NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
Senate
of tIjC SSi'(rettH'J>
■22 JUL 18 P4 51
SENATE 
S. B. NO. 732
RHCEiVtD 8'/:
Introduced by SENATOR JOEL VILLANUEVA
AN ACT CREATING THE
NATIONAL INDEPENDENT COMMISSION AGAINST CORRUPTION 
(NICAC), APPROPRIATING FUNDS THEREFOR AND FOR OTHER
PURPOSES
EXPLANATORY NOTE
The Philippines prides itself as the one of the oldest democracies in Asia. 
Throughout its history, the Philippines has fought for the right to independence and 
sovereignty. But alongside this is the country’s continued fight against systemic and 
endemic corruption in government.
While the government’s effort to address corruption has made some substantial 
inroads, much is still needed to be done. In the 2021 Transparency International 
Corruptions Perception Index, the Philippines scored 33 out of 100 and ranked 117th 
out of 180 countries, which is significantly lower from its 99th place in 2018.1 This 
means that the Philippines still has to make substantial reforms in eliminating and 
thwarting corrupt practices in government.
Indeed, the effects of corruption are far-reaching: funds that should have been 
provided for the needs of the Filipino people end up in the pockets of unscrupulous 
government officials; businesses are discouraged from making substantial 
investments in the Philippines due to additional transaction costs as a result of 
corruption, among others.
1 Transparency International, 2021, accessible at https://www.transparency.org/en/cpi/2021/index/phl (last accessed July 13, 
2022).


Recognizing the need to strengthen the anti-corruption framework in the 
Philippines, this bill creates the National Independent Commission Against Corruption 
(NICAC) as an attached agency of the Office of the Ombudsman. The NICAC is largely 
patterned after Hong Kong’s Independent Commission Against Corruption, which 
successfully eradicated syndicated corruption in Hong Kong.
Under the bill, the NICAC is responsible for formulating a National Anti- 
Corruption Plan and providing policy recommendations to the Office of the 
Ombudsman to effectively combat corruption in government. To ensure coordination 
between the NICAC and the Office of the Ombudsman, this bill mandates that the 
NICAC shall be headed by the Ombudsman. The NICAC shall also submit periodic 
reports to the Ombudsman to ensure that the efforts of both agencies are coordinated 
and to avoid duplication of work.
The immediate passage of this bill is earnestly sought.
SENATOR JOyEL VILLANUEVA


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
a gieuate
^y©frirp ol tl)' ©ccvctar^
72 JUL18 P4S2
SENATE
S. B. NO. 732
RllCEiVt-O
Introduced by SENATOR JOEL VILLANUEVA
AN ACT CREATING THE
NATIONAL INDEPENDENT COMMISSION AGAINST CORRUPTION 
(NICAC), APPROPRIATING FUNDS THEREFOR AND FOR OTHER
PURPOSES
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Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
SECTION 1. Short Title - This Act shall be known as the “National 
Independent Commission Against Corruption Act."
SEC. 2. Declaration of Policy. - It is the declared policy of the State to 
maintain honesty and integrity in public service and to take effective and efficient 
measures in the battle against graft and corruption. Towards this end, the State shall 
continuously institute reforms to ensure that graft and corruption is eliminated in all 
levels of the government.
SEC. 3. Organization. - There is hereby created the National Independent 
Commission Against Corruption, hereinafter referred to as the Commission, to 
implement and coordinate policies for the prevention, control and ultimately, the 
elimination of graft and corrupt practices as defined under relevant laws at all levels of 
the government.
The Commission shall be attached to the Office of the Ombudsman for policy 
coordination.
SEC. 4. Powers and Functions of the Commission. - The Commission shall 
have the following powers and functions:
a) To formulate and implement a National Anti-Corruption Plan (NACP) and 
action agenda, and reinforce program strategies in accordance with the 
NACP;


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b) 
To examine the bidding, negotiation, execution and implementation of 
public contracts in pursuit of the objectives of the NACP;
c) 
To verify if the award of public works and supply contracts are conducted 
properly in accordance with law, pursuant to the goals provided for in the 
NACP;
d) 
To undertake a comprehensive audit, which shall include, but not be 
limited to, lifestyle checks on any public officer/employee;
e) 
To endorse to the Office of the Ombudsman for appropriate action after a 
finding of a prima facie case of violation of anti-corruption laws in the 
exercise of its powers under items (b) to (d) above, upon complaint by any 
person or motu proprio]
f) 
To conduct sustained information and education drives aimed at 
preventing corruption and public misconduct;
g) 
To organize specialized training of personnel of the government and 
representatives from the private sector and civil society in the prevention, 
investigation and prosecution of graft and corrupt practices; and
h) 
To perform such other Tunctions as may be necessary to achieve the 
objectives of this Act.
SEC. 5. National Anti-Corruption Plan. - Within ninety (90) days from the 
approval of this Act, the Commission shall submit to the Office of the Ombudsman and 
to Congress a five (5)-year plan and study containing detailed policy proposals for the 
elimination of graft and corruption in all branches, offices, agencies and 
instrumentalities of the government.
The NACP shall also be disseminated to all government agencies.
SEC. 6. Composition of the Commission. - The Commission shall be headed 
by the Ombudsman as its Chairperson. He/she shall be assisted by two (2) 
Commissioners, who shall serve on a full-time basis.
a) The Commissioners shall include at least one (1) lawyer, accountant or 
member of the academe who is in the field of public administration. Each 
Commissioner shall be selected and appointed by the President, without 
the requirement of confirmation, from a pool of candidates to be nominated 
by peak professional organizations of accountants or lawyers or by the 
University or College Administration if the nominee is a member of the 
academe. A “peak professional organization” refers to an organization 
duly recognized by members as representative of, and having the largest 
active membership in their profession, and is existing for at least ten (10) 
years. The mechanics of the nomination process shall be provided for in 
the implementing rules and regulations for this Act.


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b) 
The Commissioners shall be citizens of the Philippines, at least thirty-five 
(35) years of age, knov\/n and recognized for moral uprightness and 
patriotism, of unquestionable integrity, and recognized experts in any of 
the fields of law, accounting or public administration. They must not have 
been candidates for any elective national or local office in the immediately 
preceding election, whether regular or special.
c) 
The Commissioners shall serve for three (3) years, and may be 
reappointed as such for another term of three (3) years; Provided, That 
the reappointment of a Commissioner shall follow the nomination process 
outlined in this Section.
d) 
The President of the Philippines may remove any member of the 
Commission, upon compliance with due process, for any of the following 
reasons:
i. 
The member suffers from physical or mental incapacity that renders 
him or her incapable of properly discharging the duties and 
responsibilities of the Commission and such incapacity has lasted for 
more than six (6) months;
ii. 
The member has committed acts that are shown prime facie to be 
fraudulent or illegal or manifestly opposed to the aims and interests 
of the Commission and/or the government; or
iii. 
The member ceases to possess the qualifications required in this Act 
or its implementing rules and regulations.
e) 
The Commissioners shall not hold any public office or employment during 
their tenure. Except as otherwise provided by law, in no case shall any 
member of the Commission appoint representatives to act on his/her 
behalf.
f) 
The Commissioners shall have the same rank and emoluments as that of 
a Deputy Ombudsman.
SEC. 7. The Secretariat.- The Commission shall be assisted by a Secretariat 
to be headed by an Executive Director.
The Secretariat shall be composed of individuals of known moral probity and 
dedication to public service.
a) The Executive Director. The Executive Director shall be appointed by the 
Chairperson with the concurrence of the Commissioners. The Executive 
Director shall attend the Commission’s deliberations, monitor the 
implementation of the programs of the Commission, and manage its day- 
to-day operations.


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b) Functions of the Secretariat. The Secretariat shall provide technical and 
administrative support to the Commission and shall oversee all its 
operational activities.
SEC. 8. Organizational Structure. - The Commission shall be composed of 
three departments:
a) 
The Operations Department, which shall carry out the investigation and 
endorsement to the proper agency of cases investigated for the 
prosecution of offenses;
b) 
The Corruption Prevention Department, which shall carry out assessment 
of areas in government offices where corruption would be most likely, and 
make recommendations on how opportunities for corruption can be 
eliminated or reduced; and
c) 
The Community Relations Department, which shall gather support and 
information from the public and work towards changing the public attitude 
regarding corruption.
SEC. 9. Transparency and Availability of Records. - The Commission shall 
maintain and preserve its records, documents and papers, and shall make the same 
available to the public, except wheii disclosure will pose serious damage to the 
Commission’s case or when a party would be deprived of his/her right to a fair and 
impartial trial.
SEC. 10. Malicious Prosecution. - Any complaint found to have been initiated 
with malice shall be dealt with in accordance with law.
SEC. 11. Restrictions. - No writ of injunction shall be issued by any court to 
delay an investigation being conducted by the Commission.
SEC. 12. Franking Privilege. - All official mail letters and telegrams of the 
Commission addressed for delivery within the Philippines shall be received, 
transmitted, and delivered free of charge: Provided, That such mail matters when 
addressed to private persons or non-government offices shall not exceed one hundred 
twenty (120) grams. All mail matters and telegrams sent through government 
telegraph facilities containing complaints to the Commission shall be transmitted free 
of charge, provided that the telegram shall contain no more than one hundred fifty 
(150) words.
SEC. 13. Total Support of Other Government Units. - The Commission may 
require any government agency to make available their personnel and facilities to 
attain the objectives of this Act.
SEC. 14. Annual Report. - The Commission shall, on or before June 30 of 
each year, submit to the President and to Congress, a report on the performance of 
the Commission in combatting graft and corruption. The Commission shall furnish a 
copy of such report to the Office of the Ombudsman, and shall also make available a 
copy of the report to the general public.


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SEC. 15. Appropriations. - For the first year of the implementation of this Act, 
an initial amount of Fifty Million Pesos (Php50,000,000.00) is hereby appropriated. 
Thereafter, the amount necessary to carry out the provisions of this Act shall be 
included in the General Appropriations Act.
SEC. 16. Implementing Rules and Regulations. - Within ninety (90) days 
from the effectivity of this Act, the Commission, in consultation with the head of the 
Development Academy of the Philippines, the chair of the Civil Service Commission, 
the Chair of the Commission on Audit, the Ombudsman, a representative from the 
Sandiganbayan and other relevant government agencies and stakeholders, shall 
promulgate the implementing rules and regulations for the proper implementation of 
this Act.
SEC. 17. Repealing Clause. - All provisions of laws, presidential decrees, 
letters of instruction and other presidential issuances which are incompatible or 
inconsistent with the provisions of this Act are hereby amended or repealed 
accordingly.
SEC. 18. Separability Clause. - If any provision of this Act is declared 
unconstitutional, the other provisions not affected thereby shall continue to be in full 
force and effect.
SEC. 19. Effectivity Clause. - This Act shall take effect fifteen (15) days after 
its publication in the Official Gazette or in at least two (2) newspapers of general 
circulation.
Approved,