1?.3f11 
Congress of the Republic 
) 
of the Philippines 
) 
First Regular Session 
) 
~~ 
- 
Introduced by Senator Aquilino Q. Pimentel, Jr. 
EXPLANATORY NOTE 
From 1965 to 1986 or for 21 years long, Ferdinand E. Marcos ruled tlie 
country as its president. In the last 13 years of his presidency, he ruled the country 
with martial law powers. 
Although his widow, Imelda Romualdez Marcos, idolizes Mr. Marcos as an 
"economic genius", the irony is that his presidency is widely perceived to have 
impoverished the country. The reason is that billions of US dollars have 
reportedly been siphoned off for his benefit or that of his immediate family to 
hidden Swiss and other foreign - and even local - bank accounts in the names of 
fictitious persons, relatives, cronies, trustees or agents. Or hidden in layers upon 
layers of foundation or trust accounts that serve as formidable legal covers for the 
beneficial owner, Mr. Marcos, himself, or the immediate members of his family. 
That is tlie reason why the very first executive orders No. 1 and No. 2 - of 
the Aquino administration were issued to organize and mandate the Presidential 
Commission 011 Good Government to search for and recover the hidden or 
ill-gotten Marcos wealth. It was hoped that the retrieval of the hidden or ill-gotten 
Marcos wealth of the Marcoses would hasten the economic recovery of the nation. 
To this day, 18 years after the fall of the Marcos regime in 1986, the search 
for his so-called hidden or ill-gotten wealth has brought in only minimal results in 
relation to the amount(s) sought to be recovered. 
By adopting a system of reward for those who provide the government 
with credible and relevant information on the whereabouts of the Marcos hidden 
or ill-gotten wealth, the people might just get their hands on it sooner than later. 
The early passage of this bill is, thus, requested. 


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13t'' Congress of the Republic 
) 
a-.cj 
: : 5Q 1 
( 3  *( I!? 
of the Philippines 
) 
First Regular Session 
) 
S E N A T E  
Introduced by Senator Aquilino Q. Pimentel, Jr. 
AN ACT 
TO REWARD INFORMANTS WHO HELP IDENTIFY, LOCATE AND 
FERDINAND E. MARCOS, AND HIS WIDOW, IMELDA R. MARCOS AND 
CASES WHEREVER LOCATED AND BY WHOMSOEVER HELD AND FOR 
OTHER PURPOSES 
RECOVER ANY ILL-GOTTEN WEALTH OF THE LATE PRESIDENT 
OTHER DEFENDANTS OR RESPONDENTS IN ILL-GOTTEN WEALTH 
SECTION 1. Declaration of Policy. - It is hereby declared a policy of the 
State to encourage persons natural or juridical to help locate, identify and recover 
in favor of the government any ill-gotten wealth of the late President Ferdinand E. 
Marcos and his widow, Imelda R. Marcos, and other defendants or respondents in 
ill-gotten wealth cases filed by the government wherever located and by 
whomsoever held. 
SEC. 2. Definition. - For purposes of this Act, "Ill-Gotten Wealth",is defined 
as any asset, property, business enterprise or material possession of persons within 
the purview of Executive Order Nos. 1 and 2, and the rules and regulations of the 
Presidential Commission on Good Government (PCGG). 
SEC. 3. Disclosure Requirement. - All banks, financial institutions, 
foundations, companies, corporations, partnerships or firms and their officers and 


such ill-gotten wealth shall inform the PCGG within six (6) months from the 
effectivity of this Act of the existence and whereabouts of such assets or properties 
of the Marcoses or other defendants or respondents in ill-gotten wealth cases being 
held, possessed, controlled or managed at present or in the past by the said banks, 
financial institutions, foundations, companies, corporations, partnerships, firms or 
persons. 
SEC. 4. QuaZified Informants. - Natural or juridical persons, local or 
foreign, whose information under oath or whose action had led to the recovery of 
such ill-gotten wealth shall be entitled to financial and other rewards under the 
provisions of this Act. 
SEC. 5. Disqualified Informants. - The estate of the late Ferdinand E. 
Marcos and Imelda R. Marcos, the Marcos children - Imee R. Marcos, Irene M. 
Araneta, Ferdinand R. Marcos, Jr., and Aimee Marcos, defendants in other 
ill-gotten wealth cases, and relatives up to the third civil degree of all the 
aforementioned, are disqualified from availing of the financial and other rewards 
provided in this Act. Notwithstanding the above disqualification, the PCGG may 
accept, in behalf of the government, the whole or a part of such wealth offered or 
voluntarily surrendered by the estate of the late President Ferdinand E. Marcos, his 
widow, Imelda R. Marcos, their children, other defendants or their relatives as 
enumerated above. 
SEC. 6. Rewards for Informants. - The qualified informants specified in 
Section 4, above, shall receive financial and other rewards provided in this Act 
under the following conditions: 
(a) 
that they had furnished or acted upon relevant information that led 
to the recovery of such wealth; and 
(b) 
that the information had not been previously submitted to or 


acquired by the PCGG from sources other than the informant. 
SEC. 7. Amounts of Financial Rewards. - Financial rewards shall be 
granted to qualified informants as follows: 
(a) For individual informants: 
(i) Ten percent (10%) of any amount recovered of less than a million US 
dollars (US$100,000,000.00) or its equivalent in pesos; 
(ii) Seven percent (7%) of any amount recovered that is One hundred 
million US dollars (US$100,000,000.00) or more but is less than Five hundred 
million US dollars (US$500,000,000.00) or its equivalent in pesos; and 
(iii) Five percent (5%) of any amount recovered that is Five hundred million 
dollars (US$500,000,000.00) or more, or its equivalent in pesos. 
(b) For juridical informants, Fifteen percent (15%) of any amount recovered. 
SEC. 8. Tax-Free Rewards. - No central or local government tax of any kind 
shall be imposed on the financial rewards granted to qualified informants. 
SEC. 9. Additional Rewards. - To honor a natural person whose 
information or action led to the recovery of such wealth either in whole or in part, 
a barangay, municipality, city or province may, by ordinance, 1) proclaim a special 
local government public celebration, or 2) authorize the construction of a suitable 
monument in his or her honor, or 3) as an exception to Section 13(d) of Republic 
Act No. 7160, otherwise known as the Local Government Code of 1991, name a 
local government-owned street, plaza, market, school, hospital, building or place 
after him or her. 
The central government or the local government units concerned may 
deposit funds with the bank or financial institution whose information led to the 
recovery of such wealth either in whole or in part, upon the latter’s request. 


SEC. 10. Recovery Cases; Venue. - Cases for the recovery of such ill-gotten 
wealth may be filed by qualified informants with any regional trial court or with 
the Sandiganbayan, at their option. 
SEC. 11. Informants' Right to Counsel; file Recovery Cases. - Informants 
may secure the services of counsel to represent their interests in the recovery of 
such wealth. They may file and pursue an appropriate recovery case or several 
recovery cases with any regional trial court as specified above. In the event that 
several recovery cases alleging diverse causes of action or circumstances are filed 
with various regional trial courts, no motion to dismiss for improper venue or for 
forum shopping may be entertained. For this purpose, the informant-plaintiffs or 
complainants need not certify in their pleading that they are not engaged in forum 
shopping. 
The informant-plaintiffs or complainants shall notify the PCGG of the filing 
of recovery cases by furnishing said office with copies thereof on the very day of 
their filing either by personal delivery or by registered mail. 
Failure to do so may be a ground for the dismissal of the cases. Upon 
request of the informant-plaintiffs or complainants in writing, the PCGG shall 
extend assistance to the former or intervene in the prosecution of the recovery 
cases at any time prior to the individual promulgation of judgments thereon. 
SEC. 12. Nominal Filing Fee. - The provisions of any law to the contrary 
notwithstanding, a nominal filing fee of Ten thousand pesos (~10,000.00) shall be 
required by the proper court for each recovery case regardless of the amount 
involved. 
SEC. 13. Shen..s and Stenographic Notes Fees. - No sheriff's fees for service 
of summonses, pleading, court orders and the like in recovery cases shall be 
collected by the clerk of court before judgment thereon becomes final. Upon 


finality of its judgment for recovery, the court shall order the deduction of the 
sheriff's fees from the amount recovered. Sheriff's fees shall be fixed at not less 
than one-tenth of one percent of the amounts recovered or not more than Five 
hundred thousand pesos (P500,000.00), whichever is lower. 
The transcripts of stenographic notes in recovery cases shall be furnished 
free of charge to and upon demand of a private plaintiff or complainant. Upon 
finality of its judgment for recovery, however, the court shall order the deduction 
of an amount not less than one-tenth of one percent from the amount recovered 
but in no case shall exceed Two hundred thousand pesos (~200,000.00) for the 
payment of the transcript. 
All amounts recovered from the recovery cases shall accrue to the 
government minus the amounts of the rewards to which an informant is entitled 
and the fees for the sheriff and the transcript of stenographic notes under this Act. 
No other deductions from the amounts recovered shall be made. 
Upon finality of judgment, the court shall immediately order the amounts 
of the reward deducted and delivered to the informant or his heirs and the 
payment of the sheriff's fees and the transcript of stenographic notes without 
delay. 
SEC. 14. Priority TriaZ of Recovery Cases. - Recovery cases shall be 
calendared and tried by the proper regional trial courts without delay. Trial of the 
cases shall be terminated within one year from the date of their filing. Only when 
the calendar of a regional trial court is, in fact, so full that it cannot finish the trial of 
a recovery case within one year, may it inhibit itself and cause the case to be 
reassigned to another regional trial court within the region but in no case outside 
the province of its location unless the written consent of the plaintiff or 
complainant is first obtained. 
SEC. 15. Inzrnunityfronz Suit; Other Privileges. - (a) No action, counter 
complaints or claims - civil, criminal or administrative or in any form whatsoever - 


to hold informants accountable for any reason connected with any information 
they might have submitted to the PCGG or any action they might have taken in 
recovery cases as provided in this Act shall be allowed. 
Any such 
counter-complaints or claims shall be dismissed motu p~opyio by the court or upon 
motion of the informant-plaintiffs or-complaints for being against public policy. 
(b) Neither may any official or employee of any bank, financial institution, 
foundation, company, corporation, partnership or firm that furnishes information 
to the PCGG on the existence and location of any such wealth in the form of 
deposits, trust funds, or investment of any kind or nature with or for safekeeping 
in any such bank, financial institution, foundation, company, corporation, 
partnership or firm be subjected to any suit, case, or acts of reprisal of any kind or 
form by their employers or any government official. Any such suit or case shall be 
dismissed motu proprio by the court or upon motion of the informant-plaintiffs 
or-complainants for being against public policy. 
The concerned official or 
employee may file a suitable criminal, civil or administrative complaint with the 
proper regional trial court or administrative body for appropriate relief. The civil 
action, if proven, shall entitle the complainant to damages in the amount of not less 
than One million pesos (~1,000,000,000.00). 
SEC. 16. Retroactive Benefits. - The benefits granted under this Act shall 
accrue to informants who, prior to its approval, gave information to the PCGG 
under the conditions required. 
SEC. 17. Penal Clause. - (a) The following penalties shall be imposed upon 
any balds, financial institution, foundation, company, corporation, partnership or 
firm or any of its officers and employees or any other person who violates Section 
3 or any other provision of this Act: 
(i) Revocation of its license to do business; 
(ii) A fine of not less than Five hundred thousand pesos (P500,000.00) but 


not more than One million pesos (Pl,OOO,OOO.OO) 
or imprisonment for the 
concerned officer or employee of not less than six (6) months but not more than 
one (1) year, or both at the discretion of the court; and 
(iii) Forfeiture in favor of the government of the amount which the 
concerned entity or person has failed to disclose plus legal interests, surcharges 
and other penalties. 
(b) Any judicial or public official who unduly withholds or delays the 
payment of the rewards to which an informant is entitled shall be punished with 
imprisonment of not less than six (6) months but not more than one (1) year or a 
fine ranging from One hundred thousand pesos (f100,000.00) to Five hundred 
thousand pesos (P500,OOO.OO) or both, at the discretion of the court. Upon the filing 
of the information with the Sandiganbayan charging the judicial or public official 
concerned for unduly withholding or delaying the above-mentioned payment, he 
or she shall also be suspended without pay for the duration of the trial of the case 
or cases; 
(c) Any judge, public prosecutor, public official or employee who asks for or 
receives from an informant any percentage of the latter's reward shall be punished 
with imprisonment of not less than five (5) years but not more than ten (10) years. 
He or she shall also be sentenced to perpetual absolute disqualification from public 
office and loss of his or her government retirement or pension benefits without 
prejudice to his or her ability under other laws. The informant concerned who 
testifies as a state witness against the said public official shall be exempt from 
criminal, civil or administrative prosecution in connection therewith; 
(d) Any sheriff, bailiff, court official or employee who delays or refuses to 
serve any summons, subpoena, pleading or court order of any kind in connection 
with recovery cases filed under this Act may be cited for contempt and if found 
guilty, may be imprisoned for not less than six (6) months or may be dismissed 
from the service; 
(e) Any court stenographer who unduly delays or refuses to furnish the 


stenographic notes demanded by the informant-plaintiffs or-complainants may be 
cited for contempt and if found guilty, may either be suspended for two months 
without pay or dismissed from the service and may further suffer imprisonment 
for not less than six (6) months at the discretion of the court. The contempt citation 
and the suspension shall form an integral part of the government employment 
records of the stenographer concerned; and 
(f) Any person who connives or conspires with any public official or 
employee to violate any provision of this Act shall be imprisoned for not less than 
six (6) months but not more than one (1) year and pay a fine of not less than Ten 
thousand pesos (f10,000.00) or more than Fifty thousand pesos (f50,000.00). 
SEC. 18. Repealing Clause. - (a) The provisions of Executive order Nos. 1,2, 
14, 14-A and the Rules and Regulations promulgated by the PCGG that are 
inconsistent with the provisions of this Act are hereby modified or repealed 
accordingly; 
(b) The provisions of Sections 2 and 3 of Republic Act 1405, the Bank 
Secrecy Act, as amended, are likewise amended insofar as they are inconsistent 
with this Act; 
(c) The provisions of the Rules of Court regarding the scheduling and trial 
of cases by the regional trial courts, venue and forum shopping and the Rules of 
the Sandiganbapn regarding the suspension of public officials or employees who 
are facing charges before it that are inconsistent with the provisions of this Act are 
hereby modified or repealed; 
(d) Section 13(d) of Republic Act No. 7160 otherwise known as the Local 
Government Code of 1991 is modified in relation to Section 9 of this Act; and 
(e) All other laws, executive orders, rules and regulations contrary to the 
provisions of this Act are hereby repealed or modified accordingly. 
SEC. 19. Separability Clause, - If any provision of this 
is declared 


unconstitutional or invalid, the other provisions not affected thereby shall remain 
in full force and effect. 
SEC. 20. Eflectivity Clause. - This Act shall take effect immediately 
following its publication in two (2) national newspapers of general circulation or in 
the OfjciaE Gazette, whichever takes place earlier. 
Approved,