QuestionsQuestions (Republic Act No. 9292)
It refers to notes and coins issued and circulating in accordance with R.A. No. 265 (as amended) and/or R.A. No. 7653, which must be accepted when offered for the payment of public or private debt.
A counterfeit note is an imitation of a genuine legal note intended to deceive or be taken as the original, legal, and genuine note.
A counterfeit coin is an imitation/forged design of a genuine legal coin regardless of its intrinsic value or metallic composition, intended to deceive or pass as genuine.
It is any reproduction/facsimile or object bearing the likeness of a legal tender Philippine note without prior authority from the BSP Governor or his duly authorized representative.
They must issue a temporary receipt indicating the holder’s details and relevant particulars (name, address, TIN/CTC or passport number for foreigners, date, denomination, serial number/series) and require countersignature; if there is refusal, the reason must be stated. Then they must forward the note/coin within five (5) working days to the BSP Cash Department for examination (or via BSP regional offices or a supervised bank if personal delivery is infeasible).
Within five (5) working days from seizure, they must advise BSP (Cash Department, Manila) in writing, enclosing a copy of the receipt and inventory. Seized items not needed as evidence in any investigation/legal proceeding must be immediately turned over to BSP for proper disposition.
It stamps the word “COUNTERFEIT” on both the face and the back of each note found to be counterfeit and returns genuine notes/coins to the owner/sender in accordance with accounting/auditing rules.
No. Notes and coins determined to be counterfeit are not returned to the owner/holder; they are retained and later disposed of according to BSP guidelines, except those used as evidence in investigations/legal proceedings, which BSP retains and preserves for evidentiary purposes.
No person/entity may design, engrave, print, make, execute, utter, issue, distribute, circulate, or use any object bearing the facsimile/likeness/similitude of legal tender Philippine currency notes without prior authority from the BSP Governor (or authorized representative). Authorized uses are limited to specific purposes (e.g., articles/books/newsworthy purposes) and must meet the size restriction and purpose requirements.
Authorized for printed illustrations in articles, books, journals, newspapers or similar materials for numismatic, educational, historical, newsworthy, or other purposes that maintain/promote/enhance integrity and dignity of the note. The facsimile/illustration must be less than 3/5 or more than 1 1/2 (1A12 in the text) times in size of the currency note, and must not deviate from the stated purposes.
No person/entity may design, engrave, make, execute, or use/issue/distribute any object bearing the likeness/similitude of legal tender Philippine currency coins (in metal form) without prior BSP Governor authority. Authorization (strictly) may be granted for numismatic, educational, historical, and other purposes that maintain/promote/enhance the integrity and dignity of said coins.
Banks must classify cash deposits into (1) clean and fit notes and (2) dirty or unfit notes per BSP “Currency Guide,” then further sort by series and denomination. They must use securely sealed bags/containers separately for clean and unfit notes, provide a deposit slip for each type with the unfit slip clearly labeled “unfit,” and pack in sealed bags in standard quantities of twenty (20) full bundles per denomination (each bundle = 1,000 notes in ten straps of 100 each).
A note is unfit when: (a) it contains heavy creases breaking the fiber (disintegration begun), though mere creasing/wrinkling without weakening does not render it unfit; (b) it is badly soiled/contaminated or has writings even if it has proper life or sizing; or (c) it presents a limp or raglike appearance.
Unfit focuses on condition like heavy creases that start disintegration, soiling/writings, or limp/raglike appearance. Mutilated includes: (a) torn parts joined with adhesive tape trying to preserve design/size; (b) reduced/lost original size through wear/tear or torn/damaged/defaced/perforated by insects/chemicals/other causes; (c) scorched/burned to a frail/brittle state causing inability to handle without disintegration; (d) split edgewise; or (e) loss of all signatures.
BSP replaces/redeems unfit or mutilated notes/coins except when identification is impossible; or coins show signs of filing/clipping/perforations; or notes have lost more than two-fifths (2/5) of surface or all signatures. Those classifications are withdrawn from circulation and demonetized without compensation to the owner/bearer.
Unfit notes/coins must not be recirculated but may be presented for exchange to or deposited with any bank. Mutilated notes/coins must not be recirculated nor deposited/exchanged; instead, they may be presented/forwarded to BSP Cash Department in Manila or the nearest BSP regional office/unit for determination of redemption/exchange value.
Notes/coins called in remain legal tender for one (1) year from date of call. After that, during the following year (or longer period as the Monetary Board determines), they may be exchanged at par and without charge with BSP and authorized agents. After expiration of this latter period, notes/coins not exchanged cease to be a liability of BSP and are demonetized. BSP also demonetizes all called-in notes/coins that have been replaced.
Violations of Sections 8 and 9 (Chapter II) and Sections 10 and 11 (Chapter III)—i.e., unauthorized reproduction/use of facsimiles of legal tender notes and coins—are punishable by imprisonment of not less than five (5) years but not more than ten (10) years; if the Revised Penal Code provides a greater penalty, the greater penalty is imposed.