ANTI-MONEY LAUNDERING ACT OF 2021 Money laundering is a crime whereby the proceeds of an unlawful

Republic Act 9160 activity are transacted, thereby making it appear to have originated
from legitimate sources. It is committed by the following:
1. Any person knowing that any monetary instrument or
Be it enacted by the Senate and the House of Representatives of property represents, involves, or relates to, the proceeds
the Philippines in Congress assembled. of any unlawful activity, transacts or attempts to transact
said monetary instrument or property.
Declaration of Policy. - It is hereby declared the policy of the state
to protect and preserve the integrity and confidentiality of bank 2. Any person knowing that any monetary instrument or
accounts and to ensure that the Philippines shall not be used as a property involves the proceeds of any unlawful activity,
money laundering site for the proceeds of any unlawful activity. performs or fails to perform any act as a result of which
he facilitates the offense of money laundering referred to
Consistent with its foreign policy, the Philippines shall extend in paragraph (a) above.
cooperation in transnational investigations and prosecutions of
persons involved in money laundering activities wherever 3. Any person knowing that any monetary instrument or
committed. property is required under this Act to be disclosed and
Covered Institutions "Person" refers to any natural or juridical filed with the Anti-Money Laundering Council
person. (AMLC), fails to do so.

COVERED INSTITUTION JURISDICTION OF MONEY LAUNDERING CASES

1) supervised or regulated by the Bangko Sentral ng Pilipinas 1) Regional Trial Court

(BSP); The RTC shall have jurisdiction to money laundering
- banks, non-banks, quasi-banks, trust entities, and all cases committed by private individuals and public
other institutions and their subsidiaries and affiliates; officers not covered by Sandiganbayan. (try all cases)

2) supervised or regulated by the Insurance Commission (IC); 2) Sandiganbayan

- insurance companies and all other institutions and Those committed by public officers and private persons
who are in conspiracy with such public officers shall be
3) supervised or regulated by Securities and Exchange under the jurisdiction of the Sandiganbayan.
Commission (SEC)
- securities dealers, brokers, salesmen, investment 3) Court of Appeals
houses and other similar entities managing securities May issue freeze orders which shall be effective
or rendering services as investment agent, advisor, or immediately for a period of 20 days. AMLC may inquire
consultant, with any banking institution or nonbank upon order by
- mutual funds, closed-end investment companies, the CA.
common trust funds, pre-need companies and other
similar entities, ANTI-MONEY LAUNDERING COUNCIL (AMLC)
- foreign exchange corporations, money changers,
money payment, remittance, and transfer companies 1. Banko Sentral ng Pilipinas (BSP) Governor – Chairman
and other similar entities, and 2. Securities and Exchange Commission (SEC)
- other entities administering or otherwise dealing in Chairperson – Member
currency, commodities or financial derivatives based 3. Insurance Commission (IC) Commissioner – Member
thereon, valuable objects, cash substitutes and other
similar monetary instruments or property. The AMLC shall act unanimously in the discharge of its functions
as defined hereunder:
4) Designated non-financial businesses and professions 1. to require and receive covered transaction reports from
- CPAs and Lawyers covered institutions;
- Jewelry, precious metals and stones dealers
2. to issue orders addressed to the appropriate Supervising
Authority or the covered institution to determine the true
COVERED TRANSACTIONS identity of the owner of any monetary instrument or
property subject of a covered transaction report or request
is a single, series, or combination of transactions involving a total for assistance from a foreign State, or believed by the
amount in excess of Four million Philippine pesos Council, on the basis of substantial evidence, to be, in
(Php4,000,000.00) or an equivalent amount in foreign currency whole or in part, wherever located, representing,
based on the prevailing exchange rate within five (5) consecutive involving, or related to, directly or indirectly, in any
banking days except those between a covered institution and a manner or by any means, the proceeds of an unlawful
person who, at the time of the transaction was a properly identified activity;
client and the amount is commensurate with the business or
financial capacity of the client; or those with an underlying legal 3. to institute civil forfeiture proceedings and all other
or trade obligation, purpose, origin or economic justification. remedial proceedings through the Office of the Solicitor
General;
It likewise refers to a single, series or combination or pattern of
unusually large and complex transactions in excess of Four 4. to cause the filing of complaints with the Department of
million Philippine pesos (Php4,000,000.00) especially cash Justice or the Ombudsman for the prosecution of money
deposits and investments having no credible purpose or origin, laundering offenses;
underlying trade obligation or contract.
5. to initiate investigations of covered transactions, money
laundering activities and other violations of this Act;
MONEY LAUNDERING OFFENSE
 6. to freeze any monetary instrument or property alleged to 1. Covered institutions shall report to the AMLC all
be proceeds of any unlawful activity; covered transactions within five (5) working days from
occurrence thereof, unless the Supervising Authority
7. to implement such measures as may be necessary and concerned prescribes a longer period not exceeding ten
justified under this Act to counteract money laundering; (10) working days.
2. Violations are subject to criminal liability. However, no
8. to receive and take action in respect of, any request from administrative, criminal or civil proceedings, shall lie
foreign states for assistance in their own anti-money against any person for having made a covered
laundering operations provided in this Act; transaction report in the regular performance of his
duties and in good faith, whether or not such reporting
9. to develop educational programs on the pernicious effects results in any criminal prosecution under this Act or any
of money laundering, the methods and techniques used in other Philippine law.
money laundering, the viable means of preventing money
laundering and the effective ways of prosecuting and 1. Persons supervised or regulated by BSP, such as:
punishing offenders; and
a. Banks;
10. to enlist the assistance of any branch, department, bureau, b. Non-banks;
office, agency or instrumentality of the government, c. Quasi-banks;
including government-owned and -controlled d. Trust entities;
corporations, in undertaking any and all anti-money e. Pawnshops;
laundering operations, which may include the use of its f. Non-stock savings and loan associations;
personnel, facilities and resources for the more resolute g. Electronic money issuers; and
prevention, detection and investigation of money h. All other persons and their subsidiaries and affiliates
laundering offenses and prosecution of offenders. supervised or regulated by the BSP.
RIRR-foreign exchange dealers, money changers, and
SECRETARIAT remittance and transfer companies

Headed by Executive Director who shall be appointed by the 2. Persons supervised or regulated by IC, such as:
Council
a. Insurance companies;
Term: 5 years b. Pre-need companies;
c. Insurance agents;
Qualifications d. Insurance brokers;
1. must be a member of the Philippine Bar e. Professional reinsurers;
2. at least thirty-five (35) years olf f. Reinsurance brokers;
3. All members must have served for at least five (5) years g. Holding companies;
either in the Insurance Commission (IC), Security h. Holding company systems;
Exchange and Commission (SEC), or the Bangko i. Mutual benefit associations; and
Sentral ng Pilipinas (BSP) and shall hold full-time j. All other persons and their subsidiaries and affiliates supervised
permanent positions within the BSP. or regulated by the IC.
3. Persons supervised or regulated by SEC, such as:
PREVENTION OF MONEY LAUNDERING
a. Securities dealers, brokers, salesmen, investment houses, and
other similar persons managing securities or rendering services
Customer Identification
such as investment agents, advisors, or consultants.
1. Covered institutions shall establish and record the true
b. mutual funds or open-end companies, close-end investment
identity of its clients based on official documents.
companies or issuers and other similar entities;
2. They shall maintain a system of verifying the true
c. other entities administering or otherwise dealing in
identity of their clients and, in case of corporate clients,
commodities, or financial derivatives based thereon, valuable
require a system of verifying their legal existence and
objects, cash substitutes and other similar monetary instruments or
organizational structure, as well as the authority and
properties supervised and regulated by the SEC.
identification of all persons purporting to act on their
4. The following Designated Non-Financial Businesses and
behalf.
Professions (DNFBPs):
3. The provisions of existing laws to the contrary
notwithstanding, anonymous accounts, accounts under
a. Jewelry dealers, dealers in precious metals, and dealers in
fictitious names, and all other similar accounts shall be
precious stones.
absolutely prohibited.
b. Company service providers which, as a business, provide any of
4. Peso and foreign currency non-checking numbered
the following services to third parties:
accounts shall be allowed.
 acting as a formation agent of juridical persons;
5. The BSP may conduct annual testing solely limited to
 acting as a director or corporate secretary
the determination of the existence and true identity of
 providing a registered office; business address or
the owners of such accounts.
accommodation, correspondence or administrative address for a
company, a partnership or any other legal person or arrangement;
Record Keeping
and
1. All records of all transactions of covered institutions
 acting as a nominee shareholder for another person.
shall be maintained and safely stored for five (5) years
c. Persons, including lawyers and accountants, who provide any of
from the dates of transactions.
the following services:
2. Closed accounts - the records on customer identification,
 Managing of client money, securities or other assets;
account files and business correspondence, shall be
 Management of bank, savings, securities, assets
preserved and safely stored for at least five (5) years
 Organization of contributions for the creation, operation or
from the dates when they were closed.
management of companies; and
 Creation, operation or management of juridical persons or and
Reporting of Covered Transactions
buying arrangements, and selling business entities.
independent legal professionals are not covered person
 12. "Hijacking" "Anti-Hijacking Law"; "Destructive Arson"; and
D? Casinos, including internet and ship-based casinos, with "Murder", as defined under the Revised Penal Code, as amended;
respect to their casino cash transactions related to they gaming 13. "Terrorism" and "Conspiracy to Commit Terrorism"
operations 14. "Financing of Terrorism"
"Bribery" "Corruption of Public Officers"
Covered Transactions "Frauds and Illegal Exactions
17. "Malversation of Public Funds"
1. A transaction in cash or other equivalent monetary instrument 18. "Forgeries" and "Counterfeiting"
exceeding Five Hundred Thousand pesos (Php500,OOO.OO) 19. "Anti-Trafficking in Persons Act of 2003",
within one banking day 20. "Revised Forestry Code of the Philippines
2. A transaction exceeding One Million pesos (Php 21. "Philippine Fisheries Code of 1998";
l,OOO,OOO.OO) in cases of jewelry dealers, dealers in precious 22. Philippine Mining Act of 1995";
metals and dealers in precious stones. 23. "Wildlife Resources Conservation and Protection Act";
“Covered Transaction Report” (CTR) 24. National Caves and Cave Resources Management Protection
Act";
-Report of covered person to AMLC 25. Anti-Carnapping Act of 2002, as amended";
Suspicious Transactions- regardless of the amount 26. "Codifying the Laws on Illegal/Unlawful Possession, .
Manufacture, Dealing In, Acquisition or Disposition of Firearms,
1. there is no underlying legal or trade obligation, purpose or Ammunition or Explosives";
economic justification; 27. "Anti-Fencing Law";
2. the client is not properly identified; 28. "Migrant Workers and Overseas Filipinos Act of 1995", as
3. the amount involved is not commensurate with the business or amended by Republic Act No. 10022;
financial capacity of the client; 29. Violation of Republic Act No. 8293, otherwise known as the
4. taking into account all known circumstances, it may be "Intellectual Property Code of the Philippines, as amended";
perceived that the client's transaction is structured in order to 30. "Anti-Photo and Video Voyeurism Act of 2009";
avoid being the subject of reporting requirements under the 31. "Anti-Child Pornogrophy Act of 2009";
AMLA; 32. "Special Protection of Children Against Abuse, Exploitation
5. any circumstance relating to the transaction which is observed and Discrimination";
to deviate from the profile of the client and/or the client's past 33. "Securities Regulation Code of 2000";
transactions with the covered person; 34. Felonies or offenses of a nature similar to the aforementioned
6. the transaction is in any way related to an unlawful activity or unlawful activities that are punishable under the penal laws of
any money laundering activity or offense that is about to be other countries.
committed, is being or has been committed; or Money Laundering Offenses
7. any transaction that is similar, analogous or identical to any of
the foregoing. A. Any person who, knowing that any monetary instrument or
“Suspicious Transaction Report” (STR) property represents, involves, or relates to the proceeds of any
unlawful activity:
-report of covered person to AMLC 1. transacts said monetary instrument or property;
Monetary Instruments 2. converts, transfers, disposes of, moves, acquires, possesses or
1. Coins or currency of legal tender of the Philippines, or of any uses said monetary instrument or property;
other country; 3. conceals or disguises the true nature, source, location,
2. Credit instruments, including bank deposits, financial interest, disposition, movement or ownership of or rights with respect to
royalties, commissions and other intangible property; said monetary instrument or property;
3. Drafts, checks and notes; 4. attempts or conspires to commit money laundering offenses
4. Stocks or shares, participation or interest in a corporation or in a referred to in (1), (2) or (3) above;
commercial enterprise or profit-making venture and evidenced by 5. aids, abets, assists in or counsels the commission of the money
a certificate, contract, instrument, whether written or electronic in laundering offenses referred to in (1), (2) or (3) above; and
character, including those enumerated in Section 3 of the 6. performs or fails to perform any act as a result of which he
Securities Regulation Code; facilitates the offense of money laundering referred to in (1), (2) or
5. A participation or interest in any non-stock, non-profit (3) above.
corporation; B. Any covered person who, knowing that a covered or suspicious
6. Securities or negotiable instruments, bonds, commercial papers, transaction is required under the AMLA to be reported to the
deposit certificates, trust certificates, custodial receipts or deposit AMLC, fails to do so.
substitute instruments, trading orders, transaction tickets and Jurisdiction of money laundering cases
confirmations of sale or investments and money market
instruments; A. Regional Trial Court. - The regional trial courts shall have the
7. Contracts or policies of insurance, life or non-life, contracts of jurisdiction to try money laundering cases committed by private
suretyship, pre-need plans and member certificates issued by individuals, and public officers not covered by the jurisdiction of
mutual benefit association; and the Sandiganbayan.
8. Other similar instruments where title thereto passes to another B. Sandiganbayan. - The Sandiganbayan shall have jurisdiction to
by endorsement, assignment or delivery. try money laundering cases committed by public officers under its
Unlawful Activities jurisdiction, and private persons who are in conspiracy with such
public officers.
1. Kidnapping for Ransom Prosecution of money laundering
2. Comprehensive Dangerous Drugs Act of 2002
3. Anti-Graft and Corrupt Practices Act A. Independent Proceedings. -The prosecution of money
4. Plunder laundering and the unlawful activity shall proceed independently.
5. "Robbery" and "Extortion" B. Separate and Distinct Elements. - The elements of money
6. "Jueteng" (Luzon) and "Masiao" (vis/mmin) laundering are separate and distinct from the elements of the
7. Piracy on the High Seas unlawful activity. The elements of the unlawful activity, including
8. "Qualified Theft" the identity of the perpetrators and the details of the commission
9. "Swindling" of the unlawful activity, need not be established by proof beyond
10. "Smuggling" "Tariff and Customs Code of the Philippines"; reasonable doubt in the case for money laundering.
11. "Electronic Commerce Act of 2000";
C. Knowledge. -The element of knowledge may be established by A. Customer Due Diligence
direct or circumstantial evidence. B. Record Keeping
D. Rules of Procedure. -The Rules of Court shall govern all Covered persons shall maintain and safely store for five
proceedings concerning the prosecution of money laundering. (5) years from the dates of transactions all records of customer
Anti-money laundering council (AMLC) identification and transaction documents of their customers.
 Retention of Records Where the Account is the Subject of a
The AMLC is composed of the: Case
 Closed Accounts
 Governor of the BSP as Chairperson  Form of Records
 Commissioner of the IC C. Transaction Reporting
 Chairperson of the SEC, as Members. Reporting of covered and suspicious transactions
-Must be a unanimous decision
The AMLC Secretariat. -Covered persons shall report to the AMLC all covered
transactions and suspicious transactions within five (5) working
A. Executive Director days, unless the AMLC prescribes a different period not exceeding
-Head of AMLC secretariat fifteen (15) working days, from the occurrence thereof.
-Appointed by AMLC by 5 year term  Substance and Form of Reports.
-Member of philippine bar (CPA-LAWYER can be)  Confidentiality of Reporting
-Atleast 35 years of age  Safe Harbor Provision
-Served atleast 5 years in BSP, IC, SEC  Enrollment with the AMLC's Reporting System
-good moral character, unquestionable integrity and known -For suspicious transaction, occurrence means it should be made
probity not exceeding 10 calendar days from date of transaction but it
B. Composition must be reckoned when the person transacting is involved in
e. Detail and Secondment unlawful activity
Functions of AMLC Penalties for the crime of money laundering

1. to require and receive covered or suspicious transaction reports A. Penalties for Money Laundering. -The following are the
from covered persons; penalties to be imposed on persons convicted of money
2. to issue orders addressed to the appropriate Supervising laundering:
Authority or the covered person to determine the true identity of
the owner of any monetary instrument or property subject of a 1. Penalties for Section 4(a), (b), (c) and (d) of the AMLA. -
CTR/STR  7 to 14 yrs. Imprisonment
3. to institute civil forfeiture proceedings and all other remedial  a fine of not less than three million pesos (Php3,000,000.00),
proceedings through the Office of the Solicitor General; but not more than twice the value of the monetary instrument or
4. to file complaints with the DOJ or the Office of the property involved in the offense
Ombudsman for the prosecution of money laundering offenses and 2. Penalties for Section 4(e) and (f) of the AMLA. -
other violations under the AM LA;  4-7 yrs imprisonment
5. to investigate suspicious transactions and covered transactions  a fine of not less than one million five hundred thousand pesos
deemed suspicious after investigation by the money laundering (Php1,SOO,000.00) but not more than three million pesos
activities and other violations of the AMLA; (Php3,000,000.00)
6. to file with the Court of Appeals, ex parte through the Office of 3. Penalties for the Last Paragraph of Section 4 of the AMLA.
the Solicitor General:  6 months to 4 years
a. petition for the freezing of any monetary instrument or property  fine of not less than one hundred thousand pesos
that is in any way related to an unlawful activity; or (Php100,000.00) but not more than five hundred thousand pesos
b. an application for authority to inquire into or examine any (PhpSOO,OOO.OO), or both,
particular deposit or investment, including related accounts, with B. Penalties for Knowingly Participating in the Commission of
any banking institution or non-bank financial institution. Money Laundering. -
7. to formulate and implement such measures as may be necessary 
and justified under the AMLA to counteract money laundering.
8. to receive and take action in respect of any request from foreign 4-7 yrs
states for assistance in their own anti-money laundering operations
as provided in the AMLA. a fine corresponding to not more than two hundred percent (200%)
9. to develop educational programs, including awareness of the value of the monetary instrument or property laundered
campaign on the pernicious effects, methods and techniques,
prevention, ways of prosecuting offenders  shall be imposed upon the covered person, its directors, officers
10. to enlist the assistance of any branch, department, bureau, or personnel who knowingly participated in the commission of the
office, agency or instrumentality of the government, including crime of money laundering.
government-owned and -controlled corporations, in undertaking C. Penalties for Failure to Keep Records. -
any and all anti-money laundering operations, which may include  6 months to 1 year
the use of its personnel, facilities and resources for the more  fine of not less than one hundred thousand pesos
resolute prevention, detection and investigation of money (Php100,000.00) but not more than five hundred thousand pesos
laundering offenses and prosecution of offenders. (Php5OO,OOO.OO), or both
11. to impose administrative sanctions for the violation of laws,  shall be imposed on a person convicted under Section 9(b) of
rules, regulations, orders, and resolutions issued pursuant thereto. the AM LA
12. to require the Land Registration Authority and all its D. Penalties for Malicious Reporting. - Any person who, with
Registries of Deeds to submit to the AMLC, reports on all real malice, or in bad faith, reports or files a completely unwarranted
estate transactions involving an amount in excess of Five hundred or false information relative to money laundering transaction
thousand pesos (P500,OOO.OO) within fifteen (15) days from the against any person shall be subject
date of registration of the transaction, in a form to be prescribed to
by the AMLC. The AMLC may also require the Land Registration
Authority and all its Registries of Deeds to submit copies of  6 months to 4 years
relevant documents of all real estate transactions.  a fine of not less than one hundred thousand pesos
Prevention of money laundering (Php100,000.00) but not more than five hundred thousand pesos
(Php500,OOO.OO), at the discretion of the court:
 Provided, that the offender is not entitled to avail of the benefits
of the Probation Law.
 If the offender is a corporation, association, partnership or any
other juridical person, the penalty of imprisonment and/or fine
shall be imposed upon the responsible officers, as the case may be,
who participated in, or allowed by their gross negligence the
commission of the crime and the court may suspend or revoke its
license.
 If the offender is an alien, he shall, in addition to the penalties
herein prescribed, be deported without further proceedings after
serving the penalties herein prescribed.
 If the offender is a public official or employee, he shall, in
addition to the penalties prescribed herein, suffer perpetual or
temporary absolute disqualification from office, as the case may
be. Any public official or employee who is called upon to testify
and refuses to do the same or purposely fails to testify shall suffer
the same penalties herein prescribed.
E. Penalties for Breach of Confidentiality. -
-3 to 8 yrs
-fine of not less than five hundred thousand pesos
(Php500,OOO.OO) but not more than one million pesos
(Php1,OOO,OOO.OO)
-In case of a breach of confidentiality that is published or reported
by the media, the responsible reporter, writer, president, publisher,
manager and editor-inchief shall be liable under the AM LA.
F. Criminal Liability of Corporate Entities. -If the offender is a
corporate entity, the penalties herein shall be imposed upon the
responsible officers who participated in, or allowed by their gross
negligence the commission of the crime; and/or directors or
trustees who willfully and knowingly voted for or assented to
violate the AMLA, this RIRR, or other AMLC issuances.