On August 31, Philippine Senator Zhang Qiaowei stated that banks assisting "POGO Mayor" Guo Huaping and her accomplices in suspicious transactions should be held accountable. He also reiterated his condemnation of the Anti-Money Laundering Council (AMLC) for failing to detect these suspicious financial activities in a timely manner.
Zhang Qiaowei stated that the law requires banks and other financial institutions to immediately report any suspicious transactions exceeding 500,000 pesos to the Anti-Money Laundering Council.
In the case of Guo Huaping, he said it took the Anti-Money Laundering Council four years to act on her likely involvement in money laundering activities related to illegal online gambling (POGO) within her town.
The Anti-Money Laundering Council filed a series of lawsuits against Guo Huaping and 36 others on Friday, accusing them of illegally transferring 7 billion pesos for the construction of a vast online gambling park used for various fraudulent activities and other serious crimes.
Zhang Qiaowei said in a radio program: "If the Senate had not investigated this matter, they might still be operating and bringing in dirty money."
He said: "That's why the banks and the Anti-Money Laundering Council should explain. They both have responsibilities in this. For me, the banks should be responsible. They did not report these transactions to the Anti-Money Laundering Council."
Zhang Qiaowei previously estimated that the construction of the entire Bangban town online gambling park would cost up to 6 billion pesos. This park was raided by relevant agencies in March.
He stated that the 87 money laundering charges brought against Guo Huaping and her accomplices supported his suspicion that the funds used for the development and construction of the online gambling park facilities were proceeds from various transnational crimes (such as online fraud and gambling), which entered the Philippines through money laundering.
He said that the failure of banks to report these suspicious transactions was a "danger signal" that could have prompted the Anti-Money Laundering Council to take proactive action.
Zhang Qiaowei emphasized that the Anti-Money Laundering Council also failed in actively handling such matters.
When asked whether banks should be listed as defendants in the case against Guo Huaping and others, Zhang Qiaowei said it depends on the investigation of their possible criminal liability by the Anti-Money Laundering Council.
"Danger Signal"
Zhang Qiaowei said: "Honestly, this issue was raised in a closed-door meeting. So the banks definitely have to share the responsibility."
Zhang Qiaowei also pointed out that the Anti-Money Laundering Council should now conduct a similar financial review of individuals involved with Lucky Southern 99 Outsourcing Company and Cyclone Company, the companies behind the raided online gambling park in Bangbangya Province, Baoluzhen. This online gambling park was also raided and shut down by relevant agencies.
He mentioned that engineers he consulted told him that about 5 billion pesos would be needed to build the Baoluzhen online gambling park, which includes private villas and dozens of multi-story buildings.
Cassandra Wang, the authorized representative of Lucky Southern, was listed as one of the defendants in the lawsuits filed by the Anti-Money Laundering Council, the National Investigation Bureau, and the Presidential Anti-Organized Crime Committee to the Ministry of Justice.
