Professional Documents
Culture Documents
of customers
3. Accept gifts, fees or commission in
connection for approval of loan
4. Overvalue a security for purpose of
influencing actions of bank
5. Outsource inherent banking functions
_ This is to ensure secrecy of bank
Deposits
Prohibition against Outsourcing Certain
Banking
Functions
Outsourcing inherent banking function shall
refer to any contract between the bank and
service provider for the latter to supply, or
any
act whereby the latter supplies, the
manpower
to service the deposit transaction of the
former.
subject matter
CIR can also look into deposits to determine
gross
estate of a decedent or he has applied for
compromise tax liability
Foreign Currency Deposits
Any person, natural or juridical may
deposit with such any bank in good standing
designated by BSP, foreign currencies which
are acceptable as part of
international reserve, except those which
are
required by BSP to be surrendered
Such banks can accept deposits and
accept foreign
currencies in trust
1. Numbered accounts for recording and
servicing of deposits are allowed
--The depository bank shall
1. Maintain at all times a 100% foreign
currency cover for their liabilities
2. 15% of such must be in the form of
foreign currency deposit with BSP
3. The balance shall be in form of foreign
currency loans/securities which are
shortterm
maturities and readily marketable
4. Such loans can be extended to domestic
enterprises to cover the 100% foreign
currency cover
--Depository banks under the expanded
foreign
currency deposit system shall be exempt
from the
15% requirement of deposit with BSP
--There is no restriction on withdrawals by
depositor
of his deposit of the same abroad except
does
arising from contract of depositor and bank
B. Prosecution
i. Any person may be charged of both money laundering
and the unlawful
activity
ii. Any proceeding relating to the unlawful activity shall be
given precedence
over the prosecution of any offense or violation w/o
prejudice to the
freezing and other remedies
III. Anti-Money Laundering Council
A. Composition
i. Governor of he BSP as chairman
ii. Commissioner of the Insurance Commission
iii. Chairman of the SEC
B. Functions
i. Require and receive covered or suspicious transaction
reports from covered
institutions
ii. Issue orders addressed to the supervising authority of the
institution to
determine the true owner of a covered or suspicious
transaction report or
request assistance on the basis of substantial evidence
iii. Institute civil forfeiture proceedings through the OSG
iv. Cause the filing of complaints with the DOJ or
Ombudsman
v. Investigate suspicious and covered transactions
vi. Apply before the CA ex parte, for the freezing of any
monetary instrument or
property
vii. Implement measures as may be necessary to counteract
money laundering
viii. Receive and take action any request of assistance from
foreign states in
their own anti-money laundering operations
ix. Develop educational programs on the effects, methods,
and means to
prevent money laundering
x. Enlist assistance from government instrumentality for
any anti-money
laundering operation
xi. Impose administrative sanctions for violation of laws,
rules, regulations and
orders issued pursuant thereto
xii. Establish a secretariat
a. Member of the Bar
b. 35 years of age
c. GMC
d. Unquestionable integrity and known probity
IV. Prevention of Money Laundering
A. Customer Identification
i. Institutions shall establish and record the true identity of
its clients based on
office documents
ii. Maintain a system of verifying the identity and legal
existence of their
clients
iii. Anonymous, fictitious an similar accounts are
prohibited