Bank Secrecy Law Flashcards
True or false. It shall be unlawful for any official or employee or independent auditor of a bank to disclose to any person other than a banks director, official or employee authorized by the bank, without order of any competent court, any information concerning deposits
true
True or false. The government can inquire, examine or look into bank deposits or bonds issued by the government
false. Unlawful
Deposits covered by the bank secrecy law include
- trust accounts
- Investment in bonds issued by the government
True or false
true
Permission to disclose any information concerning deposits must pay in _________ form
written
Exceptions to unlawful inquiry or disclosure
WIObmu CAR TEAP2
- Written permission of the depositor or investor
- Impeachment cases
- Order of a competent court/ Ombudsman issue of subpoena
a. Bribery or dereliction of duty of public officials, including plunder
b. Money deposited or invested is the subject of litigation
c. Unexplained wealth; anti-graft and corrupt practices act
- Commissioner of bir inquiry for the purpose of determining the net assets of a deceased depositor; application for compromise of tax liability; request for tax info pursuant to a tax treaty
- AMLC; probable cause of money laundering, and in some instances even without court order (related to certain predictae crimes)
- Reports
a. Disclosure to the treasurer of the philippines for unclaimed balances
b. Report of banks to amlc of covered and or or suspicious transactions
- Terrorism cases
- Examination is made in the course of a special or general examination of bank and is a specifically authorized by the monetary board of the bsp after being satisfied that there is a reasonable grounds to believe that a bank food or serious irregularity has been or is being committed and that is necessary to look into the deposit established such fraud or irregularity
- independent auditors examination
- PDIC and BSP in case of unsound banking practices
- PCGG; ill-gotten wealth by Marcos
Foreign currency deposits in banks or absolutely confidential and cannot be disclosed except (WALT CP2A)
- Written consent
- Amlc; probable cause established that it is related to an unlawful activity as defined by money laundering
- Directors officers stockholders and related interests who contract alone or any form of financial accommodation with their bank or related bank or required to execute a written waiver of secrecy of deposit pursuant to the new central bank act
- Terrorism
- CIR; tax compromise application; net estate; tax treaty
- PDIC and BSp; unsound banking practices
- Audit
- PCGG
True or false. In garnishment, there is a violation of the bank secrecy law
false. There is no disclosure
What are the deposits exempt from garnishment
- Foreign currency deposits except for transient foreigners
- Those exempt under the rules of court
Penalties for violation of bank secrecy law for peso deposits
imprisonment of _______________ and/or find of ________
penalties for violation of bank secrecy law for foreign currency deposits
imprisonment of _______________ and/or find of ________
not exceeding five years; not exceeding 20,000
1 to 5 years; 5,000 to 25,000
Plunder is analogous to bribery. True or false
true
True or false. The garnishment of a foreign currency deposit account of a non-resident alien found guilty of raping a minor was allowed on the basis of equity
A co-payee of a check who filed is suit for recovery of sum of money was considered in a pro hac vice ruling by the supreme court as a deposit or in view of the distinctive circumstances of the case
What are the sanctions that may also be imposed against a bank or any bank director and officer for violation of the provisions of this act and regulations issued by the bangko sentral
- Authority of the bank to accept new foreign currency deposits
- Administrative sanctions
