Anti-Money Laundering Council (AMLC) Resolution No. 101 dated 19 December 2007

Fo enial ng Pilyinas

OFFICE OF THE DEPUTY GOVERNOR SUPERVISION AND EXAMINATION SECTOR

CIRCULAR LETTER NO. CL- 2008 - _012

To Afl Banks and Non-Bank Financiai Institutions Under BSP Supervision

Subject Anti-Money Laundering Council (AMLC) Resolution No. 101 dated 19 December 2007

Muhammad Abdallah Salih Sughayr and Fahd Muhammad Abd Al-Aziz Al. December 2007, you are hereby informed that on 9 October 2007, the 1267 UN Security Council Committee added the names of Abdul Rahim Al-Taihi Pursuant to Anti-Money Laundering Council Resolution No. 101 dated 19

Al-Qaida, the Taliban or Usama bin Ladin subiect to UN Security Council- mandated sanctions for their being associated with terrorists. Khasiban to the consolidated list of entities and individuals associated with the

within five (5) days from receipt of copy of said resolution, reports of covered or suspicious transaction, if any, involving Abdui Rahim Ai-Talhi, Muhammad Abdallah Salih Sughayr and Fahd Muhammad Abd Ai-'Aziz Al-Khasiban or by persons acting on their behaif. Under the same resoiution, all covered institutions are required to submit

of covered and suspicious transaction, if any, involving the above named (AMLA) of 2001, as amended, and Rule 9.3 of the Revised implementing Rules and Regulations, you are hereby directed to submit directty to the AMLC reports individuals. In accordance with Sections 7 and 9 of the Anti-Money Laundering Act

For your guidance and strict implementation.

C NeStOr A. eSPenIlLa Deputy Governor

008

Att: AIS

Pananalaping Matatag, Bansang Panatag

A. Mabini St., Malate 1004, Manila, Philippines Trunkline (632) 524-70-11 + URL:vww.bsp.qoy.ph @ e-mail: [email protected]

Anti-Money Laundering Council Bangko Sentral ng Pilipinas Complex Manila, Philippines

RESOLUTION NO. 10 1 Series of 2007

America, through its Embassy in Manila, requested the Anti-Money Laundering Council (AMLC) to carefulily check any funds, financial assets or economic resources, including property or interests in property owned or controlled directly or indirectly by the following individuals who allegedly provide support to the Abu Sayyaf Group (ASG): On October 1 and 16, 20o7, the Government of the United States of

2. Muhammad Abdaliah Salih Sughayr; and 3. Fahd Muhammad Abd AI-'Aziz Al-Khashiban 1. Abdul Rahim Al-Talhi;

Information available to the US Government disclosed the following:

donor network funding terrorists: For many years, Al-Taihi provided financial ideological and training material, inciuding the al-Qaida operational manual; a loyal colleague of Usama bin Laden and a member of a Saudi Arabia-based likewise disciosed that Al-Talhi regularly provides the ASG with al-Qaida assistance to the ASG and had helped groom ASG ieaders. Information 1. Abdul Rahim Al-Talhi (A!-Tathi), an al-Qaida-affiliated financier, is

to terrorist groups in Southeast Asia and has been identified as one of the continued financial and ideological support to the AsG and other Islamic extremists in the Philippines. He also facilitated weapons and ammunition shipments to the AsG and provided advice and assistance to the group. in addition, Sughayr recruited Arabs to provide training and assistance to the maior financial supporters of the AsG: From 1998 to 2003, Sughayr ensured ASG: and 2. Muhammad Abdallah Salih Sughayr (Sughayr) provides support

planned ASG bombing operation targeting either the US or the Australian then ASG-leader Khadaffy Janjaiani approximately $18,000.00 to finance embassy in Manila. provides support to the leadership of the ASG. In 2002, Al-Khashiban gave 3. Fahd Muhammad "Abd Al-'Aziz AI-Khashiban (AI-Khashiban)

individuals to the UN 1267 Sanctions Committee for inclusion in its consolidated list of entities and individuals associated with Al-Qaida, the sanctions. Taliban or Usama bin Laden subject to UN Security Counci-mandated The United States Government submitted the names of these

the names of Abdul Rahim Al-Talhi, Muhammad Abdallah Salih Sughayr of Consolidated list. and Fahd Muhammad Abd Al-'Aziz Al-Khashiban to the Ai-Qaida section On 9 October 2007. the 1267 UN Security Councii Committee added

the UN Security Council Committee validates their being associated with Sughayr and Fahd Muhammad 'Abd Al-'Aziz Al-Khashiban in the iist of Such inclusion of Abdul Rahim Al-Talhi, Muhammad Abdallah Salih

terrorists

the Security Council at its 4385th meeting on 28 September 2001 providesj United Nations Security Council Resolution (UNSCR) 1373 adopted by

"Acting under Chapter VIl of the Charter of the United Nations.

1. Decides that all States shall:

(a) Prevent and suppress the financing of terrorist acts;l

(b) Criminalize the willful provision or collection, by any means, directly or indirectly, of funds by their nationals or in their territories with the intention that the funds shouid be used, or in the knowledge that they are to be used, in order to carry out terrorist acts;

(c) Freeze without delay funds and other financial assets or to commit, terrorist acts or participate in or facilitate the economic resources of persons who commit, or attempt

persons and entities; commission of terrorist acts; of entities owned or controlled directly or indirectly by such persons; and of persons and entities acting on behalf of, or at the direction of such persons. and entities, including funds derived or generated from property owned or controlled directly or indirectly by such persons and associated

(d) Prohibit their nationals or any persons and entities within their territories from making any funds, financial assets or who commit or attempt to commit or facilitate or economic resources or financial or other related services available, directly or indirectly, for the benefit of persons

persons and of persons and entities acting on behalf of or owned or controlled, directly or indirectly, by such at the direction of such persons." participate in the commission of terrorist acts, of entities

Section 7(1) of R.A. 9160, as amended, provides:

the discharge of its functions as defined hereunder: (AMLC) - The Anti-Money Laundering Council is hereby created and shall be composed of the Governor of the Bangko Sentral ng Pilipinas as chairman, the Commissioner of the Insurance Commission and the Chairman of the Securities and Exchange Commission as members. The AMLC shall act unanimously in "SEC. 7. Creation of Anti-Money Laundering Council

(1) to require and receive covered or suspicious transaction reports from covered institutions:

Anti-Money Laundering Act of 2001, as amended, provide: Moreover, the Revised Implementing Rules and Regulations of the

states for assistance in their own anti-money laundering to receive and take action in respect of any request of foreign Constitution or the execution thereof is likely to prejudice the national interest of the Philippines. International Organizations and Foreign States. - The AMLC is authorized under Section 7 (8) and 13 (b) and (d) of the AMLA Philippines is a member. However, the AMLC may refuse to comply with any such request, convention, resolution or directive where the action sought therein contravenes the provision of the "Rule 13.7.2. Authority to Assist the United Nations and other operations. It is also authorized under Section 7 (7) of the AMLA to cooperate with the National Government and/or take appropriate action in respect of conventions, resolutions and other directives of the United Nations (UN), the UN Security Council, and other international organizations of which the

international coalition against terrorism, the Philippines, through the Anti- Money Laundering Council, must actively support the actions required under the subject UNSC Resolutions. As a charter member of the United Nations and as part of the

The Council resofved to reguire alt covered institutions to submit within

if any, involving Abdul Rahim AI-Talhi, Muhammad Abdallah Salih five (5) days from receipt hereof, reports of covered or suspicious transaction Sughayr and Fahd Muhammad Abd Al-'Aziz Al-Khashiban or by persons acting on their behalf.

Commission and the Insurance Commission are requested to circularize this Resolution among all covered institutions under their respective jurisdictions. The Bangko Sentrai ng Pilipinas, the Securities and Exchange

9 December 2007, Manila, Philippines.

(Governor, Bangko Sentral ng Pilipinas) Amando m. tetangco, Jr. Chairman

(Chairperson, Securities and Exchange Commission) #E B.BARIN Member (Commissioner, Insurance Commission) EDUARDO T. MALINIS Member