Under Republic Act No. 1405, what is the nature of bank deposit and investment in government bonds?

A. As a general rule, they are absolutely confidential in nature

B. As a general rule, they are generally subject to any type of inspection

C. They are exempted from any type of inquiry

D. None of the above

A. As a general rule, they are absolutely confidential in nature

Which of the following are prohibited acts under R.A. No. 1405 (Law on Secrecy of Philippine Currency Bank Deposits)?

A. Any person or government official who, or any government bureau or office that, examines, inquires, or looks into a bank deposit or government bond investment in any of the instances not allowed under the law.

B. Any official or employee of a banking institution who makes a disclosure concerning bank deposits to another in any instance not allowed by law.

C. Any person who commits a violation of any of the provisions of the law (R.A. No. 1405).

D. All of the above

D. All of the above

One of the exemptions provided by R.A. No. 1405 is if the depositor consents to the disclosure of his bank information, the following are requirements for his consent to be valid, except?

A. It should be written

B. It should be made knowingly

C. It should be made involuntarily

D. It should be made with sufficient awareness of the relevant circumstances and likely consequences

C. It should be made involuntarily

Which of the following inquiries will be considered a violation of domestic bank deposit secrecy law?

A. Periodic inquiry or special examination of bank deposits by BSP to ensure compliance with the Anti-Money Laundering Law.

B. Inquiry of bank deposits by the BIR Commissioner about an application for compromise of taxable liability or determination of a decedent’s gross estate under the National Internal Revenue Code.

C. Inquiry of bank deposits by PDIC when there is a finding of unsafe or unsound banking practices.

D. Inquiry of bank deposits by DOJ Secretary for the purpose of persecution of the members of the opposing political.

D. Inquiry of bank deposits by DOJ Secretary for the purpose of persecution of the members of the opposing political.

AMLC may inquire into deposits into deposits, regardless of currency, funds, other than deposits, investments, including related accounts as long as there is probable cause that the deposits or investments are related to unlawful activity under AMLA. Order of Court of Appeals no longer required in the following cases, except:

A. Terrorism

B. Kidnapping for Ransom

C. Theft

D. Hijacking

C. Theft

Commissioner of Internal Revenue is NOT authorized to inquire into bank deposit accounts in relation to:

A. When there is application of compromise liability by a taxpayer on the ground of financial incapacity

B. Determination by the Commissioner of BIR of a decedent’s gross estate

C. When a request for tax information of specific taxpayers made by a foreign tax authority pursuant to a tax treaty under The Exchange of Information on Tax Matter Act of 2009

D. Cases of tax evasion cases filed by the BIR Commissioner against a taxpayer

D. Cases of tax evasion cases filed by the BIR Commissioner against a taxpayer

Under the Bank Secrecy Law, it prohibits any person from disclosing to any person any information relative to the funds or properties belonging to the depositor in the custody of the bank. Which of the following acts is not an exception to this rule?

A. Upon order of the court in cases of plunder committed by public officials

B. Upon order of the CIR in an application for compromise of tax liability or determination of a decedent’s gross estate

C. Written permission or consent in writing by the depositor

D. Upon a subpoena issued by the Ombudsman concerning its fact-finding investigation relative to the information provided by an anonymous complainant

D. Upon a subpoena issued by the Ombudsman concerning its fact-finding investigation relative to the information provided by an anonymous complainant

Which of the following disclosures will be considered a violation of domestic bank deposit secrecy law?

A. Reporting of unclaimed balances of a bank deposit to the Treasurer of the Philippines or Bureau of Treasury by authorized bank officials.

B. Using of insider information about the bank deposits by bank employees in order to determine the credit rating or credit standing of their depositors for purpose of offering credit cards

C. Turn-over by authorized bank officials to the BIR Commissioner of the amount in bank accounts as may be sufficient to satisfy the writ of garnishment issued to collect delinquent taxes.

D. Disclosure by a bank officer or employee upon order of a competent court in connection with a deposit in a closed bank that was used in the perpetration of anomalies

D. Disclosure by a bank officer or employee upon order of a competent court in connection with a deposit in a closed bank that was used in the perpetration of anomalies

The Bank Secrecy Law (R.A. No. 1405) prohibits disclosing any information about the deposit records of an individual without a court order except:

A. in an examination to determine the gross estate of a decedent.

B. in an impeachment proceeding

C. in an investigation for violation of Anti-Graft and Corrupt Practices.

D. in an investigation by the Ombudsman

A. in an examination to determine the gross estate of a decedent.

In 2024, RA. No. 12010 [Anti-Financial Account Scamming Act (AFASA)] was passed. “Financial Accounts” refers to interest or non-interest bearing deposit, trust, investment or credit card account, other transaction account maintained with a bank, non-bank, or financial institution, E-wallets, and any other account used to avail of financial products or services defined under Section 3(c) of Republic Act No. 11765, or the "Financial Products and Services Consumer Protection Act.” Sec. 12 of this law gives BSP the authority to investigate and inquire into Financial Accounts that may be involved in the commission of the following prohibited acts and offenses under AFASA:

A. Money Muling Activities

B. Social Engineering Schemes

C. Economic Sabotage

D. Any of the above

D. Any of the above

Under R.A. No. 1405, disclosing without a court order is allowed under certain scenarios, except:

A. Examination by PDIC and BSP when there’s a finding of unsafe and unsound banking

B. BSP in its investigation and inquiry into Financial Accounts under the Anti-Financial Scamming Act (AFASA)

C. Prosecution for Plunder

D. BIR in the computation of Gross Estate of a deceased taxpayer

C. Prosecution for Plunder

What is the penalty provided by law for violation of R.A. No. 1405 (Law on Secrecy of Philippine Currency Bank Deposits)?

A. Imprisonment of not more than five (5) years or fine of not more than P20,000 or both imprisonment and fine.

B. Imprisonment of not more than ten (10) years or fine of not more than P200,000 or both imprisonment and fine.

C. Imprisonment of not more than twenty (20) years or a fine of not more than P2,000,000 or both imprisonment and fine.

D. Imprisonment of not more than one (1) year or fine of not more than P2,000 or both imprisonment and fine

A. Imprisonment of not more than five (5) years or fine of not more than P20,000 or both imprisonment and fine.

Under the Foreign Currency Deposit Act of the Philippines or R.A. No. 6426, what is the only exception provided in the said law for the absolutely confidential nature of Foreign Currency Bank Deposits?

A. In cases of impeachment of the President, Vice President, members of the Supreme Court, members of the Constitutional Commission, and the Ombudsman for culpable violation of the Constitution, treason, bribery, graft and corruption, other high crimes, or betrayal of public trust.

B. Upon written permission or consent in writing by the depositor.

C. Upon order of a competent court in cases of bribery or dereliction of duty of public officials.

D. In cases where the money deposited or invested is the subject matter of the litigation.

B. Upon written permission or consent in writing by the depositor.

Which bank deposit may be inspected by the Senate Impeachment Court without written consent by the depositor?

A. Philippine peso bank deposit

B. Foreign currency bank deposit

C. Both A and B

D. Neither A nor B

A. Philippine peso bank deposit

Which bank deposit is generally allowed to become the subject matter of a writ of garnishment, attachment, or execution?

A. Philippine peso bank deposit

B. Foreign currency bank deposit

C. Both A and B

D. Neither A nor B

A. Philippine peso bank deposit

Which of the following is prohibited for foreign currency deposits but is allowed for Philippine currency deposits?

A. Investigation by AMLC of deposits and investments related to terrorist financing or acts of terrorism

B. In cases of application for compromise of tax liability, determination by the Commissioner of BIR of a decedent’s gross estate, and exchange of tax information

C. A covered institution that reports in covered transaction reports or suspicious transaction reports to AMLC

D. Writ of Garnishment

D. Writ of Garnishment

Which of the following is an allowed inquiry for both foreign currency deposits and Philippine currency deposits?

A. Investigation by AMLC of deposits and investments related to terrorist financing or acts of terrorism

B. In case of an order of a competent court for prosecution for violation of the Anti-Graft and Corrupt Practices Act

C. Upon order of a competent court in cases of bribery or dereliction of duty of public officials

D. In cases where the money deposited or invested is the subject matter of the litigation

A. Investigation by AMLC of deposits and investments related to terrorist financing or acts of terrorism

What is the penalty provided by R.A. No. 6426 for violation of confidentiality of the Foreign Currency Deposit Act of the Philippines?

A. Imprisonment of not less than 1 year nor more than 5 years or fine not less than P5,000 but not more than P25,000 or both imprisonment and fine.

B. Imprisonment of not less than 2 years nor more than 10 years or fine not less than P10,000 but not more than P50,000 or both imprisonment and fine.

C. Imprisonment of not less than 3 years nor more than 15 years or fine not less than P20,000 but not more than P100,000 or both imprisonment and fine.

D. Imprisonment of not less than 4 years nor more than 20 years or fine not less than P50,000 but not more than P500,000 or both imprisonment and fine

A. Imprisonment of not less than 1 year nor more than 5 years or fine not less than P5,000 but not more than P25,000 or both imprisonment and fine.

The Senate Blue Ribbon Committee, in aid of legislation, issued a subpoena for the bank deposit records of resource persons who were called to shed light on matters under investigation by the Committee. Can they validly do this?

A. YES. This is included in the powers of the Senate Blue Ribbon Committee.

B. YES. This is an exemption provided by jurisprudence to give equity to the public due to the nature of the investigation which is of public interest.

C. NO. The Senate Blue Ribbon Committee is not a competent court.

D. YES. Investigation by the Committee of the Senate is considered as a competent court

C. NO. The Senate Blue Ribbon Committee is not a competent court.

X, a government official, has several savings accounts in T Bank containing millions of pesos. He also opened several trust accounts in the same bank which specifically covered the placement and/or investment of funds. X was later charged with graft and corruption before the Sandiganbayan (SB) by the Ombudsman. The Special Prosecutor filed a motion praying for a court order authorizing it to look into the savings and trust accounts of X in T Bank. Which accounts can be inquired into by court order?

A. Savings Accounts only

B. Trust Accounts only

C. Savings and Trust Accounts

D. Neither Savings and Trust Account

C. Savings and Trust Accounts

Raymond invested his money in securities issued by the Philippine government, through his bank. Subsequently, the Bureau of Internal Revenue asked his bank to disclose his investments. His bank refused the request for disclosure on the ground that the investments are confidential under the Secrecy of Bank Deposits Law (Republic Act No. 1405, as amended). Is the bank's refusal justified?

A. NO. Banks are required to disclose in case of valid inquiry of BIR

B. NO. BIR is vested with the power to inquire into bank deposits without court orders.

C. YES. Investments in bonds issued by the Philippine government are also absolutely confidential and none of the exemptions are available in this case.

D. YES. Investments in securities by the Philippine government are not included in those protected by Bank Secrecy Law

C. YES. Investments in bonds issued by the Philippine government are also absolutely confidential and none of the exemptions are available in this case.

S, a reporter, while having a bank transaction, overheard a bank teller informing a co-employee that B, the municipal mayor, has just P10,000 in his bank account and that his next check might probably bounce. S included this information in his newspaper report. Thus, B filed a complaint against S for violation of the Secrecy of Bank Deposits Act. Decide

A. S is liable because bank deposits are absolutely confidential

B. S is not liable because he was in good faith when he overheard the remark of the bank teller to a co-employee

C. S is liable because bank deposits must not be examined, inquired or looked into by any person

D. S, who merely overheard the remark of the bank teller to a co-employee and writing the same in his newspaper report is neither the inquiry nor disclosure contemplated by law

D. S, who merely overheard the remark of the bank teller to a co-employee and writing the same in his newspaper report is neither the inquiry nor disclosure contemplated by law

S is the creditor of B. Upon demand, B failed to pay S; thus, the latter filed a case against the former. B had a savings account with Sea Bank. Subsequently, the court ordered that B’s account be garnished the amount of P100,000 to satisfy the judgment in favor of S. B complained that the garnishment violated the Secrecy of Bank Deposit Act. Decide

A. B is correct because in the process of garnishment, the information about his savings account is divulge to the public

B. B is correct because the Bank Secrecy Law protects the disclosure of the existence of bank accounts of depositors

C. B is not correct because peso deposits may be garnished, and Sea Bank can comply with the order of garnishment without violating the Secrecy of Bank Deposit Act

D. B complaint is meritorious because peso deposits may not be garnished

C. B is not correct because peso deposits may be garnished, and Sea Bank can comply with the order of garnishment without violating the Secrecy of Bank Deposit Act

X is being charged with violation of Anti-Graft and Corrupt Practices because he is suspected of having accumulated unexplained wealth. X maintains deposit accounts with ABC Bank. The Ombudsman filed criminal cases against X before the Sandiganbayan. Can the Court issue subpoenas against ABC Bank to produce all documents about all the deposit accounts of X?

A. Yes, because there is already a pending case, and provided the subpoena must be specific as to which account.

B. Yes, it is enough that the specific bank is identified.

C. No, because the issuance of the subpoena has no real legal basis.

D. Even without a subpoena, information about the deposit accounts of X can be submitted to the Sandiganbayan because it will be used in a pending case

A. Yes, because there is already a pending case, and provided the subpoena must be specific as to which account.

P is unemployed; however, he is suspected to be a drug lord. P has never been charged or convicted of any crime. He has several bank accounts and purchased several houses and lots from B amounting to P100,000,000. After that, the Register of Deeds reported his purchases to the Anti-Money Laundering Council (AMLC). Upon request of the AMLC, Sea Bank disclosed to it P’s bank deposits. Subsequently, P was charged in court for violation of the Anti-Money Laundering Law. Did Sea Bank violate the Secrecy of Bank Deposit Act in disclosing P’s bank account to the AMLC?

A. No. Sea Bank did not violate the Secrecy of Bank Deposit Act because it is one of the obligation of banks to disclose bank accounts if public interest requires it

B. Yes. Sea Bank violated the Secrecy of Bank Deposit Act since it is absolutely prohibited from disclosing bank accounts

C. Yes. Sea Bank violated the Secrecy of Bank Deposit Act since it can disclose bank accounts only upon the request of the Supreme Court

D. No. Sea Bank did not violate the Secrecy of Bank Deposit Act. A bank is obliged to report to the AMLC covered and suspicious transactions

D. No. Sea Bank did not violate the Secrecy of Bank Deposit Act. A bank is obliged to report to the AMLC covered and suspicious transactions

Under RA 6426, all foreign currency deposits are considered of an absolutely confidential nature and that said foreign currency deposits shall be exempt from attachment, garnishment, or any other order or process of any court, legislative body, government agency or any administrative body whatsoever. Which of the following is FALSE?

A. Where the funds deposited in a joint account belonged exclusively to one of the depositors but the other depositor closed the account and transferred to his own personal account, the owner of the funds can have withdrawals from the account enjoined

B. The foreign currency deposit of a tourist who committed rape and escaped cannot be garnished to satisfy a judgement for damages in favor of the victim

C. If the foreign currency deposit is made by a transient or a tourist this is not the kind of deposit encouraged by the FCDU law

D. A farmer whose child illegally withdrew funds from his foreign currency deposit and transferred them to another account can sue and examine the new account

B. The foreign currency deposit of a tourist who committed rape and escaped cannot be garnished to satisfy a judgement for damages in favor of the victim

Which of the following is an exemption to disclosure of peso deposit accounts but not foreign currency deposits?

A. Investigation by AMLC of deposits and investments related to financing or acts of terrorism

B. In cases of Impeachment

C. Inquiry by AMLC into deposits or investments related to unlawful activities or money laundering offenses

D. A covered institution that reports deposits in covered transaction reports or suspicious transaction reports to AMLC

B. In cases of Impeachment

Which of the following are NOT included in "Deposits of whatever nature"?

A. Trust Fund

B. Savings Account

C. Certificate of Deposit

D. None of the above

D. None of the above

Which of the following is prohibited disclosure of foreign currency deposits but is allowed in Philippine currency deposits?

A. Upon written permission or consent in writing by the depositor.

B. Audit of government deposits by the Commission on Audit

C. Upon order of a competent court in cases of bribery or dereliction of duty of public officials

D. Inquiry or examination of deposits or investments by Bangko Sentral in the course of a periodic or special examination to ensure compliance with the AMLA

C. Upon order of a competent court in cases of bribery or dereliction of duty of public officials

Which of the following is prohibited disclosure of Foreign Currency Deposits but is an allowed in Philippine Currency Deposits?

A. Investigation by AMLC of deposits and investments related to financing or acts of terrorism

B. In case of an order of a competent court for prosecution for violation of the Anti-Graft and Corrupt Practices Act

C. Borrowings of directors, officers, stockholders, and related interests who are required to execute a written waiver of secrecy of deposits of whatever nature in all banks in the Philippines, by The New Central Bank Act

D. Inquiry by PDIC and Bangko Sentral when there is a finding of unsafe or unsound banking and failure of Prompt Corrective Action

B. In case of an order of a competent court for prosecution for violation of the Anti-Graft and Corrupt Practices Act

First Bank received an order of garnishment over a client's peso and dollar deposits in First Bank. Should First Bank comply with that order?

A. Comply only on the peso deposit

B. Comply only on the dollar deposit

C. Comply on both the peso and dollar deposit

D. Comply on neither the peso nor dollar deposit

A. Comply only on the peso deposit

One of these is not an exception to the secrecy of bank deposits under R.A. 1405

A. The examination is made in connection with an impeachment case

B. There is an order from a competent court in cases of bribery or dereliction of duty

C. The depositor has given his written consent

D. The examination is made by an independent auditor hired by the bank to conduct a regular audit.

D. The examination is made by an independent auditor hired by the bank to conduct a regular audit.

One of the following is FALSE in relation to foreign currency deposits.

A. A foreign currency deposit cannot be examined except upon written permission of the depositor

B. The heirs of the deceased who opened the foreign currency deposit cannot look into the deposit

C. All foreign currency deposits are absolutely confidential

D. Foreign currency deposits are exempt from attachment, garnishment, or any order or process of any court, legislative body, government agency, or administrative body.

B. The heirs of the deceased who opened the foreign currency deposit cannot look into the deposit

Statement 1: Garnishment is a violation of bank secrecy laws.

Statement 2: Foreign currency deposits are exempt from garnishment

A. Only statement 1 is true

B. Only statement 2 is true

C. Both statement are true

D. Neither statement are true

B. Only statement 2 is true

Which of the following is an exception to the Philippine Peso Deposit Bank Secrecy Law?

A. Turn-over by authorized bank officials to the BIR Commissioner of the amount in bank accounts as may be sufficient to satisfy the writ of garnishment issued to collect delinquent taxes.

B. BIR in its investigation of tax evasion case.

C. Upon oral permission of the depositor

D. Upon investigation by the Ombudsman of an anonymous complaint

A. Turn-over by authorized bank officials to the BIR Commissioner of the amount in bank accounts as may be sufficient to satisfy the writ of garnishment issued to collect delinquent taxes.

If the Ombudsman is convinced that there is a violation of law after investigating a complaint alleging illicit bank deposits of a public officer. May the Ombudsman order the bank concerned to allow in-camera inspection of bank records and documents?

A. NO. There is no pending case yet.

B. NO. In-camera inspection of bank records and documents is absolutely confidential.

C. YES. The Ombudsman may inquire into bank deposits upon establishing probable cause.

D. YES. The Ombudsman has already established probable cause; thus, it can examine bank deposit accounts including foreign currency deposits

A. NO. There is no pending case yet.