Bicol University

College of Business Economics and Management

Daraga, Albay

Roles and Responsibilities

1. Banko Sentral ng Pilipinas

2. Securities and Exchange Commission

POWER AND FUNCTIONS

The Commission shall have the powers and functions provided by the Securities
Regulation Code, Presidential Decree No. 902-A, as amended, the Corporation
Code, the Investment Houses Law, the Financing Company Act, and other existing
laws.

Under Section 5 of the Securities Regulation Code, Rep. Act. 8799, the Commission
shall have, among others, the following powers and functions:

(a) Have jurisdiction and supervision over all corporations, partnerships or

associations who are the grantees of primary franchises and/or a license or permit
issued by the Government;

(b) Formulate policies and recommendations on issues concerning the securities

market, advise Congress and other government agencies on all aspects of the
securities market and propose legislation and amendments thereto;

(c) Approve, reject, suspend, revoke or require amendments to registration

statements, and registration and licensing applications;

(d) Regulate, investigate or supervise the activities of persons to ensure

compliance;

(e) Supervise, monitor, suspend or take over the activities of exchanges, clearing

agencies and other SROs;
(f) Impose sanctions for the violation of laws and the rules, regulations and orders
issued pursuant thereto;

(g) Prepare, approve, amend or repeal rules, regulations and orders, and issue
opinions and provide guidance on and supervise compliance with such rules,
regulations and orders;

(h) Enlist the aid and support of and/or deputize any and all enforcement agencies
of the Government, civil or military as well as any private institution, corporation,
firm, association or person in the implementation of its powers and functions under
this Code;

(i) Issue cease and desist orders to prevent fraud or injury to the investing public;

(j) Punish for contempt of the Commission, both direct and indirect, in accordance
with the pertinent provisions of and penalties prescribed by the Rules of Court;

(k) Compel the officers of any registered corporation or association to call meetings

of stockholders or members thereof under its supervision;

(l) Issue subpoena duces tecum and summon witnesses to appear in any proceedings
of the Commission and in appropriate cases, order the examination, search and
seizure of all documents, papers, files and records, tax returns, and books of
accounts of any entity or person under investigation as may be necessary for the
proper disposition of the cases before it, subject to the provisions of existing laws;

(m) Suspend, or revoke, after proper notice and hearing the franchise or certificate
of registration of corporations, partnerships or associations, upon any of the
grounds provided by law; and

(n) Exercise such other powers as may be provided by law as well as those which
may be implied from, or which are necessary or incidental to the carrying out of, the
express powers granted the Commission to achieve the objectives and purposes of
these laws.

Under Section 5.2 of the Securities Regulation Code, the Commission’s jurisdiction
over all cases enumerated under Section 5 of PD 902-A has been transferred to the
Courts of general jurisdiction or the appropriate Regional Trial Court. The
Commission shall retain jurisdiction over pending cases involving intra-corporate
disputes submitted for final resolution which should be resolved within one (1) year
from the enactment of the Code. The Commission shall retain jurisdiction over
pending suspension of payments/rehabilitation cases filed as of 30 June 2000 until
finally disposed.

Considering that only Sections 2, 4, and 8 of PD 902-A, as amended, have been

expressly repealed by the Securities Regulation Code, the Commission retains the
powers enumerated in Section 6 of said Decree, unless these are inconsistent with
any provision of the Code.

3. Board of Investment
As an attached agency of Department of Trade and Industry (DTI), The Philippine Board
of Investments (BOI) is responsible for the development of investments here in the
Philippines. Leading the promotions of various industries and investment opportunities,
BOI assists Filipino and foreign investors to venture and thrive in vast areas of economic
pursuits and acts as your one-stop shop in doing business in the Philippines.

Advisory, Actualization and Aftercare

If you need help going through business procedures and requirements, we’ll be happy to
assist you every step of the way. We also provide aftercare to ensure that you have
continuing knowledge of your benefits in your scope of business. BOI can coordinate
activities to encourage investor-friendly and effective partnerships.

Knowledge-based Research & Information

If you want timely and relevant information in your portfolio, trust BOI to be the
headquarters of details and information of various industries here in the Philippines.

Marketing & Promotions

If you want more exposure for your company and more opportunities to collaborate with
other businesses, BOI paves the way for you through local and international missions that
could help you expand your capital and production capacity.

Incentives
Did you know that you can avail of tax holidays and tax & duty exemption of imported
capital equipment? And all the other perks of setting up your business in the Philippines?
Look no further. BOI has all the information you need to help you grow your business to
its maximum potential.

Policy Advocacy
Never lose track of policies that affect your business. We provide information and
briefing sessions to update and remind you of these policies. We can also be your conduit
for your feedback and reactions. BOI is happy to listen and propose investment-friendly
solutions for you.
4. Anti-money Laundering Council
Money laundering, as defined in the law, is a crime whereby the proceeds of an unlawful
activity are transacted thereby making them appear to have originated from legitimate
sources (Section 4, R.A. 9160, as amended). For purposes of money laundering, the term
“unlawful activity” refers to any act or omission or series or combination thereof
involving or having direct relation to the following:
1. Kidnapping for ransom
2. Drug Trafficking and other violations of the Comprehensive Dangerous Drugs Act of
2002
3. Graft and Corruption under R.A. No. 3019, as amended
4. Plunder (R.A. No. 7080 as amended)
5. Robbery and extortion
6. Jueteng and Masiao (Presidential Decree [PD]1602)
7. Piracy on the high seas (Revised Penal Code [RPC] & PD 532)
8. Qualified Theft under Art. 310, RPC
9. Swindling under Art. 315, RPC
10. Smuggling under R.A. 455 & 1937
11. Violations of Electronic Commerce Act of 2000
12. Hijacking, destructive arson and murder, including those perpetrated by terrorists
against non-combatant persons and similar targets.
13. Fraudulent practices and other violations under the Securities Regulation Code of
2000 (RA 8799)
14. Felonies or offenses of a similar nature punishable under the penal laws of other
countries.

Functions
Under R.A. 9160, as amended, the AMLC has the following functions:
1. Require and receive covered or suspicious transaction reports from covered
institutions;
2. Issue orders addressed to the appropriate Supervising Authority or the covered
institution to determine the true identity of the owner of any monetary instrument or
property subject of a covered transaction or suspicious transaction report or request for
assistance from a foreign State, or believed by the Council, on the basis of substantial
evidence, to be, in whole or in part, wherever located, representing, involving, or related
to, directly or indirectly, in any manner or by any means, the proceeds of an unlawful
activity.
3. Institute civil forfeiture proceedings and all other remedial proceedings through the
Office of the Solicitor General.
4. Cause the filing of complaints with the Department of Justice or the Office of the
Ombudsman for the prosecution of money laundering offenses.
5. Investigate suspicious transactions and covered transactions deemed suspicious after
an investigation, money laundering activities, and other violations of the Act.
6. Apply before the Court of Appeals, ex parte, for the freezing of any monetary
instrument or property alleged to be the proceeds of any unlawful activity as defined in
Section 3(i) of R.A. 9160, as amended.
7. Implement such measures as may be necessary and justified under the law to
counteract money laundering.
8. Receive and take action in respect of any request from foreign states or jurisdictions
for assistance in their own anti- money laundering operations provided in the law.
9. Develop educational programs on the pernicious effects of money laundering, the
methods
and techniques used in money laundering, the viable means of preventing money
laundering and the effective ways of prosecuting and punishing offenders.
10. Enlist the assistance of any branch, department, bureau, office, agency or
instrumentality of the government, including government-owned-and-controlled
corporations, in undertaking any and all anti-money laundering operations, which may
include the use of its personnel, facilities and resources for the more resolute prevention,
detection and investigation of money laundering offenses and prosecution of offenders.
11. Impose administrative sanctions for the violation of laws, rules, regulations and
orders and resolutions issued pursuant thereto.
12. Examine or inquire into bank deposits/investments upon order of any competent court
in cases of violation of the AMLA, when it has been established that there is probable
cause that the deposits/investments are related to an unlawful activity or money
laundering offense.
No court order, however, is necessary in cases involving kidnapping for ransom;
narcotics offenses; and “acts of terrorism”.