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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

House Bill No.__2312

Introduced by Honorable Wes Gatchalian

AN ACT
TO ERADICATE MOBILE PHONE-AIDED TERRORISM AND CRIMINAL
ACTIVITIES MANDATING FOR THIS PURPOSE OWNERSHIP
REGISTRATION OF ALL PRE-PAID SIM CARDS FOR CELLULAR
PHONES

lanatory Note

As a country that is hailed as the texting capital of the world, we
should now be familiar with the Subscriber Identity Module or more
commonly called SIM cards. The use of the mobile phones with these SIM
cards has greatly altered the way of life of every Filipino to an
unbelievable degree. The technology has paved the way for an easier and
faster medium of communication, a handy tool for information
accessibility, and has mobilized a broader citizen engagement for social
and civic affairs. Indeed, we have come to acknowledge the great benefit
this technology has given us.

As innovations bring countless advantages, we usually become
unconcerned with its inimical effects. Thus, markets for supply of SIM
cards continue to flood at an unabated rate. We change SIM cards as fast
as we change our soiled shirts. Alarmingly, this seeming boundless
stream of supply has become a magnet for nefarious and illegal activities.
Nowadays, we hear of countless victims of text scams, ransom demands
thru untraceable mobile numbers and the most alarming of all, are in
instances that mobile phones become triggering devices for bombs that
kill hapless civilians in our midst.

It is in this wise that we find it imperative to regulate the sale and
distribution of these SIM cards by establishing a registry or database of


validated information of its authorized owner. We follow the lead taken
by Singapore, Malaysia, Indonesia and Brunei and other countries that
have put this into law and succeeded in its effort of regulation.

‘The same measure had been filed in the 17% Congress which was
approved by the House of Representatives on 3" Reading on May 15,
2018. The House Bill was transmitted to the Senate on May 17, 2018.

In view of the unlawful activities that proliferate with the use of
these SIM cards, we earnestly seek for the swift deliberation and
immediate approval of this measure.



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. 2312

Introduced by Honorable Wes Gatchalian

AN ACT
TO ERADICATE MOBILE PHONE-AIDED TERRORISM AND CRIMINAL
ACTIVITIES MANDATING FOR THIS PURPOSE OWNERSHIP REGISTRATION
OF ALL PRE-PAID SIM CARDS FOR CELLULAR PHONES

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

in Congressed Assembled:

1 SECTION 1. Short Title: This Act shall be known as “SIM

2 REGISTRATION ACT”,

3 SEC, 2. Definitions. - For purposes of this Act, the following terms shall
4 mean:
5 (A) SIM Card - is an integrated circuit chip that is intended to securely

6 store the international mobile subscriber identity (IMSI) number and its related

7 _ key, which are used to identify and authenticate subscribers on mobile telephony

8 devices.

9 (B) Cellular Phone-Aided crimes - shall mean any crime committed with

10 the use of SIM card attached to a device such as mobile phone.

rv (C) Third party reseller - shall mean any sale/transfer that did not

12 emanate directly from the service providers are considered third party reseller.

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SEC. 3. Prepaid SIM Card Registration - In order to neutralise the
rampancy in carrying out of cellular phone-aided crimes, such as but not limited
to: bombings with the use of cellular pre-paid phones to trigger the defusing of
bombs; text scams; unsolicited/unwanted indecent or obscene messages;
deceptive messages, all mobile phone service providers shall require ownership
registration as pre-requisite to selling pre-paid SIM cards on the guidelines set
forth in Sec. 3: Provided, however, that owners of active pre-paid SIM acquired
prior to the implementation of the Act shall likewise undergo the same
registration process, before the activation of their cellular services in the

succeeding credit reload.

SEC. 4. Registration Guidelines - The National Telecommunications
Commission (NTC) in close coordination with the Department of Trade and
Industry (DTI) and Telecommunication Companies and in consultation with major
Consumer Groups with national membership, shall formulate the necessary
guidelines in the proper implementation of the pre-paid SIM card registration
process based on the following parameters:

1. Submission of duly accomplished owner’s registration form;

2. Submission of government issued identification cards and/or other valid
IDs or other similar forms of government issued documents that will duly
identify the pre-paid SIM card buyer, and in case of an alien tourist, a copy
of his/her passport;

3. Each buyer can only register up to three (3) pre-paid SIM cards across all

service providers; owners of more than three (3) prepaid SIM cards prior to


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the implementation of this Act will be given the option to either discontinue
or transfer the ownership of the excess pre-paid SIM;

4. Active pre-paid SIM cards acquired prior to the implementation of this Act
that fail to be registered within (15) days from its intended credit reload as
provided for in Sec. 1, shall automatically be deactivated by the concerned
cellular service provider; and

5. Aregistered SIM card owner should at least be fifteen (15) years of age.

SEC. 5, Registration by Representatives - Ownership of more than three
(3) SIM Cards shall be allowed provided the buyer is a parent/legal guardian,
registering for and in behalf of his/her minor children/ward; company or bulk

purchases in behalf of the Corporation agency.

SEC. 6. Coverage of Registration. - All direct sellers are hereby mandated
to register pertinent data in a registration form devised for the purpose, to include
the following information and requirements:
a) Full name and complete address of the end user appearing in a valid
government-issued identification document with photo. In view thereof,
SIM card end users shall be required to present the original and
submit a true and faithful reproduction or photocopy of any of the
following government identification documents with photo:
1. Driver’s License
2. Social Security Service/Government Service Insurance System
(SSS/GSIS) Card
3. Passport
4. Senior Citizen’s Card
Person with Disabilities Card
National Bureau of Investigation (NBI) Clearance
Police Clearance

Pnan

Firearms License


9. Voter’s Identification Card

10. Taxpayer's Identification Number (TIN)
11. Professional Regulation Commission (PRC) Identification Card
12. Government Office Identification Card

13. School Identification Card (in case of a minor)
14. Other Government-issued Identification Cards
The direct seller may make further inquiries or require the
submission of additional identification if necessary, and withhold the sale
of the SIM card pending compliance with the additional requirements.
b) Assigned cell phone number of SIM card(s) and serial number/s.
SEC. 7. Submission of Registration Form. - The registration form
required under Section 6 of this Act shall be accomplished in triplicate, and shall
be forwarded by the direct seller for to the concerned PTE. The concerned PTE
shall submit a copy of the duly accomplished registration form to the National
Telecommunications Commission (NTC) within fifteen (15) days from the date of
sale or receipt of such form from their respective direct sellers. The required
registration form and the copies thereof shall be certified by either, the President,
General Manager, Treasurer, Secretary or any other duly appointed officer of the
PTE or direct seller, as the case may be.

SEC. 8. Submission of Verified List of Dealers or Agents. - The PTEs
shall submit to the NTC, within thirty (30) days from the date of effectivity of this
Act, a verified list of their current authorized dealers or agents nationwide.
Thereafter, the PTEs shall submit to the NTC, every quarter of each year an
updated list of the same.

SEC. 9. Obligation and Liabilities of Third Party Resellers - Within
three (3) days from the receipt of a completed ownership, all third party resellers
of pre-paid SIM cards must turn-over to the respective service providers the
records and accompanying documents of the buyers. Reseller that will engage in
the selling of fraudulently-registered or stole pre-paid sim cards shall be held
criminally liable.


SEC. 10. Confidentiality Clause. - Any information in SIM card
registration shall be treated as _ absolutely confidential, unless upon written
consent of the subscriber: Provided, That the waiver of absolute confidentiality
shall not be made as a condition for the approval of subscription agreements with
the PTEs.

SEC. 11. Disclosure of Information. — Notwithstanding the provisions of
Section 10 hereof, the PTEs shall be required to provide information contained in
the SIM card registration only upon order of a competent court upon finding of
probable cause that a particular number is used in the commission of a crime or

that it was utilized as a means to commit an unlawful act.

SEC. 12. SIM Card Register. - All PTEs are required to submit an
updated SIM Card Register of their subscribers to the NTC every six (6) months of
both postpaid and prepaid mobile phone users, and maintain a record containing
information required under Section 6 of this Act.

In case of loss or any change in the information after the acquisition of the
SIM card, the subscriber must notify the PTEs within thirty (30) days from such
loss or change. The concerned PTE in return must notify the NTC of such loss or
change in the information within fifteen (15) days from receipt of notification from
the subscriber.

All PTEs are required to keep the data of their subscribers and the NTC
shall see to it that this data is being kept with utmost confidentiality as provided
for under Section 9 of this Act and in accordance with existing laws.

SEC. 13. Registration of Existing Prepaid Mobile Phone Subscribers. —
All existing mobile phone subscribers with prepaid SIM cards are required to
register with their respective PTE within one hundred eighty (180) days from
effectivity of this Act. Such deadline may be extended by the NTC but shall not be
longer than one hundred twenty (120) days, upon a valid written request.

Failure to register within the prescribed period shall authorize the PTE to
automatically deactivate its services to the specific existing prepaid SIM card
subscriber.


SEC. 14. Repertorial Requirements and Internal Rules and
Regulations - To ensure that all stakeholders will comply with the proper
enforcement of the provisions of this Act, the DTI is hereby mandated to oversee
its implementation for the next three (3) years and shall submit to Congress
report of compliance. For this purpose, the DI and the NTC shall set the
guidelines for the monitoring of the proper implementation of this Act and shall
issue the necessary implementing rules and regulations wishing thirty (30) days

upon its effectivity.

SEC. 15, Penalties - Any person or entity who violates any provision of
this Act shall, upon conviction, be penalised by imprisonment for a maximum
period of one year, or a fine of not less than P50,000 nor more that P300,000; or
both such fine and imprisonment at the discretion of the court.

SEC. 16. Effectivity - This Act shall take effect fifteen (15) days after its

Publication in the Official Gazette and at least two (2) national newspapers of
general circulation.

Approved,