COMMERCIAL LAW

Banking Law

Liam, a special customs agent, has been charged with violating the Anti-Graft and Corrupt
Practices Act by acquiring property out of proportion to his income. The Ombudsman issued
a subpoena duces tecum to the Banco de Cinco, ordering its agent to provide the Ombudsman
with all records of transactions involving Liam, his wife, and their children. A second
subpoena was issued, this time specifically naming Liam's acquaintances and requiring them
to provide records in said bank, as well as all of its branches and extension offices.

Liam attempted to have the subpoenas quashed, claiming that they were issued in violation of
the Bank Deposits Secrecy Act. He further claims that the subpoenas are in the character of
"fishing expeditions" or "general warrants," and that they are technically unconstitutional
when issued to private people who are not under investigation. Is Liam's argument valid?

ANSWER: