SEVENTEENTH CONGRESS
REPUBLIC OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

Introduced by Representative Maximo B. Rodriguez, Jr.

3661

House Bill No.
EXPLANATORY NOTE

This bill was filed during the 15” Congress and was again re-filed during the 16”
Congress, where it was approved by the House of Representatives and transmitted to the
Senate

The Subscriber Identification Module or Subscriber Identity Module (SIM) card holds
all of a subscriber's personal information and phone settings. In essence, it is the
subscriber's authorization to use the network. It also holds the phone number, personal
security key and other data necessary for the handset to function. The subscriber can then
choose either a post-paid account or a prepaid account. The main difference is that in a
postpaid account, the SIM card is registered under the subscriber's name including all the
details necessary to identify said subscriber, while in a prepaid account, no registration is
necessary, and anyone can simply but a prepaid SIM card and start using it.

No one disputes the convenience of a "contract free". “commitment free" prepaid
cellular service and all the advantages it brings. However, one cannot also discount the fact
that there are many disadvantages with using a prepaid SIM card, the main one being the
fact that the user cannot be identified, This makes it easier to commit mischief and crimes.

It cannot be denied that prepaid SIM cards are used by criminals in making ransom
demands, used by different gangs like the “dugo-dugo gang” to commit robbery, used by
individuals to make threat and harass others and it is even used by unscrupulous individuals
to impersonate personalities and solicit donations. Basically, anyone with a prepaid SIM card
can do anything and not be caught because he cannot be traced, his identity cannot be
determined and he can simply throw away the SIM card after use

Itis therefore about time that we follow the example of other countries like Kenya and
Singapore and start requiring registration of prepaid SIM cards. Since 2006, the Singapore
government has made the prepaid SIM registration a mandatory requirement. This means
that the card must be registered under the name of the person who will be using it and the
person will be required to produce hisiher passport or Singapore ID at the time of buying the
prepaid mobile card,

With this, it would be easier to track down the owner or user of the prepaid SIM card.
While it may not guarantee that the criminal user of the SIM card would be caught, at least
there is an increase in the chances that they will be unlike the aero chance of identification
when there is no registration required.

In view foregoing, immediate passage of this bill is immediately requested,

My.

MAXIMO B. RODRIGUEZ, JR.


SEVENTEENTH CONGRESS __)
REPUBLIC OF THE PHILIPPINES .
First Regular Session

HOUSE OF REPRESENTATIVES

introduced by Representative Maximo B. Rodriguez, Jr.
House Bill No, 8661

AN ACT
REQUIRING THE REGISTRATION OF ALL USERS OF PREPAID SUBSCRIBER
IDENTITY MODULE (SIM) CARDS

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 “Subscriber Identity Module
(SIM) Card Registration Act’

SEC. 2. Declaration of Policy. - The State recognizes the vital role of information and
communications technology in nation building.

The introduction of modem telecommunications technology with the view of providing
the widest information dissemination is greatly encouraged but possession of the most
modem technology carries with it tremendous responsibility. Thus, mechanism for its
effective use for the good of ail and not for an illegal or malicious purpose to benefit a few
must be installed.

Towards this end, the State shall require the registration of all users of prepaid
subscriber identity module (SIM) cards

SEC. 3. Definition of Terms. ~ As used in this Act
(a) Direct seller refers to a person or entity, whether natural or juridical, who directly
dispenses or sells a SIM card to an end user:

(b) End user refers to any individual/subscriber who directly purchases a SIM card from a
direct seller for personal use;

(c) Postpaid mobile phone refers to a mobile phone, the service of which is provided by a
prior arrangement with a public telecommunications entity and the user thereof is billed at
the end of the monthly billing cycle according to the use of mobile services;

(d) Prepaid mobile phone refers to a mobile phone for which credit is purchased in advance
of service use. The purchased credit is used to pay for mobile phone services at the point
the service is accessed or consumed. If there is no available credit then access to the
requested service is denied;

(e) Public Telecommunications Entity or PTE refers to any duly enfranchised and authorized
public telecommunications entity that offers voice, short messaging system (SMS/text),
mobile data, value-added services (VAS) or any other telecommunications services to the
public for a fee;

(f) SIM card refers to the SIM which is an integrated circuit that securely stores the
international mobile subscriber identity and the related key used to identify and authenticate
subscribers on mobile telephony devices, such as mobile phones and computers. A SIM
card is a removable plastic card into which a SIM circuit is embedded, and can be
transferred between different mobile devices: and

(g) SIM card registration refers to the process of recording and verifying mobile phone
number and personal information of a subscriber, by a PTE or other direct seller, including
the subscriber's photograph, name, date of birth, gender and address.


SEC. 4. Sale and Registration of SIM cards. — Every direct seller shall require the end user
of a SIM card to present valid identification with photo to ascertain the latter's identity. The
direct seller shall further require the end user to accomplish and sign a control numbered
registration form issued by the respective PTE of the SIM card being purchased, The
registration form shall include an attestation by the end user that the person personally
appearing before the direct seller and the identification documents presented are true and
correct and that the person is one and the same who has accomplished and signed the
registration form,

Except in cases where the PTE is the direct seller, the accomplished registration
form must be submitted to the concemed PTE within fifteen (15) days from the date of sale.
The confidentiality clause in the SIM card registration under Section 9 hereof shall start to
apply at the point of sale.

‘An end user who does not produce valid identification with photo, and fails to
accomplish a registration form in accordance with the preceding paragraph shall be refused
the sale of a SIM card by the direct seller. The direct seller shall only issue the SIM card to
the end user after compliance with the requirements mentioned above and in the succeeding
sections.

SEC. 5. Representative Registration of SIM Cards. — A person who wants to purchase a SIM
card but cannot personally register with the direct seller may, for valid reason, authorize
another to register on that person's behalf, subject to the following conditions: (a) the
representative is authorized through a duly notarized Special Power of Attorney; and (b) the
principal and the representative should present an original and a true and clear copy of any
of the valid identification cards with photo listed in Section 6(a) hereof.

In case the person intending to purchase a SIM card is a minor, the parents or
guardian shall be required to give their express consent in writing, and submit the same with
the registration form and valid identification cards with photo of both the minor and the
parents or guardian.

The direct seller may deny the request for representative registration after an
assessment that the reason given therefor is not valid or that the identification cards or their
true copies are not authentic or sufficient

SEC. 6. Coverage of Registration. — All direct sellers are hereby mandated to register
pertinent data in a registration form devised for the purpose, to include the following
information and requirements:
(a) Full name and complete address of the end user appearing in a valid government-issued
identification document with photo. In view thereof, SIM card end users shall be required to
present the original and submit a true and faithful reproduction or photocopy of any of the
following government identification documents with photo:

(1) Driver's License;

(2) Social Security Service/Government Service Insurance System

(SSS/GSIS) Card;

(3) Passport;

(4) Senior Citizen's Card;

(5) Person with Disabilities Card;

(6) National Bureau of Investigation (NB!) Clearance;

(7) Police Clearance;

(8) Firearms License;

(9) Voter's Identification Card;

(10) Taxpayer's Identification Number (TIN);

(11) Professional Regulation Commission (PRC) Identification Card:

(12) Government Office Identification Card:

13) School Identification Card (in case of a minor); and
(14) Other Government-issued Identification Cards


The direct seller may make further inquiries or require the submission of additional
identification if necessary, and withhold the sale of the SIM card pending compliance with
the additional requirements.

(b) Assigned cell phone number of SIM card(s) and serial number/s.

SEC. 7. Submission of Registration Form. ~ The registration form required under Section 6
of this Act shall be accomplished in triplicate, and shall be forwarded by the direct seller to
the concerned PTE. The concemed PTE shall submit a copy of the duly accomplished
registration form to the National Telecommunications Commission (NTC) within fifteen (15)
days from the date of sale or receipt of such form from their respective direct sellers. The
required registration form and the copies thereof shall be certified by either the President,
General Manager, Treasurer, Secretary or any other duly appointed officer of the PTE or
direct seller, as the case may be.

SEC. 8. Submission of Verified List of Dealers or Agents. - The PTEs shall submit to the
NTC, within thirty (30) days from the date of effectivity of this Act, a verified list of their
current authorized dealers or agents nationwide. Thereafter, the PTEs shall submit to the
NTC every quarter of each year an updated list of the same.

‘SEC. 9. Confidentiality Clause. — Any information in the SIM card registration shall be
treated as absolutely confidential, unless upon written consent of the subscriber: Provided,
That the waiver of absolute confidentiality shall not be made as a condition for the approval
of subscription agreements with the PTEs.

‘SEC. 10. Disclosure of Information. — Notwithstanding the provisions of Section 9 hereof, the
PTEs shall be required to provide information contained in the SIM card registration only
upon order of a competent court upon finding of probable cause that a particular number is
used in the commission of a crime or that it was utilized as a means to commit an unlawful
act,

SEC. 11. SIM Card Register. — All PTEs are required to submit an updated SIM Card
Register of their subscribers to the NTC every six (6) months of both postpaid and prepaid
mobile phone users, and maintain a record containing information required under Section 6
of this Act. In case of loss or any change in the information after the acquisition of the SIM
card, the subscriber must notify the PTEs within thirty (30) days from such loss or change
The concerned PTE in return must notify the NTC of such loss or change in the information
within fifteen (15) days from receipt of notification from the subscriber.

All PTEs are required to keep the data of their subscribers and the NTC shalll see to it
that these data be kept with utmost confidentiality as provided for under Section 9 of this Act
and in accordance with existing laws.

SEC. 12. Registration of Existing Prepaid Mobile Phone Subscribers. ~ All existing mobile
phone subscribers with prepaid SIM cards are required to register with their respective PTE
within one hundred eighty (180) days from the effectivity of this Act. Such deadline may be
extended by the NTC but shall not be longer than one hundred twenty (120) days, upon a
valid written request.

Failure to register within the prescribed period shall authorize the PTE to automatically
deactivate its services to the specific existing prepaid SIM card subscriber.

SEC. 13. Penalties. - The following penalties shall be imposed for violation of any provision
of this Act
(a) If the offense is committed by a PTE, the President and other executive officers shall be
held liable and the following penalties shall be imposed:

(1) First offense: A fine of three hundred thousand pesos (P300,000.00);


(2) Second offense: A fine of five hundred thousand pesos (P500,000.00); and
(3) Third and subsequent offenses: A fine of one million pesos (P1,000,000.00) for
every offense.

(b) A penalty of suspension of its operation and a fine ranging from five thousand pesos
(P5,000.00) to fifty thousand pesos (50,000.00) shall be imposed on any direct seller who
fails to comply with the provisions of this Act.

SEC. 14, Implementing Rules and Regulations (IRR). — Within ninety (90) days from the
effectivity of this Act, the NTC, in coordination with concerned agencies, shall promulgate the
rules and regulations and other issuances as may be necessary to ensure the effective
implementation of this Act

SEC. 15. Separability Clause. - Should any part of this Act be declared unconstitutional or
invalid, other provisions hereof not affected thereby shall continue to be in full force and
effect

SEC. 16. Repealing Clause. - All laws, decrees, executive orders, proclamations, rules and
regulations, and issuances or parts thereof which are inconsistent with the provisions of this
Act, are hereby repealed, amended or modified accordingly.

SEC. 17. Effectivity. - This Act shall take effect fifteen (15) days after its complete
publication in the Official Gazette or in a newspaper of general circulation

Approved,