SEVENTEENTH CONGRESS OF THE REPUBLIC)
OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

H.No. 1459.

RESISTRATION UNIT
BILTS AND INDEX SERVICE

Introduced by Representative Herminio Harry L

EXPLANATORY NOTE.

in our government's contracting system. Given the nature of

Wars have inspired chang
preparing for and implementing military action and reconstruction efforts, the government has
frequently sought and continues to seek goods and services from private contractors successfully
to fulfill its mission. Whether the result of necessity or a response to prevailing public

sentiments, the changes to the procurement system that follow resonate throughout the

‘government contracting community.

This bill is designed to punish individuals or companies that have defrauded the
government, or that have overvalued goods or services, in connection with military and
reconstruction missions, and to deter such conduct in the future, The justification for the
enactment of the bill is due to the lack of contractor accountability, as well as fraud, waste and

abuse in the contract or the provision of goods or services, directly or indirectly, connected with

dims

HERMINIO HARRY L. ROQUE JR.

a war, military action, or relief or reconstruction activities."

' this bill was originally filed by Senator Miriam Defensor-Santi
Session,

10 during the Sixteenth Congress, Kirst Regular



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SEVENTEENTH CONGRESS OF THE REPUBLIC)
OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

H.No. 1459.

Introduced by Representative Herminio Harry L. Roque Jr.

AN ACT
TO PROHIBIT PROFITEERING AND FRAUD RELATING TO MILITARY ACTION,
REL AND RECONSTRUCTION EFFORTS, AND FOR OTHER PURPOS

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

SECTION 1. Short Title. — This Act may be known as the “War Profiteering

Prevention Act”.

SECTION 2. Prohibition. ~ Whoever, in any matter involving a contract or the
provision of goods or services, directly or indirectly, in connection with a war, military
action, or relief or reconstruction activities within the jurisdiction of the Philippine
Government, knowingly and willfully--

(a) Executes or attempts to execute a scheme or artifice to defraud the Philippine
Government,

(b) Materially overvalues any goods or services with the specific intent to defraud and
excessively profit from the war, military action, or relief or reconstruction activities;

(c) Falsifies, conceals, or covers up by any trick, scheme, or device a material fact;

(d) Makes any materially false, fictitious, or fraudulent statements or representations;

or


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() Makes or uses any materially false writing or document knowing the same to

contain any materially false, fictitious, or fraudulent statement or entry.

Ss jon of this Act

ION 3. Penalties. ~ (a) Any person who shall violate any provi:

shall, upon conviction, be subject to a fine of not less than One hundred thousand pesos
(P.100,000.00) or imprisonment of not less than six (6) years but not more than twelve (12)
years, or both, upon the discretion of the court.

If the offender is an alien, he or she shall be deported after service of sentence and

payment of fine without further deportation proceedings.

(b) In case the offender is a naturalized citizen, he or she shall, in addition to the
penalty prescribed herein, suffer the penalty of cancellation of his or her naturalization
certificate and its registration in the civil register and immediate deportation after service of
sentence and payment of fine,

(c) Any director, officer, or agent of a corporation who shall authorize, order, or
perform any of the acts or practices constituting in whole or in part a violation of Section 2,
shall be subject to penalties to which that corporation may be subject

In case the violation is committed by, or in the interest of a foreign juridical person

duly licensed to engage in business in the Philippines, such license to engage in business in

the Philippines shall immediately be revoked.

SECTION 4, Separability Clause. ~ If any provision or part thereof is held im
unconstitutional, the remainder of the law or the provision not otherwise affected shall remain

valid and subsisting.


SECTION 5. Repealing Clause. ~ Any law, presidential decree or issuance,

executive order, letter of instruction, administrative order, rule, or regulation contrary to or

inconsistent with the provisions of this Act is hereby repealed, modified, or amended

accordingly.

SECTION 6. Effectivity Clause. ~ This Act shall take effect fifteen (15) days after its

publication in at least two (2) newspapers of general circulation.

Approved, a OX