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SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
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SENATE 
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Introduced by Senator Cynthia A. Villar 
EXPLANATORY NOTE 
With the meteoric growth of credit card usage in the Philippines, the possibility of 
fraud through the use of such cards has also expantJed. Thus, there is now a need to 
enact a law that punishes credit card fraud. 
This bill seeks to deter the commission of such acts and to protect banking and 
financial institutions, by providing remedies for problems arising from the commission of 
such deleterious acts. 
II _ 
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SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
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SENATE 
Senate Bill No. __ 
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Introduced by Senator Cynthia A Villar 
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JUL -2 A9 :58 
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AN ACT PENALIZING CREDIT CARD FRAUD AND PROVIDING PENALTIES 
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THEREFOR 
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Be it enacted by the Senate and the House of Representatives in Congress 
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assembled: 
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SECTION 1. Title. This Act shall be known as the "Credit Card Fraud Act." 
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SECTION 2. Definition. As used in this Act. 
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(1) The term "Access Device" means any card, plate, code, account number, electronic 
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serial number, personal identification number, or other telecommunications service, 
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equipment, or instrumental identifier, or other means of account access that can be 
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used. Alone or in conjunction with another access device, to obtain money, goods, 
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services, or any other thing of value, or that can be used to initiate a transfer of funds 
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(other than a transfer originated solely by paper instrument); 
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(2) The term "Counterfeit Access Device" means any access device that is counterfeit, 
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fictitious, altered, or forged, or an identifiable component of an access device or a 
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counterfeit access device; 
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(3) The term "Unauthorized access device" means any device that is lost, stolen, 
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expired, revoked, cancelled, or obtained with intent to defraud; 
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(4) The term "Produce" includes design, alter, authenticate, duplicate, or assemble; 
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(5) The term "Traffic" means transfer, or otherwise dispose of, to another, or to obtain 
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control of with intent to transfer or dispose of; 
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(6) The term "Device-making equipment" means any equipment, mechanism, or 
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impression designed or primarily used for making an access device or a counterfeit 
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access device; 
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(7) The term "Credit Card System Member" means a financial institution or other entity 
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that is a member of a credit card system, including an entity, whether affiliated with or 
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identical to the credit card issuer, that is the sole member of a credit card system; and 
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(8) The term "Scanning Receiver" means a device or apparatus that can be used to 
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intercept a wire or electronic communication. 
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SECTION 3. Prohibited acts of fraud and related activity in connection with 
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access devices. Whoever-
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(1) Knowingly and with intent to defraud produces, uses, or traffics in one or more 
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counterfeit access devices; 
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(2) Knowingly and with intent to defraud traffics in or uses one or more unauthorized 
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access devices during anyone year period, and by such conduct obtains anything of 
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value aggregating P2,OOO.OO or more during that period; 
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(3) Knowingly and with intent to defraud, possesses fifteen or more devices which are 
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counterfeit or unauthorized access devices; 
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(4) Knowingly and with intent to defraud, produces, traffics in, has control or custody of, 
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or possesses device-making equipment; 
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(5) Knowingly and with intent to defraud, uses; produces, traffics in, has control or 
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custody of, or possesses a telecommunications device; 
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(6) Knowingly and with intent to defraud, uses, produces, traffics in, has control or 
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custody of, or possesses-
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(a) A scanning receiver; or 
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(b) Hardware or software used for altering or modifying telecommunications 
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Instruments to obtain unauthorized access to telecommunications devices 
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(7) Knowingly and with intent to defraud effects transaction, with one or more access 
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devices issued to another person or persons, to receive payment or any other thing of 
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value during anyone year period the aggregate value of which is equal or greater than 
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P2,OOO.OO; 
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(8) Without the authorization of the issuer of the access device, knowingly and with 
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intent to defraud solicits a person for the purpose of -
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(a) Offering an access device; or 
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(b) Seiling information regarding or an application to obtain an access device; or 
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(9) Without the authorization of the credit card system member or its agent, knowingly 
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and with intent to defraud causes or arranges for another person to present to the 
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member or its agent, for payment, one or more evidences or records of transactions 
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made by an access device; 
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SECTION 4. Penalties. The punishment for an offense under section 3 of this Act is-
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(a) A fine of P10,OOO.OO or twice the value obtained by the offender, whichever is 
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greater, or imprisonment of Prision Mayor in its minimum and medium periods, or both, 
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in the case of an offense under section 3 (2), (3), (7), (8), or (9) of this section which 
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does not occur after a conviction for another offense under either such section; 
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(b) A fine of P10,OOO.OO or twice the value obtained by the offender, whichever is 
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greater, or imprisonment of Prision Mayor in its minimum and medium periods, or both, 
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in the case of an offense under section 3 (1), (4), (5), or (6) of this Act which does not 
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occur after a conviction for another offense under either such section; and 
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(c) A fine of P10,OOO.OO or twice the value obtained by the offender, whichever is 
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greater, or imprisonment of Reclusion Temporal in its minimum and maximum periods 
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or both, in the case of an offense under section 3 of this Act which occurs after a 
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conviction for anothe~ offense under such section. 
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SECTION 5. The National Bureau of Investigation (NBI) shall, in addition fo any other 
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agency having such authority, have the authority to investigate offenses under this Act. 
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SECTION 6. Separability Clause. If any provision, or part hereof, is held invalid or 
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unconstitutional, the remainder the law or the provision not otherwise affected shall 
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remain valid and subsisting. 
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SECTION 7. Repealing Clause. Any law, presidential decree or issuance, executive 
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order, letter of instruction, administrative order, rule or regulation contrary to or 
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inconsistent with the provisions of this Act is hereby repealed, modified, or amended 
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accordingly. 
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SECTION 8. Effectivity. This Act shall take effect fifteen (15) days after its publication in 
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at least two (2) newspapers of general circulation. 
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Approved. 
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