HOUSE OF REPRESENTATIVES
RECEIVED

DATE:
TIME;

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Seventeenth Congress

a eet REGISTRATION UNIT
First Regular Session
193 | BILLS AND INDEX SERVICE

House Bili No.

Introduced by Honorable Roy M. Loyola

EXPLANATORY NOTE

The latest trend in information technology particularly in the field of
telecommunications is greatly felt on our country. Almost every Filipino nowadays,
own and use cellular phones. With the use of this instrument, business
transactions as well and everyday living have become more effective and efficient.
‘One reason that may be attributed to the popularity of cellular phones among us
Filipinos is the system of text messaging that earned us the moniker the texting
capital of the world.

However, majority if not all cellular phone owners prefer to use the pre-paid
subscriber identity module (SIM) card. Not only is this prepaid subscriber identity
module (SIM) card easily accessible, i.e., it can be bought almost everywhere, the
owners thereof can likewise easily evade detection since prepaid SIMs are
virtually undetectable. Due to this, unscrupulous individuals almost always take
advantage of the same in the pursuit of their criminal activities to the detriment not
only of a particular interest but that of the whole nation.

The proposed bili thereof seeks to address the above-mentioned problem
being brought about by the proliferation of pre-paid subscriber identity module
(SIM) card. It provides for a system of regulating the sale and/or disposition of
pre-paid SIM cards. And also puts inte place the procedure to be followed if a
member of the law enforcement agency and/or officer would like to retrieve
information concerning the owner of a pre-paid SIM card that had been used in a
criminal or illegal activity without prejudice to the rights of the registered owner
under existing law. With this in mind, it is hoped that the proposal would contribute
in one way or the other, in providing solution to our recurrent peace and order
problem.


Every new technology carries with its tremendous responsibility. The
technology should be used for the advancement of the interest of all and not only
of a chosen few. It therefore becomes our imperative duty as lawmakers to
ensure that the benefits we derive for this technology should be used properly and
not abused by some segments of our society.

It is for this reason and the advancement of the common good that early

passage of this bill is earnestly sought.
hrm. tovoun


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Seventeenth Congress
Pirst Regular Session

House Bitt No._11 23

Introduced by Honorable Roy M. Loyola

AN ACT REGULATING THE SALE OF PRE-PAID SUBSCRIBER IDENTITY
MODULE (SIM) CARDS, PROVIDING PENALTY FOR VIOLATION THEREOF

AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in

Congress assembled:

SECTION 1, TITLE. - This Act shall be known as the “Pre-paid
Subscriber Identity Module (SIM) Cards Registrations Act of 2076".

SECTION 2. DECLARATION OF POLICY. - The State recognizes
the vital role of communication and information in nation building. The
introduction of moder telecommunications technology with the view of
providing the widest information dissemination is greatly encouraged. The
possession of the most modern technology though, —_ carries with it
tremendous responsibility. Mechanism for its effective use for the good of
all and not for an illegal or malicious purpose to benefit a few must be
installed, Towards this end, the State shall regulate the use and sale of pre-
paid subscriber identity module (SIM) card for cellular phone users only to
persons who shall comply with the requirements herein set forth.


Oahona

oN

20
21

23
24

SECTION 3. REGISTRATION REQUIREMENT. - All persons:
desiring to own and/or use pre-paid subscriber identification module (S!M)
card for cellular phones shall, before the actual purchase thereof, prepare
and accomplish before any corporation, partnership, single proprietorship
authorized to deal and/or sell the said product a registration form which
shall contain the following information:

(a) Full name and complete address of the buyer which shall
be accompanied by any of the following documents, to
wit:

. AValid Identification Card with photograph;

. A Valid Passport;

. Driver's License;

. Social Security System Identification Card;
Company Identification Card;

@aAarRona

. Government Service Insurance System
Identification Card
. Voter's Identification Card;

~

8. Senior's Citizen Card;
9. School Identification Card

(b) The telephone number of the Pre-paid Subscriber
Identity Module (SIM) Card that will be used.

SECTION 4. RECORDING BY THE CORPORATION,
PARTNERSHIP, SINGLE PROPRIETORSHIP OR AUTHORIZED
DEALER AND THE TELECOMMUNICATIONS SERVICE PROVIDER. —
The corporation, partnership or single proprietorship authorized to deal and/


2akRON a

10
at
12

13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

or sell pre-paid subscriber identity module (SIM) card shall keep a record of
names and other data of all persons who purchased a pre-paid subscriber
identity module (SIM) card. A certified copy of the registration and/or
information sheet prepared by t he would-be buyer shall then be transmitted
to the Telecommunication Service Provider who shall file and keep a record
of the same in a data base to be created for the purpose.

The copy of the registration and/or information sheet submitted to
the Telecommunications Service Provider shall be certified to by the
President, General Manager, Treasurer or any other responsible officer of
of the corporation or partnership, or the owner in case of single proprietor-
ship authorized to deal and/or pre-paid subscriber identity module (SIM)
card.

SECTION 5. INQUIRY INTO THE TELECOMMUNICATIONS
SERVICE PROVIDER'S DATABASE. ~- If the user of a cellular phone
with pre-paid subscriber identity module (SIM) card shall use the same in
the commission of a crime or for any malicious fraudulent or illegal purpose,
a court of competent jurisdiction may, by written order, authorize the appro-
priate law enforcement authority to look into the record of the owner of the
pre-paid subscriber identity module (SIM) card used in the commission of
above-mentioned acts with the Telecommunications Service Provider
keeping records of the same: Provided that, such written order shall only
be granted upon application in writing of any law enforcement agency and/
or officer and only upon examination under oath or affirmation of the appli-
cant and the witnesses he may produce and upon the court being satisfied
that: (1) there is reasonable ground to believe that the pre-paid subscriber
identity module (SIM) card has been used in the commission of the a crime
or for a malicious, fraudulent, or illegal purpose; (2) _ that there is
reasonable ground to believe that the owner of the seid pre-paid subscriber


@

arNoarn

11
12

13
14
15
16
be
18
19
20
21

22
23
24
25

identity module (SIM) card is probably the perpetrators of the same and
(3) there is no other speedy and adequate means readily available to obtain
such facts and information.

The written order issued by the court for this purpose shall specify:
(1) name of the law enforcement agency andor officer authorized to look in-
to the data base of the Telecommunications Service Provider; (2) instruct
the Telecommunications Service Provider to furnish the information
requested; (3) direct the law enforcement agency and/or officer to uso
the information obtained in accordance with the written application and
(4) specify the period of the written order which shalll not exceed thirty (30)
days unless extended or renewed by the court issuing the same upon good
cause shown.

SECTION 6. TELECOMMUNICATIONS SERVICE PROVIDER’S
REPORT. - The Telecommunications Service Provider to whom the
records of all purchases of pre-paid subscriber identity module (SiM) card
has heen forwarded by the corporation, partnership or single proprietorship
authorized to deal and/or sell the same shall forthwith prepare duplicate
copies of its record containing the names and other data of ail registered
owners of pre-paid subscriber identity nodule (SIM) card. The duplicate
copies of its record shall be furnished the National Telecommunications
Commission and the Bureau of Internal Revenue.

SECTION 7. PENAL PROVSIONS. - (a) For Failure to Comply
with the Registration Requirement: — Any corporation, partnership, single
proprietorship or any authorized dealer of pre-paid subscriber identity
module (SIM) card who shall commit a violation of Sec. 3 hereof shall suffer


oNoanhkown

©

1
12
13
14

15
16
17
18
19
10

1
12
13
14
15
16
17
18

the following penalties:

i. Afine of twenty-five thousand pesos (P25, 000.00) for the
offense;

ii, Afine of fifty thousand pesos (P 50, 000.00) for the second
offense;

iii, A fine of one hundred thousand pesos (P 100, 000.00) for the
third offense and imprisonment from six months and one day
to four years. In addition, the license or authority of the corpo-
ration, partnership, single proprietorship or the authorized
dealer shall likewise be revokes or cancelled; Provided, That,
the penalty of imprisonment shall be imposed on the
President, General Manager, Treasurer or other responsible
officer of the corporation or partnership or the owner in case
of a single proprietorship.

(b) For failure to keep record. - The penalty of imprisonment
ranging from thirty days and one day to six months or a fine of fifty
thousand pesos (P 50, 000,00) shall be imposed upon the President,
General Manager, Treasurer or other responsible officer of the
corporation or partnership or the owner in case of a single
proprietorship who shall commit a violation of Sec. 4 hereof.

(¢) Breach of Confidentiality. - The penalty of imprisonment
ranging from four years and one day to six years ora fine of fifty
thousand pesos (P 50, 000.00) shall be imposed upon any employee
of the corporation, partnership or single proprietorship authorized to
deal and/or sell pre-paid subscriber identity module (SIM) card or the
Telecommunications Service Provider who shall reveai the name of

registered owner of a pre-paid subscriber identity module (SIM) card
which is not in accordance with the provisions of Sec. 5 hereof.


akon a

a O©aN8

ro

x3)
12
13
14
16

16
17
18

The same penalty shall be imposed upon any employee of the
Telecommunications Service Provider who, despite the written order
issued by a competent court, shall refuse the law enforcement
agency and/or officer access to the information specified in said
written order.

SECTION 8, IMPLEMENTING RULES AND REGULATIONS

Within sixty (60) days from the approval of this Act, the
Department of Justice in coordination with the National
Telecommunications Commission shall issue the necessary rules
and regulations to implement its provisions.

SECTION 9. SEPARABILITY CLAUSE. - If, for any reason,
any provision or section of this Act shall be held to be
unconstitutional or invalid, the other provisions or sections hereof
which are not affected thereby shall continue to be in full foree and
effect.

SECTION 10. EFFECTIVITY. - This Act shall take effect
fifteen (15) days after the compietion of its publication in the Official
Gazette or in at least two (2) newspaper of general circulation.

Approved,