FOURTEENTH CONGRESS OF THE 
) 
REPUBLIC OF THE PHILIPPINES 
) 
Second Regular Session 
) 
I 
Introduced by Senator Antonio “Sonny” F. Trillanes IV 
EXPLANATORY NOTE 
Competitive markets, when feasible, are demonstrably the most efficient way of allocating 
resources in the economy. With our unstable economic situation, however, it is not difficult to 
imagine how the basic commodities can be artificially raised. The exercise of market power by 
cartels has often led to onerous increases in prices and shortages of basic commodities which 
have burdened the consumers. 
This bill, therefore, seeks to amend Republic Act 758 P , otherwise known as the “Price Act,” by 
defining the situation constituting a prima facie case of cartelization in order to facilitate the 
enforcement of the prohibition against any form of cartel. The Price Act was passed to enable the 
government to address the problem of monopolies, cartels, unfair competition, and the hoarding 
of basic commodities, especially food. 
In view of the foregoing, early passage of this bill is earnestly requested. 
A *P- 
TO IO “SONN ” F. TRILLANES IV 
Senator 


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FOURTEENTH CONGRESS OF THE 
) 
REPUBLIC OF THE PHILIPPINES 
) 
Second Regular Session 
) 
8 RUG 14 
1’: 
’- I 
I 
Introduced by Senator Antonio “Sonny” P. Trillanes IV 
AN ACT 
TO STRENGTHEN THE PROHIBITION AGAINST MONOPOLIES AND CARTELS 
OF BASIC NECESSITIES OR PRIME COMMODITIES, AMENDING FOR THE 
ONE, OTHERWISE KNOWN AS THE “PRICE ACT” 
PURPOSE REPUBLIC ACT NUMBERED SEVENTY-FIVE HUNDRED AND EIGHTY- 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
SECTION 1. Section 5, paragraph (3) of R.A. No. 7581, is hereby amended to read as 
foIlows: 
xxx 
(3) Cartel, which is any combination of or agreement between two (2) or more persons 
engaged in the production, manufacturing, processing, storage, supply, distribution, 
marketing, sale or any disposition of any basic necessity or prime commodity designed 
to artificially and unreasonably increase and manipulate its price. There shall be prima 
facie evidence of engaging in a cartel whenever two (2) or more persons or business 
enterprises competing for the same market and dealing in the same basic necessity or 
prime commodity perform uniform or complementary acts among themselves which 
tend to bring about artificial and unreasonable increase in the price of any basic 
necessity or prime commodity, or when they simultaneously and unreasonably increase 
prices on their competing products thereby lessening competition among themselves, IF 
THEY CONTROL AT LEAST TWENTY PERCENT (20%) OF THE MARKET, 
SALE, OR DISTRIBUTION OF THE BASIC NECESSITY OR 
PRIME 
COMMODITY IN A REGION.” 
SEC. 2. Section 10, paragraph 12 of the same Act is hereby amended to read as follows: 
“SECTION 10. Power and Responsibilities of Implementing Agencies. - To carry out the 
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intents and purposes of this Act, the head of the implementing agency shall have the 
following additional powers and responsibilities: 
x x x x  
“(12) WITHOUT PREJUDICE TO THE CRIMINAL PROSECUTION OF THE 
PERSONS ENGAGED IN ACTIVITES CONSTITUTING A CARTEL AS 
PROVIDED IN THIS ACT, UPON A SHOWING OF A PRIMA FACIE EVIDENCE 
PURSUANT TO SECTION (5) HEREOF, he may CAUSE THE SEIZURE of basic 
necessities and prime commodities subject of a violationof this Act and order their sale 
to the public at reasonable prices whenever the demand for such goods so requires, OR 
WHEN THERE IS A PUBLIC AND OFFICIAL DECLARATION OF ARTIFICIAL 
SHORTAGE IN THE MARKET OF SOME BASIC NECESSITIES AS DEFINED IN 
SECTION 3, PARAGRAPH 1, AND/OR PRIME COMMODITIES AS DEFINED IN 
SECTION 3, PARAGRAPH 8 OF THIS ACT: Provided, That, pending litigation, the 
proceeds of the sale shall be held in trust or escrow by the implementing agency: 
Provided, further, That, should the owner of the basic necessity or prime commodity 
seized and sold be found not liable for the violation which was the basis for the seizure, 
HE SHALL BE REFUNDED HIS ACQUISITION COST AND EXPENSES 
INCURRED IN THE MARKETING THEREOF, otherwise, they shall accrue to general 
fund of the Government and: Provided, jinally, That the head of the implementing 
agency AS DEFINED IN SECTION 3, SUBPARAGRAPHS (a), (b), (c) and (d) OF 
THIS ACT shall cause the broadcast in radio or television and the publication in at least 
two (2) newspapers of general circulation of the fact of sale or disposition of such seized 
goods at least three (3) days before the date of sale or disposition; 
x x x x  
SEC. 3. This Act shall take effect upon its approval and fifteen (15 days) after publication in 
the Official Gazette or a newspaper of general circulation. 
Approved, 
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