PHL presses asset freezes to avert FATF scrutiny

By Erika Mae P. Sinaking

THE government will sustain self-initiated investigations into suspicious transactions linked to flood control funds as it seeks to keep the Philippines off the international “dirty money” list, Malacañang said on Monday.

Palace Press Officer Clarissa A. Castro said President Ferdinand R. Marcos, Jr. has ordered continuous probes to hold those involved accountable and prevent the country from slipping back onto the Financial Action Task Force (FATF) gray list of jurisdictions under increased monitoring for money laundering.

“The freezing of assets is important,” Ms. Castro told a news briefing in Filipino. “Anyone involved in corruption should have their assets frozen.”

She added that investigative agencies and the Anti-Money Laundering Council (AMLC) have been instructed to step up coordination.

Ms. Castro said the AMLC is acting on its own, allowing it to pursue investigations even without a formal complaint and move swiftly to seek court approval to freeze assets tied to suspicious transactions.

“If they identify assets that must be frozen, they can immediately… file a petition with the Court of Appeals,” she said.

The Palace remarks followed a warning from Bangko Sentral ng Pilipinas Governor Eli M. Remolona, Jr. that the multibillion-peso graft involving flood control projects poses a risk to the Philippines’ standing with the FATF.

The country left the FATF gray list in February 2025 after addressing deficiencies in its anti-money laundering and counterterrorism financing framework.

The FATF is expected to conduct its next major evaluation of the Philippines in 2027.

The AMLC has secured the freezing, preservation, or surrender of assets valued at about P24.7 billion linked to the investigation, according to an accomplishment report submitted to Malacañang last week by the Independent Commission for Infrastructure.

The assets include 229 motor vehicles, 394 insurance policies, 161 real properties, 16 e-wallet accounts and 10 aircraft allegedly connected to irregularities in flood control projects.

Asked whether the administration plans to seek additional legislation to strengthen enforcement, Ms. Castro said addressing any gaps in the law falls under Congress’ mandate.

She also said it was too early to assess whether the cases would fail, citing investigations by the Office of the Ombudsman and Department of Justice as evidence of the government’s resolve to pursue accountability.