Supreme Court E-Library
Information At Your Fingertips

November 19, 2001

WHEREAS, the Government of the United States of America (USG) and the Government of the Republic of the Philippines (GOP) have identified anti-money laundering as an important developmental goal for the Philippines;

WHEREAS, the USG, acting through the United States Agency for International Development (USAID), has assisted the GOP by providing funding for technical assistance to establish a strengthened legal framework to combat money laundering in the Philippines in the form of the Philippines’ Anti-Money Laundering Act of 2001 (the Act);

WHEREAS, the USG and the GOP are determined to combat money laundering and terrorism through implementation of the Act and by other means; and

WHEREAS, the USG recognizes the challenges faced by the GOP in implementing the Act and other future laws or regulations as necessary to come into compliance with international standards, and wishes to assist the GOP in meeting these challenges.

NOW THEREFORE, USAID and the GOP hereby set forth in this Memorandum of Intent their intent to continue their bilateral cooperation for combating money laundering, in coordination with the U.S. Department of Treasury, under USAID’s Accelerating Growth, Investment, Liberalization with Equity project, to continue to expend obligated funds to achieve the following goals:

2. Institution of an effective organizational structure to ensure implementation of the Act and other future laws or regulations as necessary to come into compliance with international standards;

3. Establishment of effective investigative systems for the prosecution of money launderers.

Signed at Washington, D.C., this 19th day of November 2001.

MEMORANDUM OF INTENT CONCERNING TECHNICAL AND OTHER ASSISTANCE FOR AN EFFECTIVE PHILIPPINE ANTI-MONEY LAUNDERING REGIME

The GOVERNMENT OF THE REPUBLIC OF THE PHILIPPINES (“the PHILIPPINE GOVERNMENT”), represented herein by the Secretary of Finance, Jose Isidro N. Camacho and Governor of Bangko Sentral ng Pilipinas, Rafael B. Buenaventura, and the GOVERNMENT OF THE UNITED STATES OF AMERICA (“the US GOVERNMENT”), represented herein by the Secretary of the Treasury, Paul H. O’Neill (hereinafter the Participants),

Noting that:

WHEREAS, the PHILIPPINE GOVERNMENT, recognizing that: first, monies and assets acquired through unlawful means may be disguised through various schemes and devises to appear as having been legitimately-generated; second, such monies and assets are more easily utilized by criminal and terrorist organizations to finance their unlawful activities, and that, third, the well-being of society and security of states rest on governments’ ability to minimize, if not totally eliminate, the capability of criminal and terrorist groups to achieve their goals, has enacted Republic Act No. 9160 with the goal of complying with international anti-money laundering standards and establishing an effective regime to combat money laundering.

WHEREAS, Republic Act 9160 created the Anti-Money Laundering Council (“AMLC”), which will serve as centralized Philippine financial agency to receive and analyze reports of possible money laundering transactions in accordance with international standards and initiate investigative and prosecutorial measures to apprehend and convict suspected money launderers.

WHEREAS, the US GOVERNMENT recognizes the challenges faced by the PHILIPPINE GOVERNMENT in effectively implementing anti-money laundering laws such as Republic Act No. 9160, and is desirous of enhancing the capabilities of the PHILIPPINE GOVERNMENT with respect to: first, coming into compliance with international anti-money laundering standards; second, creating and maintaining an effective database of suspicious transaction reports for the effective monitoring of possible money laundering transactions; third, analyzing data for the efficient apprehension of money launderers; forth, establishing a workable plan for the organizational structure and staffing requirements of the AMLC to ensure optimum results in its implementation of the anti-money laundering laws, including Republic Act No. 9160 and future laws; and to, fifth, implementing effective investigative systems and procedures for the gathering of information useful for the prosecution of money launderers.

Now therefore, the Participants intend to proceed as follows:

2. The PHILIPPINE GOVERNMENT, consistent with its commitments under United Nations conventions and to support the US GOVERNMENT in its fight against international terrorism, intends to comply with international anti-money laundering standards and render its full assistance to the US GOVERNMENT with respect to monitoring of funds and financial assets of identified terrorist organizations and individuals found within or entering into Philippine territory.

3. The Participants intend to pursue discussions on the mechanics of this assistance and further intend to act in good faith and exert their best efforts to ensure that the goals of this Memorandum of Intent are achieved.