Amendment to the Anti-Money Laundering Act

With the recent passage of the R.A. 11521, the coverages of the law as to the persons and activities subject to the constant monitoring and examination by the AMLAC or the Anti-Money Laundering Counsel has been expanded.

The law was signed on January 29, 2021

“Saving Grace”

According to Senator Grace Poe, with the signing and eventual passage of the law amending the Anti-Money Laundering Act (AMLA) will give a “fresh signal” to investors to put their trust and money into the country’s financial system. Senator Grace Poe is the chairperson of the Senate Committee on Banks, Financial Institutions and Currencies. But will it be enough saving grace to help the country bounced back from the economic recession caused by the Covid-19 pandemic?

Senator Grace Poe thought so. As the amendment provide a stricter system of catching fraudsters, businesses, creditors who violate the law and in place provide a renewed confidence from the international community and those who intend of placing their investment here in the Philippines. Grace Poe added that this amendment will safeguard the remittance of the OFW as Senator Grace Poe states that “The new AMLA also sends a clear message to the world that the hard-earned money of our overseas Filipino workers go through the legitimate channels when sent to their families in the countries,”

“New coverage”

To know and determine its impact we need to know what particular amendments were introduced by the amendatory law.

The new law, Republic Act No. 11521 expands who and what activities the Anti-Money Laundering Council will scrutinize. Under the amendatory law  Real Estate Brokers and Developers and Offshore Gaming Operators, as well as their service providers, supervised, accredited or regulated by the Philippine Amusement and Gaming Corporation (PAGCOR) or any AGA, as defined by the law are now covered persons.