Our Ref: B10/1C

29 September 2001

The Chief Executive
All authorized institutions

Dear Sir/Madam,

Financial Action Task Force ("FATF")
Non-cooperative countries and territories ("NCCTs")

We refer to our letter of 27 September 2001 advising the additional procedures to be adopted by authorized institutions ("AIs") for new customers from the Philippines. As mentioned in that letter, in case any significant legislation is enacted by the Philippines on or before 30 September 2001, the application of the additional procedures would be suspended.

We have been advised by the FATF Secretariat today that, as a result of the passing of the necessary anti-money laundering legislation which is to be signed by the President of the Philippines on 29 September, the implementation of additional counter-measures on the Philippines as of 30 September 2001 should be suspended pending verification of the legislation.

AIs are therefore advised to withhold the implementation of the additional procedures to be adopted for new customers from the Philippines. Meanwhile, AIs should remain vigilant in dealing with customers or prospective customers from the Philippines as one of the jurisdictions appearing on the FATF's list of NCCTs.

Yours faithfully,

Raymond Li
Executive Director (Banking Development)