SC: Freeze Order on Money Laundering Extends to Related Accounts

The Supreme Court (SC) has ruled that freeze orders issued by the Court of Appeals (CA) over assets from suspected money laundering activities may extend to related accounts — such as bank accounts, insurance policies, securities and others — as long as these are linked to the suspected illegal activities.

- — Elizabeth Marcelo

In a decision written by Associate Justice Japar Dimaampao, the SC upheld the constitutionality of Section 10 of Republic Act 9160 or the Anti-Money Laundering Act (AMLA), which allows the CA to freeze related and materially linked accounts, provided they are included in the freeze order application and the amount of funds or value of the property is identified in the freeze order.

The decision was in connection with the petition for review filed by Melissa Manganip and other petitioners challenging the freeze order issued by the CA in relation to the graft and plunder charges filed against former vice president Jejomar Binay and other government officials over the alleged overpricing of the New Makati City Parking Building II, among other irregularities.