The subject matter of the subpoenas issued by the Senate sitting asan Impeachment Court are five
foreign deposit accounts
with petitioner,all allegedly in the name of Renato C. Corona. Republic Act (RA) No.6426, as amended, is the law applicable to foreign currencydeposits.
absolute confidentiality of foreigncurrency deposits
, as stated in Section 8:
Secrecy of foreign currency deposits.
All foreigncurrency deposits
authorized under this Act, as amended by PD No.1035, as well as foreign currency deposits authorized under PD No.1034, are hereby declared as and considered of an
except upon the written permission of thedepositor
, in no instance shall foreign currency deposits be examined,inquired or looked into by any person, government official, bureau oroffice whether judicial or administrative or legislative, or any otherentity whether public or private;
That said foreigncurrency deposits shall be exempt from attachment, garnishment, orany other order or process of any court, legislative body, governmentagency or any administrative body whatsoever. (
As amended by PD No. 1035, and further amended by PD No. 1246, prom. Nov. 21, 1977.
RA No. 6426 guarantees a clear right to the depositors anddemands an exacting obligation from banks to maintain the absoluteconfidentiality of the foreign currency deposits.
The failure of a bank tofulfill its obligation under the law subjects the bank and its officialsto criminal liability under Section 10 of RA No. 6426,
and itsauthority to accept new foreign currency deposits may be revoked orsuspended by the Bangko Sentral ng Pilipinas under Section 87 of theManual of Regulations on Foreign Exchange Transactions.
than this, the bank‘s failure in its obligation –
given media coverage andthe non-legal slant it can give
gives rise to a real danger that the bank‘s
reputation may suffer. In a very bad situation, the effect goes beyond the
bank‘s reputation and can adversely affect the economy.
The only exception provided by the law is when there is a writtenpermission by the depositor.
Jurisprudence declares that ―[t]here is only