FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
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SENATE 
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ID7 
s. 1:3. No. __ _ 
Introduced by Senator FRANCIS G. ESCUDERO 
EXPLANATORY NOTE 
JlIL --5 P 1 :22 
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.... 
Public office is a public trust. Government officials and employees are 
accountable to the public. To ensure that the civil servant does not use her 
position to enrich herself, it is necessary that we put in place a mechanism which 
will enable the Government to audit the finances of the civil servant. 
One such instrument is the signing of a waiver in favor of the Government 
which will allow the examination of the civil servant's bank accounts and 
investments in government bonds. This will aid the Government to recover ill-
gotten funds. 
With the passage of this bill, transparency of the financial standing of the 
civil servant will serve as a deterrent to graft and corruption. 
Approval of this bill is earnestly sought. 
FRANCIS G. ESCUDERO 


FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
) 
) 
) 
Introduced by Senator FRANCIS G. ESCUDERO 
AN ACT 
J [} 
,Jill -'i P 1 :22 
REQUIRING PUBLIC OFFICIALS AND EMPLOYEES TO 
SUBMIT A WRITTEN PERMISSION OR WAIVER IN FAVOR OF THE 
OMBUDSMAN TO LOOK INTO ALL DEPOSITS OF WHATEVER NATURE 
WITH BANKS on BANKING INSTITUTIONS BOTH WITHIN AND 
OUTSIDE THE PHILIPPINES INCLUDING INVESTMENT BONDS ISSUED 
BY THE GOVERNMENT OF THE PHILIPPINES, ITS POLITICAL 
SUBDIVISIONS AND INSTRUMENTALITIES ANI) PROVIDING 
PENALTIES THEREFOR 
Be it enllcted by the Senllte and the House of Representatives of the Philippines in 
Congress Ilssembled: 
Section 1. Declaration of Policy. It is hereby declared a policy of the State 
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for all public officials and employees to be open and transparent in all of their 
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financial transactions and dealings. 
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Section 2. Submission of Written Permission or Wllhler. All public officials 
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and employees, except those who serve in an honorary capacity, shall submit 
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with the office of the Ombudsman a written permission or waiver in favor of the 
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Ombudsman to look into all deposits of whatever nature with banks or banking 
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institutions, both within and outside the Philippines, including investment bonds 
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issued by the government of the Philippines, its political subdivisions and 
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instrumentalities. 
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The aforestated written permission or waiver shall be submitted within 
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thirty (30) days from the date of their assumption of office; Provided, however, 
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that public officials and employees who are already exercising the functions of 
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their respective offices upon the effectivity of this Act shall submit the same not 
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later than thirty (30) days from the effectivity of the Rules and Regulations 
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implementing the provisions of this Act. 
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Section 3. Prolzibition in Case of Failure or Refusal to Submit Written 
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Permission or Wllil'cr. Any public official or employee who fails or refuses to 
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submit such written permission or waiver as required by this Act shall not be 
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allowed to enter upon, or continue exercising, the functions of her office. 
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Section 4. Limitlltion on Use. Only the Office of the Ombudsman may 
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obtain or use the written permission or waiver filed under this Act, or any other 
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information or date obtained as a result thereof; Provided, iWWe'llCr, that the same 


shall be used exclusively for investigating a duly signed and verified complaint 
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and/ or prosecuting a case before the Sandiganbayan; Provided further, that the 
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Office of the Ombudsman or any other agency or instrumentality of the 
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Government or any person may not use the same for any purpose. 
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Section 5. Promulgation of Rules and Regulations. The Office of the 
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Ombudsman shall have the primary responsibility for the administration of this 
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Act; Provided, iJowever, that it shall enlist the advice of the Department of Justice 
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and the Banko Sentral ng Pilipinas in drafting the form of the written permission 
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or waiver as required by the provisions of this Act. 
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Section 6. Penalties. 
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(a) Any person who violates the provisions of Section 3 hereof shall be 
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punished with a fine not exceeding the equivalent of one (1) year salary or 
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suspension not exceeding one (1) year, or removal from office and, upon the 
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discretion of a court of competent jurisdiction, disqualification to hold public 
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office. 
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(b) Any person who violates the provisions of Section 4 hereof shall be 
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punished with imprisonment of not exceeding six (6) years or a fine not 
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exceeding One Hundred Thousand Pesos (1' 100,000.00) or both. 
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Section 7. Separability Cilluse. In the event any portion or provision of this 
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Act is declared unconstitutional, the remainder of this Act or any provisions not 
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affected thereby shall remain in force and in effect. 
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Section 8. nepealing Clause. The relevant provisions of Republic Act Nos. 
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1405, 3019, 6713 as well as all laws, decrees and orders or parts thereof 
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inconsistent herewith are deemed repealed or modified accordingly. 
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Section 9. Effecli"{lity. This Act shall take effect 15 days after its complete 
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publication in at least two (2) newspapers of national circulation. 
Approved, 
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