Regulatory Framework 2.

In impeachment cases, the bank

BP 22
Anti- bouncing checks law
Preliminary matters
Number 1 cases throughout the ph that are file
before the court is for violation of BP 22
Mura rag criminal case, murag civil case
If magviolate, issuehan kag warrant of arrest
(criminal case)
Two acts to violate BP22
1st act: you already have knowledge at the time
when you issued the check that you have no
more funds available before the bank.
deposits of the depositor maybe look
into, or maybe inquired into the bank.
Because impeachment case is an
exception to the general rule, probably
about the MONEY ELEMENTARY.
3. By court order in bribery cases and
cases involving the election of Duty of
public officials, or there is an accord
order. His deposits may be investigated
or maybe look into by any person for
that matter.
4. If the deposit itself is subject of or
litigation, it maybe examine or may be
inquired
5. Graft and Corruption cases,

1405- PHILIPPINE MONEY ONLY

2nd act: at the time of the issuance, daghan
kaykag gipundo, but at the time when your cash
was encashed in the bank wala nay puno. You
will be given 5 days to replenish your account
before the bank.

BP22: it is a law which discourage people that

asap, they should not issue checks when they
have no funds before the bank.

Republic act 1405

*Very controversial law
*Bank secrecy law
*To encourage people to deposit their money
before the bank and then probably to
discourage people from holding money (it
affects the flow or circulation of money)

-Savings account
-checking account
-Trust fund account

General rule:
Bank deposits are absolutely confidential in
nature and therefore may not be examined, it
may not be inquired, or it may not be look into
upon just by any person.
Exceptions:
1. There must be a written consent by the
depositor.
Topic 2
Coverage for CPA exam
THE PDIC
BANK SECRECY LAW
GENERAL BANKING LAW
AMLA LAW
THE NEW CENTRAL BANK ACT
OBLIGATIONS OF VENDOR
 PDIC PHILIPINE DEPOSIT INSURANCE
CORPORATION- deposits made by the
depositor in the bank
PURPOSE:
1. To protect or safeguard the deposits
made by the depositors by the bank.
2. For the BSP to examine and investigate
the viability of all banks in the
Philippines.
Covered by PDIC: All banks that are licensed by
the Banko Central ng Pilipinas
What kind of deposits/ banks?
 Commercial banks
 Savings and mortgage banks
 Rural Banks
 Private development banks
 Cooperative banks
 Savings and loan association banks
Who pays the insurance premium before an
insurance company?
 it is not the depositor that pays the
insurance premium but it is the bank
itself that pays. It is the bank itself that
is trying its effort to protect the
deposits by the depositor.
Is there a maximum deposit?
 THERE IS NO LIMIT.
Other salient points with respect to PDIC
 The amount of insurance coverage that
a depositor can claim from PDIC is only
up to 500,000.
Ex.
The depositor deposits 1M, only
500,000 will be claimed. The depositor
can claim the balance from the assets of
bank A after liquidation.
In what period must you file your claim
before the PDIC?
 You must file your claim within
48 months or 2 years from the
date where in the bank closes
or gets background.
If you’re not able to file your claim
within 48 months, you can’t claim it
anymore because your right has
expired.
Would it be better if isa ra ang bangko?
Or several banks?
 It would be practical to have at
least two or three banks.
 ANTI-MONEY LAUNDERING ACT
“Laundering”- gilabhan ang kwarta. Money
comes from illegal or unlawful sources. Isulod
nila sa banko, para di ma trace nga gikan sa
unlawful or illegal sources.
Example: Pablo escobar’s withdrawal of his
deposits. Laundered money.
AMLA was established because of the hacking
of the Central Bank of Bangladesh.
In excess of 4 million pesos, this should be
treated by the banks as red flag.
Covered by AMLA
o Banko Central ng Pilipinas
o Banks, non-banks, quasi banks and all
institutions that are supervised and
regulated by the BSP.
o Institutions supervised by Insurance
Commission
o Institutions supervised by SEC
Covered Transactions:
 Single, series or combination of
transaction involving a total amount in
excess of 4 Million pesos
Unlawful activities wherein you can involve the
application of AMLA:
 Kidnapping for ransom
 Dangerous Drugs up
 Anti-graft and corrupt practices
 Plunder- 50M PLUS
 Robbery and extortion
 Piracy on the high seas
 Theft
 Swindling or estafa
 Smuggling
 Violation of electronic commerce regulation
 Hijacking and murder
 Violation of Securities Regulation Code
 Felony/ Offenses punishable by foreign
countries

Money Laundering Offense under AMLA

-it is a crime whereby the proceeds from an
unlawful source are transacted thereby making
them appear to have originated from legitimate
sources.