Gatchalian files reso to probe banks' fail in flagging POGO-linked trans

Senator Sherwin Gatchalian has filed Senate Resolution 1193 to investigate local banks' failure to flag suspicious transactions linked to POGO-related criminal activities.

The resolution cites the case of former Bamban Mayor Alice Guo, whose companies reportedly conducted hundreds of millions of pesos in unusual financial transactions that enabled the establishment of a POGO hub.

Gatchalian noted an unprecedented surge in cash flows and check disbursements involving Guo's accounts in 2020, despite the pandemic-induced economic downturn.

He emphasized that banks' failure to report these suspicious activities raises concerns about their internal controls for identifying and reporting such transactions.

The senator highlighted the need to strengthen AML/CTF regulations and guidelines as the Philippines remains on FATF's grey list, requiring enhanced efforts from both government and private sectors to combat money laundering and terrorism financing.

Gatchalian also questioned the effectiveness of existing regulations and procedures for identifying and reporting suspicious transactions under the Anti-Money Laundering Act.