srXfEu:l'rfIJ C(JNCrmSS OF THE 
lUWUUUC OF THE l'HlUPI'INES 
First Regular Sessio/l 
) 
) 
) 
SENATE 
S. B. No .. JJi 
Illl.-odnced by Senator FRANC(S G. ESCUDERO 
EXPLANATORY NOTE 
'13 
JUL -1 
A 9 :02 
Public office is a public trust. Govemment officials and employees are accountable to the 
public. To ensure that the civil servant does not use her position to enrich herself, it is necessary 
that we put in place a mechanism which will enable the Government to audit the finances of the 
civil servant. 
One such instrument is the signing of a waiver in favor of the government which will 
allow the examination or the civil servant's bank accounts and inveslments in government bonds. 
This will aid the government to recover ill-gotten thnds. 
With the passage 0 f this bill, transparency of the financial standing of the civil servant 
will serve as a deterrent to graft and corruption. 
Approval of this bill! is earnestly sought. 
FRANCIS G, ESCUDERO 


SIXTEENTH CONGRESS OF THE 
REI)UHLIC OF THE PHlLU>PINES 
First Regular Session 
) 
) 
) 
SENATE 
S. B. No. __ LG 
--_._-----_._------_. __ .. -
Inh'oduced by Senator FRANCIS G. ESCUDERO 
AN ACT 
REQUIRING I)UBLlC OFFICIALS AND EMPLOYEES TO 
SUBMIT A WRITTEN PERMISSION OR WAIVER IN FAVOR OF THE 
OMBUDSMAN TO LOOK INTO ALL DEI)OSlTS OF WHATEVER NATURE WITH 
BANKS OJ{ BANKING INSTITUTIONS BOTH WITlIIN AND OUTSIDE THE 
PlIILIPPINES INCLUDING INVESTMENT BONDS ISSUED BY THE GOVERNMENT 
OF THE NlILIPPINES, ITS l'OLITICAL SUBDIVISIONS AND 
INSTIWMENTALITIES AND PROVIDING PENALTIES THEREFOR 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
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Section 1. Declaration of Policy. It is hereby declared a policy of the State for all public 
2 
officials and employees to be open and transparent in all of their financial transactions and 
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dealings. 
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Section 2. Submission of Written Permission or Waiver. All public officials and 
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employees, except those who serve in an honorary capacity, shall submit with the office of the 
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Ombudsman a written permission or waiver in favor of the Ombudsman to look into all deposits 
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of whatever nature with banks or banking institutions, both within and outside the Philippines, 
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including investment bonds issued by the government of the Philippines, its political 
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subdivisions and instrumentalities. 
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The aforestated written permission or waiver shall be submitted within thirty (30) days 
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from the date of their assumption of office; Provided, however, that public officials and 
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employees who are already exercising the timctions of their respective offices upon the 
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effectivity ofthis Act shall submit the same not later than thirty (30) days from the effectivity of 
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the Rules and Regulations implementing the provisions of this Act. 
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Section 3. Prohibition in Case of Failure or Rejilsai to Submit Written Permission or 
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Waiver. Any public official or employee who fails or renlses to submit such written pennission 
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or waiver as required by this Act shall not be allowed to enter upon, or continue exercising, the 
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functions of her office. 
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Section 4. Limitation on Use. Only the Office of the Ombudsman may obtain or use the 
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written permission or waiver filed under this Act, or any other information or date obtained as a 
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result thereof; Provided, however, that the same shall be used exclusively for investigating a duly 
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signed and verified complaint and/or prosecuting a case before the Sandiganbayan; Provided 
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further, that the Office of the Ombudsman or any other agency or instrumentality of the 
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Government or any person may not use the same for any purpose. 
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I 


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Section 5. Promulgation olRules and Regulations. The Office of the Ombudsman shall 
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have the primary responsibility for the administration of this Act; Provided, however, that it shall 
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enlist the advice of the Department of Justice and the Banko Sentra! ng Pi lipinas in drafting the 
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form of the written permissllon or waiver as required by the provisions of this Act. 
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Section 6. Penalties. 
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(a) Any person who violates the provisions of Section 3 hereof shall be punished with a 
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fine not exceeding the equivalent of one (I) year salary or suspension not exceeding one (I) year, 
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or removal ii-Oln office and, upon the discretion of a court of competent jurisdiction, 
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disqualification to hold public office. 
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(b)Any person who violates the provisions of Section 4 hereof shall be punished with 
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imprisonment of not exceeding six (6) years or a fine not exceeding One Hundred Thousand 
14 
Pesos (P 100,000.00) or both. 
IS 
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Section 7. Separability Clause. In the event any portion or provision of this Act is 
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declared unconstitutional, the remainder of this Act or any provisions not affected thereby shall 
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remain in force and in effect. 
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Section 8. Repealing Clause. Thc relevant provisions of Republic Act Nos. 1405,3019, 
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6713 as well as all laws, decrees and orders or parts thereof inconsistent herewith are deemed 
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repealed or modified accordingly. 
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Section 9. Eflectivi!y. This Act shall take effect 15 days after its complete 
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publication in at least two (2) newspapers of national circulation. 
Approved, 
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