The Bangko Sentral ng Pilipinas (BSP) has issued new guidance requiring all institutions under its supervision to strengthen safeguards against money laundering, terrorism financing, and proliferation financing when dealing with casino junket operators.
Casino junket operators are individuals or companies that arrange gaming-related services for high-value patrons, including travel plans, credit facilities, and reserved gaming areas. These businesses carry higher financial crime risks, prompting the central bank to release the official paper titled Risk Management Practices for Customers Engaged in Casino Junket Operations. The document aims to prevent the financial system from being used to channel funds for illegal activities, including the development and spread of weapons of mass destruction.
The guidance outlines clear warning signs that institutions must watch for, such as unusual cash flow patterns, complicated ownership structures among corporate clients, and transactions built up through multiple layers to hide origins. “Financial transactions linked to casino junket operations can pose elevated money laundering risks,” said BSP deputy governor Lyn I. Javier. “We have set out recommended practices and red flags so financial institutions can be strong partners in our shared goal of stopping criminal activity and protecting the integrity of our financial system.”
To manage these risks effectively, the paper sets out key focus areas: clear oversight from boards and senior leaders, fully implemented anti-crime programs, strict checks when accepting and identifying clients, continuous monitoring and reporting of suspicious activity, plus regular internal reviews and staff training. It also encourages institutions to keep up proven approaches such as extra thorough checks on high-risk clients, automated systems to track transactions, tracing connections between different clients, verifying details directly with regulators, and taking part in official information sharing efforts.
The BSP stressed that close cooperation between regulators—especially the central bank and the Philippine Amusement and Gaming Corporation—and financial service providers remains vital to spotting and addressing risks early. This guidance was developed following a detailed review of transactions involving selected banks, junket operators, and their high-value clients.
