans$it $oney on behalf
of any person to another person.

*b+ "Custo!er" refers to any person or entity that keeps an acco"nt% or
otherwise transacts b"siness% with a coered instit"tion and any person or
entity on whose behalf an acco"nt is $aintained or a transaction is
cond"cted% as well as the beneficiary of said transactions. A c"sto$er also
incl"des the beneficiary of a tr"st% an inest$ent f"nd% a pension f"nd or a
co$pany or person whose assets are $ana!ed by an asset $ana!er% or a
!rantor of a tr"st. It incl"des any ins"rance policy holder% whether act"al
or prospectie.

*c+ "Monetary *nstru!ent" refers to)
*1+ Coins or c"rrency of le!al tender of the #hilippines% or of any
other co"ntry0
*2+ =rafts% checks and notes0
*'+ Sec"rities or ne!otiable instr"$ents% bonds% co$$ercial papers%
deposit certificates% tr"st certificates% c"stodial receipts or deposit
s"bstit"te instr"$ents% tradin! orders% transaction tickets and
confir$ations of sale or inest$ents and $oney $arket
instr"$ents0
*3+ Other si$ilar instr"$ents where title thereto passes to another
by endorse$ent% assi!n$ent or deliery0 and
*5+ Contracts or policies of ins"rance% life or non-life% and contracts
of s"retyship.

*d+ ""ffender" refers to any person who co$$its a $oney la"nderin!
offense.

*e+ "Person" refers to any nat"ral or 1"ridical person.

*f+ "Proceeds" refers to an a$o"nt deried or reali6ed fro$ an "nlawf"l
actiity. It incl"des)
*1+ All $aterial res"lts% profits% effects and any a$o"nt reali6ed fro$
any "nlawf"l actiity0
*2+ All $onetary% financial or econo$ic $eans% deices% doc"$ents%
papers or thin!s "sed in or hain! any relation to any "nlawf"l
actiity0 and
*'+ All $oneys% e&pendit"res% pay$ents% disb"rse$ents% costs%
o"tlays% char!es% acco"nts% ref"nds and other si$ilar ite$s for the
financin!% operations% and $aintenance of any "nlawf"l actiity.

*!+ "Pro#erty" incl"des any thin! or ite$ of al"e% real or personal% tan!ible
or intan!ible% or any interest therein or any benefit% priile!e% clai$ or ri!ht
with respect thereto.

*h+ "Su#erising Authority" refers to the /S#% the SEC and the IC. Dhere
the SEC s"perision applies only to the incorporation of the re!istered
instit"tion% within the li$its of the A2CA% the SEC shall hae the a"thority
to re."ire and ask assistance fro$ the !oern$ent a!ency hain!
re!"latory power andGor licensin! a"thority oer said coered instit"tion for
the i$ple$entation and enforce$ent of the A2CA and these ;"les.

*i+ "Transaction" refers to any act establishin! any ri!ht or obli!ation or
!iin! rise to any contract"al or le!al relationship between the parties
thereto. It also incl"des any $oe$ent of f"nds by any $eans with a
coered instit"tion.
Sec. 5. Li!itations of the +ules. -
*a+ The proisions of the A2CA and these ;"les shall not apply to
deposits% inest$ents% and all other acco"nts of c"sto$ers with coered
instit"tions that were opened or created prior to the effectiity of the A2CA
on October 19% 2441. ?ence% no coered transaction reports% inesti!ation
and prosec"tion of $oney la"nderin! cases% or any other action
a"thori6ed "nder the A2CA% $ay be "ndertaken with respect to s"ch
deposits% inest$ents and acco"nts as well as transactions or
circ"$stances in relation thereto% that hae been co$pleted prior to
October 19% 2441. ?oweer% the A2CA and these ;"les shall apply to all
$oe$ents of f"nds respectin! s"ch deposits% inest$ents and acco"nts
as well as transactions or circ"$stances in relation thereto% that are
initiated or co$$enced on or after October 19% 2441.
*b+ The A2CA and these ;"les shall not be "sed for political persec"tion
or harass$ent or as an instr"$ent to ha$per co$petition in trade and
co$$erce.

;ECE 2
CO2#OSITION AN= #;OCEE=IN>S O(
T?E ANTI-2ONEH CAEN=E;IN> COENCIC


Section 1. Co!#osition. The $e$bers of the Anti-2oney Ca"nderin! Co"ncil
*A2CC+ created "nder the A2CA shall be the >oernor of the /S#% the
Ins"rance Co$$issioner and the Chair$an of the SEC. The >oernor of the
/S# shall be the Chair$an.
Sec. 2. Collegiality. The A2CC is a colle!ial body where the Chair$an and the
$e$bers of the A2CC are entitled to one *1+ ote each.
Sec. '. $nani!ous Decision. The A2CC shall act "nani$o"sly in dischar!in!
its f"nctions as defined in the A2CA and in these ;"les. ?oweer% in the case of
the incapacity% absence or disability of any $e$ber to dischar!e his f"nctions%
the officer d"ly desi!nated or a"thori6ed to dischar!e the f"nctions of the
>oernor of the /S#% the Chair$an of the SEC or the Ins"rance Co$$issioner%
as the case $ay be% shall act in his stead in the A2CC.
Sec. 3. Delegation of Authority. Action on ro"tinary ad$inistratie $atters $ay
be dele!ated to any $e$ber of the A2CC or to any rankin! official of the
Secretariat "nder s"ch !"idelines as the A2CC $ay deter$ine.
Sec. 5. Secretariat.
*a+ The Secretariat shall be headed by an E&ec"tie =irector who shall be
appointed by the A2CC for a ter$ of fie *5+ years. ?e $"st be a $e$ber
of the #hilippine /ar% at least thirty-fie *'5+ years of a!e and of !ood
$oral character% "n."estionable inte!rity and known probity. ?e shall be
considered a re!"lar e$ployee of the /S# with the rank of Assistant
>oernor% and shall be entitled to s"ch benefits and s"b1ect to s"ch r"les
and re!"lations as are applicable to officers of si$ilar rank.
*b+ Other than the E&ec"tie =irector whose ."alifications are proided for
in the precedin! para!raph% in or!ani6in! the Secretariat% the A2CC $ay
only choose fro$ a$on! those who hae sered% contin"o"sly or
c"$"latiely% for at least fie *5+ years in the /S#% the SEC or the IC% b"t
who need not be inc"$bents therein at the ti$e of their appoint$ent in the
Secretariat. All $e$bers of the Secretariat shall be considered re!"lar
e$ployees of the /S# and shall be entitled to s"ch benefits and s"b1ect to
s"ch r"les and re!"lations as are applicable to /S# e$ployees of si$ilar
rank.
Sec. 8. Detail and Second!ent of Personnel. The A2CC is a"thori6ed "nder
Section 9 *14+ of the A2CA to enlist the assistance of the /S#% the SEC or the IC
or any other branch% depart$ent% b"rea"% office% a!ency or instr"$entality of the
!oern$ent% incl"din! !oern$ent-owned and controlled corporations% in
"ndertakin! any and all anti-$oney la"nderin! operations. This incl"des the "se
of any $e$ber of their personnel who $ay be detailed or seconded to the
A2CC% s"b1ect to e&istin! laws and Ciil Serice ;"les and ;e!"lations.
Sec. 9. Confidentiality of Proceedings. The $e$bers of the A2CC% the
E&ec"tie =irector% and all the $e$bers of the Secretariat% whether per$anent%
on detail or on second$ent% shall not reeal in any $anner e&cept "nder orders
of the co"rt% the Con!ress or any !oern$ent office or a!ency a"thori6ed by law%
or "nder s"ch conditions as $ay be prescribed by the A2CC% any infor$ation
known to the$ by reason of their office. In case of iolation of this proision% the
person shall be p"nished in accordance with the pertinent proisions of ;. A.
Nos. '41<% 891' and 985'.
Sec. :. Meetings. The A2CC shall $eet eery first 2onday of the $onth or as
often as $ay be necessary at the call of the Chair$an. S"b1ect to the r"le on
confidentiality in the i$$ediately precedin! section% the $eetin!s of the A2CC
$ay be cond"cted thro"!h $odern technolo!ies s"ch as% b"t not li$ited to%
teleconferencin! and ideo-conferencin!.
Sec. <. 1udget. The b"d!et appropriated by the Con!ress shall be "sed to
defray operational e&penses of the A2CC% incl"din! inde$nification for le!al
costs and e&penses reasonably inc"rred for the serices of e&ternal co"nsel or in
connection with any ciil% cri$inal or ad$inistratie action% s"it or proceedin!s to
which $e$bers of the A2CC and the E&ec"tie =irector and other $e$bers of
the Secretariat $ay be $ade a party by reason of the perfor$ance of their
f"nctions or d"ties.

;ECE '
#ODE;S O( T?E A2CC


Section 1. Authority to *nitiate *nestigations on the 1asis of <oluntary Citi0ens=
Co!#laints and 8oern!ent Agency +eferrals. -
*a+ Any person% incl"din! coered instit"tions not s"b1ect to any acco"nt
secrecy laws and branches% depart$ents% b"rea"s% offices% a!encies and
instr"$entalities of the !oern$ent% incl"din! !oern$ent-owned and
controlled corporations% $ay report to the A2CC any actiity that
en!enders reasonable belief that any $oney la"nderin! offense "nder
Section 3 of the A2CA and defined "nder ;"le 3 of these ;"les is abo"t
to be% is bein! or has been co$$itted.
*b+ The person so reportin! shall file a Bol"ntary Citi6ensF Co$plaint
*BCC+ or >oern$ent ;eferral *>;+ in the for$ prescribed by the A2CC.
The BCC and >; for$s shall indicate that the $e$bers of the A2CC% the
E&ec"tie =irector and all the $e$bers of the Secretariat are bo"nd by
the confidentiality r"le proided in Section 9% ;"le 2 of these ;"les. The
BCC shall be si!ned by the co$plainant. The >; shall be si!ned by the
a"thori6ed representatie of the !oern$ent a!ency concerned% indicatin!
his c"rrent position and rank therein.
*c+ Any person who files a BCC or >; shall not inc"r any liability for all
their acts in relation thereto that were done in !ood faith. ?oweer% any
person who% with $alice% or in bad faith% reports or files a co$pletely
"nwarranted or false infor$ation relatie to any $oney la"nderin!
transaction a!ainst any person shall be s"b1ect to the penalties proided
for "nder Section 13 *c+ of the A2CA.
*d+ On the basis of the BCC or >;% the A2CC $ay initiate inesti!ation
thereof% and based on the eidence !athered% the A2CC $ay ca"se the
filin! of cri$inal co$plaints with the =epart$ent of @"stice or the
O$b"ds$an for the prosec"tion of $oney la"nderin! offenses.
Sec. 2. Authority to *nitiate *nestigations on the 1asis of Coered Transaction
+e#orts. -
*a+ Coered Transactions. The $andatory d"ty and obli!ation of coered
instit"tions to $ake reports to the A2CC coers the followin! transactions)
*1+ A sin!le transaction inolin! an a$o"nt in e&cess of (o"r
$illion #hilippine pesos *#hp3%444%444.44+ or an e."ialent a$o"nt
in forei!n c"rrency based on the preailin! e&chan!e rate where
the client is not properly identified andGor the a$o"nt is not
co$$ens"rate with his b"siness or financial capacity.
*2+ A sin!le transaction inolin! an a$o"nt in e&cess of (o"r
$illion #hilippine pesos *#hp3%444%444.44+ or an e."ialent a$o"nt
in forei!n c"rrency based on the preailin! e&chan!e rate which
has no "nderlyin! le!al or trade obli!ation% p"rpose% ori!in% or
econo$ic 1"stification.
*'+ A series or co$bination of transactions cond"cted within fie *5+
consec"tie bankin! days a!!re!atin! to a total a$o"nt in e&cess
of (o"r $illion #hilippine pesos *#hp3%444%444.44+ or an e."ialent
in forei!n c"rrency based on the preailin! e&chan!e rate where
the client is not properly identified andGor the a$o"nt is not
co$$ens"rate with his b"siness or financial capacity.
*3+ A series or co$bination of transactions cond"cted within fie *5+
consec"tie bankin! days a!!re!atin! to a total a$o"nt in e&cess
of (o"r $illion #hilippine pesos *#hp3%444%444.44+ or an e."ialent
in forei!n c"rrency based on the preailin! e&chan!e rate
e&chan!e rate where $ost% if not all the transactions% do not hae
any "nderlyin! le!al or trade obli!ation% p"rpose% ori!in% or
econo$ic 1"stification.
*5+ A sin!le "n"s"ally lar!e and co$ple& transaction in e&cess of
(o"r $illion #hilippine pesos *#hp3%444%444.44+% especially a cash
deposit or inest$ent hain! no credible p"rpose or ori!in%
"nderlyin! trade obli!ation or contract% re!ardless of whether or not
the client is properly identified andGor the a$o"nt is co$$ens"rate
with his b"siness or financial capacity.
*8+ A series% co$bination or pattern of "n"s"ally lar!e and co$ple&
transactions a!!re!atin! to% witho"t reference to any period% a total
a$o"nt in e&cess of (o"r $illion #hilippine pesos
*#hp3%444%444.44+% especially cash deposits andGor inest$ents
hain! no credible p"rpose or ori!in% "nderlyin! trade obli!ation or
contract% re!ardless of whether or not the client is properly
identified andGor the a$o"nt is co$$ens"rate with his b"siness or
financial capacity.
*b+ "4ligation to +e#ort Coered Transactions. All coered instit"tions
s"perised or re!"lated by the /S#% the SEC and the IC shall report all
coered transactions to the A2CC within fie *5+ workin! days fro$ the
date of the transaction or fro$ the date when the coered instit"tion
concerned !ainedGac."ired infor$ationGknowled!e that the transaction is a
coered transaction.
*c+ Coered Transaction +e#ort /or!. The Coered Transaction ;eport
*CT;+ shall be in the for$ prescribed by the appropriate S"perisin!
A"thority and approed by the A2CC. It shall be si!ned by the
e$ployee*s+ who dealt directly with the c"sto$er in the transaction andGor
who $ade the initial internal report within the coered instit"tion% the
co$pliance officer or his e."ialent% and a senior official of the bank with a
rank not lower than senior ice-president. The CT; shall be filed with the
A2CC in a central location% to be deter$ined by the A2CC% as indicated in
the instr"ctions on the CT; for$.
*d+ 56e!#tion fro! 1an2 Secrecy La%s. Dhen reportin! coered
transactions to the A2CC% banks and their officers% e$ployees%
representaties% a!ents% adisors% cons"ltants or associates shall not be
dee$ed to hae iolated ;. A. No. 1345% as a$ended% ;. A. No. 8328% as
a$ended% ;. A. No. :9<1 and other si$ilar laws.
*e+ Safe 7ar4or Proision. No ad$inistratie% cri$inal or ciil proceedin!s
shall lie a!ainst any person for hain! $ade a coered transaction report
in the re!"lar perfor$ance of his d"ties and in !ood faith% whether or not
s"ch reportin! res"lts in any cri$inal prosec"tion "nder the A2CA or any
other #hilippine law.
*f+ /iling of Cri!inal Co!#laints. On the basis of the CT;% the A2CC $ay
initiate inesti!ation thereof% and based on the eidence !athered% the
A2CC $ay ca"se the filin! of cri$inal co$plaints with the =epart$ent of
@"stice or the O$b"ds$an for the prosec"tion of $oney la"nderin!
offenses.
*!+ Malicious +e#orting. Any person who% with $alice% or in bad faith%
reports or files a co$pletely "nwarranted or false infor$ation relatie to
any $oney la"nderin! transaction a!ainst any person% shall be s"b1ect to
a penalty of i$prison$ent fro$ si& *8+ $onths to fo"r *3+ years and a fine
of not less than One h"ndred tho"sand #hilippine pesos *#hp144%444.44+
b"t not $ore than (ie h"ndred tho"sand #hilippine pesos
*#hp544%444.44+% at the discretion of the co"rt) Proided3 That the
offender is not entitled to aail of the benefits "nder the #robation Caw.
If the offender is a corporation% association% partnership or any 1"ridical
person% the penalty shall be i$posed "pon the responsible officers% as the
case $ay be% who participated or failed to preent its co$$ission. If the
offender is a 1"ridical person% the co"rt $ay s"spend or reoke its license.
If the offender is an alien% he shall% in addition to the penalties herein
prescribed% be deported witho"t f"rther proceedin!s after serin! the
penalties herein prescribed. If the offender is a p"blic official or e$ployee%
he shall% in addition to the penalties prescribed herein% s"ffer perpet"al or
te$porary absol"te dis."alification fro$ office% as the case $ay be.
*h+ 1reach of Confidentiality. Dhen reportin! coered transactions to the
A2CC% coered instit"tions and their officers% e$ployees% representaties%
a!ents% adisors% cons"ltants or associates are prohibited fro$
co$$"nicatin!% directly or indirectly% in any $anner or by any $eans% to
any person% entity% or the $edia% the fact that a coered transaction report
was $ade% the contents thereof% or any other infor$ation in relation
thereto. Neither $ay s"ch reportin! be p"blished or aired in any $anner
or for$ by the $ass $edia% electronic $ail% or other si$ilar deices.
Biolation of this proision shall constit"te the offense of breach of
confidentiality p"nished "nder Section 13 *d+ of the A2CA with
i$prison$ent fro$ three *'+ to ei!ht *:+ years and a fine of not less than
(ie h"ndred tho"sand #hilippine pesos *#hp544%444.44+ b"t not $ore
than One $illion #hilippine pesos *#hp1%444%444.44+.
*i+ /ile of Coered Transactions. . Coered instit"tions shall $aintain a
co$plete file on all coered transactions that hae been reported to the
A2CC. Coered instit"tions shall "ndertake the necessary ade."ate
sec"rity $eas"res to ens"re the confidentiality of s"ch file. The file of
coered transactions shall be kept for at least fie *5+ years) Proided3
That if $oney la"nderin! cases based thereon hae been filed in co"rt%
the file $"st be retained beyond the fie*5+-year period "ntil it is confir$ed
that the case has been finally resoled or ter$inated by the co"rt.
Sec. '. Authority to /ree0e Accounts.
*a+ The A2CC is a"thori6ed "nder Sections 8 *8+ and 14 of the A2CA to
free6e any acco"nt or any $onetary instr"$ent or property s"b1ect thereof
"pon deter$ination that probable ca"se e&ists that the sa$e is in any way
related to any "nlawf"l actiity andGor $oney la"nderin! offense. The
A2CC $ay free6e any acco"nt or any $onetary instr"$ent or property
s"b1ect thereof prior to the instit"tion or in the co"rse of% the cri$inal
proceedin!s inolin! the "nlawf"l actiity andGor $oney la"nderin!
offense to which said acco"nt% $onetary instr"$ent or property is any way
related. (or p"rposes of Section 14 of the A2CA and Section '% ;"le ' of
these ;"les% probable ca"se incl"des s"ch facts and circ"$stances which
wo"ld lead a reasonably discreet% pr"dent or ca"tio"s $an to beliee that
an "nlawf"l actiity andGor a $oney la"nderin! offense is abo"t to be% is
bein! or has been co$$itted and that the acco"nt or any $onetary
instr"$ent or property s"b1ect thereof so"!ht to be fro6en is in any way
related to said "nlawf"l actiity andGor $oney la"nderin! offense.
*b+ The free6e order on s"ch acco"nt shall be effectie i$$ediately for a
period not e&ceedin! fifteen *15+ days.
*c+ The A2CC $"st sere notice of the free6e order "pon the coered
instit"tion concerned and the owner or holder of the deposit% inest$ent or
si$ilar acco"nt% si$"ltaneo"sly with the iss"ance thereof. Epon receipt of
the notice of the free6e order% the coered instit"tion concerned shall
i$$ediately stop% free6e% block% s"spend or otherwise place "nder its
absol"te control the acco"nt and the $onetary instr"$ent or property
s"b1ect thereof.
*d+ The owner or holder of the acco"nt so notified shall hae a non-
e&tendible period of seenty-two *92+ ho"rs "pon receipt of the notice to
file a erified e&planation with the A2CC why the free6e order sho"ld be
lifted. (ail"re of the owner or holder of the acco"nt to file s"ch erified
e&planation shall be dee$ed waier of his ri!ht to ."estion the free6e
order.
*e+ The A2CC shall hae seenty-two *92+ ho"rs fro$ receipt of the
written e&planation of the owner or holder of the fro6en acco"nt to resole
the sa$e. If the A2CC fails to act within said period% the free6e order shall
a"to$atically be dissoled. ?oweer% the coered instit"tion shall not lift
the free6e order witho"t sec"rin! official confir$ation fro$ the A2CC.
*f+ /efore the fifteen *15+-day period e&pires% the A2CC $ay apply in co"rt
for an e&tension of said period. Epon the ti$ely filin! of s"ch application
and pendin! the decision of the co"rt to e&tend the period% said period
shall be s"spended and the free6e order shall re$ain effectie.
*!+ In case the co"rt denies the application for e&tension% the free6e order
shall re$ain effectie only for the balance of the fifteen *15+-day period.
*h+ No co"rt shall iss"e a te$porary restrainin! order or writ of in1"nction
a!ainst any free6e order iss"ed by the A2CC or any co"rt order e&tendin!
period of effectiity of the free6e order e&cept the Co"rt of Appeals or the
S"pre$e Co"rt.
*i+ No assets shall be fro6en to the pre1"dice of a candidate for an electoral
office d"rin! an election period.
Sec. 3. Authority to *n,uire into Accounts.
*a+ The A2CC is a"thori6ed "nder Section 9 *2+ of the A2CA to iss"e
orders addressed to the appropriate S"perisin! A"thority or any coered
instit"tion to deter$ine and reeal the tr"e identity of the owner of any
$onetary instr"$ent or property s"b1ect of a coered transaction report% or
a re."est for assistance fro$ a forei!n State% or belieed by the A2CC% on
the basis of s"bstantial eidence% to be% in whole or in part% whereer
located% representin!% inolin!% or related to% directly or indirectly% in any
$anner or by any $eans% the proceeds of an "nlawf"l actiity. (or
p"rposes of the A2CA and these ;"les% s"bstantial eidence incl"des
s"ch releant eidence as a reasonable $ind $i!ht accept as ade."ate to
s"pport a concl"sion.

*b+ In case of any iolation of the A2CA inolin! bank deposits and
inest$ents% the A2CC $ay in."ire into or e&a$ine any partic"lar deposit
or inest$ent with any bankin! instit"tion or non-bank financial instit"tion
"pon order of any co$petent co"rt when the A2CC has established that
there is probable ca"se that the deposits or inest$ents inoled are in
any way related to any "nlawf"l actiity andGor $oney la"nderin! offense.
The A2CC $ay file the application for a"thority to in."ire into or e&a$ine
any partic"lar bank deposit or inest$ent in co"rt% prior to the instit"tion or
in the co"rse of% the cri$inal proceedin!s inolin! the "nlawf"l actiity
andGor $oney la"nderin! offense to which said bank deposit or inest$ent
is any way related. (or p"rposes of Section 11 of the A2CA and Section
3% ;"le ' of these ;"les% probable ca"se incl"des s"ch facts and
circ"$stances which wo"ld lead a reasonably discreet% pr"dent or
ca"tio"s $an to beliee that an "nlawf"l actiity andGor a $oney
la"nderin! offense is abo"t to be% is bein! or has been co$$itted and that
the bank deposit or inest$ent so"!ht to be in."ired into or e&a$ined is in
any way related to said "nlawf"l actiity andGor $oney la"nderin! offense.
Sec. 5. Authority to *nstitute Ciil /orfeiture Proceedings. The A2CC is
a"thori6ed "nder Section 9 *'+ of the A2CA to instit"te ciil forfeit"re proceedin!s
and all other re$edial proceedin!s thro"!h the Office of the Solicitor >eneral.
Sec. 8. Authority to Assist the $nited 9ations and other *nternational
"rgani0ations and /oreign States. The A2CC is a"thori6ed "nder Sections 9
*:+ and 1' *b+ and *d+ of the A2CA to receie and take action in respect of any
re."est of forei!n states for assistance in their own anti-$oney la"nderin!
operations. It is also a"thori6ed "nder Section 9 *9+ of the A2CA to cooperate
with the National >oern$ent andGor take appropriate action in respect of
conentions% resol"tions and other directies of the Enited Nations *EN+% the EN
Sec"rity Co"ncil% and other international or!ani6ations of which the #hilippines is
a $e$ber. ?oweer% the A2CC $ay ref"se to co$ply with any s"ch re."est%
conention% resol"tion or directie where the action so"!ht therein contraenes
the proision of the Constit"tion or the e&ec"tion thereof is likely to pre1"dice the
national interest of the #hilippines.

Sec. 9. Authority to Deelo# and *!#le!ent 5ducational Progra!s. The A2CC
is a"thori6ed "nder Section 9 *<+ of the A2CA to deelop ed"cational pro!ra$s
on the pernicio"s effects of $oney la"nderin!% the $ethods and techni."es "sed
in $oney la"nderin!% the iable $eans of preentin! $oney la"nderin! and the
effectie ways of prosec"tin! and p"nishin! offenders. The A2CC shall cond"ct
nationwide infor$ation ca$pai!ns to hei!hten awareness of the p"blic of their
ciic d"ty as citi6ens to report any and all actiities which en!ender reasonable
belief that a $oney la"nderin! offense "nder Section 3 of the A2CA is abo"t to
be% is bein! or has been co$$itted.
Sec. :. Authority to *ssue3 Clarify and A!end the +ules and +egulations
*!#le!enting +. A. 9o. :1;0. The A2CC is a"thori6ed "nder Sections 9 *9+% 1:
and 1< of the A2CA to pro$"l!ate as well as clarify andGor a$end% as $ay be
necessary% these ;"les. The A2CC $ay $ake appropriate iss"ances for this
p"rpose.

Sec. <. Authority to 5sta4lish *nfor!ation Sharing Syste!. S"b1ect to s"ch
li$itations as proided for by law% the A2CC is a"thori6ed "nder Section 9 *9+ of
the A2CA to establish an infor$ation sharin! syste$ that will enable the A2CC
to store% track and analy6e $oney la"nderin! transactions for the resol"te
preention% detection and inesti!ation of $oney la"nderin! offenses. (or this
p"rpose% the A2CC shall install a co$p"teri6ed syste$ that will be "sed in the
creation and $aintenance of an infor$ation database. The A2CC is also
a"thori6ed% "nder Section 9 *<+ of the A2CA to enter into $e$oranda of
a!ree$ent with the intelli!ence "nits of the Ar$ed (orces of the #hilippines% the
#hilippine National #olice% the =epart$ent of (inance% the =epart$ent of @"stice%
as well as their attached a!encies% and other do$estic or transnational
!oern$ental or non-!oern$ental or!ani6ations or !ro"ps for sharin! of all
infor$ation that $ay% in any way% facilitate the resol"te preention% inesti!ation
and prosec"tion of $oney la"nderin! offenses and other iolations of the A2CA.

Sec. 14. Authority to 5sta4lish Syste! of *ncenties and +e%ards. The A2CC
is a"thori6ed "nder Section 15 of the A2CA to establish a syste$ of special
incenties and rewards to be !ien to the appropriate !oern$ent a!ency and its
personnel that led and initiated the inesti!ation% prosec"tion% and coniction of
persons inoled in $oney la"nderin! offenses "nder Section 3 of the A2CA.
Any $onetary reward shall be $ade payable o"t of the f"nds appropriated by
Con!ress.

Sec. 11. "ther *nherent3 9ecessary3 *!#lied or *ncidental Po%ers. The A2CC
shall perfor$ s"ch other f"nctions and e&ercise s"ch other powers as $ay be
inherent% necessary% i$plied or incidental to the f"nctions assi!ned% and powers
!ranted% to it "nder the A2CA for the p"rpose of carryin! o"t the declared policy
of the A2CA.

;ECE 3
2ONEH CAEN=E;IN> O((ENSES


Section 1. Money Laundering "ffenses and their Corres#onding Penalties.
2oney la"nderin! is a cri$e whereby the proceeds of an "nlawf"l actiity are
transacted% thereby $akin! the$ appear to hae ori!inated fro$ le!iti$ate
so"rces. It is a process co$prisin! of three *'+ sta!es% na$ely% place$ent or the
physical disposal of the cri$inal proceeds% layerin! or the separation of the
cri$inal proceeds fro$ their so"rce by creatin! layers of financial transactions to
dis!"ise the a"dit trail% and inte!ration or the proision of apparent le!iti$acy to
the cri$inal proceeds. Any transaction inolin! s"ch cri$inal proceeds or
atte$pt to transact the sa$e d"rin! the place$ent% layerin! or inte!ration sta!e
shall constit"te the cri$e of $oney la"nderin!.
*a+ Dhen it is co$$itted by a person who% knowin! that any $onetary
instr"$ent or property represents% inoles% or relates to% the proceeds of
any "nlawf"l actiity% transacts or atte$pts to transact said $onetary
instr"$ent or property% the penalty is i$prison$ent fro$ seen *9+ to
fo"rteen *13+ years and a fine of not less than Three $illion #hilippine
pesos *#hp'%444%444.44+ b"t not $ore than twice the al"e of the
$onetary instr"$ent or property inoled in the offense.
*b+ Dhen it is co$$itted by a person who% knowin! that any $onetary
instr"$ent or property inoles the proceeds of any "nlawf"l actiity%
perfor$s or fails to perfor$ any act% as a res"lt of which he facilitates the
offense of $oney la"nderin! referred to in para!raph *a+ aboe% the
penalty is i$prison$ent fro$ fo"r *3+ to seen *9+ years and a fine of not
less than One $illion fie h"ndred tho"sand #hilippine pesos
*#hp1%544%444.44+ b"t not $ore than Three $illion #hilippine pesos
*#hp'%444%444.44+.
*c+ Dhen it is co$$itted by a person who% knowin! that any $onetary
instr"$ent or property is re."ired "nder this Act to be disclosed and filed
with the A2CC% fails to do so% the penalty is i$prison$ent fro$ si& *8+
$onths to fo"r *3+ years or a fine of not less than One h"ndred tho"sand
#hilippine pesos *#hp144%444.44+ b"t not $ore than (ie h"ndred
tho"sand #hilippine pesos *#hp544%444.44+% or both.
Sec. 2. $nla%ful Actiities. - These refer to any act or o$ission or series or
co$bination thereof inolin! or hain! relation to the followin!)
*a+ 7idnappin! for ranso$ "nder Article of Act No. ':15% the ;eised
#enal Code% as a$ended0
*b+ ;obbery and e&tortion "nder Articles 2<3% 2<5% 2<8% 2<<% '44% '41
and '42 of the sa$e Code0
*c+ A"alified theft "nder Article '14 of the sa$e Code0
*d+ Swindlin! "nder Article '15 of the sa$e Code0
*e+ #iracy on the hi!h seas "nder the sa$e Code and #residential
=ecree *#.=.+ No. 5'20
*f+ =estr"ctie arson and $"rder as defined "nder the sa$e Code and
hi1ackin! and other iolations "nder ;ep"blic Act *;. A.+ No. 82'5%
incl"din! those perpetrated by terrorists a!ainst non-co$batant persons
and si$ilar tar!ets0
*!+ @"eten! and 2asiao p"nished as ille!al !a$blin! "nder #.=. No.
18420
*h+ S$"!!lin! "nder ;. A. Nos. 355 and 1<'90
*i+ Section '% para!raphs /% C% E% >% ? and I of ;. A. No. '41<% the Anti-
>raft and Corr"pt #ractices Act% as a$ended0
*1+ Sections '% 3% 5% 9% : and < of Article Two of ;. A. No. 8325% the
=an!ero"s =r"!s Act of 1<92 as a$ended0
*k+ #l"nder "nder ;. A. No. 94:4% as a$ended0
*l+ Biolations "nder ;. A. No. :9<2% the Electronic Co$$erce ct of 24440
*$+ (ra"d"lent practices and other iolations "nder ;. A. No. :9<<% the
Sec"rities ;e!"lation Code of 24440 and
*n+ (elonies or offenses of a si$ilar nat"re that are p"nishable "nder the
penal laws of other co"ntries.
Sec. '. &urisdiction of Money Laundering Cases. The ;e!ional Trial Co"rts
shall hae the 1"risdiction to try all cases on $oney la"nderin!. Those co$$itted
by p"blic officers and priate persons who are in conspiracy with s"ch p"blic
officers shall be "nder the 1"risdiction of the Sandi!anbayan.

Sec. 3. Prosecution of Money Laundering.
*a+ Any person $ay be char!ed with and conicted of both the offense of
$oney la"nderin! and the "nlawf"l actiity as defined "nder Section ' *i+
of the A2CA.
*b+ Any proceedin! relatin! to the "nlawf"l actiity shall be !ien
precedence oer the prosec"tion of any offense or iolation "nder the
A2CA witho"t pre1"dice to the iss"ance by the A2CC of a free6e order
with respect to the deposit% inest$ent or si$ilar acco"nt inoled therein
and resort to other re$edies proided "nder the A2CA.
*c+ 7nowled!e of the offender that any $onetary instr"$ent or property
represents% inoles% or relates to the proceeds of an "nlawf"l actiity or
that any $onetary instr"$ent or property is re."ired "nder the A2CA to
be disclosed and filed with the A2CC% $ay be established by direct
eidence or inferred fro$ the attendant circ"$stances.
*d+ All the ele$ents of eery $oney la"nderin! offense "nder Section 3 of
the A2CA $"st be proed by eidence beyond reasonable do"bt%
incl"din! the ele$ent of knowled!e that the $onetary instr"$ent or
property represents% inoles or relates to the proceeds of any "nlawf"l
actiity. No ele$ent of the "nlawf"l actiity% howeer% incl"din! the identity
of the perpetrators and the details of the act"al co$$ission of the "nlawf"l
actiity need be established by proof beyond reasonable do"bt. The
ele$ents of the offense of $oney la"nderin! are separate and distinct
fro$ the ele$ents of the felony or offense constit"tin! the "nlawf"l
actiity.
*e+ No case for $oney la"nderin! $ay be filed to the pre1"dice of a
candidate for an electoral office d"rin! an election period. ?oweer% this
prohibition shall not constit"te a bar to the prosec"tion of any $oney
la"nderin! case filed in co"rt before the election period.
*f+ The A2CC $ay apply% in the co"rse of the cri$inal proceedin!s% for
proisional re$edies to preent the $onetary instr"$ent or property
s"b1ect thereof fro$ bein! re$oed% concealed% conerted% co$$in!led
with other property or otherwise to preent its bein! fo"nd or taken by the
applicant or otherwise placed or taken beyond the 1"risdiction of the co"rt.
?oweer% no assets shall be attached to the pre1"dice of a candidate for
an electoral office d"rin! an election period.
*!+ Dhere there is coniction for $oney la"nderin! "nder Section 3 of the
A2CA% the co"rt shall iss"e a 1"d!$ent of forfeit"re in faor of the
>oern$ent of the #hilippines with respect to the $onetary instr"$ent or
property fo"nd to be proceeds of one or $ore "nlawf"l actiities. ?oweer%
no assets shall be forfeited to the pre1"dice of a candidate for an electoral
office d"rin! an election period.
*h+ ;estit"tion for any a!!rieed party shall be !oerned by the proisions
of the New Ciil Code.

;ECE 5
#;EBENTION O( 2ONEH CAEN=E;IN>


Section 1. Custo!er *dentification +e,uire!ents.
*a+ True *dentity of *ndiiduals as Clients. Coered instit"tions shall
establish appropriate syste$s and $ethods based on internationally
co$pliant standards and ade."ate internal controls for erifyin! and
recordin! the tr"e and f"ll identity of their c"sto$ers.
(or this p"rpose% they shall deelop clear c"sto$er acceptance policies
and proced"res when cond"ctin! b"siness relations or specific
transactions% s"ch as% b"t not li$ited to% openin! of deposit acco"nts%
acceptin! deposit s"bstit"tes% enterin! into tr"st and other fid"ciary
transactions% rentin! of safety deposit bo&es% perfor$in! re$ittances and
other lar!e cash transactions.
Dhen dealin! with c"sto$ers who are actin! as tr"stee% no$inee% a!ent
or in any capacity for and on behalf of another% coered instit"tions shall
erify and record the tr"e and f"ll identity of the person*s+ on whose behalf
a transaction is bein! cond"cted. Coered instit"tions shall also establish
and record the tr"e and f"ll identity of s"ch tr"stees% no$inees% a!ents
and other persons and the nat"re of their capacity and d"ties. In case a
coered instit"tion has do"bts as to whether s"ch persons are bein! "sed
as d"$$ies in circ"$ention of e&istin! laws% it shall i$$ediately $ake
the necessary in."iries to erify the stat"s of the b"siness relationship
between the parties.
*b+ Mini!u! *nfor!ation>Docu!ents re,uired for *ndiidual Custo!ers.
Coered instit"tions shall re."ire c"sto$ers to prod"ce ori!inal
doc"$ents of identity iss"ed by an official a"thority% preferably bearin! a
photo!raph of the c"sto$er. E&a$ples of s"ch doc"$ents are identity
cards and passports. Dhere practicable% file copies of doc"$ents of
identity are to be kept. Alternatiely% the identity card or passport n"$ber
andGor other releant details are to be recorded. The followin! $ini$"$
infor$ationGdoc"$ents shall be obtained fro$ indiid"al c"sto$ers)

*1+ Na$e0
*2+ #resent address0
*'+ #er$anent address0
*3+ =ate and place of birth0
*5+ Nationality0
*8+ Nat"re of work and na$e of e$ployer or nat"re of self-
e$ploy$entGb"siness0
*9+ Contact n"$bers0
*:+ Ta& identification n"$ber% Social Sec"rity Syste$ n"$ber or
>oern$ent Serice and Ins"rance Syste$ n"$ber0
*<+ Speci$en si!nat"re0
*14+ So"rce of f"nd*s+0 and
*11+ Na$es of beneficiaries in case of ins"rance contracts and
wheneer applicable.

*c+ Mini!u! *nfor!ation>Docu!ents +e,uired for Cor#orate and &uridical
5ntities. /efore establishin! b"siness relationships% coered instit"tions
shall endeaor to ens"re that the c"sto$er that is a corporate or 1"ridical
entity has not been or is not in the process of bein!% dissoled% wo"nd "p
or oided% or that its b"siness or operations has not been or is not in the
process of bein!% closed% sh"t down% phased o"t% or ter$inated. =ealin!s
with shell co$panies and corporations% bein! le!al entities which hae no
b"siness s"bstance in their own ri!ht b"t thro"!h which financial
transactions $ay be cond"cted% sho"ld be "ndertaken with e&tre$e
ca"tion. The followin! $ini$"$ infor$ationGdoc"$ents shall be obtained
fro$ c"sto$ers that are corporate or 1"ridical entities% incl"din! shell
co$panies and corporations)

*1+ Articles of IncorporationG#artnership0
*2+ /y-laws0
*'+ Official address or principal b"siness address0
*3+ Cist of directorsGpartners0
*5+ Cist of principal stockholders ownin! at least two percent *2L+
of the capital stock0
*8+ Contact n"$bers0
*9+ /eneficial owners% if any0 and
*:+ Berification of the a"thority and identification of the person
p"rportin! to act on behalf of the client.

*d+ <erification %ithout /ace-to-/ace Contact. . To the e&tent and thro"!h
s"ch $eans allowed "nder e&istin! laws and applicable r"les and
re!"lations of the /S#% the SEC and the IC% coered instit"tions $ay
create new acco"nts witho"t face-to-face contact. ?oweer% s"ch new
acco"nts shall not be alid and effectie "nless the c"sto$er co$plies
with the re."ire$ents "nder the two *2+ i$$ediately precedin!
s"bsections and s"ch other re."ire$ents that hae been or will be
i$posed by the /S#% the SEC and the IC% as the case $ay be% p"rs"ant
to ;"le 5 of these ;"les andGor their respectie charters% within ten *14+
days fro$ the creation of the new acco"nts. Enless s"ch re."ire$ents
hae been f"lly co$plied with% no transaction shall be honored by any
coered instit"tion respectin! an acco"nt created witho"t face-to-face
contact.
*e+ Ac,uisition of Another Coered *nstitution. . Dhen a coered
instit"tion ac."ires the b"siness of another coered instit"tion% either in
whole or as a prod"ct portfolio% it is not necessary for the identity of all
e&istin! c"sto$ers to be re-established) Proided3 That all c"sto$er
acco"nt records are ac."ired with the b"siness and d"e dili!ence
in."iries do not raise any do"bt as to whether or not the ac."ired
b"siness has f"lly co$plied with all the re."ire$ents "nder the A2CA and
these ;"les.
*f+ +is2-!onitoring and +eie%. Coered instit"tions shall adopt pro!ra$s
for on-!oin! $onitorin! of hi!h-risk acco"nts and risk $ana!e$ent%
s"b1ect to s"ch r"les and re!"lations as $ay be prescribed by the
appropriate S"perisin! A"thority. ;e!"lar reiews of c"sto$er base
sho"ld be "ndertaken to ens"re that the nat"re of acco"nts and potential
risks are properly identified% $onitored and controlled.
*!+ Prohi4ition against Certain Accounts. Coered instit"tions shall
$aintain acco"nts only in the tr"e na$e of the acco"nt owner or holder.
The proisions of e&istin! laws to the contrary notwithstandin!%
anony$o"s acco"nts% acco"nts "nder fictitio"s na$es% incorrect na$e
acco"nts and all other si$ilar acco"nts shall be absol"tely prohibited.
*h+ 9u!4ered Accounts. #eso and forei!n c"rrency non-checkin!
n"$bered acco"nts shall be allowed) Proided3 That the tr"e identity of
the c"sto$er is satisfactorily established based on official and other
reliable doc"$ents and records% and that the infor$ation and doc"$ents
re."ired "nder Section 1 *b+ and *c+ of ;"le 5 of these ;"les are obtained
and recorded by the coered instit"tion. The /S# $ay cond"ct ann"al
testin! for the p"rpose of deter$inin! the e&istence and tr"e identity of the
owners of s"ch acco"nts.
Sec. 2. +ecord2ee#ing +e,uire!ents. Coered transactions shall prepare and
$aintain doc"$entation on their c"sto$er acco"nts% relationships and
transactions s"ch that any acco"nt% relationship or transaction can be so
reconstr"cted as to enable the A2CC% the law enforce$ent and prosec"torial
a"thorities% andGor the co"rts to establish an a"dit trail for $oney la"nderin!.
*a+ 56isting and 9e% Accounts and 9e% Transactions. All records of
e&istin! and new acco"nts and of new transactions shall be $aintained
and safely stored for fie *5+ years fro$ October 19% 2441 or fro$ the
dates of the acco"nts or transactions% whicheer is later.
*b+ Closed Accounts. Dith respect to closed acco"nts% the records on
c"sto$er identification% acco"nt files and b"siness correspondence shall
be presered and safely stored for at least fie *5+ years fro$ the dates
when they were closed.
*c+ +etention of +ecords in Case a Money Laundering Case 7as 1een
/iled in Court. . If a $oney la"nderin! case based on any record kept by
the coered instit"tion concerned has been filed in co"rt% said file $"st be
retained beyond the period stip"lated in the two *2+ i$$ediately precedin!
s"bsections% as the case $ay be% "ntil it is confir$ed that the case has
been finally resoled or ter$inated by the co"rt.
*d+ /or! of +ecords. . ;ecords shall be retained as ori!inals or certified
tr"e copies on paper% $icrofil$ or electronic for$) Proided3 That s"ch
for$s are ad$issible in co"rt p"rs"ant to e&istin! laws and the applicable
r"les pro$"l!ated by the S"pre$e Co"rt.
*e+ Penalties for /ailure to -ee# +ecords. The penalty of i$prison$ent
fro$ si& *8+ $onths to one *1+ year or a fine of not less than One h"ndred
tho"sand #hilippine pesos *#hp144%444.44+ b"t not $ore than (ie
h"ndred tho"sand #hilippine pesos *#hp544%444.44+% or both% shall be
i$posed on a person conicted for a iolation of Section < *b+ of the
A2CA.
Sec. '. Money Laundering Preention Progra!s. . Coered instit"tions shall
for$"late their respectie $oney la"nderin! preention pro!ra$s in accordance
with Section < and other pertinent proisions of the A2CA and Sections 1 and 2
of ;"les ' and 3 and other pertinent proisions of these ;"les% s"b1ect to s"ch
!"idelines as $ay be prescribed by the S"perisin! A"thority and approed by
the A2CC. Eery coered instit"tion shall s"b$it its own $oney la"nderin!
pro!ra$ to the S"perisin! A"thority concerned within a non-e&tendible period of
si&ty *84+ days fro$ the date of effectiity of these ;"les.
Eery $oney la"nderin! pro!ra$ shall establish detailed proced"res
i$ple$entin! a co$prehensie% instit"tion-wide ,know-yo"r-client, policy% set-"p
an effectie disse$ination of infor$ation on $oney la"nderin! actiities and their
preention% detection and reportin!% adopt internal policies% proced"res and
controls% desi!nate co$pliance officers at $ana!e$ent leel% instit"te ade."ate
screenin! and recr"it$ent proced"res% and set-"p an a"dit f"nction to test the
syste$.
Coered instit"tions shall adopt% as part of their $oney la"nderin! pro!ra$s% a
syste$ of fla!!in! and $onitorin! transactions that ."alify as coered
transactions e&cept that they inole a$o"nts below the threshold to facilitate the
process of a!!re!atin! the$ for p"rposes of f"t"re reportin! of s"ch transactions
to the A2CC when their a!!re!ated a$o"nts breach the threshold. Coered
instit"tions not s"b1ect to acco"nt secrecy laws shall incorporate in their $oney
la"nderin! pro!ra$s the proisions of Section 1% ;"le ' of these ;"les and s"ch
other !"idelines for the ol"ntary reportin! to the A2CC of all transactions that
en!ender the reasonable belief that a $oney la"nderin! offense is abo"t to be% is
bein!% or has been co$$itted.
Sec. 3. Training of Personnel. Coered instit"tions shall proide all their
responsible officers and personnel with efficient and effectie trainin! and
contin"in! ed"cation pro!ra$s to enable the$ to f"lly co$ply with all their
obli!ations "nder the A2CA and these ;"les.

;ECE 8
(O;(EITE;E


Section 1. Ciil /orfeiture. - Dhen there is a coered transaction report $ade%
and the co"rt has% in a petition filed for the p"rpose ordered sei6"re of any
$onetary instr"$ent or property% in whole or in part% directly or indirectly% related
to said report% the ;eised ;"les of Co"rt on ciil forfeit"re shall apply. ?oweer%
no assets shall be forfeited to the pre1"dice of a candidate for an electoral office
d"rin! an election period.
Sec. 2. Clai! on /orfeited Assets. - Dhere the co"rt has iss"ed an order of
forfeit"re of the $onetary instr"$ent or property in a cri$inal prosec"tion for any
$oney la"nderin! offense "nder Section 3 of the A2CA% the offender or any
other person clai$in! an interest therein $ay apply% by erified petition% for a
declaration that the sa$e le!iti$ately belon!s to hi$ and for se!re!ation or
e&cl"sion of the $onetary instr"$ent or property correspondin! thereto. The
erified petition shall be filed with the co"rt which rendered the 1"d!$ent of
coniction and order of forfeit"re% within fifteen *15+ days fro$ the date of the
order of forfeit"re% in defa"lt of which the said order shall beco$e final and
e&ec"tory. This proision shall apply in both ciil and cri$inal forfeit"re.
Sec. '. Pay!ent in lieu of /orfeiture. - Dhere the co"rt has iss"ed an order of
forfeit"re of the $onetary instr"$ent or property s"b1ect of a $oney la"nderin!
offense "nder Section 3 of the A2CA% and said order cannot be enforced
beca"se any partic"lar $onetary instr"$ent or property cannot% with d"e
dili!ence% be located% or it has been s"bstantially altered% destroyed% di$inished
in al"e or otherwise rendered worthless by any act or o$ission% directly or
indirectly% attrib"table to the offender% or it has been concealed% re$oed%
conerted or otherwise transferred to preent the sa$e fro$ bein! fo"nd or to
aoid forfeit"re thereof% or it is located o"tside the #hilippines or has been placed
or bro"!ht o"tside the 1"risdiction of the co"rt% or it has been co$$in!led with
other $onetary instr"$ents or property belon!in! to either the offender hi$self
or a third person or entity% thereby renderin! the sa$e diffic"lt to identify or be
se!re!ated for p"rposes of forfeit"re% the co"rt $ay% instead of enforcin! the
order of forfeit"re of the $onetary instr"$ent or property or part thereof or
interest therein% accordin!ly order the conicted offender to pay an a$o"nt e."al
to the al"e of said $onetary instr"$ent or property. This proision shall apply in
both ciil and cri$inal forfeit"re.

;ECE 9
2ETEAC ASSISTANCE A2ON> STATES


Section 1. +e,uest for Assistance fro! a /oreign State. - Dhere a forei!n state
$akes a re."est for assistance in the inesti!ation or prosec"tion of a $oney
la"nderin! offense% the A2CC $ay e&ec"te the re."est or ref"se to e&ec"te the
sa$e and infor$ the forei!n state of any alid reason for not e&ec"tin! the
re."est or for delayin! the e&ec"tion thereof. The principles of $"t"ality and
reciprocity shall% for this p"rpose% be at all ti$es reco!ni6ed.
Sec. 2. Po%ers of the AMLC to Act on a +e,uest for Assistance fro! a /oreign
State. - The A2CC $ay e&ec"te a re."est for assistance fro$ a forei!n state by)
*a+ trackin! down% free6in!% restrainin! and sei6in! assets alle!ed to be proceeds
of any "nlawf"l actiity "nder the proced"res laid down in the A2CA and in these
;"les0 *b+ !iin! infor$ation needed by the forei!n state within the proced"res
laid down in the A2CA and in these ;"les0 and *c+ applyin! for an order of
forfeit"re of any $onetary instr"$ent or property in the co"rt) Proided3 That the
co"rt shall not iss"e s"ch an order "nless the application is acco$panied by an
a"thenticated copy of the order of a co"rt in the re."estin! state orderin! the
forfeit"re of said $onetary instr"$ent or property of a person who has been
conicted of a $oney la"nderin! offense in the re."estin! state% and a
certification or an affidait of a co$petent officer of the re."estin! state statin!
that the coniction and the order of forfeit"re are final and that no f"rther appeal
lies in respect of either.

Sec. '. "4taining Assistance /ro! /oreign States. - The A2CC $ay $ake a
re."est to any forei!n state for assistance in *a+ trackin! down% free6in!%
restrainin! and sei6in! assets alle!ed to be proceeds of any "nlawf"l actiity0 *b+
obtainin! infor$ation that it needs relatin! to any coered transaction% $oney
la"nderin! offense or any other $atter directly or indirectly related thereto0 *c+ to
the e&tent allowed by the law of the forei!n state% applyin! with the proper co"rt
therein for an order to enter any pre$ises belon!in! to or in the possession or
control of% any or all of the persons na$ed in said re."est% andGor search any or
all s"ch persons na$ed therein andGor re$oe any doc"$ent% $aterial or ob1ect
na$ed in said re."est) Proided3 That the doc"$ents acco$panyin! the re."est
in s"pport of the application hae been d"ly a"thenticated in accordance with the
applicable law or re!"lation of the forei!n state0 and *d+ applyin! for an order of
forfeit"re of any $onetary instr"$ent or property in the proper co"rt in the forei!n
state) Proided3 That the re."est is acco$panied by an a"thenticated copy of the
order of the ;e!ional Trial Co"rt orderin! the forfeit"re of said $onetary
instr"$ent or property of a conicted offender and an affidait of the clerk of
co"rt statin! that the coniction and the order of forfeit"re are final and that no
f"rther appeal lies in respect of either.

Sec. 3. Li!itations on +e,uests for Mutual Assistance. - The A2CC $ay ref"se
to co$ply with any re."est for assistance where the action so"!ht by the re."est
contraenes any proision of the Constit"tion or the e&ec"tion of a re."est is
likely to pre1"dice the national interest of the #hilippines% "nless there is a treaty
between the #hilippines and the re."estin! state relatin! to the proision of
assistance in relation to $oney la"nderin! offenses.

Sec. 5. +e,uire!ents for +e,uests for Mutual Assistance fro! /oreign States. -
A re."est for $"t"al assistance fro$ a forei!n state $"st *a+ confir$ that an
inesti!ation or prosec"tion is bein! cond"cted in respect of a $oney la"nderer
na$ed therein or that he has been conicted of any $oney la"nderin! offense0
*b+ state the !ro"nds on which any person is bein! inesti!ated or prosec"ted for
$oney la"nderin! or the details of his coniction0 *c+ !ie s"fficient partic"lars as
to the identity of said person0 *d+ !ie partic"lars s"fficient to identify any coered
instit"tion belieed to hae any infor$ation% doc"$ent% $aterial or ob1ect which
$ay be of assistance to the inesti!ation or prosec"tion0 *e+ ask fro$ the
coered instit"tion concerned any infor$ation% doc"$ent% $aterial or ob1ect
which $ay be of assistance to the inesti!ation or prosec"tion0 *f+ specify the
$anner in which and to who$ said infor$ation% doc"$ent% $aterial or ob1ect
obtained p"rs"ant to said re."est% is to be prod"ced0 *!+ !ie all the partic"lars
necessary for the iss"ance by the co"rt in the re."ested state of the writs% orders
or processes needed by the re."estin! state0 and *:+ contain s"ch other
infor$ation as $ay assist in the e&ec"tion of the re."est.

Sec. 8. Authentication of Docu!ents. - (or p"rposes of Section 1' of the A2CA
and ;"le 9 of these ;"les% a doc"$ent is a"thenticated if the sa$e is si!ned or
certified by a 1"d!e% $a!istrate or e."ialent officer in or of% the re."estin! state%
and a"thenticated by the oath or affir$ation of a witness or sealed with an official
or p"blic seal of a $inister% secretary of state% or officer in or of% the !oern$ent
of the re."estin! state% or of the person ad$inisterin! the !oern$ent or a
depart$ent of the re."estin! territory% protectorate or colony. The certificate of
a"thentication $ay also be $ade by a secretary of the e$bassy or le!ation%
cons"l !eneral% cons"l% ice cons"l% cons"lar a!ent or any officer in the forei!n
serice of the #hilippines stationed in the forei!n state in which the record is
kept% and a"thenticated by the seal of his office.
Sec. 9. 56tradition. The #hilippines shall ne!otiate for the incl"sion of $oney
la"nderin! offenses as defined "nder Section 3 of the A2CA a$on! the
e&traditable offenses in all f"t"re treaties.

;ECE :
A2EN=2ENTS AN= E((ECTIBITH


Section 1. A!end!ents. These ;"les or any portion thereof $ay be a$ended
by "nani$o"s ote of the $e$bers of the A2CC and approed by the
Con!ressional Oersi!ht Co$$ittee as proided for "nder Section 1< of the
A2CA.
Sec. 2. 5ffectiity. These ;"les shall take effect after its approal by the
Con!ressional Oersi!ht Co$$ittee and fifteen *15+ days after the co$pletion of
its p"blication in the "fficial 8a0ette or in a newspaper of !eneral circ"lation.


III. EXPLANATIONS
I . DEFINITIONS:
(a) "Covered i!"i"#"io" re$er! "o:
(1) banks, non-banks, quasi-banks, trust entities, and all
other institutions and their subsidiaries and affiliates
supervised or regulated by the Bangko Sentral ng
Pilipinas (BSP);
() insuran!e !o"panies and all other institutions
supervised or regulated by the #nsuran!e $o""ission;
and

(%)
a& se!urities dealers, brokers, sales"en,
invest"ent houses and other si"ilar entities
"anaging se!urities or rendering servi!es as
invest"ent agent, advisor, or !onsultant;

b& "utual funds, !lose-end invest"ent !o"panies,
!o""on trust funds, pre-need !o"panies and
other si"ilar entities;

!& foreign e'!hange !orporations, "oney
!hangers, "oney pay"ent, re"ittan!e, and
transfer !o"panies and other si"ilar entities; and

d& other entities ad"inistering or other(ise
dealing in !urren!y, !o""odities or finan!ial
derivatives based thereon, valuable ob)e!ts, !ash
substitutes and other si"ilar "onetary instru"ents
or property supervised or regulated by the
Se!urities and *'!hange $o""ission&
(%) "Covered transaction" is a single, series, or !o"bination of
transa!tions involving a total a"ount in e'!ess of +our ,illion
Philippine pesos (PhP-,...,...&..) or an equivalent a"ount in
foreign !urren!y based on the prevailing e'!hange rate (ithin five
(/) !onse!utive banking days e'!ept those bet(een a !overed
institution and a person (ho, at the ti"e of the transa!tion (as a
properly identified !lient and the a"ount is !o""ensurate (ith the
business or finan!ial !apa!ity of the !lient; or those (ith an
underlying legal or trade obligation, purpose, origin or e!ono"i!
)ustifi!ation&
#t like(ise refers to a single, series or !o"bination or pattern of
unusually large and !o"ple' transa!tions in e'!ess of +our ,illion
Philippine pesos (PhP-,...,...&..) espe!ially !ash deposits and
invest"ents having no !redible purpose or origin, underlying trade
obligation or !ontra!t&
II. &ONETAR' INSTRU&ENT ()IC) &A' *E SU*+ECT OF &ONE'
LAUNDERIN,.
(!) "Monetary instrument" refers to:
(1) !oins or !urren!y of legal tender of the Philippines,
or of any other !ountry;
() drafts, !he!ks and notes;
(%) se!urities or negotiable instru"ents, bonds,
!o""er!ial papers, deposit !ertifi!ates, trust
!ertifi!ates, !ustodial re!eipts or deposit substitute
instru"ents, trading orders, transa!tion ti!kets and
!onfir"ations of sale or invest"ents and "oney "arket
instru"ents; and
(-) other si"ilar instru"ents (here title thereto passes
to another by endorse"ent, assign"ent or delivery&
(d) "Offender" refers to any person (ho !o""its a "oney
laundering offense&
(e) "Person" refers to any natural or )uridi!al person&
(f) "Proceeds" refers to an a"ount derived or reali0ed fro" an
unla(ful a!tivity&
(g) "Supervising Authority" refers to the appropriate
supervisory or regulatory agen!y, depart"ent or offi!e supervising
or regulating the !overed institutions enu"erated in Se!tion %(a)&
(h) "Transaction" refers to any a!t establishing any right or
obligation or giving rise to any !ontra!tual or legal relationship
bet(een the parties thereto& #t also in!ludes any "ove"ent of
funds by any "eans (ith a !overed institution&
III. UNLA(FUL ACTI-ITIES )A-IN, RELATION TO &ONE'
LAUNDERIN,.
(i) Unlawful activity" refers to any a!t or o"ission or series
or !o"bination thereof involving or having relation to the follo(ing:
(1) 1idnapping for ranso" under 2rti!le 34 of 2!t 5o&
%61/, other(ise kno(n as the 7evised Penal $ode, as
a"ended;
() Se!tions %, -, /, 4, 6 and 8 of 2rti!le 9(o of 7epubli!
2!t 5o& 3-/, as a"ended, other(ise kno(n as the
:angerous :rugs 2!t of 184;
(%) Se!tion % paragraphs B, $, *, ;, < and # of 7epubli!
2!t 5o& %.18, as a"ended, other(ise kno(n as the 2nti-
;raft and $orrupt Pra!ti!es 2!t;
(-) Plunder under 7epubli! 2!t 5o& 4.6., as a"ended;
(/) 7obbery and e'tortion under 2rti!les 8-, 8/, 83,
88, %.., %.1 and %. of the 7evised Penal $ode, as
a"ended;
(3) =ueteng and ,asiao punished as illegal ga"bling
under Presidential :e!ree 5o& 13.;
(4) Pira!y on the high seas under the 7evised Penal
$ode, as a"ended and Presidential :e!ree 5o& /%;
(6) >ualified theft under 2rti!le %1. of the 7evised
Penal $ode, as a"ended;
(8) S(indling under 2rti!le %1/ of the 7evised Penal
$ode, as a"ended;
(1.) S"uggling under 7epubli! 2!t 5os& -// and 18%4;
(11) ?iolations under 7epubli! 2!t 5o& 648, other(ise
kno(n as the *le!troni! $o""er!e 2!t of ...;
(1) <i)a!king and other violations under 7epubli! 2!t
5o& 3%/; destru!tive arson and "urder, as defined
under the 7evised Penal $ode, as a"ended, in!luding
those perpetrated by terrorists against non-!o"batant
persons and si"ilar targets;
(1%) +raudulent pra!ti!es and other violations under
7epubli! 2!t 5o& 6488, other(ise kno(n as the
Se!urities 7egulation $ode of ...;
(1-) +elonies or offenses of a si"ilar nature that are
punishable under the penal la(s of other !ountries&
III. NATURE OF T)E CRI&E OF &ONE' LAUNDERIN,.
,oney laundering is a !ri"e (hereby the pro!eeds of an
unla(ful a!tivity are transa!ted, thereby "aking the" appear to
have originated fro" legiti"ate sour!es& #t is !o""itted by the
follo(ing:
(a) 2ny person kno(ing that any "onetary instru"ent or
property represents, involves, or relates to, the pro!eeds of
any unla(ful a!tivity, transa!ts or atte"pts to transa!t said
"onetary instru"ent or property&
(b) 2ny person kno(ing that any "onetary instru"ent or
property involves the pro!eeds of any unla(ful a!tivity,
perfor"s or fails to perfor" any a!t as a result of (hi!h he
fa!ilitates the offense of "oney laundering referred to in
paragraph (a) above&
(!) 2ny person kno(ing that any "onetary instru"ent or
property is required under this 2!t to be dis!losed and filed
(ith the 2nti-,oney @aundering $oun!il (2,@$), fails to do so&
I-. COURT OF +URISDICTION O-ER CASES OF &ONE' LAUNDERIN,.
9he regional trial !ourts shall have )urisdi!tion to try all !ases
on "oney laundering& 9hose !o""itted by publi! offi!ers and
private persons (ho are in !onspira!y (ith su!h publi! offi!ers shall
be under the )urisdi!tion of the Sandiganbayan&
()O &A' *E PROSECUTED FOR &ONE' LAUNDERIN,.
(a) 2ny person "ay be !harged (ith and !onvi!ted of both the
offense of "oney laundering and the unla(ful a!tivity as
herein defined&
(b) 2ny pro!eeding relating to the unla(ful a!tivity shall be
given pre!eden!e over the prose!ution of any offense or
violation under this 2!t (ithout pre)udi!e to the free0ing and
other re"edies provided&
-. T)E PO(ERS OF A&LC.
S*$& 4& Creation of Anti-Money Laundering Council (AMLC). A 9he
2nti-,oney @aundering $oun!il is hereby !reated and shall be
!o"posed of the ;overnor of the Bangko Sentral ng Pilipinas as
!hair"an, the $o""issioner of the #nsuran!e $o""ission and the
$hair"an of the Se!urities and *'!hange $o""ission as "e"bers&
9he 2,@$ shall a!t unani"ously in the dis!harge of its fun!tions as
defined hereunder:
(1) to require and re!eive !overed transa!tion reports fro"
!overed institutions;
() to issue orders addressed to the appropriate Supervising
2uthority or the !overed institution to deter"ine the true
identity of the o(ner of any "onetary instru"ent or property
sub)e!t of a !overed transa!tion report or request for
assistan!e fro" a foreign State, or believed by the $oun!il, on
the basis of substantial eviden!e, to be, in (hole or in part,
(herever lo!ated, representing, involving, or related to,
dire!tly or indire!tly, in any "anner or by any "eans, the
pro!eeds of an unla(ful a!tivity;
(%) to institute !ivil forfeiture pro!eedings and all other
re"edial pro!eedings through the Bffi!e of the Soli!itor
;eneral;
(-) to !ause the filing of !o"plaints (ith the :epart"ent of
=usti!e or the B"buds"an for the prose!ution of "oney
laundering offenses;
(/) to initiate investigations of !overed transa!tions, "oney
laundering a!tivities and other violations of this 2!t;
(3) to free0e any "onetary instru"ent or property alleged to
be pro!eeds of any unla(ful a!tivity;
(4) to i"ple"ent su!h "easures as "ay be ne!essary and
)ustified under this 2!t to !ountera!t "oney laundering;
(6) to re!eive and take a!tion in respe!t of, any request fro"
foreign states for assistan!e in their o(n anti-"oney
laundering operations provided in this 2!t;
(8) to develop edu!ational progra"s on the perni!ious effe!ts
of "oney laundering, the "ethods and te!hniques used in
"oney laundering, the viable "eans of preventing "oney
laundering and the effe!tive (ays of prose!uting and
punishing offenders; and
(1.) to enlist the assistan!e of any bran!h, depart"ent,
bureau, offi!e, agen!y or instru"entality of the govern"ent,
in!luding govern"ent-o(ned and -!ontrolled !orporations, in
undertaking any and all anti-"oney laundering operations,
(hi!h "ay in!lude the use of its personnel, fa!ilities and
resour!es for the "ore resolute prevention, dete!tion and
investigation of "oney laundering offenses and prose!ution of
offenders&
-I. &EASURES TO *E UNDERTA/EN *' *AN/S AND UNDER
FINANCIAL INSTITUTION TO PRE-ENT &ONE' LAUNDERIN,.

(a) Customer Identification - $overed institutions shall
establish and re!ord the true identity of its !lients based on offi!ial
do!u"ents& 9hey shall "aintain a syste" of verifying the true
identity of their !lients and, in !ase of !orporate !lients, require a
syste" of verifying their legal e'isten!e and organi0ational
stru!ture, as (ell as the authority and identifi!ation of all persons
purporting to a!t on their behalf&
9he provisions of e'isting la(s to the !ontrary
not(ithstanding, anony"ous a!!ounts, a!!ounts under fi!titious
na"es, and all other si"ilar a!!ounts shall be absolutely prohibited&
Peso and foreign !urren!y non-!he!king nu"bered a!!ounts shall be
allo(ed& 9he BSP "ay !ondu!t annual testing solely li"ited to the
deter"ination of the e'isten!e and true identity of the o(ners of
su!h a!!ounts&
(b) !ecord "eeping. - 2ll re!ords of all transa!tions of
!overed institutions shall be "aintained and safely stored for five
(/) years fro" the dates of transa!tions& Cith respe!t to !losed
a!!ounts, the re!ords on !usto"er identifi!ation, a!!ount files and
business !orresponden!e, shall be preserved and safely stored for at
least five (/) years fro" the dates (hen they (ere !losed&
(!) !eporting of Covered Transactions. - $overed
institutions shall report to the 2,@$ all !overed transa!tions (ithin
five (/) (orking days fro" o!!urren!e thereof, unless the
Supervising 2uthority !on!erned pres!ribes a longer period not
e'!eeding ten (1.) (orking days&
Chen reporting !overed transa!tions to the 2,@$, !overed
institutions and their offi!ers, e"ployees, representatives, agents,
advisors, !onsultants or asso!iates shall not be dee"ed to have
violated 7epubli! 2!t 5o& 1-./, as a"ended; 7epubli! 2!t 5o& 3-3,
as a"ended; 7epubli! 2!t 5o& 6481 and other si"ilar la(s, but are
prohibited fro" !o""uni!ating, dire!tly or indire!tly, in any
"anner or by any "eans, to any person the fa!t that a !overed
transa!tion report (as "ade, the !ontents thereof, or any other
infor"ation in relation thereto& #n !ase of violation thereof, the
!on!erned offi!er, e"ployee, representative, agent, advisor,
!onsultant or asso!iate of the !overed institution, shall be
!ri"inally liable&
<o(ever, no ad"inistrative, !ri"inal or !ivil pro!eedings,
shall lie against any person for having "ade a !overed transa!tion
report in the regular perfor"an!e of his duties and in good faith,
(hether or not su!h reporting results in any !ri"inal prose!ution
under this 2!t or any other Philippine la(&
Chen reporting !overed transa!tions to the 2,@$, !overed
institutions and their offi!ers, e"ployees, representatives, agents,
advisors, !onsultants or asso!iates are prohibited fro"
!o""uni!ating, dire!tly or indire!tly, in any "anner or by any
"eans, to any person, entity, the "edia, the fa!t that a !overed
transa!tion report (as "ade, the !ontents thereof, or any other
infor"ation in relation thereto& 5either "ay su!h reporting be
published or aired in any "anner or for" by the "ass "edia,
ele!troni! "ail, or other si"ilar devi!es& #n !ase of violation
thereof, the !on!erned offi!er, e"ployee, representative, agent,
advisor, !onsultant or asso!iate of the !overed institution, or "edia
shall be held !ri"inally liable&
AUT)ORIT' TO FREE0E T)E ACCOUNTS OF &ONE' 1LAUNDERERS2
Dpon deter"ination that probable !ause e'ists that any deposit or
si"ilar a!!ount is in any (ay related to an unla(ful a!tivity, the
2,@$ "ay issue a free0e order, (hi!h shall be effe!tive
i""ediately, on the a!!ount for a period not e'!eeding fifteen (1/)
days&
S"e3 1. 5oti!e to the depositor that his a!!ount has been fro0en
shall be issued si"ultaneously (ith the issuan!e of the free0e order&
S"e3 4. 9he depositor shall have seventy-t(o (4) hours upon
re!eipt of the noti!e to e'plain (hy the free0e order should be
lifted&
S"e3 5. 9he 2,@$ has seventy-t(o (4) hours to dispose of the
depositorEs e'planation& #f it fails to a!t (ithin seventy-t(o (4)
hours fro" re!eipt of the depositorEs e'planation, the free0e order
shall auto"ati!ally be dissolved&
S"e3 6. 9he fifteen (1/)-day free0e order of the 2,@$ "ay be
e'tended upon order of the !ourt, provided that the fifteen (1/)-
day period shall be tolled pending the !ourtEs de!ision to e'tend
the period&
&A' T)E COURT ISSUE TRO OR (RIT OF IN+UNCTION A,AINST
FREE0E ORDER ISSUED *' A&LC.
5o !ourt shall issue a te"porary restraining order or (rit of
in)un!tion against any free0e order issued by the 2,@$ e'!ept the
$ourt of 2ppeals or the Supre"e $ourt&
()EN &A' T)E A&LC IN7UIRE OR EXA&INE *AN/ ACCOUNTS.
5ot(ithstanding the provisions of 7epubli! 2!t 5o& 1-./, as
a"ended; 7epubli! 2!t 5o& 3-3, as a"ended; 7epubli! 2!t 5o&
6481, and other la(s, the 2,@$ "ay inquire into or e'a"ine any
parti!ular deposit or invest"ent (ith any banking institution or
non-bank finan!ial institution upon order of any !o"petent !ourt in
!ases of violation of this 2!t (hen it has been established that
there is probable !ause that the deposits or invest"ents involved
are in any (ay related to a "oney laundering offense: Provided,
9hat this provision shall not apply to deposits and invest"ents "ade
prior to the effe!tivity of this 2!t&
()AT ARE T)E FORFEITURES UNDER R.A. 9160.
a) Civil #orfeiture - Chen there is a !overed transa!tion
report "ade, and the !ourt has, in a petition filed for the purpose
ordered sei0ure of any "onetary instru"ent or property, in (hole
or in part, dire!tly or indire!tly, related to said report, the 7evised
7ules of $ourt on !ivil forfeiture shall apply&
(%) Claim on #orfeited Assets. - Chere the !ourt has issued
an order of forfeiture of the "onetary instru"ent or property in a
!ri"inal prose!ution for any "oney laundering offense defined
under Se!tion - of this 2!t, the offender or any other person
!lai"ing an interest therein "ay apply, by verified petition, for a
de!laration that the sa"e legiti"ately belongs to hi" and for
segregation or e'!lusion of the "onetary instru"ent or property
!orresponding thereto& 9he verified petition shall be filed (ith the
!ourt (hi!h rendered the )udg"ent of !onvi!tion and order of
forfeiture, (ithin fifteen (1/) days fro" the date of the order of
forfeiture, in default of (hi!h the said order shall be!o"e final and
e'e!utory& 9his provision shall apply in both !ivil and !ri"inal
forfeiture&
( 8) Payment in $ieu of #orfeiture. - Chere the !ourt has
issued an order of forfeiture of the "onetary instru"ent or property
sub)e!t of a "oney laundering offense defined under Se!tion -, and
said order !annot be enfor!ed be!ause any parti!ular "onetary
instru"ent or property !annot, (ith due diligen!e, be lo!ated, or it
has been substantially altered, destroyed, di"inished in value or
other(ise rendered (orthless by any a!t or o"ission, dire!tly or
indire!tly, attributable to the offender, or it has been !on!ealed,
re"oved, !onverted or other(ise transferred to prevent the sa"e
fro" being found or to avoid forfeiture thereof, or it is lo!ated
outside the Philippines or has been pla!ed or brought outside the
)urisdi!tion of the !ourt, or it has been !o""ingled (ith other
"onetary instru"ents or property belonging to either the offender
hi"self or a third person or entity, thereby rendering the sa"e
diffi!ult to identify or be segregated for purposes of forfeiture, the
!ourt "ay, instead of enfor!ing the order of forfeiture of the
"onetary instru"ent or property or part thereof or interest therein,
a!!ordingly order the !onvi!ted offender to pay an a"ount equal to
the value of said "onetary instru"ent or property& 9his provision
shall apply in both !ivil and !ri"inal forfeiture&
IS T)E A&LC AUT)ORI0ED TO RE7UEST FOR ASSISTANCE FRO&
FOREI,N STATES TO FREE0E9 TRAC/ DO(N AND SEI0E ASSETS
ALLE,ED TO *E PROCEEDS OF ILLE,AL ACTI-IT'.

(a) !e%uest for Assistance from a #oreign State. -
Chere a foreign State "akes a request for assistan!e in the
investigation or prose!ution of a "oney laundering offense, the
2,@$ "ay e'e!ute the request or refuse to e'e!ute the sa"e and
infor" the foreign State of any valid reason for not e'e!uting the
request or for delaying the e'e!ution thereof& 9he prin!iples of
"utuality and re!ipro!ity shall, for this purpose, be at all ti"es
re!ogni0ed&
(%) Powers of the AM$C to Act on a !e%uest for
Assistance from a #oreign State. - 9he 2,@$ "ay e'e!ute a
request for assistan!e fro" a foreign State by: (1) tra!king do(n,
free0ing, restraining and sei0ing assets alleged to be pro!eeds of
any unla(ful a!tivity under the pro!edures laid do(n in this 2!t; ()
giving infor"ation needed by the foreign State (ithin the
pro!edures laid do(n in this 2!t; and (%) applying for an order of
forfeiture of any "onetary instru"ent or property in the !ourt:
Provided, 9hat the !ourt shall not issue su!h an order unless the
appli!ation is a!!o"panied by an authenti!ated !opy of the order of
a !ourt in the requesting State ordering the forfeiture of said
"onetary instru"ent or property of a person (ho has been
!onvi!ted of a "oney laundering offense in the requesting State,
and a !ertifi!ation or an affidavit of a !o"petent offi!er of the
requesting State stating that the !onvi!tion and the order of
forfeiture are final and that no further appeal lies in respe!t of
either&
(8) O&taining Assistance from #oreign States - 9he 2,@$
"ay "ake a request to any foreign State for assistan!e in (1)
tra!king do(n, free0ing, restraining and sei0ing assets alleged to be
pro!eeds of any unla(ful a!tivity; () obtaining infor"ation that it
needs relating to any !overed transa!tion, "oney laundering
offense or any other "atter dire!tly or indire!tly related thereto;
(%) to the e'tent allo(ed by the la( of the foreign State, applying
(ith the proper !ourt therein for an order to enter any pre"ises
belonging to or in the possession or !ontrol of, any or all of the
persons na"ed in said request, andFor sear!h any or all su!h
persons na"ed therein andFor re"ove any do!u"ent, "aterial or
ob)e!t na"ed in said request: Provided, 9hat the do!u"ents
a!!o"panying the request in support of the appli!ation have been
duly authenti!ated in a!!ordan!e (ith the appli!able la( or
regulation of the foreign State; and (-) applying for an order of
forfeiture of any "onetary instru"ent or property in the proper
!ourt in the foreign State: Provided, 9hat the request is
a!!o"panied by an authenti!ated !opy of the order of the regional
trial !ourt ordering the forfeiture of said "onetary instru"ent or
property of a !onvi!ted offender and an affidavit of the !lerk of
!ourt stating that the !onvi!tion and the order of forfeiture are
final and that no further appeal lies in respe!t of either&
()EN &A' T)E A&LC REFUSE ON RE7UEST OF &UTUAL
ASSISTANCE SOU,)T *' OT)ER STATES.
(d) Limitations on Requests for Mutual Assistance. - 9he 2,@$
"ay refuse to !o"ply (ith any request for assistan!e (here the
a!tion sought by the request !ontravenes any provision of the
$onstitution or the e'e!ution of a request is likely to pre)udi!e the
national interest of the Philippines unless there is a treaty bet(een
the Philippines and the requesting State relating to the provision of
assistan!e in relation to "oney laundering offenses&
()AT ARE T)E RE7UIRE&ENTS FOR RE7UEST FOR &UTUAL
ASSISTANCE OF FOREI,N STATES.
2 request for "utual assistan!e fro" a foreign State "ust
(1) !onfir" that an investigation or prose!ution is being
!ondu!ted in respe!t of a "oney launderer na"ed therein or that
he has been !onvi!ted of any "oney laundering offense;
() state the grounds on (hi!h any person is being
investigated or prose!uted for "oney laundering or the details of
his !onvi!tion;
(%) give suffi!ient parti!ulars as to the identity of said
person;
(-) give parti!ulars suffi!ient to identify any !overed
institution believed to have any infor"ation, do!u"ent, "aterial or
ob)e!t (hi!h "ay be of assistan!e to the investigation or
prose!ution;
(/) ask fro" the !overed institution !on!erned any
infor"ation, do!u"ent, "aterial or ob)e!t (hi!h "ay be of
assistan!e to the investigation or prose!ution;
(3) spe!ify the "anner in (hi!h and to (ho" said
infor"ation, do!u"ent, "aterial or ob)e!t obtained pursuant to
said request, is to be produ!ed;
(4) give all the parti!ulars ne!essary for the issuan!e by the
!ourt in the requested State of the (rits, orders or pro!esses
needed by the requesting State; and
(6) !ontain su!h other infor"ation as "ay assist in the
e'e!ution of the request&
()AT IS T)E POLIC' CONCERNIN, AUT)ENTICATION OF
DOCU&ENTS UNDER T)IS ACT .
a do!u"ent is authenti!ated if the sa"e is signed or !ertified
by a )udge, "agistrate or equivalent offi!er in or of, the requesting
State, and authenti!ated by the oath or affir"ation of a (itness or
sealed (ith an offi!ial or publi! seal of a "inister, se!retary of
State, or offi!er in or of, the govern"ent of the requesting State, or
of the person ad"inistering the govern"ent or a depart"ent of the
requesting territory, prote!torate or !olony& 9he !ertifi!ate of
authenti!ation "ay also be "ade by a se!retary of the e"bassy or
legation, !onsul general, !onsul, vi!e !onsul, !onsular agent or any
offi!er in the foreign servi!e of the Philippines stationed in the
foreign State in (hi!h the re!ord is kept, and authenti!ated by the
seal of his offi!e&
()AT ARE T)E PENALTIES FOR T)E CRI&E OF &ONE'
LAUNDERIN,.
9he penalty of i"prison"ent ranging fro" seven (4) to
fourteen (1-) years and a fine of not less than 9hree ,illion
Philippine pesos (PhP%,...,...&..) but not "ore than t(i!e the
value of the "onetary instru"ent or property involved in the
offense, shall be i"posed upon a person !onvi!ted under Se!tion
-(a) of this 2!t&
9he penalty of i"prison"ent fro" four (-) to seven (4) years
and a fine of not less than Bne "illion five hundred thousand
Philippine pesos (PhP1,/..,...&..) but not "ore than 9hree "illion
Philippine pesos (PhP%,...,...&..), shall be i"posed upon a person
!onvi!ted under Se!tion -(b) of this 2!t&
9he penalty of i"prison"ent fro" si' (3) "onths to four (-)
years or a fine of not less than Bne hundred thousand Philippine
pesos (PhP1..,...&..) but not "ore than +ive hundred thousand
Philippine pesos (PhP/..,...&..), or both, shall be i"posed on a
person !onvi!ted under Se!tion -(!) of this 2!t&
(%) Penalties for #ailure to "eep !ecords - 9he penalty of
i"prison"ent fro" si' (3) "onths to one (1) year or a fine of not
less than Bne hundred thousand Philippine pesos (PhP1..,...&..)
but not "ore than +ive hundred thousand Philippine pesos
(PhP/..,...&..), or both, shall be i"posed on a person !onvi!ted
under Se!tion 8(b) of this 2!t&
(8) Malicious !eporting. - 2ny person (ho, (ith "ali!e, or in
bad faith, reports or files a !o"pletely un(arranted or false
infor"ation relative to "oney laundering transa!tion against any
person shall be sub)e!t to a penalty of si' (3) "onths to four (-)
years i"prison"ent and a fine of not less than Bne hundred
thousand Philippine pesos (PhP1..,...&..) but not "ore than +ive
hundred thousand Philippine pesos (PhP/..,...&..), at the
dis!retion of the !ourt: Provided, 9hat the offender is not entitled
to avail the benefits of the Probation @a(&
#f the offender is a !orporation, asso!iation, partnership or
any )uridi!al person, the penalty shall be i"posed upon the
responsible offi!ers, as the !ase "ay be, (ho parti!ipated in the
!o""ission of the !ri"e or (ho shall have kno(ingly per"itted or
failed to prevent its !o""ission& #f the offender is a )uridi!al
person, the !ourt "ay suspend or revoke its li!ense& #f the offender
is an alien, he shall, in addition to the penalties herein pres!ribed,
be deported (ithout further pro!eedings after serving the penalties
herein pres!ribed& #f the offender is a publi! offi!ial or e"ployee,
he shall, in addition to the penalties pres!ribed herein, suffer
perpetual or te"porary absolute disqualifi!ation fro" offi!e, as the
!ase "ay be&
2ny publi! offi!ial or e"ployee (ho is !alled upon to testify
and refuses to do the sa"e or purposely fails to testify shall suffer
the sa"e penalties pres!ribed herein&
(d) 'reach of Confidentiality - 9he punish"ent of
i"prison"ent ranging fro" three (%) to eight (6) years and a fine of
not less than +ive hundred thousand Philippine pesos
(PhP/..,...&..) but not "ore than Bne "illion Philippine pesos
(PhP1,...,...&..), shall be i"posed on a person !onvi!ted for a
violation under Se!tion 8(!)&
()O ARE ENTITLED TO RE(ARDS.
2 syste" of spe!ial in!entives and re(ards is hereby
established to be given to the appropriate govern"ent agen!y and
its personnel that led and initiated an investigation, prose!ution
and !onvi!tion of persons involved in the offense penali0ed in
Se!tion - of this 2!t&
CAN T)E A&LC FREE0E T)E ASSETS OF CANDIDATE FOR
ELECTORAL OFFICE DURIN, ELECTION PERIOD.
9his 2!t shall not be used for politi!al perse!ution or
harass"ent or as an instru"ent to ha"per !o"petition in trade and
!o""er!e&
5o !ase for "oney laundering "ay be filed against and no
assets shall be fro0en, atta!hed or forfeited to the pre)udi!e of a
!andidate for an ele!toral offi!e during an ele!tion period&
&A' T)IS LA( *E APPLIED RETROACTI-EL'.
9he provisions of this 2!t shall not apply to deposits and
invest"ents "ade prior to its effe!tivity&