THIRTEENTH CONGRESS OF THE 
First Regular Session 
Republic of the Philippines 
SENATE 
1
.
 
Introduced by SENATOR LUISA "LOI" P. EJERCITO ESTFUDA 
EXPLANATORY NOTE 
Tlie Constitution, Article XI, Section 17 provides that "A public officer or 
employee, shall, upon assumption of office and as often thereafter as may be required by 
law, submit a declaration under oath of his assets, liabilities and net worth. In the case of 
the President, (he Vice-President, the Members of the Cabinet, the Congress, the 
Supreme Court, the Coiistitutional Commissions and other constitutional offices, and 
officers of the armed forces with general or flag rank, the declaration shall be disclosed to 
tlie public in tlie manner provided by law". 
In complying with this constitutional provision under the enabling law. Republic 
Act No. 6713, many public officials complacently submit statements of assets, liabilities 
and net worth which are very low and which do not reflect their actual wealth. Often 
times this act is intended to hide ill-gotten wealth. Tlie common practice is lo place an 
asset in the name of a dummy, who is usually a close relative of the public official. 
This bill seeks to remedy this prevalent cornipt practice by imposing tlie penalty 
of removal from public office on a public official who places any of hisher assets in the 
name of dummies. 
A public official who docs so shall forfeit all his rights to the 
property in favor of the dummy. Public officials shall also be prohibited from acquiring 
any properly froin a relative within the fifth civil degree of consanguinity white holding 
public office and within ten years from the time he/she left the civil service. This may be 
an effective way of punishing tlie public official for his deviousness. 
Immediate approval of this bill is earnestly sought. 
LUISA  LO^" P. ~JERCITO ESTRADA 
Senator 


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THIRTEENTH CONGRESS OF THE 
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Republic of the Philippines 
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First Regular Session 
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Introduced by SENATOR LUISA “LOI” P. EJERCITO ESTRADA 
AN ACT 
AMENDING REPUBLIC ACT NO, 6713, ALSO KNOWN AS AN ACT 
ESTABLISHING A CODE OF CONDUCT AND ETHICAL STANDARDS FOR 
PRINCIPLE OF PUBLIC OFFICE BEING A PUBLIC TRUST, GRANTING 
INCENTIVES AND REWARDS FOR EXEMPLARY SERVICE, ENUMERATING 
PROHIBITED ACTS AND TRANSACTIONS, PROVIDING PENALTIES FOR 
VIOLATIONS THEREOF AND FOR OTHER PURPOSES 
PUBLIC OFFICIALS AND EMPLOYEES, TO UPHOLD THE TIME-HONORED 
Be it eiiacted by the Senate mid the House of Representatives of the Philippines in 
Congress assembled: 
Section 1. Republic Act No. 6713 is, hereby amended by the addition of the 
following provisions; 
‘Section 1 I-A. Assets in the Name of Dummies. 
(a) 
The penalty of removal from public office shall be imposed upon a 
public official who places any of hidher assets in the name of a 
dummy. 
(b) 
A public official who places an asset in the name of a dummy shall 
be stopped from claiming any interest and asserting any right of 
ownership over such asset, Such asset shall be forfeited in favor of 
the dummy, who shall be recognized by law as the actual and real 
owner of the property. 
. 
Sec. 11-B. 
Disqualification of Public Official from Acquiring Property 
fi-om Relative. - Public Officials are prohibited from acquiring any property from 
a relative within the fifth civil degree of consanguinity while holding public 
office and within ten (10) years from the time he/she left the civil service. 
Property acquired in violation of this section shall not vest ownership upon the 


public official. The relative froin whom the property comes shall retain all rights 
of ownership with respect to the property. 
Sec. 2. Separability Clause. - If any provision, or part hereof, is held invalid or 
unconstitutional, the remainder of the law or the provision not otherwise affected shall 
remain valid and subsisting. 
Sec. 3. Repealing Clause.- Any law, presidential decree or issuance, executive 
order, letter of instruction, administrative order, rule or regulation contrary to or 
inconsistent with the provisioiis of this Act is hereby repealed, modified or amended 
accordingly. 
Sec. 4. Effectivity Clause. - This Act shall take effect fifteen (1 5) days after its 
publication in at least two (2) newspapers of general circulation. 
Approved, 
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