Senator Panfilo "Ping" Lacson has filed two bills that will strip government officials and employees of secrecy rights under the laws on bank deposits as well as foreign currency deposits.

Lacson, in Senate Bill 38 titled "An Act Further Strengthening the Secrecy of Bank Deposits Law, Amending for the Purpose RA 1405 Otherwise Known as the Secrecy of Bank Deposits Law as Amended," pointed out that the 1987 Constitution itself stresses that “Public office is a public trust," and public office thus must not be used for self-aggrandizement or for acquiring wealth by the person holding it.

"This bill seeks to exclude government officials and employees, whether elected or appointed, from the coverage of the Bank Secrecy Law to equip government authorities with the necessary tools to effectively investigate and prosecute those who misuse public office for personal gain," he said.

He noted that RA 1405, passed in 1955, mandates that all deposits are strictly confidential - but was exploited and used a shield by unscrupulous public officials to evade investigation, "thus obstructing efforts to uncover and address corruption in government service."

The bill amends Section 2 of RA 1405, and adds to the list of exceptions to bank secrecy "when the depositor is an elective or appointive official or employee of the Republic of the Philippines including the officers and members of the Armed Forces of the Philippines (AFP), the Philippine National Police (PNP), and all members of the uniformed services, and officers and employees of government-owned and controlled corporations and their subsidiaries."

Meanwhile, Lacson's second bill - "An Act Further Strengthening the Foreign Currency Deposit Law, Amending for the Purpose RA 6426 Otherwise Known as the Foreign Currency Deposit Act of the Philippines as Amended" - similarly excludes government officials and employees from the secrecy of such accounts.

"The proposed bill seeks to amend the law by establishing a clear and narrowly defined exception: public officials and employees shall not be entitled to the confidentiality of foreign currency deposits. This amendment aligns the statute with constitutional mandates on transparency and accountability, as well as with international standards for financial oversight and integrity," he said.

Lacson noted RA 6426, enacted in 1972, guarantees the confidentiality of foreign currency. This is despite the global shift towards greater financial transparency.

This secrecy makes the Philippines unique in maintaining one of the most restrictive bank secrecy policies worldwide, "thereby impeding the government’s efforts to investigate and prosecute tax evasion and money laundering," he said.

Lacson's bill amends Sec. 8 of RA 6426 and adds to the list of exceptions to foreign currency deposit secrecy "when the depositor is an elective or appointive official or employee of the Republic of the Philippines including the officers and members of the Armed Forces of the Philippines (AFP), the Philippine National Police (PNP), and all members of the uniformed services, and officers and employees of government-owned and controlled corporations and their subsidiaries."