Arrest of Mabanza may help PH exit FATF gray list, says AMLC

INQUIRER.net stock photo

MANILA, Philippines — The arrest of Myrna Mabanza, a financial coordinator alleged to be linked to international terrorist groups, would help the country finally exit the international watchdog Financial Action Task Force’s (FATF) grey list, the Anti-Money Laundering Council (AMLC) said Friday.

Mabanza was arrested on Thursday in Indanan town, Sulu in a joint operation by the Philippine National Police, the Armed Forces of the Philippines, and several other government units.

READ: Suspect linked to global terrorist groups arrested in Sulu – ATC

AMLC Deputy Director Emmett Manantan said that Mabanza’s arrest directly contributed to the terrorism financing identification, terrorism financing investigation, and terrorism financing prosecution, which could help the country exit the FATF’s gray list.

“The investigation for case build-up demonstrates to our assessors that the nationwide efforts of our law enforcement agencies are working,” Manantan said partly in Filipino in a press conference.

“The filing of prosecution [documents] is the immediate outcome we need to address now. FATF wants to see more terrorism financing cases filed resulting from conducted investigations,” he added.

According to its website, the FATF is a global money laundering and terrorist financing watchdog that sets international standards aiming to prevent these illegal activities and the harm they cause to society

READ: PH on FATF grey list may turn off foreign investors – AMLC

According to Justice Undersecretary Nicholas Felix Ty, Ty is also the spokesperson of the Anti-Terrorism Council (ATC), Mabanza is a terrorist listed by the United Nations Security Council under its sanctions list, which makes her a significant figure in terrorism financing.

“I think this is not just one count for purposes of the gray list. Myrna Mabanza is a very significant figure,” Ty said.

The Philippines is currently on the FATF’s gray list, which means that the country was noted to have deficiencies in its anti-money laundering and combating terrorism financing system.

Earlier in January, President Ferdinand Marcos Jr. directed all government agencies to address the remaining deficiencies in the country’s anti-money laundering and counter-terror financing measures to get the country out of the said list.

Arrest to ensure peace, order in Mindanao

Meanwhile, in the same press conference, Ty also noted how Mabanza’s arrest could help further ensure peace and order, especially in Mindanao.

“Right now, the government has been making good progress in maintaining peace and order in the south,” Ty said.

“The important thing is to maintain this peace and order, and these kinds of cases and arrests — these are ways to ensure the maintenance of peace and order.”

Meanwhile, National Intelligence Coordinating Council Assistant Director Gen Ted Tibaldo highlighted how Mabanza’s arrest would help in taking down the financial structure of terrorist groups like the Abu Sayyaf Group (ASG) and Islamic State (IS) terrorists.

“At least, somehow we were able to take down some of their financial structure so that at least this won’t happen again. Right after the Marawi siege, most of what they used for financial transactions with the ASG or IS groups are coursed through their wives,”  Tibaldo said, speaking partly in Filipino.

He explained that after the 2016 Marawi siege, terrorist groups in the country used their wives to organize financial transactions with terrorists abroad.

“At least, somehow this [accomplishment] will reverberate through whoever may be used so that they will no longer be channeled in this way,” Tibaldo said.

Based on records, Mabanza was the one who allegedly transferred a total of $107,000 to Isnilon Hapilon — the Islamic State’s anointed “emir” or leader in Southeast Asia — before the Marawi siege in 2017.