NINETEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
Senate
of tljp cretni-^
SENATE
No. u37
72 JUL 13 P4 34
RECEIVED BY-
Introduced by Senator Grace Poe
AN ACT
DEFINING ECONOMIC SABOTAGE IN COMPUTER-RELATED OFFENSES AND 
AMENDING REPUBLIC ACT NO. 10175, OTHERWISE KNOWN AS 
THE"CYBERCRIME PREVENTION ACT OF 2012n
EXPLANATORY NOTE
The lurking threat of the COVID-19 virus which discouraged personal, face-to- 
face transactions has rendered the digital and online economy the preferred form of 
consumer transactions. While it conforms with the new normal of staying at home, 
social distancing and limiting social interaction, it made online consumers more 
vulnerable to cyber fraud specifically to a rapidly increasing financial online scam 
known as phishing. Phishing is a social engineering scheme which obtains or 
attempts to obtain personal, sensitive financial information and electronic credentials 
by disguising as a trustworthy entity to illegally access a victim's online account for 
financial gain.
In 2019, around 217,600 phishing incidents were reported, with NCR 
recording the highest of approximately 58,200 victims, followed by Regions 3 and 4- 
Al.1 In the first quarter of 2020, reported phishing attac.cs increased by 158%. The 
National Bureau of Investigation registered a much higher increase at 200% 
beginning March when the lockdown was implemented.2 Kaspersky, a multinational 
cybersecurity and anti- virus provider, reported that it blocked 76,478 fraudulent
1 https://www.statista.com/statistics/1136171/philippines-number-phishlng-incidents-by-region/
2 https://www.rappier.com/business/coronavirus-pandemic-lets-loose-scammers-phiIippines


emails in the Philippines for the first quarter of the year alone, double the recorded 
figure of 29,677 in 2019.3
Given the situation today, when Filipinos are already economically burdened 
by closing of businesses, unemployment, rising prices of basic goods, among others, 
this form cyber fraud can be considered an economic sabotage.
If left unattended and unpunished, phishing and other forms of cyber fraud 
will continue to proliferate depriving Filipinos of a safe financial environment for their 
hard-earned money, and can adversely affect the confidence of consumers with 
online transactions and the banking industry in general.
If passed into law, this measure seeks to Include economic sabotage, in 
relation to phishing and other forms of fraudulent scheme, as punishable acts under 
RA 10175 or the Cybercrime Prevention Act, and provide penalties for the 
commission of the same. This shall ensure that technology Is not exploited to 
perpetuate crimes and put Filipino consumers at a disadvantage, and that 
perpetrators are punished at the 
maximum allowed by law.
In view of the foregoing, approval of this measure is eagerly sought.
^ Jf GRACE POE/!
3 https://www.manilatimes.net/2020/05/13/business/business-top/phishing-attacks-in-ph-soar-by-158-in-
2


NINETEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
Senate
of tljr ^piTrfnrp
*22 JUL 13 P4 :34
S. No.
RECEIVED BY;....
Introduced by Senator Grace Poe
AN ACT
DEFINING ECONOMIC SABOTAGE IN COMPUTER-RELATED OFFENSES AND 
AMENDING REPUBLIC ACT NO. 10175, OTHERWISE KNOWN AS 
THE"CYBERCRIME PREVENTION ACT OF 2012"
Be it enacted by the Senate and House of Represerdatives of the Philippines in 
Congress assembled.
1 
Section 1. Section 2 of Republic Act No. 10175 is hereby amended to read as
2 
follows:
3 
"Section 2. Declaration of Policy. — The State recognizes the vital role
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of information and communications industries such as content production,
5 
telecommunications, broadcasting electronic commerce, and data processing,
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in the nation's overall social and economic development. The State also
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recognizes the importance of providing an environment conducive to the
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development, acceleration, and rational application and exploitation of
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information and communications technology (ICT) to attain free, easy, and
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intelligible access to exchange and/or delivery of Information; and the need to
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protect and safeguard the integrity of computer, computer and
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communications systems, netvvorks, and databases, and the confidentiality,
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integrity, and availability of information and data stored therein, from all
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forms of misuse, abuse, and Illegal access by making punishable under the
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law such conduct or conducts. THE STATE LIKEWISE ACKNOWLEDGES
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THAT THE CAPACITY OF INFORMATION AND COMMUNICATIONS
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TECHNOLOGY TO BE USED AS A MEANS OF PERPETRATING CRIME
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IN BULK AND AT A SCALE PREVIOUSLY UNHEARD OF, HAS BEEN
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EXPLOITED BY CRIMINALS AND CRIMINAL SYNDICATES IN


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PERPETRATING FRAUDULENT ACTIVITIES TO UNDERMINE THE 
TRUST OF THE PUBLIC IN THESE NEW TECHNOLOGIES AND THE 
EMERGING NEW ECONOMY IT SUPPORTS. DUE TO THIS 
DELETERIOUS EFFECT ON THE ECONOMY, THE STATE DECLARES 
THAT THE COMMISSION OF CERTAIN CRIMES UNDER THIS ACT 
USING INFORMATION AND COMMUNICATIONS TECHNOLOGY IS A 
FORM OF ECONOMIC SABOTAGE AND A HEINOUS CRIME AND SHALL 
BE PUNISHABLE TO THE MAXIMUM LEVEL ALLOWED BY LAW. In this 
light, the State shall adopt sufficient powers to effectively prevent and combat 
such offenses by facilitating their detection, investigation, and prosecution at 
both the domestic; and international levels, and b/ providing arrangements for 
fast and reliable International cooperation."
Sec. 2. Section 3 of the same Act is hereby amended to read as follows:
"Section 3. Definition of Terms. — For purposes of this Act, the 
following terms are hereby defined as follows:
XXX
(C) BULK EMAIL MASS MAILER REFERS TO A SERVICE OR 
SOFTWARE USED TO SEND ELECTRONIC MAIL IN MASS.
XXX
(O) PHISHING REFERS TO A SOCIAL ENGINEERING SCHEME TO 
OBTAIN OR ANY ATTEMPT TO OBTAIN SENSITIVE INFORMATION 
SUCH AS USERNAMES, PASSWORDS, BANK ACCOUNT DETAILS, 
CREDIT CARD, DEBIT CARD, AND E-WALLET INFORMATION AMONG 
OTHER ELECTRONIC CREDENTIALS BY DISGUISING AS A 
TRUSTWORTHY ENTITY IN AN ELECTRONIC COMMUNICATION FOR 
THE PURPOSE OF ILLEGALLY ACCESSING A VICTIM'S ONLINE 
ACCOUNT FOR FINANCIAL GAIN.
XXX"
Sec. 3. Section 4 (b) of the same Act is hereby amended to read as follows:


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"Section 4. Cybercrime Offenses. — The following acts constitute the 
offense of cybercrime punishable under this Act:
XXX
(b) Computer-related Offenses:
XXX
(4) ECONOMIC SABOTAGE - ANY OFFENSE PERPETRATED UNDER 
THIS SUBSECTION USING A BULK E-MAIL, MASS MAILER OR ANY 
SERVICE, SOFTWARE, OR OTHER METHOD OF DELIVERY 
CALCULATED TO UTILIZE THE MASSIVE REACH OF THE INTERNET 
TO REACH THE MAXIMUM NUMBER OF VICTIMS, PURSUANT TO A 
"PHISHING" OR OTHER Sli IILAR FRAUDULENT SCHEME, SHALL BE 
PUNISHED AS AN ACT OF ECONOMIC SABOTAGE."
Sec. 4. Section 8 of the same Act is hereby amended to read as follows:
Section 8. Penalties. Any person found guilty of any of the punishable 
acts enumerated in Sections 4(a) and 4(b) of this Act shall be punished with 
imprisonment of prison mayor or a fine of at least two hundred thousand 
pesos (PhP200,000.00) up to a maximum amount commensurate to the 
damage Incurred or both.
Any person found guilty of the punishable act under Section 4(a)(5) 
shall be punished with imprisonment of prison mayor or a fine of not more 
than Five hundred thousand pesos (PhP500,000.00) or both.
If punishable acts in Section 4 (a) are committed against critical 
infrastructure, the penalty of reclusion temporal or a fine of at least Five 
hundred thousand pesos (PhP500,000.00) up to maximum amount 
commensurate to the damage Incurred or both, shall be Imposed.
ANY PERSON FOUND GUILTY OF AN OFFENSE THAT 
CONSTITUTES ECONOMIC SABOTAGE UNDER SECTION 4(B)(4) 
SHALL BE PUNISHED WITH LIFE IMPRISONMENT AND A FINE OF 
NOT LESS THAN ONE MILLION PESOS (P1,000,000.00) BUT NOT 
MORE THAN FIVE MILLION PESOS (P5,000,000.00).
XXX."


Sec. 5. Separability Clause. - If any separable provision of this Act is declared 
unconstitutional, the remaining provisions shall continue to be in force.
Sec. 6. Repealing Clause. - All laws, decrees, executive orders, rules and 
regulations or parts thereof which are inconsistent with this Act are hereby repealed, 
amended or modified accordingly.
Sec. 7. Effectivity. - Tnis Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or In a newspaper of general circulation.
Approved,