Up to P20M fine for banks involved in Alice Guo case – AMLC

Metro Manila, Philippines – The Anti-Money Laundering Council (AMLC) on Monday confirmed an ongoing probe into banks involved in suspicious transactions of offshore gaming operations-linked former Mayor Alice Guo, with potential fines of up to P20 million per financial institution.

“The AMLC opened the enforcement action proceedings against those banks involved in Alice Guo's case to determine if they have violated the requirement under AMLA (Anti-Money Laundering Act) to file STRs (Suspicious Transaction Report) with the AMLC,” said Senator Grace Poe, speaking on behalf of AMLC during deliberations on its proposed budget for next year.

According to the AMLC website, enforcement actions include warnings, compliance testing, audit by an independent external auditor, and restitution of funds or property, among others. These are measures used “when circumstances surrounding the non-compliance warrant a less severe form of supervisory action and the covered persons exhibit willingness to voluntarily address compliance issues.”

Under the law, financial institutions must report suspicious transactions, defined as those with no underlying legal or trade obligation, purpose, or economic justification; transactions involving unidentified clients or amounts not commensurate with the client’s business and financial capacity; transactions that deviate from the client’s past activity; or transactions linked to unlawful activity.

“These proceedings are ongoing and should the AMLC find that they indeed violated the said requirement, the AMLC will file formal charges against said banks,” Poe said.

She said the fine ranges from P250,000 to P500,000 per transaction, with a maximum of P10 million to P20 million depending on the circumstances.

“This is without prejudice to their criminal liability under AMLC if their officers are found to have knowingly facilitated the crime of money laundering,” Poe said.

Her statements were in response to Deputy Minority Leader Risa Hontiveros’ request for an update on the banks involved in Guo’s alleged money laundering. Guo and 35 alleged cohorts are facing multiple counts of money laundering related to offshore gaming operations.

Senator Sherwin Gatchalian earlier raised concerns about a possible conspiracy between Guo and several banks, noting billions in transactions through Guo’s accounts from 2019—when the offshore gaming hub construction in Bamban began—until 2022, based on AMLC information.