FOURTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
I, I 
.
I
 
introduced by SENATOR JUAN PONCE ENRILE 
EXPLANATORY NOTE 
Republic Act No. 1125, the "Law Creating the Court of Tax Appeals" as 
amended by Republic Act No. 9282, expands the jurisdiction of the Court of Tax 
Appeals (CTA) and grants the same court jurisdiction to hear civil and criminal 
action arising from violations of the Tariff and Customs Code, with the end in view 
of fulfilling the constitutional principle of efficient and speedy disposition of 
justiciable cases. However, the efforts of the Bureau of Customs to collect taxes 
by effectively prosecuting various customs cases remain hampered due to 
bureaucratic processes currently existing in our justice system. 
Republic Act 9135, Section 6, amending Section 2401 of Presidential 
Decree No. 1464, otherwise known as the Tariff and Customs Code of the 
Philippines, provides that "civil and criminal actions and proceedings instituted in 
behalf of the government under the authority of this Code or other law enforced by 
the Bureau, shall be brought in the name of the Government of the Philippines and 
shall be conducted by customs officers but no civil or criminal action for the 
recovery of duties or the enforcement of any fine, penalty or forfeiture under this 
Code shall be filed in court without the approval of the Commissioner." On the 
other hand, Section 5, Rule 110 of the Rules of Court, as amended by 
Administrative Matter No. 02-2-07-SC provides that "all criminal actions either 
commenced by a complaint or information shall be prosecuted under the direction 
and control of a public prosecutor." Likewise, Section 1 of Presidential Decree 478, 
Defining the Powers and Functions of the Office of the Solicitor General provides 
that "the Office of the Solicitor General shall represent the Government of the 
Philippines, its agencies and instrumentalities and its officials and agents in any 
litigation, proceeding, investigation or matter requiring the services of a lawyer." 
Under current procedure, criminal cases involving violation of Tariff and 
Customs Laws are referred to the Department of Justice for the determination of 
probable cause, while customs-refated civil cases are prosecuted or defended 
through the Office of the Solicitor General. Hence, there is a resulting confusion or 
ambiguity as to which agency has the power and authority to handle and 
prosecute customs cases, not to mention the bureaucratic red tape. 
By experience, many customs cases were dismissed and/or resolved 
against the State due to technicality, e.g. failure to prosecute andlor insufficiency 
of evidence, among other things. In fact, many customs-related cases were lost 
because government lawyers who may be well-versed in the general practice of 
law lack technical knowledge and understanding of Tariff and Customs Laws - a 
highly specialized technical field of law that may best be left to the Bureau of 
Customs' lawyers to handle. 


This Bill, which seeks to amend Section 2401 of Presidential Decree No. 
1464, as amended by Section 6 of Republic Act No. 9135, intends to authorize the 
Bureau of Customs through its lawyers to exclusively investigate, prosecute, file 
and handle customs-related cases. This will hasten the resolution of customs- 
related cases as another bureaucratic layer will be removed, which is the practice 
of referring such cases to the Department of Justice and the Office of the Solicitor 
General. 
In view of this, the immediate passage of this Bill is earnestly sought. 


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FOURTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
1 
First Regular Session 
1 
t:E:GE:WfrD 
Senate SENAT%414 
Bill. No. 
Introduced by SENATOR JUAN PONCE ENRILE 
AN ACT 
MANDATING THE BUREAU OF CUSTOMS TO EXCLUSIVELY INVESTIGATE, 
PROSECUTE AND HANDLE CUSTOMS CASES, AMENDING SECTION 2401 
OF PRESIDENTIAL DECREE NO. 1464, OTHERWISE KNOWN AS THE TARIFF 
AND CUSTOMS CODE OF THE PHILIPPINES, AS AMENDED BY SECTION 6 
OF REPUBLIC ACT NO. 9135, AND FOR OTHER PURPOSES 
Section 1. Section 1. Section 2401, Book II, Title VI, Part 111, of P.D. 1464, 
othetwise known as the Tariff and Customs Code of the Philippines, as further 
amended by Section 6 of R.A. 9135, is hereby amended to read as follows: 
“Sec. 6. Supervision and control over criminal and civil 
proceedings. - Civil and criminal actions and proceedings 
instituted in behalf of the government under the authority of this 
Code or other law enforced by the Bureau shall be brought in the 
name of the government [of the Philippines] and shall be 
[conducted] INVESTIGATED, PROSECUTED AND HANDLED 
EXCLUSIVELY by [customs officers] LAWYERS OF THE 
BUREAU OF CUSTOMS, [but] AND no civil or criminal action for 
the recovery of duties or the enforcement of any fine, penalty or 
forfeiture under this Code shall be filed in court without the approval 
of the Commissioner. FOR THIS PURPOSE, THE BUREAU OF 
CUSTOMS SHALL BE PRIMARILY AND 
EXCLUSIVELY 
RESPONSIBLE FOR THE CONDUCT OF PRELIMINARY 
CASES, AS WELL AS THE PROSECUTION AND DEFENSE OF 
ALL OTHER GOVERNMENT AGENCIES INVOLVED THEREIN. 
THE BUREAU OF CUSTOMS SHALL HAVE EXCLUSIVE 
AUTHORITY TO FILE ANY CRIMINAL OR CIVIL CASE 
DIRECTLY WITH THE PROPER COURT FOR PROSECUTION 
OF VIOLATORS OF THE TARIFF AND CUSTOMS CODE, AND 
THE COLLECTION, RECOVERY OR ENFORCEMENT OF ANY 
FINE, PENALTY OR FORFEITURE UNDER THE CODE.” 
INVESTIGATION AND PROSECUTION OF CUSTOMS-RELATED 
CUSTOMS-RELATED CIVIL CASES, TO THE EXCLUSION OF 
Section 2. Implementing Rules and Regulations. - Within Sixty (60) 
days from the approval of this Act, the Bureau of Customs shall promulgate such 
Rules and Regulations as may be necessary to carry out the provisions of this Act, 
subject to the approval of the Secretary of Finance. 


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Section 3. Repealing Clause. -All laws, orders, issuances, circulars, rules 
and regulations or parts thereof, which are inconsistent with the provisions of this 
Act are hereby repealed or modified accordingly. 
Section 4. Separa&i/iXy Clause. - If any provision of this Act is declared 
unconstitutional or invaliq, 'other parts or provisions hereof not affected shall 
continye in full force and effect. 
Section 5. EfFectivity. - This Act shall tqke effect after Fifteen (15) days 
following its publication in at least Two (2) newspapers of general circulation. 
Approved.