Napoles facing money laundering charges in US, but she can’t be extradited yet

August 1, 2018

Detained businesswoman Janet Lim - Napoles and family members are facing prosecution for criminal case filed in the United States for allegedly laundering some $20 million in public money through discretionary funds of lawmakers.

Justice Secretary Menardo Guevarra on Wednesday confirmed that Napoles along with her children Jo Christine, James Christopher and Jeane Catherine, her brother Reynaldo and his wife Ana Marie have been indicted by a federal grand jury for the crime of conspiracy to commit money laundering, domestic money laundering and international money laundering.

"We have been collaborating with the US Department of Justice on this money laundering charges against Napoles. We welcome this development, as it paves the way for the return of the people’s money to our national treasury," Guevarra said in an interview.

“We welcome this development, as it paves the way for the return of the people’s money to our national treasury,” Guevarra said.

Guevarra said with the case against Napoles and five others moving forward in the US, he expects their counterpart in the US to seek for her extradition to the US to stand trial.

We shall continue to extend legal assistance to our US counterparts, including the possible extradition of certain persons who might be found here,” he said, referring to the possibility of extraditing Napoles and other accused to the US.

Guevarra said extradition would happen once Napoles' cases in the Philippines have been resolved and terminated.

Napoles, detained at the Camp Bagong Diwa detention center in Taguig City, is being tried for plunder, graft and other cases before the Sandiganbayan in connection with the multibillion-peso pork barrel scam.

Guevarra said only relatives of Napoles indicted in the money laundering case who are not facing any case in the country could be extradited to the US.

"If we receive a request for extradition and they are here, we will commence the necessary proceedings," Guevarra said.

In the charge sheet, the federal grand jury accused Napoles and other defendants of fraudulently converting money from the multi-billion-peso Priority Development Assistance Fund.

The money was paid to dozens of non-governmental organizations controlled by Napoles and diverted to kickbacks for legislators and other government officials.

Approximately $20 million of those funds were diverted to money remitters in the Philippines and then wired to Southern California bank accounts where the money was used to purchase real estate, shares in two businesses, two Porsche Boxsters, and finance the living expenses of three family members residing in the United States: Jeane Napoles and the Lim couple.

It was reported that approximately $12.5 million in Southern California real estate has been seized by the US Attorney’s Office and is subject to a civil forfeiture case pending before United States District Judge James Selna. If the court orders the assets forfeited, the United States will work with Philippine officials in an attempt to return the stolen funds back to the Philippine government.

The money laundering case involved activities by the defendants from September 2012 to August 2014. In September 2012, an audit discovered the fraud and the US proceeds were exposed in July 2013.

Napoles was arrested in August 2013 and her bank accounts in the Philippines were frozen. DMS