r .-‘> 
FOURTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
1 
First Regular Session 
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8 ‘ ~JUN .Ii? ‘1 8 
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Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
The Information Technology (IT) industry in our country has been a breath of 
fresh air in so far as our economy is concerned. Not only has the IT industry placed the 
Philippines in the world map as one of the largest manufacturers of integrated circuit 
chips and other similar semiconductor products, but more importantly it has infused 
much needed capital into our ailing economy. 
These IT companies have given direct employment to thousands of our 
countrymen and have also spurred employment opportunities to other related industries. 
As such, the business being generated by their presence within the Special Economic 
Zones (SEZs) of our country could not be measured solely by the number of people it has 
employed. 
Unfortunately, individuals andor syndicates have managed to dip their dirty 
hands into the IT industry’s basket. Theft and pilferage of this industry’s products have 
been on the increase due to two main reasons; the relative ease in carrying away these 
products because of their miniature volume plus the fact that these products are worth 
more than their weight in gold. Theft decreases our competitiveness in the global arena, 
and consequently, we might lose these investments to other countries. 


There is a necessity to increase the penalties provided by the Revised Penal 
Code which presently pertains to theft, whether simple or qualified. This bill seeks to 
assure IT industries that we are very serious in protecting their economic rights while at 
the same time telling our counhymen that this kind of wrongdoing should not and would 
not be tolerated. 
This is a Senate counterpart bill to the one filed in the House of Representatives 
by Representative Gilbert C. Rernulla. 


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8 JUN 10 P 5 3  
FOURTEENTH CONGRESS OF THE mpuBLrc) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
S.B. No. _238 
Introduced by Senator Miriam Defensor Santiago 
AN ACT PUNISHING THE PILFERAGE OR THEFT OF ANY MATERIAL, 
MANUFACTURED, PRODUCED, OWNED OR BELONGING TO INFORMATION 
TECHNOLOGY ENTERPRISES LOCATED IN SPECIAL ECONOMIC ZONES 
Be it enacted by the Senute and the House of Representatives of the Philippines in 
PRODUCT, MERCHANDISE, ARTICLE, EQUIPMENT OR BY-PRODUCT 
Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the “Anti-Pilferage of Information 
Technology Materials in Special Economic Zones Act of 2008.” 
SECTION 2. Definition qfterms. -As used in this Act, the term- 
(A) “Special Economic Zones (SEZs)” are selected areas with highly developed or which 
have the potential to be developed into ago-industrial, industrial, touristi recreational, 
commercial, banking, investment and financial centers. A SEZ may contain any or all of 
the following: indiistrial estates, export processing zones, free trade zones, touristi 
recreational centers and information technology parks, as determined by the Philippine 
Economic Zone Authority; 
(B) “Information Technology (IT)” is the collective term for the various technologies 
involved in processing and transmitting information which include computing, 
multimedia, telecommunications, microelectronics, and their interdependencies. The term 
IT also refers to the convergence of various information-based, broadcast and mass media 
communication technologies; 
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SECTJON 3. Pirfe.ase of ITMuterials in SEZs. - It is hereby declared unlawful for any 
person to take, pilfer or steal, with intent to gain, any material, product, merchandise, article, 


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equipment or by-product manufactured, produced, owned or belonging to IT enterprises located 
in SEZs without their consent. 
SECTION 4. Presumption and Prima Facie Evidence. - The possession, control or 
custody of any material, product, merchandise, article, equipment or by-product manufactured, 
produced, owned or belonging to IT enterprises located in SEZs by any person who has no right 
whatsoever to be in possession.of such material, product, merchandise, article, equipment or by- 
product shall be primafacie evidence of the following: 
(A) They took, pilfered and stole such material, product, merchandise, article, equipment 
or by-product as defined in Section 3 hereof; and 
(B) Such material, product, merchandise, article, equipment or by-product is the fruit of 
the offense defined in Section 3 hereof and it may therefore be confiscated from the 
person in possession, control or custody thereof. 
SECTION 5. Penalties.- 
(1) Any person guilty of committing the offense defined in 
Section 3 hereof shall, upon conviction, be punished by the penalty of reclusion temporal and a 
fine of not less than the value of the material, product, merchandise, article, equipment or by- 
product taken, pilfered or stolen but not more than three (3) times such value. 
(2) If the offense defined in Section 3 is committed by an officer, employee and/ or 
laborer of an enterprise from which such material, product, merchandise, article, equipment or 
by-product has been taken, pilfered or stolen, the penalty shall be reclusion perpetua and a fine 
of not less than the value of the material, product, merchandise, article, equipment or by-product 
taken, pilfered or stolen but not more than three (3) times of such value. 
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SECTION 6. Liability under the Revised Penal Code and Other Laws. - Prosecution 
under this Act shall be without prejudice to any liability for violation of any provision of the 
Revised Penal Code or any other law. 


SECTION I. Separability Clause. - If any provision, or part hereof is held invalid or 
unconstitutional, the remainder of the law or the provision not otherwise affected shall remain 
valid and subsisting. 
SECTION 8. Repealing Clause. - Any law, presidential decree or issuance, executive 
order, letter of' instruction, administrative order, rule or regulation contrary to or inconsistent 
with, the provisions of this Act is hereby repealed, modified, or amended accordingly. 
SECTION 9. Efectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in at least two (2) newspapers of general circulation. 
Approved,