Philippines Freezes 25 Crypto Wallets in Flood-Control Plunder Probe
Philippine authorities have frozen 25 virtual asset wallets alongside 86 bank accounts and other financial assets linked to an unnamed prominent lawmaker in a widening flood-control corruption investigation.
The Court of Appeals issued the freeze order on Sept. 21 after finding probable cause that the assets could be connected to alleged plunder under Republic Act No. 7080, according to the Anti-Money Laundering Council (AMLC). The order also covers four investment accounts and one insurance policy.
The AMLC has not identified the lawmaker, corporation or other individuals covered by the order. The agency cited confidentiality rules governing freeze-order proceedings.
Crypto enters the money trail
The investigation found that funds connected to the investments moved through several financial channels. These included intermediaries, corporations, commercial bank accounts, a money service business and a virtual asset platform.
The AMLC said the subjects had no apparent operating revenues to support the scale of their investments. It also said the use of multiple recipients and financial channels made the suspected funds harder to trace.
The 25 frozen wallets represent a growing role for digital assets in the Philippines’ investigation into alleged flood-control kickbacks. Authorities have not disclosed the cryptocurrencies held in the wallets, their value or the virtual asset service provider involved.
The freeze does not establish criminal guilt. Instead, it temporarily prevents covered assets from being transferred or disposed of while authorities continue their investigation.
Broader financial crackdown continues
The latest order adds to a broader government effort to trace suspected proceeds from alleged corruption involving public infrastructure projects.
Earlier investigations also examined the movement of suspected illicit funds through cryptocurrency. Authorities have said digital assets can add another layer between funds and their alleged source, particularly when transactions involve multiple wallets or overseas platforms.
The AMLC said it will continue working with government agencies and financial institutions to identify, trace, restrain and recover suspected illicit assets.
For the cryptocurrency industry, the case highlights the growing scrutiny of virtual asset transactions in financial crime investigations. It also shows how Philippine authorities are using traditional court orders to target digital assets alongside bank and investment accounts.
