The Philippine casino industry is doing a better job of protecting against money laundering in its land-based and online casino sectors, says financial watchdog the Asia/Pacific Group on Money Laundering (APG).
The group began monitoring the industry in 2018.
“The Philippines has… addressed gaps in fit and proper checks for PAGCOR supervised casinos,” said the APG, referring to the country’s casino regulator, the Philippine Amusement and Gaming Corp. (PAGCOR).
“PAGCOR for casinos, and the Anti-Money Laundering Council for all designated non-financial business and professions, have continued to develop their frameworks for risk-based anti-money laundering (and) combatting the financing of terrorism supervision,” the group stated.
“Since the mutual evaluation report, PAGCOR has issued and approved additional probity check guidelines that are effective since 27 January 2022.”
In spite of the progress, in June the Paris-based Financial Action Task Force (FATF) said the Philippines remains on its “grey list” of jurisdictions at risk for financial crimes and potential terrorism financing.
Previously, the industry required suitability checks only covered boards of directors and not shareholders or beneficial owners. Now the list includes “management functions/senior officers, shareholders holding at least 20 percent ownership or with significant controlling interest, and beneficial owners.”
APG further stated, “These provisions enable PAGCOR to prevent criminals or their associates from holding significant or controlling interest, beneficial ownership, a management function or from operating a casino.”
As for the iGaming sector, “related changes” have been made “to the legal, institutional and operational anti-money laundering/combatting the financing of terrorism frameworks covering offshore gaming operators.”
The watchdog added, “Both the Anti-Money Laundering Council and its ‘Implementing Rules and Regulations’ have been updated to prescribe offshore gaming operators and their service providers, as a specified category of covered person effective January 2021.”
