AMLC: Freeze order issued vs lawmaker’s assets

MANILA, Philippines — The Anti-Money Laundering Council (AMLC) has secured a Court of Appeals order freezing 55 bank accounts and four insurance policies tied to an unnamed lawmaker associated with government projects worth billions of pesos.

In a statement, the AMLC said the freeze order also covered the assets of a construction company linked to the legislator and associated individuals.

The appellate court issued the order on Aug. 25 after finding probable cause that the assets were connected to violations of Republic Act 3019, or the Anti-Graft and Corrupt Practices Act.

A freeze order is a temporary measure intended to prevent assets suspected of being linked to unlawful activities from being used, transferred or disposed of while authorities pursue their case. It does not constitute a final forfeiture of the assets.

Under the Anti-Money Laundering Act, the Court of Appeals may issue a freeze order upon a verified petition by the AMLC and a finding of probable cause.

The order may remain in effect for a period determined by the court but not exceeding six months if no case is filed against the account holder.

The AMLC said the case stemmed from investigations conducted by the Office of the Ombudsman and the Bureau of Internal Revenue, along with a separate administrative inquiry by the House of Representatives.

The lawmaker had claimed that he divested his interest in the construction business before assuming public office.

However, records showed that the legislator continued receiving proceeds from the business while serving in government, according to the AMLC. The agency said this indicated that he continued exercising control over the construction companies.

The AMLC did not identify the lawmaker, the construction company or the other individuals covered by the order. It also did not disclose the value of the frozen assets or provide a breakdown of their ownership.