BSP Memorandum

July 2, 2002 BSP MEMORANDUM TO : All Banks and Off-Shore Banking Units For your information, quoted hereunder is Resolution No. 087 dated June 21, 2002 of the Anti-Money Laundering Council (AMLC), created under the provisions of Republic Act (R.A.) No. 9160, the Anti-Money Laundering Act of 2001 (AMLA). "RESOLUTION NO. 087 The Council, by unanimous vote, decided as follows: WHEREAS, the Philippines is a member of the United Nations and is a signatory to the United Nations Convention on the Suppression of Terrorism and Terrorist Financing; WHEREAS, the United Nations Security Council has issued Resolution No. 1373 adopted at its 4385th meeting on 28 September 2001, and Resolution No. 1269 adopted at its 4053rd meeting on 19 October 1999, calling on all member States to take all necessary steps to prevent and suppress terrorist acts and the financing of terrorist acts; WHEREAS, the United Nations Security Council has likewise issued Resolution No. 1390 (2002) declaring that all States are required to ensure that the following three measures are applied with immediate effect to all individuals and entities included in the Committees Consolidated List: (1) Freeze without delay any funds and other financial assets or economic resources; (2) Prevent the entry into or the transit through their territories; (3) Prevent the direct or indirect supply, sale or transfer of all arms and related materiel; spare parts and technical advice, assistance or training related to military activities; WHEREAS, the United Nations Security Council has issued Lists of Names of terrorist individuals, organizations and/or groups and the United States of America, through its President, George W. Bush, has issued Executive Orders, listing down names of terrorist individuals and entities, and require all states to submit reports in relation to any of the terrorist individuals, organizations or groups listed therein; WHEREAS, the Anti-Money Laundering Act of 2001 (AMLA) has provided as one of its unlawful activities or predicate crimes, under Section 3 (i), hijacking, destructive arson and murder perpetrated by terrorists against non-combatant persons and similar targets; WHEREAS, Sections 2, 7 and 13 of the AMLA and Rule 7.2 (8) of the Implementing Rules and Regulations authorize the Council to receive and take action in respect of any request made by foreign states for assistance in anti-money laundering operations relative to conventions, resolutions and other directives of the United Nations (UN), the UN Security Council, and other international organizations of which Philippines is a member; RESOLVED: (1) To require supervising authorities of the AMLA, namely the Bangko Sentral ng Pilipinas (BSP), the Securities and Exchange Commission (SEC) and the Insurance Commission (IC) to disseminate among covered institutions under their respective jurisdictions, all UN Security Council Resolutions and US Executive Orders and their attachments and/or lists relative to terrorism and terrorist financing; (2) To require supervising authorities to direct the covered institutions under their respective jurisdictions to submit covered transaction reports and suspicious transaction reports involving any terrorist individual(s), organizations or groups, listed therein directly to the Council, in accordance with Section 9 of the AMLA, Rules 5.3 and 9.3 of the IRRs of the AMLA and other related or applicable rules, regulations, circulars and operating manuals promulgated by the supervising authorities. June 21, 2002, Manila, Philippines. (SGD.) RAFAEL B. BUENAVENTURA Chairman (SGD.) LILIA R. BAUTISTA Member (SGD.) EDUARDO T. MALINIS Member" Pursuant to the foregoing resolution, all banks and off-shore banking units concerned shall file with the Anti-Money Laundering Council the necessary reports of suspicious and covered transactions with any individual, group, organization or entity named in the United States Terrorist Lists in accordance with Rules 5.3 and 9.3 of the IRRs of the AMLA and other related or applicable rules, regulations, circulars and operating manuals promulgated by the supervising authorities. Copies of the Terrorist Lists issued by the United States Government on April 25, May 8; and May 15, 2002 are hereto attached for reference. (SGD.) RAFAEL B. BUENAVENTURA Governor June 26, 2002 FOR The Officer-In-Charge Bangko Sentral ng Pilipinas Transmitted herewith is a copy of Resolution No. 087 of the Anti-Money Laundering Council dated June 21, 2002 with attachments for dissemination to the covered institutions under the jurisdiction of the Bangko Sentral ng Pilipinas (BSP) with the directive that said covered institutions shall submit covered transaction reports and suspicious transaction reports involving any terrorist individual(s), organizations or groups listed therein directly to the Council, in accordance with Section 9 of the AMLA, Rules 5.3 and 9.3 of the Implementing Rules and Regulations and other related or applicable rules, regulations, circulars and operating manuals promulgated by the Council and the Supervising Authorities. (SGD.) VICENTE S. AQUINO Acting Executive Director RESOLUTION NO. 087 WHEREAS, the Philippines is a member of the United Nations and is a signatory to the United Nations Convention on the Suppression of Terrorism and Terrorist Financing; WHEREAS, the United Nations Security Council has issued Resolution No. 1373 adopted at its 4385th meeting on 28 September 2001, and Resolution No. 1269 adopted at its 4053rd meeting on 19 October 1999, calling on all member States to take all necessary steps to prevent and suppress terrorist acts and the financing of terrorist acts; WHEREAS, the United Nations Security Council has likewise issued Resolution No. 1390 (2002) declaring that all States are required to ensure that the following three measures are applied with immediate effect to all individuals and entities included in the Committees Consolidated List: (1) Freeze without delay any funds and other financial assets or economic resources; (2) Prevent the entry into or the transit through their territories; (3) Prevent the direct or indirect supply, sale or transfer of all arms and related materiel, spare parts and technical advice, assistance or training related to military activities; EHCcIT WHEREAS, the United Nations Security Council has issued Lists of Names of terrorist individuals, organizations and/or groups and the United States of America, through its President, George W. Bush, has issued Executive Orders, listing down names of terrorist individuals and entities, and require all states to submit reports in relation to any of the terrorist individuals, organizations or groups listed therein; WHEREAS, the Anti-Money Laundering Act of 2001 (AMLA) has provided as one of its unlawful activities or predicate crimes, under Section 3 (i), hijacking, destructive arson and murder perpetrated by terrorists against non-combatant persons and similar targets; WHEREAS, Sections 2, 7 and 13 of the AMLA and Rule 7.2(8) of the Implementing Rules and Regulations authorize the Council to receive and take action in respect of any request made by foreign states for assistance in anti-money laundering operations relative to conventions, resolutions and other directives of the United Nations (UN), the UN Security Council, and other international organizations of which the Philippines is a member; NOW THEREFORE, the Council, RESOLVES, as it is hereby resolved, by unanimous vote that: l. All UN Security Council Resolutions and US Executive Orders and their attachments and/or lists relative to terrorism and terrorist financing shall, upon receipt by the Council, be immediately disseminated to the Supervising Authorities of the AMLA, namely, the Bangko Sentral ng Pilipinas (BSP), the Securities and Exchange Commission (SEC) and the Insurance Commission (IC); 2. The Supervising Authorities shall disseminate said Resolutions and Orders with their attachments and/or lists to the covered institutions under their respective jurisdictions with the directive that said covered institutions shall submit covered transaction reports and suspicious transaction reports involving any terrorist individual(s), organizations or groups listed therein directly to the Council, in accordance with Section 9 of the AMLA, Rules 5.3 and 9.3 of the Implementing Rules and Regulations and other related or applicable rules, regulations, circulars and operating manuals promulgated by the Council and the Supervising Authorities. HCacDE June 21, 2002 (SGD.) RAFAEL B. BUENAVENTURA Chairman, AMLC (Governor, Bangko Sentral ng Pilipinas) (SGD.) LILIA R. BAUTISTA (SGD.) EDUARDO T. MALINIS Member, AMLC Member, AMLC (Chairperson, Securities and Exchange (Commissioner, Insurance Commission) Commission) Thirteenth List : Terrorists Financing Executive Order The International campaign to stem terrorism financing has been a joint effort involving many different countries. Together, we are putting in place the necessary institutional and regulatory infrastructure to bar access to the financial system of terrorists and their financiers. The provisions of UNSCR 1373 requiring member states to freeze terrorist assets without delay and to prohibit their nationals or persons in their territories from financing terrorism reflect this shared commitment on the part of the international community. On September 23 the President issued Executive Order 13224 blocking the assets of individuals and entities named in the order. Among other things, the order provided the authority to designate individuals or entities which lend support or services to terrorists, which could result in the blocking of their assets in the U.S. or those controlled by U.S. persons. Prior to today, the USG had designated 202 individuals and entities pursuant to the terrorism financing executive order, issuing blocking orders to freeze both their assets in the U.S. and those owned or controlled by U.S. persons. We wish to inform you that Secretary of the Treasury O'Neill has now designated a thirteenth list of eight (8) names under the Executive Order. This latest list consists of individuals tied to the Spanish terrorist group ETA and the Basque Group Askatasuna. The EU designated these names pursuant to its council decision and common position on May 2. Each of the ETA names is accompanied by specific identifying information. Our action is intended to support the EU's designation. We want to work cooperatively with all countries in the worldwide effort to stem terrorist finance, and these latest USG designations were made in this spirit. We do not plan to submit to the UN sanctions committee these eight (8) names for inclusion in the UNSCR 1267/1390 consolidated list of entities/individuals whose assets UN Member States are obligated to freeze as it does not appear that these individuals have links to the Taliban, Usama Bin Laden or Al-Qaida. A public announcement of these names was made on May 3. HDAaIS We welcome further dialogue on these issues and would appreciate learning of any ideas that your Government might have to advance the worldwide effort against terrorist financing. LIST OF NAMES APAOLAZA, SANCHO, IVAN DPOB: 10 NOVEMBER 1971, BEASAIN (GUIPUZCOA) IDENTITY CARD NO. 44.129.178 BERASATEGUI ESCUDERO, ISMAEL DPOB: 15 JUNE 1969, EIBAR (GUIPUZCOA) IDENTITY CARD NO. 15.379.555 GALLASTEGUI SODUPE, LEXURI DPOB: 18 JUNE 1969, BILBAO (VIZCAYA) IDENTITY CARD NO. 16.047.113 PALACIOS ALDAY, GORKA DPOB: 17 OCTOBER 1974, BARACALDO (VIZCAYA) IDENTITY CARD NO. 30.654.356 QUINTANA ZORROZUA, ASIER DPOB: 27 FEBRUARY 1968, BILBAO (VIZCAYA) IDENTITY CARD NO. 30.609.430 RUBENACH ROIG, JUAN LUIS DPOB: 18 SEPTEMBER 1964, BILBAO (VIZCAYA) IDENTITY CARD NO. 18.197.545 ZUBIAGA BRAVO, MANEX DPOB: 14 AUGUST 1979, GETXO (VIZCAYA) IDENTITY CARD) NO. 16.064.664 ASKATASUNA (FORMERLY KNOWN AS GESTORAS PRO-AMNISTIA) SECURITY COUNCIL SANCTIONS COMMITTEE ADDS NEW INDIVIDUALS AND ENTITIES TO ITS CONSOLIDATED LIST April 25, 2002 (Reissued as received.) NEW YORK, 25 April (Department of Political Affairs) The Security Council Committee established pursuant to resolution 1267 (1999) on 24 April 2002 decided to add the entities and individuals listed below to its consolidated list. In accordance with Security Council resolution 1390 (2002), all :States are required to ensure that the following three measures are applied with immediate effect to all of the individuals and entities included in the Committee's consolidated list: (i) Freeze without delay any funds and other financial assets or economic resources; (ii) Prevent the entry into or the transit through their territories; and (iii) Prevent the direct or indirect supply, sale and transfer of all arms and related materiel, spare parts and technical advice, assistance, or training related to military activities. THIcCA 1. The Aid Organization Of The Ulema (a.k.a. Al Rashid Trust; Al Rasheed Trust; Al-Rasheed Trust; Al-Rashid Trust); Pakistan. Additional Addresses for Al Rashid Trust (5): 1. Kitab Ghar, Darul Ifta Wal Irshad, Nazimabad No. 4, Karachi, Pakistan, Phone 6683301; Phone 0300-8209199; Fax 6623814. 2. 302b-40, Good Earth Court, Opposite Pia Planitarium, Block 13a, Gulshan-I Iqbal, Karachi; Phone 4979263. 3. 617 Clifton Center, Block 5, 6th Floor, Clifton, Karachi; Phone 587-2545. 4. 605 Landmark Plaza, 11 Chundrigar Road, Opposite Jang Building, Karachi, Pakistan; Phone 2623818-19. 5. Jamia Masjid, Sulaiman Park, Begum Pura, Lahore, Pakistan; Phone 042-6812081. 2. NASREDDIN, Ahmed Idris (a.k.a. NASREDDIN, Ahmad I.; a.k.a. NASREDDIN, Hadj Ahmed; a.k.a. NASREDDINE, Ahmad Idriss); Corso Sempione 69, 20149 Milan, Italy; 1 via delle Scuole, 6900 Lugano, Switzerland; Piazzale Biancamano, Milan, Italy; Rue De Cap Spartel, Tangiers, Morocco; DOB: 22 November 1929; POD; Adi Ugri, Ethiopia; Italian Fiscal Code: NSRDRS29S22Z315Y. 3. ES SAYED, Abdelkader Mahmoud (a.k.a. ES SAYED, Kader); DOB 12/26/1962; POB Egypt; Address: Via del Fosso di Centocelle n. 66, Rome, Italy; Codice Fiscale: SSYBLK62T26Z336L. 4. AL-FAWAZ, Khalid (a.k.a. AL-FAUWAZ, Khaled; AL-FAUWAZ, Khaled A.; AL-FAWWAZ, Khalid; AL FAWWAZ, Khalik; AL-FAWWAZ, Khaled; AL FAWWAZ, Khaled); DOB: August 25, 1962; 55 Hawarden Hill, Brooke Road, London NW2 7BR, UK. 5. AL-MASRI, Abu Hamza (a.k.a. AL-MISRI, Abu Hamza); DOB: April 15, 1958; 9 Alboume Road, Shepherds Bush, London W12 OLW, UK; 8 Adie Road, Hammersmith, London W6 OPW, UK. 6. BEN HENI, Lased; DOB 02/05/1969; POB Libya. 7. AOUADI, Mohamed Ben Belgacem (a.k.a. AOUADI, Mohamed Ben Belkacem; DOB 12/11/1974; POB Tunisia; Address: Via A. Masina n. 7, Milan, Italy; Codice Fiscale: DAOMMD74T11Z352Z. 8. BOUCHOUCHA, Mokhtar (a.k.a. BUSHUSHA, Mokhtar); DOB 10/13/1969; POB Tunisia; Address: Via Milano n. 38, Spinadesco (CR), Italy; Codice Fiscale: BCHMHT69R213Z352T. 9. CHARAABI, Tarek (a.k.a. SHARAABI, Tarek); DOB 03/31/1970; POB Tunisia; Address: Viale Bligny n. 42, Milan, Italy; Codice Fiscale: CHRTRK70C31Z352U. 10. ESSID, Sami Ben Khemais; DOB 02/10/1968; POB Tunisia; Address: Via Dubini n. 3, Gallarate (VA), Italy; Codice Fiscale: SSDSBN68B1OZ352F. An up-to-date list of individuals and entities targeted by the above sanctions measures is accessible at:: http://www.un.org/Docs/sc/committees/Afghanistan/Afg_list_eng.htm. U.S. DEPARTMENT OF STATE RELEASE 19 April 2002, U.S. Blocks Assets of 10 More Terrorism Financiers (Treasury Dept .: links groups to al Qaida, Usama bin Laden) The U.S. Treasury Department has blocked the assets of nine individuals and one organization that, it says, are linked to the terrorist activities of Usama bin Laden and the al Qaida network. Following is the text of the Treasury fact sheet issued April 19 to explain the action: U . S . Department of the Treasury Office of Public Affairs, April 19, 2002 Designation of 10 Terrorist Financiers Fact Sheet "Today we block the finances of an assortment of terrorists involved in financing and carrying out bombings, kidnappings and murder. We will continue to expose and shut down these thugs whenever we find them." Treasury Secretary Paul 'Neill. Today the Department of Treasury designated nine individuals and one organization, all linked to al Qaida and Usama bin Laden, under President Bush's Executive Order 13224 and took blocking action against: them. Today's action will block all assets these entities have in the United States and prohibits any financial interaction between U.S. persons and these entities and individuals. Including today's designation, the Department of Treasury has blocked the assets of 202 entities and individuals. 161 countries have joined us in issuing blocking orders against these groups and individuals and $104 million has been frozen worldwide. 34 million of that has been blocked domestically in the United States with the remaining $70 million blocked by our international partners. 1. THE AID ORGANIZATION OF THE ULEMA When President Bush initiated the financial war on terrorism in September 2001, the al Rashid Trust was among the first organizations named as a financial facilitator of terrorists. The organization changed its name to The Aid Organization of the Ulema (AOU) and remains active. The AOU is headquartered in Pakistan, and continues to operate offices there. They have been raising funds for the Taliban since 1999. This designation captures the re-named office and identifies additional locations of other branch offices in Pakistan. 2. NASREDDIN, Ahmed Idris Ahmed Idris Nasreddin provides direct support for Youssef Nada and Bank Al Taqwa, both of which were designated as terrorist financiers by the Department of Treasury on November 7, 2001. On the same date, Treasury named four individuals as terrorist financiers connected to al Taqwa: Zeinab Mansour-Fattouh, Mohamed Mansour, Albert Friedrich Armand Huber, and Ali Ghaleb Himmat. The al Taqwa group has long acted as financial advisers to al Qaida, with offices in Switzerland, Liechtenstein, Italy and the Caribbean. Ahmed Idris Nasreddin and Youssef Nada are both .founders and directors of Bank Al Taqwa. Usama bin Laden and his al-Qaida organization received financial assistance from Youssef Nada. Al Taqwa provides investment advice and cash transfer mechanisms for al Qaida and other radical Islamic groups. 3. Es Sayed, Abdelkadir Mahmoud An order for preventive detention of Es Sayed, an Egyptian national, has been issued in absentia by the prosecutor's office in Milan, Italy. He has been indicted for participation in a criminal conspiracy to traffic in arms, explosives, chemical weapons, identity papers, and for aiding illegal immigration. Es Sayed is considered to be the organizer of al-Qaida's Milan cell. Numerous wiretaps were collected by investigators in the past months which show that Es Sayed was in contact with the leadership of al Qaida. In one of the conversations, he says that he had been sent to Milan to reorganize the "Muslim brothers" who were hit by the investigations starting in the early 1990s. Es Sayed was convicted in Egypt for the massacre at Luxor in which 58 foreign tourists were killed. 4. AL-FAWAZ, Khalid Khalid Al-Fawaz was indicted in the United States for conspiring to bomb the U.S. embassies in Kenya and Tanzania. The United States is seeking his extradition from the United Kingdom. Al Fawaz was sent to London by Usama bin Laden in 1994, where he set up an office to serve as a conduit among various al Qaida cells. 5. AL-MASRI, Abu Hamza Abu Hamza al-Masri identifies himself as the Legal Officer for the Islamic Army of Aden, the terrorist organization that claimed credit for the bombing of the USS Cole in Yemen. The President designated the Islamic Army of Aden as a financier of terrorism when he launched the financial war on terrorism on September 24, 2001. In written statements, Hamza seeks support and backing for jihad against the Yemeni regime and the return to Islamic law. The Islamic Army of Aden has taken responsibility for the kidnapping of foreigners, including the kidnapping of 16 tourists in December of 1998, that resulted in the killing of three Britons and one Australian. In interviews, Hamza has endorsed the killing of non-Muslim tourists visiting Muslim countries. INDIVIDUALS LINKED TO SALAFIST GROUP FOR CALL AND COMBAT The following four individuals are members of an al Qaida cell operating in Italy that carried out logistical tasks in collaboration with similar groups active in Germany, the United Kingdom, and Algeria. The cell is part of the Salafist Group for Call and Combat, an Algerian terrorist organization that continues to terrorize North Africa. The President designated the Salafist Group for Call and Combat as a financier of terrorism when he launched the financial war on terrorism on September 24, 2001. The Salafist Group for Call and Combat was designated by the State Department as a Foreign Terrorist Organization on March 27, 2002. DaHcAS 6. Aouadi, Mohamed Ben Belgacem Aouadi, a Tunisian national, has been convicted in Italy and is serving a five-year term in prison for being part of a group involved in trafficking of arms and explosives. He acted as a liaison with the Algerian-Spanish cell of al Qaida and was the man who procured the false documents for other al Qaida cell members. 7. Bouchoucha, Mokhtar Bouchoucha, a Tunisian national, has been convicted in Italy and is serving a five-year term in prison for being part of a group involved in trafficking of arms and explosives. 8. Charaabi, Tarek Charaabi, a Tunisian national, has been convicted in Italy and is serving a four-year term in prison for being part of a group involved in trafficking of arms and explosives. 9. ESSID, Sami Ben Khemais Essid has been convicted in Italy and is serving a five-year term in prison for being part of a group involved in trafficking of arms and explosives. 10. Ben Heni, Lased Ben Heni, a Libyan national, served as a liaison between the al Qaida cell in Italy, led by Ben Khemais, and the cell in Frankfurt that was dismantled in December 2000, before it was able to carry out an attack in Strasbourg. He has been indicted for participation in a criminal conspiracy to traffic in arms, explosives, chemical weapons, and identity papers, and for aiding illegal immigration.. He was arrested in Germany in October and then extradited to Italy. At the time of his arrest, he bragged that he had: been trained in the same camps frequented by Usama bin Laden. TSAHIa