Philippines proposes AML law changes covering online gambling and digital finance

Lawmakers in the Philippines are advancing amendments to the Anti-Money Laundering Act that would extend compliance requirements to online gambling operators and digital finance entities, while granting additional enforcement authority to regulators.

Joel Villanueva has filed Senate Bill No. 1983, seeking revisions to Republic Act No. 9160. The proposal is designed to address risks linked to cybercrime, virtual assets, and digital financial transactions.

The bill would expand the scope of covered entities under the law to include online gambling operators, virtual asset service providers, trust and company service providers, as well as lawyers and accountants involved in certain financial transactions.

“We need a tougher law to catch up with the criminals trying to cover their illicit financial tracks,” said Villanueva.

Expanded compliance and reporting requirements

The proposed amendments introduce additional customer due diligence and reporting obligations for covered entities, along with stricter administrative sanctions for non-compliance.

Lawmakers said the changes are intended to respond to the increasing use of digital financial services and evolving financial crime methods.

“Sustained reforms are necessary not only to maintain compliance with international standards, but also to safeguard the credibility and resilience of the Philippine financial system,” Villanueva said. “Money talks, but dirty money whispers usually through complicit entities. We need a tougher law to catch up with the criminals trying to cover their illicit financial tracks.”

The proposal also updates predicate offenses for money laundering to include emerging forms of financial crime linked to digital transactions.

Greater powers for AMLC

Under the bill, the Anti-Money Laundering Council would receive expanded authority to monitor and act on suspicious activity.

These powers include the ability to issue transaction suspension orders, administrative freeze orders, and subpoenas. The measure also seeks to streamline court procedures to allow faster action on flagged transactions.

Villanueva said the reforms respond to calls for stronger investigative capabilities and supervision of regulated entities.

The Philippines was placed on the Financial Action Task Force grey list in June 2021 and was removed in February 2025 after completing an action plan addressing gaps in its anti-money laundering framework.

Focus on illegal online gambling

Efforts to tighten AML rules come as authorities increase attention on illegal online gambling operations.

Government agencies, including the Cybercrime Investigation and Coordinating Centre, have faced criticism over enforcement gaps in tackling illicit operators.

Following a Senate hearing on online gambling regulation, the CICC confirmed a partnership with the Presidential Anti-Organised Crime Commission to pursue enforcement actions against illegal activities. The CICC has been tasked with preparing case files for the PAOCC, which leads operations targeting the black market.

The CICC said in a statement: “This partnership proclaims CICC and PAOCC’s commitment to spearheading the abolition of illegal online practices nationwide, persisting with the goal of purging the digital landscape and bringing the perpetrators to justice to a reputable and guarded online environment.”

If enacted, the amendments would place additional compliance obligations on licensed online gambling operators and related service providers, particularly in areas of customer verification, transaction monitoring, and reporting.