FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
SENATE 
Senate Bill NI(), 
115 
, . 
. 
~. 
INTRODUCED BY SEN. GREGORIO B. HONASAN II 
EXPLANATORY NOTE 
'10 
JUt -5 r 1 :34 
The maintenance of peace and security has been a very tough challenge for 
all the countries in the whole world. Many acts of violence occur without warning 
given the fact that acts of terrorism can occur at any part of the world. And one clear 
cause of this gleaming problem is the proliferation of weapons all throughout the 
world. Weapons which range from light weapons to what we all know as weapons of 
mass destruction are circulating around the world every day. The proliferation of 
these weapons is a clear problem that should be addressed by all nations including 
our own. 
The Philippines is committed to the maintenance and enhancement of 
national security, promotion of foreign policy interests particularly the fulfillment of 
international commitments and agreements. As a member of the United Nations, the 
Philippines therefore binds itself to the principles of international law and recognizes 
the need to be one with other nations in the pursuit of a peaceful and safe world free 
from threats to its people, which includes violence brought about by war and other 
violent acts caused by dangerous weapons. 
The proliferation of weapons of mass destruction as well as the non-
regulation of munitions, strategic or dual-use items/goods and related technologies 
largely contributes to the carrying out of acts of terrorism. The transfer, diversion, 
import, export, re-export, transit and transshipment of such items/goods, technology 
or even services dealing with nuclear, radiological, biological and chemical weapons, 
mostly in parts, which when assembled together could serve as a weapon of mass 
destruction cause great threat to lives and properties, if not catastrophic destruction 
and devastation. Thus, the trade of such items/goods, which are being used both for 
military and non-military or restricted purposes, should be strictly monitored and 
controlled. 
And as part of this commitment, the Philippines included in the 1987 
Philippine Constitution, under Section 2 of Article II Declaration of Principles and 
State Policies, that the Philippines renounces war as an instrument of national 
policy, adopts the generally accepted principles of international law as part of the law 
of the land and adheres to the policy of peace, equality, justice, freedom, 
cooperation, and amity with all nations. 
Moreover, the Constitution has provided under Section 8 Article II of its 
Declaration of Principles and State Policies that the country, consistent with its 
national interest, adopts and pursues a policy of freedom from nuclear weapons in 
its territory. Also consistent with the mandate of UN Security Council Resolution 


1540, issued last April 28, 2004, which calls on all UN member-states to adhere to 
the Weapons of Mass Destruction Conventions, the Philippines thereby commits 
itself to prevent the proliferation of nuclear, radiological, biological, chemical, and 
other weapons of mass destruction for the promotion of global peace and security. 
At present, there is a lack of legislation or policy which is geared towards 
formulating an integrated system that would prevent the unauthorized trade of 
strategic or dual-use items/goods and related technologies that could contribute to 
the proliferation and circulation of weapons throughout the country, including 
weapons of mass destruction. Because of the lack of strong regulatory mechanism 
in the area of law enforcement, intelligence and inter-government agency 
cooperation, terrorists will have an easy and convenient time in moving their 
weapons and creating havoc in targets they wish to attack. 
While our neighboring countries have already been able to put in place their 
own legislation against the proliferation of these weapons of mass destruction, the 
Philippines has yet to come up with a legislative measure that will ensure that our 
country will have an effective control on the transit of goods classified as weapons or 
strategic dual-use goods which would prevent the proliferation of weapons of mass 
destruction and ultimately prevent acts of terrorism against our country and of other 
neighb6ring-nations: 
This bill seeks to prevent the proliferation of weapons of mass destruction in 
the country through the enforcement of a centralized and integrated strategic 
items/goods trade control system by regulating and monitoring the transit of such 
items/goods. This bill therefore intends to establish an effective regulatory and 
organizational structure that would both address the Philippines' obligation to its 
international commitments as well as pursue its economic end in the area of fair 
trade with other countries without compromising the internal security of the nation 
and the safety of the Filipino people. 
The immediate passage of this bill is hereby 
2 
ORIO B. HONASAN II 
Senator 


31 ' 
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2 
FIFTEENTH CONGRESS OF THE 
3 
REPUBLIC OF THE PHILIPPINES 
4 
First Regular Session 
5 
SENATE 
6 
Senate Bill No. 115 
7 
INTRODUCED BY SEN. GREGORIO B. HONASAN II 
8 
9 
AN ACT 
10 
TO 
PREVENT 
THE 
PROLIFERATION 
OF 
CHEMICAL, 
BIOLOGICAL, 
II 
RADIOLOGICAL AND NUCLEAR WEAPONS, AS WELL AS CONVENTIONAL 
12 
WEAPONS BY REGULATING THE TRANSFER OF STRATEGIC GOODS AND 
13 
DUAL·USE GOODS, AND FOR OTHER PURPOSES 
14 
15 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
16 
Congress assembled: 
17 
18 
19 
TITLE 1- GENERAL PROVISIONS 
20 
SECTION 1. Short Title . • This Act shall be known as the "Non-Proliferation 
21 
and Strategic Goods and Dual-Use Goods Regulation Act of 2010", 
22 
SEC. 2. Declaration of Policy. - It is declared a policy of the state to be free 
23 
from chemical, biological, radiological and nuclear weapons in its territory, to abide 
24 
by its international commitments in the areas of non-proliferation and strategic trade 
25 
regulation, and to promote international peace and stability, while also promoting 
26 
economic growth through responsible trade and management of strategic items. 
27 
Toward this end, the unregulated flow of goods, technologies, information, 
28 
equipment and services that are capable of being used to acquire, develop, produce, 
29 
operate, stockpile, maintain, detect, identify or deliver chemical, biological, 
30 
radiological and nuclear weapons and other strategic goods shall be considered 
31 
dangerous and inimical to the security of the country and to the Filipino people, and 
32 
the global community. Foreign trade activity involving such items, including cross-
33 
border transfer, facilitation or investment shall be regulated by the Government. 
34 
SEC. 3. Scope and Coverage . • This Act shall apply to any person, whether 
35 
natural or juridical, engaged in trade of strategic goods, technologies, equipment and 
36 
services, and operating within the territorial and economic boundaries of the 
37 
Philippines, including designated free trade zones, and to all Filipino citizens whether 
38 
residing in the country or abroad. 
3 


Without impeding the normal course of trade activities, provisions of this Act 
2 
shall involve the regulation, import, export, re-export, transit, transshipment and re-
3 
transfer of strategic goods, technologies, equipment and services which are herein 
4 
defined as regulated items under .the National Control List. 
5 
SEC. 4 - The National Control List - It is hereby established the National 
6 
Control List which shall refer to a list of goods, items and technologies subject to 
7 
licensing under this Act. It shall be issued by the Strategic and Dual-Use Goods 
8 
Control Council herein constituted and shall describe with specificity the goods 
9 
subject to export control, reasons for control, and the export license requirements 
10 
applicable to each item, subject to the provisions of existing treaties and 
11 
international conventions to which the Philippines is a signatory/party. 
12 
The Council shall publish the Control List and all the license requirements, 
13 
pOlicies and procedures within six (6) months from the effectivity of this Act. It shall 
14 
contain a harmonized export commodity classification designed for use by exporters, 
15 
custom brokers and freight forwarders when providing export declaration to the 
16 
Bureau of Customs. 
17 
The Council shall, likewise, review the entire list at least once every two years, 
18 
and shall revise or update the Control List, as appropriate. 
19 
20 
SEC. 5. Definition of Terms. - For purposes of this Act, the following terms 
21 
are hereby defined: 
22 
23 
a. Biological Weapon refers to any weapon which involves the use of 
24 
pathogens such as viruses, bacteria, other disease-causing biological 
25 
agents, or the toxins produced by them, or which are considered 
26 
biological weapons under the provisions of the "Biological and Toxins 
27 
Weapons Convention" which was signed by the Philippines on June 21, 
28 
1972 and ratified on May 21, 1973. 
29 
b. Chemical Weapon refers to any weapon which involves the use of 
30 
nonliving toxic products produced by living organisms, or which are 
31 
considered chemical weapons under the provisions of the "Chemical 
32 
Weapons Convention" which was signed by the Philippines on January 13, 
33 
1993 and ratified on December 11, 1996. 
34 
c. Conventional Weapon refers to normal weapons that most nations 
35 
possess; such as warships, airplanes, artillery, tanks, Machineguns, etc. 
36 
d. Document refers to any records on paper; in electronic form, kept on any 
37 
magnetic, optical, chemical or other medium; photograph map, plan, 
38 
graph, picture or drawing or device. 
4 


e. Dual-Use Goods refer to civilian or military goods, equipment, services or 
2 
technology, capable of being used for non-military purposes that, when 
3 
put together or assembled, may assist in the development, production, 
4 
acquisition or stockpiling of weapons capable of 
causing mass 
5 
destruction; including missiles capable of delivering such weapons; 
6 
f. 
Intermediary activity refers to brokering, forwarding, servicing or 
7 
financing export transactions involving any strategic or dual-use goods. 
8 
g. License or Permit refers to a written authorization issued by the 
9 
Government for the import, export, transit or transshipment of any 
10 
strategic or dual-use goods into, out of, or through the territory of the 
II 
Philippines, which also includes the provision of services pertinent to the 
12 
trade of strategic or dual-use goods. 
13 
h. Non-Conventional Weapon refers to weapons that most nations do not 
14 
possess; such as Chemical, Biological, Radiological, and Nuclear 
15 
Weapons. 
16 
i. 
Nuclear Weapon refers to any weapon which involves an explosive 
17 
device that derives its destructive force from nuclear reactions, either 
18 
fission or a combination of fission and fusion, or which are considered 
19 
nuclear weapons under the provisions of the "Nuclear Non-Proliferation 
20 
Treaty" signed by the Philippines on July 18, 1968 and ratified on October 
21 
20, 1972. 
22 
j. 
Radiological Weapon refers to any weapon that is designed to spread 
23 
radioactive material with the intent to kill, and cause disruption upon a city 
24 
or nation. It is commonly known as a "dirty bomb" or "salted bomb" 
25 
because it is not a true nuclear weapon and does not yield the same 
26 
explosive power. It uses conventional explosives to spread radioactive 
27 
material. 
28 
k. Re-export refers to any shipment, transmission or release by any means 
29 
of any item or goods from one foreign country to another which may also 
30 
include a transfer of an exported item to a new end-user within the 
31 
recipient country. 
32 
I. 
Services refer to, without limiting the generality of the expression, any 
33 
reference to doing anything, other than supplying or exporting of goods 
34 
that confers a benefit on, grants a right or privilege to, provides a facility 
35 
for, or otherwise assists someone, including work of a professional nature 
36 
with or without the supply or export of goods, or a contract for and in 
37 
relation to the lending of money Qr other provision of financial assistance. 
5 


2 
3 
4 
5 
m. Strategic Goods refer to any military goods, services, equipment or 
technology that requires special control in the interest of national security 
and foreign policy. 
It includes chemical, biological, radiological, and 
nuclear goods and items that can be used in the development, production, 
operation, 
use, maintenance, stockpiling, detection, identification or 
6 
dissemination of chemical, biological, radiological and nuclear weapons, or 
7 
their delivery system; 
8 
n. Technology refers 
to 
information, 
including 
information 
in 
such 
9 
documents or software as specification, blueprints, plans, manuals, 
10 
models, diagrams, formulae, tables and design that is necessary for the 
11 
development, production or use of any items/goods. 
12 
o. Transit refers to the import into, and subsequent export from, the territory 
13 
of the Philippines of a strategic or dual-use goods that does not enter the 
14 
commerce of the Philippines but is consigned on a "through bill lading" or 
15 
a "through air waybill" from a location outside the territory of the 
16 
Philippines to another location outside the territory of the Philippines, such 
17 
that the item remains at all times in or on the vessel on which it is imported 
18 
in the Philippines. 
19 
p .. Transshipment refers to the import into, and subsequent export from, the 
20 
territory of the Philippines, of a strategic or dual-use goods that does not 
21 
enter the commerce of the Philippines but is consigned on a "through bill 
22 
lading", a "through air waybill", or "through manifest" from a location 
23 
outside the territory of the Philippines to another location outside the 
24 
territory of the Philippines, and such that the item is removed or is to be 
25 
removed from the vessel in which it was imported and either returned to 
26 
the same vessel, or transferred to another vessel before being exported, 
27 
whether it is to be transferred directly between such vessels or whether it 
28 
is to be landed in the Philippines after its importation, and stored, or 
29 
otherwise handled, pending export. 
30 
31 
TITLE II-IMPLEMENTING AUTHORITIES 
32 
SEC. 6. Creation of the Strategic and Dual-Use Goods Trade Control 
33 
Council. - There is hereby created a Strategic and Dual-Use Goods Trade Control 
34 
Council, hereinafter referred to as the "Council" to serve as the governing and 
35 
policymaking body for the formulation, development, implementation, coordination, 
36 
monitoring and evaluation of policies, programs, plans and activities relative to the 
37 
establishment and institutionalization of the strategic goods trade control system. It 
6 


shall be composed of the heads or permanently designated representatives of the 
2 
following offices: 
3 
a. Office of the Special Envoy on Transnational Crime (OS ETC), Office of 
4 
the President (OP); 
5 
b. Department of Trade and Industry (DTI); 
6 
c. Department of Finance (DOF); 
7 
d. Department of National Defense (DND); 
8 
e. Department of the Interior and Local Government (DILG) 
9 
f. 
Department of Transportation and Communication (DOTC) 
10 
g. Department of Environment and Natural Resources (DENR); 
11 
h. Department of Health (DOH); 
12 
i. 
Department of Science and Technology (DOST); 
13 
j. 
Department of Foreign Affairs (DFA); 
14 
k. Department of Justice (DOJ); 
15 
The OSETC, as an oversight body on transnational crime, shall chair the 
16 
Council. It shall coordinate the overall programs and provide the daily operational, 
17 
administrative and staff support to the Council. 
18 
The Vice-Chairman shall be elected by the members of the Council from 
19 
among themselves. 
20 
SEC. 7. Powers and Functions of the Strategic and Dual-Use Goods 
21 
Trade Control Council. -
The Council shall have the following powers and 
22 
functions: 
23 
a. Formulate strategies and policies for the effective implementation of this 
24 
Act; 
25 
b. Coordinate, implement, monitor and evaluate policies and measures, 
26 
programs, plans and activities that will establish the country's strategic or 
27 
dual-use goods trade control system; 
28 
c. Create specific working groups by enlisting the assistance and support of 
29 
government agencies, bureaus, boards, instrumentalities of government-
30 
owned and/or controlled corporations; the academe; as well as private 
31 
institutions, corporations, firms, associations or persons to carry out its 
32 
functions, including the use of its personnel, facilities and resources for 
33 
research, developmental and promotional activities necessary in support 
34 
of the provisions of this Act; 
35 
d. Formulate policies and recommendations, regulate programs and advise 
36 
government agencies and private organizations engaged or involved in 
37 
activities allied to or affecting the country's importation, exportation and re-
38 
exporting, tranSiting and transshipping such as forwarding, brokering, 
7 


shipping, insurance, warehousing, financing; and recommend measures 
2 
that will enhance effective monitoring of strategic or dual-use goods; 
3 
e. Develop common end-users' certification standards in strategic or dual-
4 
use goods control for purpose of transparency and accountability; 
5 
f. 
Develop, maintain, update and publish the National Control List; 
6 
g. Strengthen capability-building through technical assistance and training on 
7 
various measures to detect, monitor, investigate and/or seize inadvertent 
8 
or illicit import, export, re-export, transit, transshipment of strategic or dual-
9 
use goods; 
10 
h. Identify stakeholders both from the public and private sector, particularly 
II 
business and other civil entities, and define their roles and responsibilities 
12 
in the strategic or dual-use goods trade control system; 
13 
i. 
Strengthen and enhance bilateral/multilateral cooperation and recommend 
14 
amendments, as appropriate, to existing agreements where the State 
15 
16 
signatories are the point of origin, destinations or transit of strategic or 
dual-use goods; 
17 
j. 
Come up with policy recommendations to maintain the confidentiality of 
18 
the disclosure of information, unless and until it meets the national security 
19 
or foreign policy interests of the country; and 
20 
k. Perform such other tasks and functions necessary to effectively carry out 
21 
the provisions of the Act. 
22 
Provided that such authority of the Strategic and Dual-Use Goods Trade 
23 
Control Council to regulate strategic or dual-use goods will not in any way 
24 
interfere or encroach upon the authority and regulatory powers of other 
25 
government agencies over goods already under their regulation which can 
26 
also be considered strategic or dual-use goods under this Act. The Council 
27 
shall endeavor to achieve a full synchronization of the regulatory authority all 
28 
government agencies tasked with the regulation of the importation and/or 
29 
exportation of strategic or dual-use goods. 
30 
31 
TITLE 111- RESPONSIBILITIES AND RESTRICTIONS OF PARTIES 
32 
IN STRATEGIC ITEMS/GOODS TRADE TRANSACTIONS 
33 
SEC. 8. Responsibilities of Traders. - Any person who intends to export, 
34 
import, transit, transship or re-export any strategic or dual-use goods herein defined 
35 
shall be required to obtain a license from the duly designated government authority 
36 
provided in this Act. No person shall be allowed to place any strategic or dual-use 
37 
goods in or on any vessel located within the territorial and economic jurisdiction of 
38 
the Philippines without the consent of the owner or operator. 
8 


SEC. 9. Responsibilities of Owners and Operators of Vessels. - Owners 
2 
and operators of a vessel shall be prohibited from releasing any strategic or dual-use 
3 
goods within the territory of the Philippines unless the person to whom an import 
4 
license has been issued presents a license to such owner or operator. The owner or 
5 
operator of a vessel shall submit to the Bureau of Customs and other duly 
6 
designated offices, a duly certified copy of the license and a copy of the extract of 
7 
the manifest of the vessel in or on which the strategic or dual-use goods arrived. 
8 
All strategic or dual-use' goods which are imported, exported, transited, 
9 
transshipped, or re-exported shall be recorded in a manifest that shall contain such 
10 
particulars which the Implementing Rules and Regulations of this Act may 
II 
prescribed. 
12 
The owner or operator of a vessel, on entering or leaving the territory of the 
13 
Philippines shall, upon request: 
14 
a. Furnish the Bureau of Customs a manifest identifying any strategic or 
15 
dual-use goods being imported or exported in the vessel; 
16 
b. Allow any duly authorized member of the Bureau of Customs and other 
17 
authorized agency by the council to board a vessel, inspect the cargo for 
18 
strategic or dual-use goods and/or search the vessel for strategic or dual-
19 
use goods; and 
20 
c. Furnish a written list of every port or place at which such vessel has 
21 
docked during the period of three (3) months immediately preceding the 
22 
date of its arrival in Philippine territory. 
23 
SEC. 10. Responsibilities of Persons Engaged in Any Intermediary 
24 
Activity. - No person, subject to this Act, may engage in any intermediary activity 
25 
without a license, including intermediary activities that involve strategic or dual-use 
26 
goods as herein defined, even if the same is not transited or transshipped through, 
27 
or exported or re-exported from the territory of the Philippines. 
28 
SEC. 11. Responsibilities of Parties. - It shall be the responsibility of any 
29 
person, subject to this Act, to verify whether certain goods fall under the National 
30 
Control List and subject to regulations. Where any unit or individual knows or should 
31 
know that the goods, technologies, equipment and services to be exported may be 
32 
used by the receiving party for the purpose of putting together a chemical, biological, 
33 
radiological, or nuclear weapo~ or any other conventional weapon capable of 
34 
widespread harm to the public in general, it shall not export such goods, 
35 
technologies, equipment and services whether included in the National Control List 
36 
or not, unless appropriate licenses are obtained and upon providing relevant 
37 
information to authorities. 
9 


SEC. 12. Registration and Issuance of Permits and Licenses. - Anyone 
2 
who intends to engage in the trade of strategic or dual-use goods shall register 
3 
directly with the DTI and file for a license application to be accomplished in such a 
4 
prescribed manner and form and accompanied by such fees as may be prescribed 
5 
under the IRR of this Act. 
6 
The DTI may likewise grant permit or license to an applicant subject to 
7 
conditions it may deem fit and may renew a license with or without conditions: 
8 
Provided, That any person whose application for a license has been denied by the 
9 
DTI may file an appeal to the Council as constituted under this Act, whose decision 
10 
shall be final and executory. 
11 
The Council and the DTI may, upon recommendation of involved regulatory 
12 
branches of the government, temporarily decide to exercise export control on 
13 
specific strategic or dual-use goods and related equipment and technologies other 
14 
than those listed in the National Control List if deemed necessary. Provided that 
15 
such temporary export control authority shall only be for a period of six (6) months, 
16 
unless such goods have been added to the National Control List, in which case such 
17 
authority to regulate such goods shall become permanent. 
18 
SEC. 13. Breach of Conditions of Registration, License or Permit. - Any 
19 
person who holds a permit or is registered to engage in trade of strategic or dual-use 
20 
goods and who contravenes, without lawful excuse, a condition of the permit or 
21 
license or registration prescribed under the IRR of this Act shall be held liable and 
22 
shall suffer the penalty of two (2) years imprisonment but not to exceed four (4) 
23 
years imprisonment. 
24 
Anyone who undertakes trade of strategic or dual-use goods, technologies, 
25 
equipment and services without being licensed, or trade beyond the scope of the 
26 
license granted without authorization, such person shall suffer the penalty of 
27 
imprisonment of six (6) years and one (1) day to twelve (12) years imprisonment, a 
28 
fine not to exceed five hundred thousand pesos (Php 500,000.00), or both. The 
29 
criminal penalties imposed herein are without prejudice to administrative sanctions 
30 
that may be imposed by the Strategic and Dual-Use Goods Control Council and 
31 
other appropriate government agencies. 
32 
Where the receiving party contravenes the guarantees made according to the 
33 
conditions, permit or license granted, or there is a risk of proliferation of strategic or 
34 
dual-use goods, the Council thru the DT~, shall suspend or revoke the license or 
35 
permit initially granted and immediately notify the Bureau of Customs of such 
36 
suspension or revocation of license or permit. 
37 
SEC. 14. Other Restrictions. - A license holder who intends to change the 
38 
original declaration of end-use of the strategic or dual-use goods as previously 
10 


declared shall surrender the original license and must file for a new license subject 
2 
to the provisions of this Act. 
3 
Any person who forge, buy or sell license for the conduct of trade transactions 
4 
on strategic or dual-use goods shall be held criminally liable in accordance with 
5 
existing laws on the crime of illegal business operations, the crime of forging, 
6 
altering, buying or selling of official documents, certificates or seal of State 
7 
functionaries. If such act is not serious enough for criminal punishment, such person 
8 
shall be punished in accordance with the relevant provisions of the Customs Law, 
9 
and the DTI may concurrently revoke the license for foreign trade operations. 
10 
When the license for the trade of strategic goods and items, technologies, 
II 
equipment and services is obtained through fraud or other illegal means, the DTI 
12 
shall impose the following penalties: 
13 
1) revocation of license; 
14 
2) confiscation of subject illegal items/goods; 
15 
3) imposition of fines; and 
16 
4) suspension or revocation of the license for their foreign trade operations. 
17 
SEC. 15. Liability of State Functionaries. - State functionaries in charge of 
18 
controlling and regulating the trade of strategic or dual-use goods who abuse their 
19 
powers, neglect their duties or extort or accept money or bribe by taking advantage 
20 
of their positions, shall be investigated for criminal and/or administrative liability in 
21 
accordance with existing criminal and/or administrative laws. 
22 
SEC. 16. Documents and Records-Keeping Requirements. - As provided 
23 
in Section 11 of this Act, the following documentary requirements shall be complied 
24 
with when applying for a license or permit: 
25 
a. Identification of the applicant's legal representatives, manager/s, and the 
26 
person/s handling the deal; 
27 
b. Duplicates of contract agreement and other certification documents; 
28 
c. Technical specification of the strategiC or dual-use goods; 
29 
d. Certificate of end-user and declaration of end-use/s; 
30 
e. Documents of guarantee from the receiving party that such strategic or 
31 
dual-use goods which are subject of such transaction will: 
32 
1) Not be used for the development, production, acquisition or 
33 
stockpiling of chemical, biological, radiological, nuclear weapons 
34 
and any other conventional weapons that will pose a serious threat 
35 
to the public in general. This also includes missiles capable of 
36 
delivering such weapons; 
37 
2) Not be used for purposes other than the declared end-use without 
38 
the consent of authorized Philippine agencies; and 
11 


3) Not be transferred to any third party other than the declared end-
2 
user without the consent of authorized Philippine agencies. 
3 
The Bureau of Customs shall be provided with copies of all documentations 
4 
mentioned. 
5 
SEC. 17. Obligations of Applicants. -
Any person subject to the 
6 
requirements of this Act shall keep a record of the transit, transshipment or re-export 
7 
of strategic or dual-use goods and all other information that may be tequired by the 
8 
regulations for a period of five (5) years. 
9 
Any person who, in connection with an application for permit or license or 
10 
registration, or being required to give any information or document to an authorized 
11 
officer, gives any information that is false or misleading in a material particular; or 
12 
gives any documents which gives a statement or omits any matter which renders the 
13 
document false or misleading in a particular material shall suffer the penalty of 
14 
prision correcional in its medium and maximum period or imprisonment of not less 
15 
than four (4) years and not more than six (6) years and a fine not to exceed one 
16 
hundred thousand pesos (Php 100,000.00). 
17 
SEC. 18. Confidentiality of Business Proprietary Information. - No 
18 
information obtained as part of the license application may be disclosed to any non-
19 
government agency unless such disclosure is in the national security or foreign 
20 
policy interest of the Philippines or the same may facilitate progress of pending 
21 
investigations. 
22 
SEC. 19. Penalties for the Obstruction in the Enforcement of this Act. - It 
23 
shall be unlawful for any person who, without lawful excuse, commits the following 
24 
acts: 
25 
a. Refuse any authorized officer/person acting in his assistance, access to 
26 
27 
any vessel or mode of transport or premises which the authorized 
officer/person is entitled under this Act; 
28 
b. Obstructs or hinders any authorized officer/person in the execution of any 
29 
powers conferred upon such authorized officer/person; and 
30 
c. Refuses to provide reasonable assistance to any authorized officer/person 
31 
in the execution of any powers conferred upon such authorized 
32 
officer/person in this Act. 
33 
Any person who commits any of the acts herein mentioned shall suffer the 
34 
penalty of imprisonment of six (6) years and one (1) day to twelve (12) years 
35 
imprisonment, a fine not to exceed five hundred thousand pesos (Php 500,000.00), 
36 
or both. 
12 


SEC. 20. Prosecution for the Violation of any Provision of this Act. - The 
2 
following provides for the prosecution of cases for the violation of any provision of 
3 
this Act: 
4 
a. The Regional Trial Court (RTC) shall have jurisdiction to try and hear 
5 
cases involving violations of this Act; 
6 
b. The Department of Justice (DOJ) shall designate special prosecutors to 
7 
exclusively handle cases in violation of this Act; 
8 
c. The preliminary investigation of cases filed under this Act shall be 
9 
terminated within a period of thirty (30) days from the date of filing; 
10 
d. When the preliminary investigation is conducted by a public prosecutor 
11 
and a probable cause is established, the corresponding information shall 
12 
be filed in court within twenty-four (24) hours from the termination of the 
13 
investigation. If the preliminary investigation is conducted by a judge and a 
14 
probable cause is found to exist, the corresponding information shall be 
15 
filed by the proper prosecutor within forty-eight (48) hours from the date of 
16 
receipt of the record; and 
17 
e. Trial of the case under this Act shall be finished by the court not later than 
18 
ninety (90) days from the date of filing of the information. Decision on said 
19 
cases shall be rendered within a period of fifteen (15) days from the date 
20 
of submission of the resolution. 
21 
SEC. 21 .. Reclassification, Addition or Removal of Any Goods from the 
22 
National Control List. - The Council shall have the power to reclassify, add to or 
23 
remove from the National Control List. Proceedings to reclassify, add, or remove any 
24 
goods or other substance may be initiated by the DTI, the DOH, or by petition from 
25 
any interested party, including the importer/exporter of an item/goods, a national or 
26 
local government agency, or an individual citizen. When a petition is received by the 
27 
Council, it shall immediately begin its own investigation of the item/goods. 
28 
The Council, after notice and hearing shall consider the following factors with 
29 
respect to each goods proposed to be reclassified, added or removed from control: 
30 
(a) Its actual or relative potential for use as a weapon or part of a weapon; 
31 
(b) The state of current scientific knowledge regarding the goods; 
32 
(c) Its history and current pattern of use as a Strategic goods or Dual-Use 
33 
goods; 
34 
(d) The scope, duration, and significance of its use; 
35 
(e) Risk to the public in general; 
36 
The Council shall also take into accord the obligations and commitments to 
37 
international treaties, conventions and agreements to which the Philippines is a 
38 
signatory. 
13 


The Strategic and Dual-Use Goods Trade Control Council shall give notice to 
2 
the general public of the public hearing of the reclassification, addition to or removal 
3 
from the list of any drug by publishing such notice in any newspaper of general 
4 
circulation once a week for two (2) weeks. 
5 
The effect of such reclassification, addition or removal shall be as follows: 
6 
(a) In case of the addition of a new Strategic goods or Dual-Use goods to the 
7 
National Control List, no criminal liability involving the same under this Act 
8 
shall arise until after the lapse of fifteen (15) days from the last publication of 
9 
such notice; 
10 
(b) In case of removal of a Strategic goods or Dual-Use goods from the 
11 
National Control List, all persons convicted and/or detained for the violation of 
12 
the provisions of this Act shall be automatically released and all pending 
13 
criminal prosecution involving such a drug under this Act shall forthwith be 
14 
dismissed; and 
15 
(c) The Council shall, within five (5) days from the date of its promulgation 
16 
submit to Congress a detailed reclassification, addition, or removal of any 
q 
Strategic goods or Dual-Use goods from the National Control List. 
18 
19 
TITLE IV - FINAL PROVISIONS 
20 
SEC. 22. Implementing Rules and Regulations. - The constituted Strategic 
21 
Items/Goods Trade Control Council shall, in consultati6n with all concerned 
22 
agencies, promulgate within sixty (60) days the Implementing Rules and Regulations 
23 
necessary to implement the provisions of this Act. 
24 
SEC. 23. Appropriations. - The amount necessary to implement the 
25 
provisions of this Act shall come from the General Appropriations Act. 
26 
SEC. 24. Suppletory Application. - For purposes of this Act, the Revised 
27 
Penal Code and other applicable laws shall have suppletory application. 
28 
SEC. 25. Separability Clause. - If any portion or provision of this Act is held 
29 
unconstitutional, the same shall not affect the validity and effectivity of the other 
30 
provisions affected thereby. 
31 
SEC. 26. Repealing Clause. - All laws, decrees, executive orders, rules and 
32 
regulations and other issuances or parts thereof which are inconsistent with this Act 
33 
are hereby repealed, amended or modified accordingly. 
34 
SEC. 27. Effectivity Clause. - This Act shall take effect fifteen (15) days after 
35 
its complete publication in at least two (2) newspapers of general circulation. 
36 
Approved, 
14