House panel urged to tap BSP in remittance probe

By , on November 26, 2014

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MANILA – To inquire on the effect of the increasing remittances fees to the country’s overseas Filipino workers (OFWs), the House of Representatives Committee on Banks and Financial Intermediaries was urged to tap representatives from the Bangko Sentral ng Pilipinas (BSP), the Department of Finance and other concerned agencies.

In the United States, the closure of remittance business and the increase of remittance fees was allegedly caused by the connivance of banks in money laundering, according to Cagayan De Oro City Rep. Rufus Rodriguez in House Resolution 1594.

“The US government decided to crackdown on money laundering activities involving suspected drug lords and terrorist groups,” Rodriguez said.

He added that drug lords and terrorist groups are involved in the money laundering activities.

The lawmaker also cited the HSBC case which was sentenced guilty after allowing drug lords and terrorist groups to launder large sums of money.

The company was then fined $1.9 billion by the court for its failure in the implementation of the anti-money laundering law.

Rodriguez said that he proposed the measure to address the current increases in the remittance fees which makes it harder for OFWs to send money to the Philippines.