FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
First Regular Session

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

House Bill No. _ 3940

EXPLANATORY NOTE

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 post paid 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.

It is 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 his/her 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.

B. ol JR.

MAXII


FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

3940

House Bill No.

AN ACT
REQUIRING THE REGISTRATION OF THE BUYERS OF PREPAID SIM CARDS,
AND PROVIDING PENALTIES FOR THE VIOLATIONS THEREOF

Be it enacted by the Senate and House of the Representatives of the Philippines in
Congress assembled:

SECTION 1. It is hereby mandated that all sellers of prepaid SIM cards require buyers
of prepaid SIM cards to present government issued ID's with picture before selling them
to the buyers.

SEC. 2. The sellers are also mandated to record all the personal information of the

buyer and register the same with the telecommunications company of the SIM card
bought.

SEC. 3. The telecommunications companies shall only activate the SIM cards after
registering all the information of the buyer in their database.

SEC. 4. Administrative Sanctions. - Telecommunications companies violating this Act
shall be suspended from selling the SIM cards until full compliance of this Act.

SEC. 5. Penal Provisions — Any person, whether juridical or natural, caught violating
any of the provisions of this Act shall be held liable to pay a fine of not less than One


hundred Thousand Pesos (P100,000) nor more than One Million Pesos (P1,000,000)
and imprisonment of not less than one (1) year nor more than two (2) years.

If the offense is committed by a corporate entity, the President and other
executive officers shall be held liable for the above penalties.

SEC. 5. Implementing Rules — The National Telecommunications Commission shall
issue such orders, rules and regulations and other issuances as may be necessary to
ensure the effective implementation of this Act.

SEC. 6. Separability Clause — If for any reason, any part of or provision of this Act is
declared unconstitutional or invalid, such parts not affected thereby shall remain in full
force and effect.

SEC. 7. Repealing Clause - Any law, executive order, letter of instruction, rules and
regulations, circulars, issuances or any part thereof inconsistent with any of the

provisions of this Act is hereby repealed, modified or amended accordingly.

SEC. 8. Effectivity — This Act shall take effect fifteen (15) days after its publication in at
least two (2) newspapers of general circulation.

Approved,