Guidelines & Circulars

Our Ref:

B10/1C

14 March 2003

The Chief Executive
All Authorized Institutions

Dear Sir / Madam,

Financial Action Task Force on Money Laundering (FATF)
Non-cooperative Countries and Territories (NCCTs)

I refer to my letter of 25 February 2003 advising you that the FATF has recommended members to apply counter-measures to the Philippines as of 15 March 2003, unless the Philippine Government enacts appropriate legislative amendments by that date to address the previously identified deficiencies in its anti-money laundering regime.

On 7 March 2003, the Philippine Government enacted a new law "Republic Act No. 9194" which amends the Philippine Anti-Money Laundering Act of 2001. The FATF has conducted an assessment of the new legislation and decided not to apply counter-measures to the Philippines at this stage. The situation will however be closely monitored and the way forward will be discussed in the June 2003 Plenary. We will keep you informed of any further development on this issue.

Notwithstanding the suspension of counter-measures, the Philippines still remains on the list of NCCTs. Institutions are therefore reminded to give special attention to businesses and transactions with persons, including companies and financial institutions, from the Philippines in accordance with Recommendation 21 of the FATF Forty Recommendations.

A copy of the FATF press release of 13 March 2003 in respect of the Philippines is attached for your reference.

Yours faithfully,

Raymond Li
Executive Director (Banking Development)

Encl.:

FATF press release (PDF file, 17KB)