Philippine Central Bank Orders Banks to Freeze Assets Linked to Designated Terrorists
Key Takeaways
- •The Bangko Sentral ng Pilipinas has ordered its supervised financial institutions to comply with sanctions freeze orders issued by the Anti-Money Laundering Council against two designated terrorists.
- •The Anti-Money Laundering Council issued Resolution Nos. TF-118 and TF-119 on Oct. 1, requiring the immediate freeze of all properties, funds, and associated accounts owned or controlled by Janice Q. Javier and Josephine Parra Porquia.
- •Both women were named terrorists by the Anti-Terrorism Council, whose designations triggered the freeze orders under the Terrorism Financing Prevention and Suppression Act.
- •Covered institutions must submit a written return, along with suspicious transaction reports on the individuals' previous transactions, to the Anti-Money Laundering Council within five days of the freeze orders taking effect.
- •The central bank warned that any party dealing with the frozen accounts or providing financial services to the designated individuals will be prosecuted under the law.
The Bangko Sentral ng Pilipinas (BSP) has reminded banks to freeze assets linked to individuals designated as terrorists, following recent resolutions issued by the Anti-Money Laundering Council (AMLC), the Philippines' financial intelligence unit charged with implementing the country's anti-money laundering and counter-terrorist financing rules.
In a circular letter signed by BSP Deputy Governor Lyn I. Javier on Tuesday, the central bank directed its concerned supervised financial institutions to comply with the immediate sanctions freeze orders (SFOs) released by the AMLC last week.
The AMLC on Oct. 1 issued Resolution Nos. TF-118 and TF-119, ordering the immediate freezing of all properties and funds, including associated accounts, owned or controlled by two individuals.
The assets belong to Janice Q. Javier and Josephine Parra Porquia, both of whom were named terrorists by the Anti-Terrorism Council — the government body whose designations set the AMLC's freeze orders in motion under the Terrorism Financing Prevention and Suppression Act (TFPSA).
According to the central bank, BSP-supervised financial institutions are required to submit to the AMLC a written return, prepared under the implementing rules and regulations of the TFPSA, along with suspicious transaction reports covering all previous transactions of Ms. Javier and Ms. Porquia, giving the council a documented record of prior dealings involving the two individuals.
Both documents must be filed within five days of the SFO's effectivity, the BSP said.
The central bank also warned that anyone caught dealing with the tagged accounts or providing financial services to the identified terrorists "shall be prosecuted to the fullest extent of the law pursuant to the TFPSA."
The circular underscores that freezing designated assets and filing the required reports are statutory obligations for covered institutions under the TFPSA.
— Katherine K. Chan
