FIFTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENf~58 
S. No. __ 
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Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
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The Information Technology (IT) industry in our country has been a breath of fresh air in 
so far as our ,economy is concerned. Not only has the IT industry placed the Philippines in the 
world map as one of the largest manufacturers of integrated, circuit chips and other similar 
semiconductor products, but more importantly it has infused much needed capital into our ailing 
economy. 
These IT companies have given direct employment to thousands of our countrymen and 
have also spurred employment opportunities to other related industries. As such, the business 
being generated by their presence within the Special Economic Zones (SEZs) of our country 
could not be measured solely by the number of people it has employed, 
Unfortunately, individuals andlor syndicates have managed to dip their dirty hands into 
the IT industry's basket. Theft and pilferage of this industry's products have been on the increase 
due to two main reasons; the relative ease in carrying away these products because of their 
miniature volume plus the fact that these products are worth more than their weight in gold. 
Theft decreases our competitiveness in the global arena, and consequently, we might lose these 
investments to other countries. 
There is a necessity to increase the penalties provided by the Revised Penal Code which 
presently pertains to theft, whether simple or qualified. This bill seeks to assure IT industries that 
we are very serious in protecting their economic rights while at the same time telling our 
countrymen that this kind of wrongdoing should not and would not be tolerated. 


This is a Senate counterpart bill to the one filed in the House of Representatives by 
Representative Gilbert C. Remulla.! 
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(lOY_MIRIAM DEFE~SOR SAiITIAfo 
I This bill was originally filed during the 14th Congress I" Regular'Session 
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FIFTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
.SEN.J\~ 
S. No . .luu8 
Introduced by Senator Miriam Defensor Santiago 
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AN ACT 
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PUNISHING THE PILFERAGE OR THEFT OF ANY MATERIAL, 
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MANU:F ACTURED, PRODUCED, OWNED OR BELONGING TO INFORMATION 
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TECHNOLOGY ENTERPRISES LOCATED IN SPECIAL ECONOMIC ZONES 
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PRODUCT, MERCHANDISE, ARTICLE, EQUIPMENT OR BY-PRODUCT 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
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SECTION 1. Short Title. - This Act shall be known as the "Anti-Pilferage ofIn,fonnation 
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Technology Materials in Special Economic Zones Act." 
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SECTION 2. Definition of Terms. -As used in this Act, the tenn-
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(A) "Special Economic Zones (SEZs)" are selected areas with highly developed or which 
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have the potential to be developed into ago-industrial, industrial, tourist/ recreational, 
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commercial, banking, investment and financial centers. A SEZ may contain any or all of 
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the following: industrial estates, export processing zones, free trade zones, tourist/ 
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recreational centers and infonnation technology parks, as detennined by the Philippine 
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Economic Zone Authority; 
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(B) "Information Technology (IT)" is the collective tenn for the various technologies 
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involved in processing and transmitting infonnation which include compu'Hng, 
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multimedia, telecommunications, microelectronics, and their interdependencies. The tenn 
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IT also refers to the convergence of various infonnation-based, broadcast and mass media 
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communication technologies; 
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SECTION 3. Pilferage of IT Materials in SEZs. - It is hereby declared unlawful for any 
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person to take, pilfer or steal, with intent to gain, any material, product, merchandise, article, 
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equipment qr by-product manufactured, produced, owned or belonging to IT enterprises located 
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in SEZs without their consent. 
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SECTION 4. Presumption and Prima Facie Evidence. - The possession, control or 
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custody of any material, product, merchandise, article, equipment or by-product manufactured, 
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produced, owned or belonging to IT enterprises located in SEZs by any person who has no right 
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whatsoever to be in possession of such material, product, merchandise, article, eqnipment or 
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byproduct shall be prima facie evidence ofthe following: 
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(A) They took, pilfered and stole such material, product, merchandise, article, equipment 
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or by-product as defined in Section 3 hereof; and 
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(B) Such material, product; merchandise, article, equipment or by-product is the fruit of 
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the offense defined in Section 3 hereof and it may therefore be confiscated from the 
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person in possession, control or custody thereof. 
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SECTION 5. Penalties.- (1) Any person guilty of committing the offense defined in 
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Section 3 hereof shall, upon conviction, be punished by the penalty of reclusion temporal and a 
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fine of not less than the value of the material, product, merchandise, article, equipment or by-
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product taken, pilfered or stolen but not more than three (3) times such value. 
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(2) If the offense defined in Section 3 is committed by an officer, employee and/ or 
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laborer of an' enterprise from which such material, product, merchandise, article, equipment or 
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by-produc.t has been taken, pilfered or stolen, the penalty shall be reclusion perpetua and a fine 
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of not less than the value of the material, product, merchandise, article, equipment or by-product 
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taken, pilfered or stolen but not more than three (3) times of such value. 
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SECTION 6. Liability under the Revised Penal Code and Other Laws. - Prosecution 
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under this Act shall be without prejudice to any liability for violation of any provision of the 
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Revised Penal Code or any other law. 
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SECTION 7. Separability Clause. - If any provision, or part hereof is held invalid or 
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unconstitutional, the remainder of the law or the provision not otherwise affected shall remain 
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valid and subsisting. 
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SECTION 8. 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 inconsistent 
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with, the provisions of this Act is hereby repealed, modified, or amended accordingly. 
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SECTION 9. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
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publication in at least two (2) newspapers of general circulation. 
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Approved, 
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