The Court of Appeals (CA) has junked a petition by the Anti-Money Laundering Council (AMLC) to maintain the asset preservation orders (APO) earlier issued by a Manila trial court against the bank accounts of several individuals and companies that were allegedly used to funnel part of the $81 million stolen by cyber thieves from the Bangladeshi government in 2016.
In a 32-page decision written by Associate Justice Fernanda Lampas Peralta, the CA’s Second Division ruled that the Manila City Regional Trial Court (RTC) did not gravely abuse its discretion in granting the respondents Eastern Hawaii Leisure Co. Ltd. and owner Kam Sin Wong, QiaQiao Wendy Wang, and Dong Na Xu’s motions’ to quash the trial court’s order regarding their frozen accounts.
“Anent the contention that respondent trial court committed grave abuse of discretion in granting motions to discharge APO as there was a ‘probable cause that private respondents’ bank accounts were related to the unlawful activity of hacking,’ it suffices to state that the main case is still pending before the respondent trial court,” the CA stressed.
“That case is the proper proceeding to ventilate the issue of whether there is probable cause that private respondents’ bank accounts were related to the unlawful activity of hacking, among others,” the resolution stated.
Because of this, the CA directed the trial court to immediately resolve and to consolidate the civil forfeiture cases filed against Eastern Hawaii Leisure Co. Ltd and Kam involving AMLC Case No. 16- 003-53 and QiaoQiao Wendy Wang, Dong Na Xu and Eastern Hawaii Leisure Co. Ltd under AMLC Case No. 17-001-53.
Records showed that on October 16, 2019, the RTC granted respondents’ motions to discharge the APOs due to AMLC’s failure to show evidence that the subject bank accounts of the respondents were opened for the purpose of hacking the Bangladesh Banks account.
It also held that the AMLC failed to prove that the respondents connived with Philrem Service Corporation in committing an unlawful activity and that they had prior knowledge that the P1 billion remitted by the former belong to the Bangladesh Bank.
While Eastern Hawaii and Kam were only able to surrender P488.28 Million, the trial court noted that AMLC failed to refute private respondents’ evidence showing that the unreturned amounts were gambled away by casino junket Gao Shu Hua and his players at Midas Oriental Casino.
Kam earlier claimed that the funds were abandoned by his junket agent Gao Shuhua at Solaire Resort and Casino and Midas Casinos where the stolen money from the Bangladeshi government was supposedly funneled.
Besides, the court noted that the private respondents were neither accused nor convicted in the criminal cases for violation of the Anti-Money Laundering Act, adding that the criminal complaint for violation of AMLA against Kam was dismissed for insufficiency of evidence.
Covered by the CA ruling were Eastern Hawaii’s bank account in the Philippine National Bank (PNB) with P4.46 million, Wong’s PNB account amounting to P5.74 million, QiaoQiao’s PNB account amounting to P686,425 and Dong’s PNP accounts totaling to more than P 61 million.
