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Ca amlc vs binay et al 051115 v2

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Binay, AMLAC, Court of Appeals, Philippines

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Ca amlc vs binay et al 051115 v2

  1. 1. Republic Of the Philippines Court of Appeals Manila FIRST DIVISION REPUBLIC OF THE PHILIPPINES, represented by the ANTI-MONEY LAUNDERING COUNCIL, Petitioner, — Versus — JEJOMAR C. BINAY, JEJOMAR ERWIN S. BINAV, GERARDO S. LIMLINGAN, JR. , EDUVIGES D. BALOLOY, ERNESTO S‘. MERCADO, GREENERGY HOLDINGS, INC. , SUNCHAMP REAL ESTATE DEVELOPMENT CORP. , EARTHRIGHT HOLDINGS, INC. . ANTONIO L. TIU, .lILLENNlUM FOOD CHAINS CORP. , BDO UNIBANK, INC. , BDO PRIVATE BANK, INC. , LAND BANK OF THE PHILIPPINES, METROPOLITAN BANK AND TRUST CO. , LTD. , PHILIPPINE NATIONAL BANK, SECURITY BAN K C()RP. , RIZAL COMMERCIAL BANKING C()RP. , PHILIPPINE BANK OF COMMUNICATIONS, INC. , RCBC SAVINGS BANK, INC. , PHILIPPINE BUSINESS BANK, INC. , AGRICULTURAL BANK OF THE PHILIPPINES, INC. , STERLING BANK OF ASIA, INC. , UNION BANK OF TI-IE PHILIPPINES, INC. , BANK OF THE PHILIPPINE ISLANDS, ASIA UNITED BANK CORP. , BANKARI), INC. , CLSA PHILIPPINES, INC. , SB EQUITIES, INC. , GREPALIFE FINANCIAL, INC. , BDO SECURITIES, INC. , FIRST METRO INVESTMEN'I‘ CORP. , P1-IILEOUITY MANAGEMENT, IN(: ., RCBC CA-G. R. AMLA NO. 00134 Members: PJ REYES, Chairperson ROSARIO, and SORONGON, [L Promulgated: PM/ ;»~
  2. 2. (‘, /—G. R. AMLA NO. 00134 Free’/ .c Order Page 2 SECURITIES, INC. , PHILIPPINE AXA LIFE INSURANCE CORP. , ELENITA S. BINAY, LILY HERNANDEZ CRYSTAL, CARMELITA PALO GALVAN, FRANCISCO BALAGUER BALOLOY, BERNADETTE CEZAR PORTOLLANO, MITZI OUANO SEDILLO, MARGUERITE LICHNOCK, MELISSA GAY CASTANEDA LIMLINGAN, VICTOR S. LIMLINGAN, PATRICIA GRACE LIMLINGAN PADUA, GERARD() MARTIN CASTANEDA LIMLINGAN, JAMES LEE TIU, PEI FENG LEE, ANN LORAINE BUENCAMINO TIU, FREDERICK DUENAS BALOLOY, JENNIFER V. BALOLOY, MARIO ALEJO ORETA, JOSE ORILLAZA, DANIEL C. SUBIDO, MAN BUN CHONG, ERLINDA S. CHONG, APRIL JOY PASCUAL MERCADO, and ()MNI SECURITY INVESTIGATION ANI) GENERAL SERVICES, IN C. , Respondents. x ————————————————————————————————————————————————————————————————————————————————————————— ——X FREEZE ORDER ROSARIO, 1.: Before Us is an Ex Parte Petition for Issuance Of Freeze Order filed by the Republic of the Philippines, represented by the Anti—Money Laundering Council (AMLC), pursuant to Section 10 of Republic Act No. 9160, otherwise known as the Anti—Money Laundering Act Of 2001 (AMLA), as amended, seeking an order freezing certain bank accounts of, investments made by, and insurance policies issued to respondents Jejomar C. Binay, Jejomar Erwin S. Binay, Gerardo S. Limlingan, Jr. , Eduviges D. Baloloy, Emesto S. Mercado, Greenergy Holdings, Ine. , Sunchamp Real
  3. 3. (7/--(}. R. AMLA NO. 00134 -' Page 3 Freeze Order Est. at: e Development Corp, Earthright Holdings, lne. , Antonio L. Tiu, Millennium Food Chains Corp, Elenita S. Binay, Lily Hemandez Crystal, Carmelita. Pale Galvan, Francisco Balaguer Baloloy, Bernadette Cezar Portollano, Mitzi Ouano Sedillo, lVllargu. er. ite Liehnock, Melissa Gay Castaneda Lirnlingan, Victor S. Liimlingan, P‘a. t:rieia Grace Limlingan Padua, Gerardo Martin Castaneda Limlingan, James Lee 'l‘iu, Pei Feng Lee, Ann Loraine Bucneamino Tiu, Frederick Duefias Baloloy, Jennifer V. Baloloy, Mario Alejo Oreta, Jose Orillaza, Daniel C. Subido, Man Bun Chong, Erlinda S. Chong, April Joy Pascual Mercado and OMNI Security Investigation and General Services, Inc. The Circumstances Leading to the AMLC Investigations New Makali City Parking Building ' and the Related Senate Hearings On l8 November 2014, the Office of the Ombudsman requested’ the AMLC Secretariat to conduct an investigation on Vice President Jejomar C. Binay (VP Binay), certain members of his immediate family, and close associates for possible violation of the AMLA, in light. of the Complaint— Affidavitz filed by Nicolas “Ching" Enciso VI and Renato L. Bondal on 22 July 2()l4. In their Complaint—Af'fidaVit, Enciso and Bondal accused VP Binay, Makati City Mayor Erwin Jejomar “. lunjun” S. Binay (Mayor Junjun Binay), certain members of the Sangguniang ‘Panlungsod of Makati City, and the Commission on Audit (COA) Resident Auditor for Makati City for violation of the Ant. i—Graft and Corrupt Praetrices Act (Republic Act No. 3019) in relation to the Anti—Plunder Act (Republic Act No. 7080) for the alleged overprieing of the New Makati City Parking Building, which was constructed at a total cost of 1.56 billion pesos (Pl ,560,()00,000.00). Enciso and Bondal alleged that the cost. of the parking building in 2007, per the first appropriation ordinance approved by VP Binay as then city mayor, should have amounted to only Two Hundred Forty Five Million Five Hundred Fifty Eight. Thousand Two Hundred Forty Eight Pesos (P245,558,248.()0). Enciso and Bond. al pointed out that: the staggering amount of l.56 Billion pesos was for the construction of the parking building alone. They alleged that another 350 Million pesos (P35(), ()00,000.0()) and yet a. nOthcr 46.62 Million pesos (P46,62(), ()O(). ()()) were appropriated for the transfer of ' See letter of the ()‘f1'ice‘o| 't| Ie Ombudsman, Annex A of petition. 7' Doeketed as Case No. ()MB-C»-CI4-()228 (()M.13—C—A—l4~0l99). Annex A~l of petition. . .. ... ..-. ... ... .._. ._. ... ... . . ._. .-. i.. ... ... ... -M.
  4. 4. (7A- (, i,R. AMl. .A NO. 00134 i Page 4 Free‘/ .c Order the Urban Development. Department of Makati City to the parking building and for the furniture and fixtures therein, respectively. Enciso and Bondal "further alleged that the l.56 Billion pesos appropriated for the construction of the parking building, which when divided by the parking building's maximum area of 31,928 square meters amounts to more than P48,859.0() per square meter, was grossly disproportionate to the average construction cost of a commercial building, which was P9,527.00 per square meter in the fourth quarter of 2012. Related to the foregoing complaint. before the Ombudsman, the Senate Committee on Accountability of Public Officers and lnvestigations, Blue Ribbon Subcommittee, pursuant to Senate Resolution No. 826,3 conducted a series of hearings where the resource speaker, former Makati City Vice Mayor Ernesto S. Mercado testified on how he delivered funds to then City Councilor (now Mayor) Junjun Binay, to “Ate Ebeng” (later identified as Eduviges Ducnas Baloloy, VP Binay's secretary), and to “Gerry” (later identified as Gerardo Simpao Limlingan, Jr. , VP Binay's finance officer and coordinator with the private sector). These funds, which were allegedly VP Binay's thirteen percent (13%) share in every project in Makati City, were delivered to Mercado's office in three bags, each respectively marked as “J”, “E” and Mercado would deliver the “J” bag to Mayor Junjun Binay, the “E” bag to Baloloy for VP Binay's personal needs and expenses, and the “G” bag to Limlingan. Mercado said some of the funds delivered to Limlingan were intended for VP Binay's then vice presidential election campaign. Mercado estimated that each bag contained around 1.5 to 2 Million pesos, but on occasion, as much as l() Million pesos. The bags intended for Mayor lunjun Binay and Limlingan contained roughly the same amount while that for Baloloy contained a. smaller amount. “ Mercado also alleged that Meriras Realty and Development Corporation (Meriras) and Omni Security Investigation and General Services, Inc. (OMNI) were VP Binay's dummy entities? He likewise disclosed VP Binay's links to Agri_fortuna, Inc. (Agrifortuna), Grecnergy Holdings, Inc. (Greenergy) and Antonio L. Tiu (Tiu). “ Upon verification with the SEC, Mercado discovered that Limlingan, his wife Marguerite Lichnock (Liehnock), Erlinda Chong (Chong), lmce “ Annex B of petition. 'l‘SN, I I September 2014. Annex (I otpetition. 'l‘SN, 25 September 2014, Annex I) ofpetition. " 'l‘SN, 8 October 2014. Annex 1% of petition. s -. ~
  5. 5. C/ »(, ?.R. AMLA NC). t)()'l34 Page 5 liireez/ ,e Order Chong, Kim Tun Chong, Irene Chong and K. irns'l'er Chong were Me. riras' present stockholders. Limlingan owns majority of the Meriras‘ outstanding capital stock. Mercado also disclosed that Chong was Senator Maria Lourdes Nancy Binay's partner in supplying the birthday cakes to senior citizens of Makati City.7 Mercado also said that. Lichnock owned fifty percent of OMNI's shares. Bernadette Portallano and Aida Alcantara, members of Limlingan's staff, respectively owned twent. y percent and ten percent of the OMNI's sharesf‘ Mercado revealed among Agrifortuna's present stockholders are Limlingan and his trusted aide, Mitzi Sedillo. Greenergy, meanwhile, is engaged in the business of providing renewable energy, but branched out to agri—tourism. Its major stockholders are Earthright Holdings, Inc. (Earthright), Sunchamp Real Estate Development Corp. (Sunchamp) and Three Star Capital Limited. Atty. Martin Subido, the managing partner of the law firm Subido Pagente Certeza Mendoza and Binay (SPCMB Law Ofi‘ice) where Makati City Representative Mar—len Abigail Binay is a partner, is also a director of Ear.1.hright. Tiu, the president of Sunchamp, is a a substantial stockholder of and is likewise the president of Greenergy. ° Mercado narrated that he and VP Binay . were administrative and political companions since 1986, until their falling out in 2()I(). He was VP Binay's assistant at the Metropolitan Manila Development Authority from 1998 until the end of VP Binay's term therein. He was a member of the Sangguniang Panlungsod of Makati City from 1992 to 1998 and was Vice Mayor from 2001 to 2010. He admitted that he profited financially from the construction of Phases 1 and 2 of the New Makati City Parking Building. ” Atty. Alexander B. Juliano, the Director of the Fraud Audit Office of COA, testified at the Senate hearing conducted on 2 October 2014 that initial evaluation of the records showed that the City Government of Makati had disbursed a total of P2.,367,679‘,633.95 as of 31 December 2013 for the construction of the New Makati City Parking Building. “ . laICrtt Venture A grreemerzt Between the " 'I‘SN, 25 September 2014. Annex 1') of petition. 8 lbld. “ TSN, 8 October 2014. Annex I? ) of petition. '“ Page 19 ofpctition. See also TSN, 26 August 2014. Annex G of petition. " Page 2() of petition. See also ’l‘SN, 2 October 2014, Annex H of petition.
  6. 6. CA—G. R.AM1.. A NO. 00134 Page 6 Free’/ .e Order Bay Srrauls of the Philrfppines and Alphzrland (. ‘r2rp0m. ti0n and the Related Senate iIeart'ng. r On 20 January 2015, Senate Resolution No. 1114” was filed, calling for the Blue Ribbon Subcornnnittee t. o investigate the alleged irregular transactions entered into by the Home Development Mutual Fund (HDMF)/ P/ G~IB1G Fund and the Boy Scouts of the Philippines (BSP). At the time of the transactions, VP Binay was Chairman of the board of trustees of HDMF/ PAG—IBlG Fund and was also President of BSP. Senate Resolution No. l1l4 was based on the findings of the COA, as contained in its 2012 Audit Report, regarding the anomalous joint venture agreement (JVA) between BSP and Alphaland Makat: i Place, lnc. (AMPI). AMPI was formerly known as Silvertown Property Development Corporation (Silvertown), the original party in the JVA with BSP. Silvertown was registered with the Securities and Exchange Commission (SEC) in 1991 with Sime Darby Pilipinas, Inc. holding 98% of the subscribed and paid~up capital stock. Under the JVA executed on 30 June 2008, BSP and Silvertown undertook to develop a piece of real property located in Malugay, Makati City, which was owned by BSP. lvlcrcado signed the JVA on behalfof BSP, as authorized by its National lilxccutive Board and upon instruction from VP Binay; while Mario A. Oreta, the President; of Silvertown, represented the latt. er corporation. BSP would get. 15% of the project, while Silvertown would get 85%. Mercado disclosed that during the negotiations, he insisted that the BSP should receive a 20% share of the units. Limlingan assured him that the BS. P would actually receive a 20% share but 5% of the proceeds would be earmarked for VP Binay's election campaign for the vice presidency. The 5% share would be given to Noble Care Management Corporation, which would "hide and clean it". ” Makati Scienrre lfigh Building In an indorsement letter'’' dated 16 March 2015, the Office of the Ombudsman referred to the AMLC Secretariat, for appropriate action, another complaint against VP Binay, Mayor J unjun Binay, various past and present members of the Sangguniang Panlungsod of Makati City and other persons, this time for the alleged overpricing of the construction of the B'"r; ;;; ;m; ,;. r7r; ;;; i“cs '5‘ See page 21 of petition. See also 'l‘SN, 22.lanuary 2015, Annex .1 of petition. '4 Annex K ofpetition.
  7. 7. CA—(? .R. AMLA NU. ON 34 Page 7 Free‘/ .e Order Makati Science High School Building. The complaint filed solely by Bondal before the Office of the Ombudsman was docketed as lC—OC—l4— 1857.” In the aforementioned eornplaint, Bondal alleged that the Makati Science High School Building Pro_icct, a l0—storey building which includes a. single—level basement parking, was started in 2007. He likewise alleged that in ZOI4, me project was made to appcaras completed; when in fact, the 8”“, 9"‘ and l()"‘ floors of said building are still incomplete. He further alleged that: the Makati Science High School Building Project. was not bid out in just one phase, but was chopped into six (6) phases where a simulated bidding was conducted for each phase. He averred that. the aggregate amount of P] ,333,()38,2()5.6() for Phases l to V] paid by the City of Makati to the high school building's contractor, Hilrnarc, which when divided by the high school building's total floor area of l8,373 square meters amounts to a construction cost of P’/2,554.20, was grossly disproportionate to the average cost of construction per square meter indicated in the official data of the NSO in 2007, which was only around P8,013.00 per square meter. He further averred that the project lasted for more than eight years and, upon completion, was finally tumed over to the Makat: i City Government. in 2014; but at the Senate Subcommittee Ocular Inspection conducted on .14 November 2014, the 8"‘ to 10”‘ floorsof the high school building were incomplete. . - The AMLC Investigations Initial Investigation The AMLC conducted an initial investigation to verify the allegations in the Complaint~A’l‘l’idavit of Enciso and Bondal, the Complaint. of Bondal, and the testimony of Mercado during the Senate hearings. It looked int. o public records: the Statement of Assets, Liabilities and Net. Worth (SALN) submitted by the present and former public officials and employees implicated by Enciso, Bondal and Mercado; the records of the SEC on the alleged dummy cnt. ities; and the findings of the COA. The AMLC reviewed the SALNs submitted by VP Binay and his wife Elcnita, Mayor Junjun Binay, Baloloy and Mercado during the years when the New Makati City Parking Building and the Makati Science High School Building projects were underway. ” The AMLC observed increases in the '5 Annex K»-l ofpctition, "‘ Sec Annexes L~() ofpetition. . .-; .a1.—i. .-. =.. . . -.. ... _.. ... ..¢_. ._. .». ... ... .-_. .=_. sA-‘.4.-_ah. ..
  8. 8. CA-»G. R. AMLA NO. OOI34 i Page 8 Freeze Order net. worth of said government ot‘l'icials which were not commensurate to their declared incomes, assets, liabilities and business interests. ” The AMLC also checked the SEC records to verify Mereado's allegations concerning the Malugay property and the possible links between VP Binay and/ or members of his family and persons associated with his office to the alleged dummy entities. The records disclosed the following information: Meriras Realty and Development Corporation. Meriras was registered with the SEC in December 1990 with SEC Registration No. 184863. It is engaged in real estate, with principal office address at l333—E Angono St. , Makati City. ” lts General Information Sheet (G18) for the year 2013 shows the corporation's stockholders and their corresponding shareholdings as follows: ’9 SHARISHOLDINGS N/ ‘M13 T POSITION ' / lMouNTisuns(:1<inter) W"/ i.£oi«' PAIDHUP owNr: Rsnn> 1 r(’lcrardoI. imlinganV S” iaimam ’ ' ’ iiii,2sti, t$txi}od"”'"'i A S" " 2 Imec S. (ihong Director 75,4()(), r0l)(V), O() ‘ N l2% 77 3 lirlinda S. Chong Director 7 3,l5(), V()()(). ()l)J ' 7% V V 4 Kim Tung s. Chong Secretary A 5;4o0,0oo. oo 7 12”/ oi A 5 Margueriteljchnock Dilccttor 3,’/5il, ()()(). t)() 8% is i'ir¢a¢is‘. Vci‘im; i‘ Vi*r; ;gt. ;e{ it 'KK: S'; it'(>)i‘tA); A()7(')i(')’. '()‘(V)‘ ” {2}/ (J A it i -7 ‘mi-as. tem, .g ”7s. ;.s; :i¢; t r s, ;im; ¢m; a; “ A x Irish s. Chongfl Director s}t()(), tx>(). <i<) 12% ’1‘()'l‘Al, 45,000,o0o. oo 100% The GIS shows t. hat. Limlingan, his wife Marguerite Lichnock, and lirlinda S. Chong are directors of Meriras. These persons are associated with the Binay family and are alleged dummies of VP Binay. Erlinda Chong was linked to the birthday cakes supplied by Senator Maria Lourdes Nancy Binay to the senior citizens of Ma. kati City? " Omni Security Investigation, Inc. (formerly Omni Security ” See pp. 24- 29 ol‘ petition. "‘ See Annex I’ of pet. it. ion. "’ See Annex l’~l ofpctition, 7” See Annex D of petition.
  9. 9. (1A»—(l. R. AMLA NO. 00134 Page 9 Free‘/ .c (’)rder Investigation & General Services, Inc. ) OMNI was registered with the SEC on 2 December l999 with Company Registration No. Al999l8797. Its business is to provide private security services, with principal office address at #38 Sampaguita St. , Comernbo, l/ lakati City. lt has an authorized capital stock of 10 Million pesos, subscribed capital stock of 2.5 Million pesos, and paid-up capital of 625 Thousand pesos. “ The company's GIS for 2005 indicated that Maria Marguerite. Elena Liehnoek, replacing one of the incorporators, became the majority stockholder, holding 50% of the company shares. ” ln 2008, Hirene U. Lopez became the Corporate Secretary. In 2009, OMN l did not disclose its shareholdings. From 2010 to 2014, new sets of officers and shareholders emerged and increased their shareholdings as follows: E E’ E A Sl*lArl2El1()Vl. I)lIl(’‘iSl ’ rsuwiz . POSl'I‘l()N AMOUNT “/0 01‘ ‘ SUBSCRIBEI) & OWNERSHIP PAID—UP l . ‘vl2trgueri1cli Lichnock (‘hairman/ l’rt‘sident l5,()0(l, ()0t). ()() 50% 2 Bernadette C. Portol Iano Corporate Secretary 6,0()0,0()().00 20% 2 ” HireneU. l,ope7.. 00 A Lllrcasllrclrw *0 A E‘ ”eIiEiti; (>tié)'.6E{WWiiiizf ’ Z’ 4 Ai(lal? .Aleantara ‘ HI)irec; t.or ’ " ’é[6tii)', t$<)(i(iE>l’"Nids; I 5 ‘ Martin C. Subido Assistant (Torporate1s‘ceretary ' H 0 0% I ’l‘()'I‘Al. . 3(), ()()0,0()(). ()() I l()0% Martin C. Subido was Assistant. Corporate Secretary of OMNI in 2010 and 20] l. Marguerite E. Lichnock is Limlingan's wife, while Bernadet. te C. Portollzmo's name would crop up in AMl. ..C's subsequent investigations. Agrt: I'0rtuna, Inc. Agrifortuna was registered with the SEC on 24 July 1992 with SEC Registration No. AS()92—04736. It is engaged in agribusiness, with principal of'l’ice address at 7/P Alpap I Bldg, l40 Alfaro St, Salcedo Village, Makati City. It had a total subscribed capital stock of P500,()()(). ()() and a total paid~up capital of Pl 25,()00.00. Each incorporator has a subscription of Pl()0,00(). ()() and a paid-up capital of P25,()00.00. VP Binay and his wife Elenita were two of t: he five incorporators.7'3 7' See Annex l’~2 oi" petition. 7‘ See Annex l"—3 of petition. 7”‘ See Annex Q of petition. _ a_. _e_; — t~ >; g-_/ >. , . . .. . ... au-. .., n. ..-. =. , ... _..
  10. 10. CA»G. R. AMI. / NO. 00134 i Page 10 Free‘/ .c Order At the time of incorporation and per GIS for 1.994, Baloloy was Treasurer of Agrifortuna. GIS for the years 2008 to 2013 indicat. ed that the business address of Agrifortuna is at Bo. Maligaya, Rosario, Batangas. Based on its GIS for the years 20082013, Agri f ortuna's stockholders are: i may i r r r r r ”l’V(V)&V; ll1"]t)lJ r " r mount siiascigimgr. isnrasit ,1 A l. allt‘c£trl() 71%. c. imgo}io, ‘Ii}[ ' V 2 Director 2 2 A 0 2 " 2 2 V H V V ‘: ¢,2oo, ba'i. m 2 MindanillaB. Barlis H I Chairinan/ President 7 H rl00,0V()0.’(l0 C Mitzi Scdillo H V V H Assist. ant W K V K K K K C K C l()0,0()0.()0 4 2 ’l‘onnas B. W WWW” I V I "W I C K C K W r ra. .;. a.; rrs. r.t flW—”l-llirenwe U. Lopez 7 H I Corporate Segctary K C C I W I I 7’ Lily l—l. ”Crystal N Administrator V I S V l 'l‘C'l‘/ «CU- W H V K V U S K S C‘ I C 27,()()0,0()0.00 In 201 1, Bemadette C. Poitollano became Agrifortuna's Administrator, in lieu of Lily H. Crystal, whose name would also crop up in A MLC's subsequent investigations. Hennitage & Manor Realty and Management Corp. Hermitage was registered with the SEC on l5 December 1999, with SEC Reg. No. Al9999l997l. Its primary purpose is to own, use, improve, develop, subdivide, sell, exchange, lease and hold for investment or otherwise, real estate of all kinds, including buildings, houses, apartments and other structures. lts principal office is at 877 Robelle Mansion, J. P. Rizal St. , Poblacion, Makati City. It has an authorized capital stock of 8 Million pesos, subscribed capital stock of 2 Million pesos, and paid-up capital of 600 Thousand pesos. “ Its incorporators with their corresponding shareholdings are: EN/ li/ in if AMouN'rsunsc: Riiii; i'> A C / MouN"i‘i'>Ain—-UP if ‘ l. eonitaBinay 0 A A i i A I 6o<), (i<xi. <}<) ’2;o’o, mo‘. 'm’ 2 Ma. Lourdes Nancy Binay 300,000.(X) 75,000.00 3 Mar-»I. en Abigail Binay 200,()00.()0 50,000.0() 4 lcjomar Erwin Binay 300,000.00 75,000.()0 Cclso Santiago 6t)t), ()00.()() 200,000.00 7” See Annex R of petition. 1 1
  11. 11. L _. __. . CA-(. l.R. AMLA NO. 00134 Page ll Free‘/ .e Order 'l‘()’l‘AL | 2,o<>o, o<>o. on l 60t), ()(}(). ()t)l Its GIS for 2008 and 2010 indicated its officers with their corresponding shareholdings as follows: A AAASIA4lia]€lAill(iIQl)AlNGS A AA A NAME l’OSI’I‘lON Ari/ l()AUAIlA'l‘AAAAAAAA AAA/ iivJ()uAN1‘AiA>}—A1i). A SUBSCRIBED UP 1 A I€leniAtAziAl3AinaAy AACC" AAehainnan)i$i~A¢siti££{i AA soAiiA, <AiAoA<i. A6oA A2Ao<A>A, A<itiA<>, m Z A Ma. Lourdes IAiancyABiAI1i; yA AA AA 'l‘rAeasurer AA AA A AA A3()A(A), (A)()A(). AA()lA) A AA775A,0()().00 liinay A Ciorporate Secretary AA A A 2O0,(A)A()O. li()A A A 5(), ()00,0() T: A Aic}t}mA}Aié£{Li}iAAi§}{a§ AA AAAAAAAAAAAiA>AAiAA; A¢¢i-¢i. A-AA AA 5£i&i, A&>E>E>A}iAiiA AAAAAAAAA? /iéiitiftiii s cat, Santiago AlA)AiArcA(A: tAoAr AA AA AeAs<xi, oixAAi. AoAtA> AA A AA A2AiiiiA, ii<A><>. <iii A 'l‘()'l‘AL 7 2,()A(X), ()0(). (lll C A6A()(), ()(AX), ll()A Three members of VP Binay's immediate family occupy positions in this company. Hermitage has not filed audited financial statements with the SEC since 2007. ' Millennium Food Chains Corp. Millennium was registered with the SEC on 16 May 1997, with SEC Reg. No. A. l997()9607. its purpose is to establish, operate and maintain restaurants, coffee shops, refreshment parlors, cocktail lounges and cater foods. Its principal office is at Comembo Commercial Complex, J. P. Rizal Ext, Makati City. It has an authorized capital stock of 7 Million pesos, subscribed capital stock of 5 Million pesos and paid—up capital of 1.8 Million pesos. ” its incorporators with their corresponding shareholdings are: AANAAMi«iAAAAAAAA AA AA A AM'oiiN>i~stjiisdiiigms‘ AAAAA}ii§iAotAJi§iii‘Ai5Aii§. ui> 1A A AAl'£rlAinA(iaAS. ChAonAg AA AA A AA AA lA, ()t)(), A(A)(l(Al. A()At)A AA A A 5o<Ai, i><AirAi. AtxAi 2 Kim Tun s. Chung A l, ()()(), ()()(). ()() 4uo, ooo. o0A 2 Lilia (. ‘have'/ . l,00(), ()()(). (A)() 400,000.00 4 Ma. Lourclcs Nancy Binay zAt()(), A00(). ()(l 100,000.00 VAsAA lA/ Iar-AI. enAAhigailAl§inay AA AA AAA A AAAA4A0ii, A(iA<i<A>. AiA>A<)AAA AA A AAAAAltl{A), tl()(A). A(lA() 7”” See Annex S ol'pet. ition. . 4. 4 . . . -¢r 1~¢u—A
  12. 12. CA--(LR. AMLA N(). 00134 Page 12 I<‘reey. c Order 6 . lejomar Erwin Binay 4(l(), t)()(). ()() 1()(), ()t)(), tlt) 7 Angel ieo Sal ud X0(), ()()(). t)(l Z(l(), ()()().0() ’I‘()'l"AI, 5 , ()()(), tl()t). O(l 1,800,()()O. ()() Its GIS for 2014 indicated its officers with their corresponding shareholdings were: AAP()SA1'l‘IAA(A)llA NAME A SAAUBSCRIlA31£D PAII)~UPA l I£rlindaAS. Chang A Chairman/ President A A A A lA, A4(l0,()()(). ti() 2 A AAKim Tun S. Chong Treasurer A 1A,10(),000.O() A lititlc S. ACh(A)ng A A eAoAr; }t; i~; iiAAcA§ai}cAi. ;;}Ay’AAAAA A AAAAiA, AiAAtA)AtAiA, ii<Ai&A)A. AiA>6A EAAAl(AiiAiiAsi"eA1"AS: ChoiigAAAAAAAAAAA AA AAAl5irectorAA A AA AA AA A: A”i(A)A(A)A, (A)t)tA)A. AA(A)tAl . 5 Ma. Lourdes iwy IAA3inay DiAreActAor A Am 4“ A mm AC 4 A AA sOA(Ai, (x>(i. (>ti A 6 Mar-LenAAAbAigai1BAiriAay“ I)ireAcAtor WA AA E AAEA AAAAAZEVAEKAW AA’ A A3(A)(), ()()(). ()t) 7 3 A Allejomar Erwin7BAin’aAy7 7A Director A A 7 AA 3(A)t), (l(l(). ()() l A AA A AA A A AZ’ , AAAA7ArcA>A7i? AAAAiAIA A A” AAA. é,iiA<AA; A<Ai: tiiiA(>A. A(iA<AiA, I . 1 From the foregoing, it appears that Millennium is a business entity of the Chong family, with three children of VP Binay as directors. Millennium‘s Audited Financial Statements from 2006-2010 show that the corporation derived minimal income from its operations. It did not declare dividends from 2006 to 20] 0.26 Noble Care Management Corporation. Noble Care was registered with the SEC on 11 July 2005, with Company Reg. No. CS20051 1884. Its primary purpose is to purchase, acquire, own, lease and develop real properties for the establishment: of communities, for sale or lease; estabish and manage residences as homes or dwelling places for transients, retirees and other clients. Its principal office is at 10”‘ Floor, DPC Place Bldg, 2322 C. Roees Avenue, Makati City. All has an authorized capital stock of 1 Million pesos, subscribed capital stock of P25(), ()00.()0, and paid—up capital of P62,5()(). ()().2'7 Its incorporators, having the same address as its principal o'lA'l’icc, are: 7'“ See page 35 of petition, A"‘A’ See Annex '1‘ of petition. a. .. __. _.. ‘ . _. -_ _. _e. .u: _.. ._i. ... . . ... ..‘. ... -.. .a_hs. .4 i_. _v.
  13. 13. CA--(, }.R. AMLA NO. 00134 Page 13 Freeze Order NAME / M()UN'l‘ st1nsc:1<1niai> / M()UN’l‘ P/ lD4—UI. ’ I l/ lario A. ()reta C C 150,000.00 37,500.00 E 2 A Gilberto M. Garcia ii A A 2,5.000.00i M ii 6,250.00 H 3 lrineol". Sioson A A i A i2.‘$, i()i()0.i()t) I A H ii i“5,i250.i00 4 Anselmo 1’. Sinjian H1 25,000.00 6,250,00 5 Lisette M. Balta‘/ ,ar 25,000.00 7 6,250.00 'ro'r/ n, C C 250,000.00 H 62,500.00 Noble Care's Audited Financial Statements for 2008 to 2013 indicate net losses suffered in said years. The issuance by Silvertown of 2,031 shares worth P20,3l0.00 was never disclosed in Noble Care's GIS for the year 2009; nor the l00.4—Million—peso loan extended by Silvertown to Noble Care in 2008. The issuance of said shares and the loan would however be reflected in Noble Care's audited financial statement for the year ended 31 December 201 l. Silvertown Property Development Corporation. Silvertown was registered with the SEC on 6 March 1991, with SEC Reg. No. I87796. It had an authorized capital stock of l l/ lillion pesos with subscribed and paid» up capital stock of P325,000.00. The majority stockholder, Sime Darby Pilipinas, Inc. would indicate its address at Malugay St. cor. Ayala Avenue, Makati City. ""‘ On 26 February 20l0, the SEC approved the change of the corporate name t. o Alphaland Mal<. ati Place, Inc. (AMPl).29 In 2010, it; s officers and their corresponding shareholdings were: NAME l’C)Sl'l‘lON AMOUNT SUBSCRlBl£l) & l’Al]’)-UP i I Alphaland Development, Inc. (formerly Parent Company C 7 324,950,()() r Alphaland Corporation) 7 V 2 iaibmv. c>ngpiH '0 i 4 ii i A A ¢: ta. ~m; .;, s‘ ' ” "0"" ii i ii " A 0» t0.(_><> 3 nliric ()V. iReetoi I C V I C I H C V V i V V 10.00 ‘i 4 Mario A. Oreta ii President. ‘ 10.00 ‘i 5 Josephine/ . Manalo ’l‘reasurer/ l)ireet. or ‘ 10.00 5 6 Rodolfo Ma, A. l’on'l‘errada Director 7 V p H 10.00 77 Ma. Lourdes A, ‘innit-. s I ll‘-i1‘eictori i V H H l0.00 8 “Craig Webster lllritishl I I i I i i I H I i H I i i i I l().0() 9 Daniel Winston (T. 'l‘anr-Chi Corporate Secretary 7*‘ See Annex U ot'pelit. ion. 7” See Annex (1-1 of petition.
  14. 14. (‘. A—(¥. R. AMLA No. 00134 1 ' Page 14 Freeze Order ‘ 10 Noble Care Manag_: ement Corporation 20,310.00 i A A '[‘()TAI. 345,310.00 In 2014-, its officers and their corresponding shareholdings were: NAME I’()SI'I‘ION AMOUNT SUBSCRIBED & PAID—UP “Alphalandl)evelopment, VInd. (formerly ‘ii>; .}é}, ”{”E(; }{{§; .niy””””” “W EsE>; E)E16.ki(i Alphaland Corporation) ii: 2 i; ;i. .g. .,v”. "a; ..; ;.; .’ 2” I if I "¢; i;; i;. ... .;"""" ii” 1’ if ' " i1(), i(1(1i L: iI>/ Iiarii)A. W(. )riet. aM M 2’ iva; i;l&: n;u}m; ;niaééiiagiiégtiii2'” 1' ' I Miiiftiti S Josephine A’. V A Treasurer/ Director V F F V 10.00 i 6 Rodolfo Mia. iA. Ponfcn‘ada V iCoriporate Director H7 V V 10.00 7 3 Ma. Iourdes A. Torres Director 1().0() ‘J 1 (‘1ihum/ inthonyiA. Orbe if ' 7Assisti1ntiCorphrateSecretaryA Director in’ C ’ Jonamc1i(3.Isracl—()rbc ' Assistant. Corporate ; qa; ..; ;.; “ if 26,3050 A I I if I I E‘ I M A I H 'r()ri4.i, A 680,()6().00 The Notes to Parent. Company Financial Statements disclosed that on 21 . lune 2005, Sime Darby Pilipinas, Inc. (SDCPI) entered into a Joint Sale Agreement (JSA) with the BSP for the sale of SDPI's investment in Silvertown, and of the land where its main office is located. Silvertown owns the building and improvements, with lea. sehold rights on the land until May 2026 under a Deed of Donation and Leaseback. Under the t. erms of the ISA, the proceeds from the sale of the properties shall be divided between the "BSP and SDPI at sixty percent: and forty percent, respectively. On 30 June 2008, SDP11 sold its investment in Silvertown to Alphaland Development, Inc. (ADI), a subsidiary of Alphaland Corporation (Alphaland), for 400 Million pesos. " ADI thus owned 94% of Silvertown. On the same date, Silvertown, as the leasehold owner of the.10,0()0—square— meter land situated at Ayala Avenue Extension corner Malugay Street, Makati City (the Malugay property) owned by the BSP, entered into a Joint Venture Agreement. (IVA) with the 1at. t:er to convert said property into a '1'irst—class commercial development. t. o be known as Alphaland Makati Place. Under the IVA, the BSP would contribute the land while Silvertown would contribute the improvements and its exclusive leasehold rights over the land.
  15. 15. C/ -—t}. l<. AMI. / NO. ()()l34 i Page 15 Free‘/ ,c Order As earlier stated, Silvertown changed its name to AMP] on 26 l*‘ebruary 2010. On ll November 20! 0, AMP! became a wholly~owned subsidiary of Alphaland, when Alphaland, Noble Care and AD] entered into an agreement where:3“ Alphaland will continue to wholly own ADI, while ADI will increase its ownership of AMPI from 94.12% to 100%; and Noble Cards loan from ADI will be canceled; as such, Noble Care will no longer have any obligation to AD] any direct ownership over AD] but will instead own Alphaland shares. On 30 June 201 l, BSP sold the Malugay property to AMPI for a total consideration of 600 Million pesos. This consideration was however contributed to the joint venture, where it was held in trust by AMPI for the development of the project. “ AM LC Secretariaz Investigation From the financial investigation conducted by the AMLC Secretariat, the following information were gathered: Considerable amounts of US dollars were transferred from ‘Philippine to Canadian banks in the years 2008 to 2014,32 the period when the subject buildings were constructed. The US dollar transfers originated from accounts held either individually by Limlingan, or jointly by Limlingan and VP Binay at Rizal Commercial Banking Corporation (RCBC), Metropolitan Bank & Trust Company (Metrobank) or BDO Unibank, Inc. (BDO). The AMLC also noted a transfer originating from a bank account held jointly by Limlingan with a certain Jose Padua at BDO. These accounts were: 0 A<: co1JN'rNAiM1«: ‘ " i ' ' ' ‘nmz "'iA(: cii1iNi~siJiir§i«§x I GI<)RARD() LIMLINGAN, JR. . RCBC — 2 Mi i'l‘R()BAN K . — — STA. ANA ' 3 o1«:1<Am)()1,IMi. ,iNGAN, 112., .n«: ioMA1< nno . ~ .1 .1>. — c: AnA1J/ WAN BINAY ‘R17./ L 4 GI «:1</ iu)o SIMPAO LIMLINGAN, .uz. , nno U". M JOSIAI I’/ |)UA l~’. I'/ .Al . . "‘i‘——l»—’i| .~gve"/ t_(')T<i)vt'v1,w)(: t.’iitioni W 3’ Page 4i of petition. 3’ See Table 34, pp. 44-45 01' petition. - . u_
  16. 16. CA—G. R. AMLA NO. 00134 Page 16 Freeze Order VP Binay also had individual accounts with BDO, Metrobank, Philippine National Bank. (PNB) and Land Bank of the Philippines (Lanclbank). AC(I()UNT Ni/ iMi1<: ii if it H19;/ lJl<H iA‘(Zt, ‘(K)UNK'l‘N1J1’/ JIBJVZRHI IV S . ii«: .ioMAkCABAIJATANsin/ xvi S S rune H 2 3 4 Ml§'l‘l{t)I3ANK - STA. ANA 5 VKVPNB H S e 7’ MAKATI crrv He likewise maintained joint accounts with Limlingan and Lily Hernandez Crystal at BDO and Metrobank. / i(Z(i()UNTNAME S S ”mi~n<" qAiCVC6IVllKVVT-NI-Jlvl’I”3l7<)Kl7a'i l . n«; ioMA1< CAB/ UA'l‘AN BINAY, BDO 1.1’. RIZAL GER/ RD() SIMP/ () LIMLINGAN, JR. if 2 G}£RARD() SIMPAO LIMLINGAN . n<. ., BDO — J.1’. RIYAL m Jl‘lJ()MAR CAB/ -U/ 'l'AN BIN/ Y 3 JIEJOMAR CAB/ UA'l‘AN BIN/ Y , Ml‘§'I‘R()BANK GIERARDO SIMPAO LIMLINGAN JR, OR LILY Ill ERN/ Nl)l. *l'/ . C]{YS'l‘/ l . l. The AMLC observed large and frequent transactions made between the period 2008 to 2()l4 involving the aforementioned accounts of VP Binay, maintained individually or jointly with either Limlingan or Lily Hemandez Crystal. ” The AMLC likewise observed that these t. ransactions were not commensurate to the income declared by VP Binay in his SALNS for said years. The AMLC further observed transactions involving VP Binay's other accounts in Security Bank Corporation (Securitiy Bank), PNB, and RCBC Savings Bank, lnc. (RCBC Savings), maintained either in his name or jointly ” See Table 37, pp, 4641‘) of petition, “J1. mg ‘ . .
  17. 17. (IA (LR. /Ml, A NO. ()0’l34 Page 17 l<‘ree'/ .c Order with Limlingan and Crystal, from 2008 to 2()l2.'” ACCOUNT NAME BANK AC(: ouN'r NUMBER i iir, .ioiv1Ai< cAiiAuA'i‘AN BINAY si«: ciJiu'rv BANK -g — Zn eUAi>Ai, um: e 4 — 5 PNB C 6 JILIOMAR C. niNAY R(. ‘.}5C SAVINGS ~ JJ’. : R17./ l , The investigation further disclosed that Mayor Junjun Binay maintains bank accounts in the Bank of the Philippine Islands (BPI), BDO, Metrobank, Union Bank of the Philippines (Union Bank), Bank (UCPB). ACCOIJNT NAME IMNK. l . _ll~; I()M/ l{ i«ii<wiN soMnii. i.o S iai>i 2 ; BlN/ Y. .IR. 3 BDO 4 S5 . 6. .7. s Mli’l‘R()BANK 9 V 10 UNION BANK i ii" UCPB 12 and United Coconut Planters A CCOUNT NUMBER ‘ i V l i , l i l l l l i At. least 78 large transactions and five notable transactions involving Mayor Junjun Binay's al'orementioned accounts were observed to have been made from 8 April 2003 to 8 January 201 5.” Four large transactions in 2007 t: o 2008 involving Millenniu1n's two 3“ See ’l‘able 38, p. 49 of petition. 5"“ See Tables 40-47, pp. 50-53 of petition.
  18. 18. (1/—(.1.R. AME. / NO. 00134 Pagc18 Freeze Order accounts with Security Bank (Guadalupe Branch) were also noted in the investigation.3" The AMLC also looked into the bank accounts of Limlingan and Baloloy, allegedly dumrnics of VP Binay. Based on the client information recorded by L-andha. nk,5‘7 Limlingan received an income of P30,000.00 in 201 1 and 2012. Baloloy's source of income is her employment with the City Government of Makati. The / MLC's investigation would however disclose that in 2007 to 2014, cash deposit transactions, majority of which were in millions of pesos, were applied to the individual and joint accounts maintained by Limlingan and Baloloy in BDO, Metrobank and Security Bank. ” Other large transactions conducted by Limlingan and Baloloy involved funds that apparently have been placed in investment management fund accounts. ” Both Limlingan and Baloloy started selling securities, conducted inter—account transfers within the same bank, pre—terminated their time deposits and investment placements, encashed checks and withdrew bank d€p()SlL§ after the commencement of the Senate hearings on the New Makati City Parking Building on 2() August. 2014.4" The investigation also revealed other large transactions made in 20()7 to 2()14 in the joint accounts maintained by Baloloy and Limlingan with other individuals likewise allegedly associated with VP Binay. “ These individuals also maintained time deposits; money market instrument placements; regular trust. fund contribution, placements and investments; and other money instruments from 2008 to 2014/'2 The investigation into the bank accounts of Greenergy, Earthright and Sunchamp revealed multiple transactions involving receipt of inward remittances, inter—braneh fund transfers, cash withdrawals and cash deposits among the accounts of these entities, of the SPCMB Law Office and of T iu from 30 June 2014 to 2 July 2014 alone. “ The investigation further revealed 3‘ See Table 48, p. 53 of petition. 1” See [and Bank of the Philippines Client Information Sheets for 201 1 and 2012, Annexes W and W~1 of petition. '1“ Sec 'l‘able/1.‘). pp. 53»»57 o1'pct. ition. 3” See Table 50, pp. 57»6l ofpetition. '"’ See Table 51, pp, 6163 of petition. 4' See Table 53, pp. 64—74 of petition. ‘2 See Tables 54 and 55, pp. '74-—82 and 82—93 ot‘pct. it. ion. 43 Sec pp. 94-96 of petition.
  19. 19. Page l9 (.7./ -(LR. AMI. / NO. 00134 Free‘/ .c Order that despite 'l‘iu's supposed business losses in 2012 and comparatively small net profit. of 22.45 Million in 2013, t. he accounts under his name showed multiple large transactions. “ The invest. igat. ion further revealed that considerable amounts of money were deposited to Mcrea. do's accounts with l_, andba. nl< and BDO from 2007 t: o 2014.45 I-le likewise invested in a life insurance policy, made a credit. purchase and bought. foreign cu1rency.4" The amount of money involved in these transactions were not commensurate to the income and net worth he declared in his SALNS for said years. From the investigations it conducted, the AMLC made the following observations:47 1. The following persons maintained multiple bank accounts, either individually or jointly held by them with others in several banks, or where they are designated beneficiaries; or conducted multiple high- value investment transactions: a) Vice President Jejomar C. Binay; b) . Gerardo Simpao Liinlingan. Jr. , V1’ Binay‘s financial officer; e) l<): luviges Duenas Baloloy, VP Binay's long—t. ime secretary; d) Makati City Mayor lirwln Jcjomar Binay, the son of VP Binay and former Mayor lilcnita Sombillo Binay; ' c) Antonio Lee 'l‘iti, VI’ Binay‘s close friend; and f) Ernesto S. Mercado, former Makati City Vice Mayor. 2. These persons conducted multiple fund transfers from bank accounts in the names of the account holders to other accounts, either within the same bank or to other banks before making withdrawals. The AMLC further observed that the following circumstances are suspeet. :“* I. The financial transactions, particularly deposits and trust fund contributions/ placements, were conducted in cash and in rounded figures; 2. Ma_iorit. y of the financial transactions had no underlying legal or trade . ' '. 'l‘able 58, pp. ‘)6-99 ofpetition. .5 e Tables 59 and 60, pp. 9‘)-»l()2 of petition. 4“ See Table 61, pp. 103-104 of petition. "" Page I 1‘) of petition. 4“ Pages l 19» l 20 of petition.
  20. 20. CA--G. R. AMI. / NO, 00134 Page 20 l<‘rcc'x. e Order obligation, purpose or economic justification; 3. The amounts involved were not commensurate to the business or financial capacity of the individuals concerned; and 4-. These transactions were conducted during the construction of the Makati City Hall 11 Parking Building and the Makati High School Science Building and during the implementation of the .1 VA between ESP and Alphaland/ Silvertown. Finding probable cause that the transactions involving the aforementioned bank accounts, insurance policies and securities were related to unlawful activities as alleged in the separate complaints filed before the Ombudsman and testified to by l/ lercado in the hearings before the Senate, the AMLC issued Resolution No. 23, Series of 2015, authorizing the AMLC Secretariat to file, through the Office of the Solicitor General, an Ex Parze Petition for the Issuance of a Freeze Order. Hence, this Petition where the Republic avers: "9 I. PROBABI. l£ CAUSE EXISTS TIIAT Tllli SIlB. IIiC'I‘ BANK. ACCOUNTS ARE RELATED TO VIOLATIONS OF THE ANTI- GRAFT AND CORRUPT PRACTICES ACT UNDER REPUBLIC AC1‘ NO. 3019 AND REPUBLIC ACT NO. 7080, WHICH. ARE UNI. AWI’UI- A(‘. 'l‘IVI'l‘Il'iS UNDER SECTION 3(i) OF THE ANTI- MONEY LAUNDI£RIN(. l ACT O1‘ 2001 (RA. NO. 9160), AS AMENDEI). II. UNLESS FROZIEN, TI-IE . l*'UNDS IN T HE SUBJECT ACCOUNTS WILL CERTAINLY BE WITHDRAWN THEREBY PLACING TI-IESE BEYOND REACI--I/ RECOVERY. Section 10 of Republic Act No. 9160, as amended by Republic Act No. 10365, provides: SEC. 10. Iirecxing of Monetary Instrument or Property. - Upon a verified ex parte petition by the AMLC and after determination that probable cause exists that. any monetary instrument. or property is in any way related to an unlawful activity as defined in Section 3(i) hereof, the Court. of Appeals may issue a freeze order which shall be effective immediately, and which shall not exceed six (6) months depending upon the circumstances of the case: Provided, That if there is no case filed against a person whose account has been frozen within the period determined by the court, the freeze order shall be deemed ipso facto lifted: “’ Pages l7.()~l2I of petition . .. __; _;___. .._. -.. __s_. __. ... ... . __. . . ..-
  21. 21. (I/ —G. R. AMI, / NO. 00134 i Page Zl Freeze Order Provided, further, That this new rule shall not apply to pending cases in the courts. In any case, the court should act on the petition to freeze within t. wcnty—l'our (24) hours from filing of the petition. If the application is filed a day before a nonworking day, the computation of the t. wcnt. y-‘four (24)- hour period shall exclude the nonworking days. Rule 10b of the Revised Rules and Regulations Implementing Republic Act No. 91605" states that the definition of probable cause includes such facts and circumstances which would lead a reasonably discreet, prudent or cautious man to believe that an unlawful activity and/ or a money laundering offense is about. to be, is being or has been committed and that the account or any monetary instrument or property sought to be frozen is in any way related to said unlawful activity and/ or money laundering offense. After review of the facts and circumstances as alleged in the verified petition and its corresponding annexes, this Court agrees with the AMLC that there is probable cause to believe that the individual and joint. bank accounts of, investments made by, and insurance policies issued to VP Binay, Mayor Junjun Binay, Limlingan, Baloloy, Tiu, Chong, Mercado, Greenergy, Sunchamp, Earthright, Millennium, and OMNI are related to unlawful activities. We highlight the circumstances, as summarized by the AMLC, that tend to support the allegation that the transactions made under the bank accounts, investments and insurance policies, subject of this Ex Parte Petition for the Issuance of a Freeze Order, are related to unlawful activities as alleged in the complaints filed before the Office of the Ombudsman? “ I. Citing the findings of the National Statistics Office, Enciso and Bondal stated that me constzruetion of the New Makati City Parking Building was overpriced by more than 13 billion pesos; 2. Former Vice Mayor Ernesto Mcrcado's testimony before the Senate's Blue Ribbon Subcommittee is replete with details on the deliveries of cash he made to Limliugan, Mayor Jurijun Binay and Baloloy; on the persons and entities acting as dummies of VP Binay and their businesses. 3. The S/ I. Ns of VP Binay and his wife Elenita, Mayor Junjun Binay, Iiicltiviges Baloloy and Ernesto Mercado show their respective net worth from 2()0'7—2()l3 to be disproportionate to the values, frequency and complexity of their banking and other t. ransactions. ii” As amended by Republic Act No. 9 I 94 and Republic Act no. IOI67. "” Pages 121 to 122 of petition.
  22. 22. (1/-—(l. R./ Ml. A N(). 00134 i Page 22 Freeze Order 4. Records from the SEC showed probable links of entities, their directors and officers to VP Binay and/ or his immediate family members. 5. Financial investigations into the bank accounts of VP Binay, his immediate family members, associates, friends and purported dummy entities showed multiple large transactions in cash during the construct. ion of the New Makati City Parking Building from 2007» 2014, and the Makati Science High School Building. 6. Mercado's testimony is corroborated on material points by the records of the SEC and the financial investigations conducted by die AMLC. 7. Limlingan, Baloloy and other persons associated with VP Binay made large and frequent transactions soon after the Senate Blue Ribbon Subcommittee conducted hearings pursuant to Senate Resolution No. 826. 8. Massive withdra. wals of funds and pre—terrnination of investments, among others, after the Senate began conducting hearings on the alleged anomalies in the construction of the subject buildings, and after the exposure of the subject JVA. Taking into consideration that the advanced state of technology of the electronic banking system allows for closure of bank accounts or transfer of funds in a matter of seconds, the averrnent made by the AMLC that there is an imminent danger that the funds in the subject bank accounts, i-nvestment and insurance policies will be withdrawn, transferred, concealed or otherwise disposed of, is well—tal<cn. The results of the initial investigation conducted by the AMLC already indicate pre—termination of subject investments as well as withdrawals and transfers of large amounts of funds from bank accounts sought to be frozen. In the light of the foregoing, coupled with the sheer number of rnonet. ary instruments involved and the AMLC's declaration that it still needs to conduct further financial investigation for the possible filing of a criminal case for money laundering and other appropriate legal actions against respondents, We find the issuance of a Freeze Order, effective for a. period of six (6) months, against the aforementioned bank accounts, insurance policies and investments to be warranted. WHEREFORE, the Ex Parte Petition for the Issuance of a Freeze Order is GRAN'I”EI). A Freeze Order is hereby issued, valid and effective immediately for a period of six (6) months. Respondent banks, insurance and securities companies are (). Rl)'. EREl) to FREEZE the following accounts, including all relat: cd accounts wherever they may be found:52 52 This Court has taken pains to ensure that the account numbers indicated in this Freeze Order are the
  23. 23. (. ‘Av—(t. R. AMLA N(). 00134 ‘ Page 33 Freeze Order Respondent. banking, insurance, investment. and securities institutions are likewise DIRECTED to submit to this Court. and the AMLC, within t. wcnt. y—'four (24) hours from receipt of this Freeze Order, a detailed retum specifying pertinent, and relevant information on all frozen bank accounts, insurance policies, securities and investments, including all related accounts wherever they may be found, pursuant to Rules 'l(). c.3 to l(). d of the 2012 Revised Implementing Rules and Regulations of Republic Act No. 9160, as amended. ‘ SO ORDERED. JRIGINAL SIGNEI‘ RICARDO R. ROSARIO Associate Justice WE CONCUR: }RIG11‘l_-’1‘tL SIGIlI: u.. ANDRES B. REYES, JR. Presiding Justice 31{IG]7§ll? £fI' SIGNEL EDWIN I). S()RONGON Associate Justice It’I’I’/ t'(lm(WIiM) CERTIFIED TRUE UUr‘ it _. "€’7h}« , AT ENUS . i. :.u.3LAr, -t—I‘ LOMI- I cting Div .2.-in C', :,rti Court 3 _; ¢&. ;4g—_ .

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