Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. 5591

Introduced by HON. GUS S. TAMBUNTING

EXPLANATORY NOTE

This bill seeks to register all prepaid Subscriber Identity Module (SIM) Card being used
today.

With the advancement of technology and continuous marketing strategies on improving
and innovating product usage and product acquisition, a set of regulatory rules should be
placed to monitor such and make sure that they will not be used illegally or to harm other
people.

The use of cellular phone nowadays is very vital for communication, business, research
and other activities. But unfortunately, others have also used the same for devious and
evil purposes. That is why the undersigned sees the SIM card registration as a deterrent
for these illegal activities and will provide as a tool to help safeguard our-country and
prevent the occurrence of crimes. Jf

In lieu of the foregoing, the passage of this bill is earnestly sought.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

5591

HOUSE BILL NO.

Introduced by HON. GUS S. TAMBUNTING

AN ACT
REQUIRING THE MANDATORY REGISTRATION OF ALL THOSE WHO
PURCHASE AND/ OR USE 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 Mandatory Registration Act of 2017”.

SECTION 2. Declaration of Policy. - The State recognizes the importance of
information and communications technology towards nation building. Modern technology
has made communication, information dissemination and gathering very easy and handily
nowadays. It has brought ease and comfort to a lot of people but not all with good
intentions. With the advent of every new technology comes a great responsibility to use
it for the good. It is toward this end that the State shall require all prepaid subscriber
identity module (SIM) cards to be registered upon purchase as to prevent the usage of
‘such in illegal activities.

SECTION 3. Definition of Terms. — As used in this Act:

(a) Direct seller refers to a person or entity 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;

(©) 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 Provider or PTP 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 registering the identity of the buyer
of the SIM card as well as the number of the card which was purchased from a
PTP or direct seller, including the subscriber’s photograph, name, date of birth,
gender and address.

SECTION 4. Sale and Registration of SIM cards. — Every direct seller shall require
the end user of a SIM card to present a 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 PTP 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 PTP is the
direct seller, the accomplished registration form must be submitted to the concerned PTP
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.

SECTION 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.


SECTION 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 (NBI) 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.

SECTION 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 PTP. The concerned PTP 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 PTP or direct seller, as the case may be.

SECTION 8. Submission of Verified List of Dealers or Agents. - The PTPs 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 PTPs shall
submit to the NTC every quarter of each year an updated list of the same.


SECTION 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 PTPs.

SECTION 10. Disclosure of Information. - Notwithstanding the provisions of
Section 9 hereof, the PTPs shall be required to provide information contained in the SIM
card registration only upon order of a competent court 6 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.

SECTION 11. SIM Card Registry. — All PTPs are required to submit an updated SIM
Card Registry 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 PTPs within thirty (30) days from such
loss or change. The concerned PTP 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 PTPs are required to keep the data of their subscribers and the NTC shall 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.

SECTION 12. Registration of Existing Prepaid Mobile Phone Subscribers. — All
existing mobile phone subscribers with prepaid SIM cards are required to register with
their respective PTP 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 PTP to automatically deactivate its services to the specific
existing prepaid SIM card subscriber.

SECTION 13. Penalties. - The following penalties shall be imposed for violation of
any provision of this Act:

(a) If the offense is committed by a PTP, the Company, its 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) If the offense is committed by the direct seller:

(1) First offense: A fine of ten thousand pesos (P10,000.00) and suspension of
license to operate for fifteen (15) days;

(2) Second offense: A fine of fifteen thousand pesos (15,000.00) and suspension
of license to operate for twenty (20) days; and


(3) Third and subsequent offenses: A fine of twenty thousand pesos (P20,000.00)
and a suspension of license to operate for one (1) month for every offense.

SECTION 14. Implementing Rules and Regulations (IRR). — Within sixty (60) days
from the effectivity of this Act, the NTC, the Department of Information and
Communications Technology (DICT), 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.

SECTION 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.

SECTION 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.

SECTION 17. Effectivity. - This Act shall take effect fifteen (15) days after its
complete publication in two (2) newspapers of general circulation.

Approved,