AMLC: P14 billion worth of POGO-related transactions are suspicious

At least P14 billion worth of Philippine Offshore Gaming Operators (POGO) transactions are considered suspicious by the Anti-Money Laundering Council.

AMLC Secretariat Executive Director Mel Georgie Racela revealed this during a Senate probe into possible money laundering operations using POGO businesses on Thursday, saying these suspicious transactions cover the period of January 2017 to October 2019.

“There are P14 billion worth of [POGO] transactions related to suspicious activities, most of these is because of violation of E-commerce Act and drug trafficking,” Racela said.

Under the Anti-Money Laundering law, a suspicious transaction refers to a transaction, regardless of amount, where any of the following circumstances exists:

• there is no underlying legal or trade obligation, purpose or economic justification;
• the client is not properly identified;
• the amount involved is not commensurate with the business or financial capacity of the client;
• taking into account all known circumstances, it may be perceived that the client’s transaction is structured in order to avoid being the subject of reporting requirements under the Anti Money Laundering law (AMLA);
• any circumstance relating to the transaction which is observed to deviate from the profile of the client and/or the client’s past transactions with the covered person;
• the transaction is in any way related to an unlawful activity or any money laundering activity or offense that is about to be committed, is being or has been committee; and/or
• any transaction that is similar, analogous or identical to any of the foregoing.

The same law provides that money laundering is committed when any covered person who, knowing that a covered or suspicious transaction is required under the Anti Money Laundering Law to be reported to the Anti-Money Laundering Council, fails to do so.

Racela, however, could not say if the P14 billion worth of suspicious POGO-related transactions are directly linked to the 200 internet-based casinos and POGO service providers that the police already closed down since they were not registered with the state regulator, the Philippine Amusement and Gaming Corporation. — BM, GMA News