Rep Romualdez files HB 7 to amend Bank Secrecy Law

Leyte First District Representative Ferdinand Martin Romualdez has filed House Bill No. 7 to amend the Bank Secrecy Law, allowing the Bangko Sentral ng Pilipinas (BSP) to examine bank deposits under strict conditions if there is reasonable suspicion of unlawful activity.

The proposed amendment aims to modernize the law to combat corruption and financial crimes by including investigations of closed banks and foreign currency accounts, except those in member-based thrift associations.

Representative Romualdez emphasized that the current law has been exploited for illegal activities such as money laundering and tax evasion, making it difficult for regulators to uncover wrongdoing.

House Bill 7 defines 'deposits' clearly and ensures full protection for banks and financial institutions complying with lawful BSP orders while unauthorized disclosure faces stiff penalties.

The bill also includes provisions that limit the use of findings from the BSP's inquiries to internal purposes and restricts access to specific government agencies involved in investigations.

The measure aims to bring the Philippines closer to international best practices and remove barriers that hinder the fight against illicit finance, according to Romualdez.