THIRTEENTH CONGRESS OF THE REPUBLIC 
Third Regular Session 
) 
OF THE PHILIPPINES 
S E N A T E  
S. 6. 
No. 
%354 
Introduced by Senator Manuel “Lito” M. Lapid 
EXPLANATORY NOTE 
The provisions under our Revised Penal Code, as amended, penalizes the crime 
of making and selling forged or counterfeit coins. To date, our existing laws and the 
applicable penalties relative to the crime of making and selling counterfeit coins have 
been assessed to be less of a deterrent against the perpetrators. 
Recently, a newspaper report indicated that agents of the National Bureau of 
Investigation (NBI) and the Bangko Sentral ng Pilipinas (BSP) seized more than Php 5 
million pesos worth of counterfeited Philippine coins and arrested a Taiwanese national 
in Barangay Dalandanan, Valenzuela City on the grounds that the suspect was selling 
and distributing counterfeit Php 10 peso and Php 5 peso coins. The newspaper report 
further indicated that the arrested suspect started operating and circulating 
counterfeited coins in the Philippines since April of 2006. The arrested suspect is now 
facing charges for violation of Articles 163 (making, importing and uttering false coins) 
and 165 (selling of false coins) of the Revised Penal Code, as amended. 
If the information in the newspaper report is accurate, we can be sure that many 
of these fake Php IO-peso and Php 5-peso coins are now rapidly circulating in our local 
economy. The circulation of fake or counterfeited currencies and coins in our local 
economy not only destroys the credibility and value of our local currency but also 
causes economic distortions. 
It is evident from this situation that the perpetrators of this syndicated criminal 
activify are no longer afraid or deterred by the punishments imposed under our existing 
laws. There is, therefore, an urgent need to address this issue in order to protect the, 
credibility of our local currency and protect our local economy. 
As a response, this proposed measure seeks to amend the provisions of our 
Revised Penal Code, pertaining to the counterfeiting and forging of coins of current 
currency, by imposing stiffer penalties for their violation. 
In view of the foregoing, the approval of this bill is recommended. n 
MANUEL 
W T O ~  M. LAPID 
* 
v 
Senator 
Ir- 


THIRTEENTH CONGRESS OF THE REPUBLIC 
) 
6 CEC -5 ,y/. ’>I> 
OF THE PHILIPPINES 
1 
Third Reguier Session 
1 
Introduced by Senator Manuel “Lito” M. Lapid 
AN ACT 
AMENDllW ARTICLES 163, 164 AND 
CODE A I Y  FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines 
165 OF THE REVISED PENAL 
in Corrgress assembled: 
SECTION 1. 
Article 163 of Act No. 3815, as amended, otheiwise known 
as the “Revised Penal Code” is hereby amended to read as follows: 
“ART. 163. Making and importing and uttering false coins. - Any 
person who makes, imports, or utters false coins, in connivance with 
counterfeiters or importers, shall suffer: 
[Prision may04 RECLUSION TEMPORAL in its minimum 
and medium periods and a fine not to exceed [10,000] 200,000 pesos, if 
the counterfeited coin be silver OR COPPER coin of the Philippines or 
coin of the [Central Bank of the Philippines] BANGKO SENTRAL NG 
PILIMNAS of [ten-centavo] TWENTY-FIVE CENTAVO denomination or 
above. 
2. 
Prision [correccional] MAYOR in its minimum and medium 
periods and a fine not to exceed [2,000] 100,000 pesos if the counterfeited 
coins be any of the minor coinage of the Philippines or of the [Central 
Bank of the Philippines] BANGKO SENTRAL NG PILIPINAS below [ten- 
centavo] TWENTY-FIVE CENTAVO denomination. 
3. 
Prision [correccional] MAYOR in its minimum period and a 
fine not to exceed [1,000] 100,000 pesos, if the counterfeited coins be 
currency of a foreign country.” 
I. 


SEC. 2. 
Article 164 of Act No. 3815, as amended, otherwise known as the 
“Revised Penal Code” is hereby amended to read as follows: 
“ART. 164. Mutilation of coins - Importation and utterance of 
mufilated coins. - The penalty of prision [comccionalJ MAYOR in its 
minimum period and a fine not to exceed [2,000] 50,000 pesos shall be 
imposed on any person who shall mutilate coins of the legal currency of 
the Philippine Islands or import or utter mutilated current coins, in 
connivance with the mutilators or importers.” 
SEC. 3. 
Article 165 of Act No. 3815, as amended, otherwise known as the 
“Revised Penal Code” is hereby amended to read as follows: 
“ART. 165. Selling AND BUYING of false or mutilated coin, without 
connivance. - Any person who knowingly, although without the 
connivance mentioned in the preceding articles, shall possess OR BUY 
false or mutilated coin with intent to SELL OR utter the same, or shall 
actually utter such coin, shall suffer a penalty lower by one degree than 
that prescribed in said articles.” 
“ART. 165 (A). POSSESSION OF COIN COUNTERFEITING 
PARAfWRNALIA. - ANY PERSON FOUND IN POSSESSION OF COIN 
COUNTERFEITING PARAPHERNALIA, INCLUDING BUT NOT LIMITED 
TO COIN COUNTER, COIN ELECTROTYPE PLATE, DYE CLEANER, 
PRESSING AND STAMPING MACHINE, AND POLISHING MACHINES 
SHALL SUFFER A PENALTY OF PR/S/ON CORRECCIONAL IN ITS 
MIWUUM AND MEDIUM PERIODS OR A FINE NOT TO EXCEED 
100,000 PESOS OR BOTH AT THE DISCRETION OF THE COURT OF 
COWTENT JURISDICTION.” 
SEC. 4. 
Implementing Rules and Regulations (IRR). - The Bangko 
Sentral ng Pilipinas (BSP), in coordination with the Department of Finance (DOF), shall 
promulgate the necessary implementing rules and regulations for this Act within six (6) 
months after enactment hereof. 
SEC. 5. 
Separability Clause. - If, for any reason, any portion or provision of 
this Act shall be declared unconstitutional, other parts or provisions hereof which are not 
affected thereby shall continue to be in full force and effect. 


SEC. 6. 
Repealing Clause. - All other laws, decrees, executive orders, 
rules and regulations and other issuances or portions thereof inconsistent with the 
provisions of this Act are hereby repealed or modified accordingly. 
SEC. 7. 
Effectivity Clause. - This Act shall take effect after (15) days 
following the completion of its publication in two (2) newspapers of general circulation.