Anti-raketeer Influenced and Corrupt Organizations (Rico) Act of 2026

Sentate Office of the sona Mary TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES ) 26 FEB 10 P2:56 First Regular Session SENA 824 RECEIVED BY: S.B. No. - Introduced by SENATOR IMEE R. MARCOS AN ACT DEFINING AND PENALIZING RACKETEERING INFLUENCED AND CORRUPT ORGANIZATIONS, PROVIDING CIVIL REMEDIES AND FORFEITURE OF ILLEGALLY ACQUIRED ASSETS, AND FOR OTHER PURPOSES EXPLANATORY NOTE Article II, Section 5 of the 1987 Constitution states that, "the maintenance of peace and order, the protection of life, liberty, and property, and the promotion of the general welfare are essential for the enjoyment by all the people of the blessings of democracy." However, the nature of disorder has fundamentally evolved. The modern criminal underworld is no longer composed merely of loosely affiliated bands of criminals. It is now defined by sophisticated and multi-layered enterprises that operate with efficiency. These organized crime syndicates continue to pose a clear, present, and continuing danger to the national security, economic stability, and public welfare of the country. While existing penal laws address specific predicate crimes such as plunder, drug trafficking, and cybercrime, these laws are primarily designed to punish the individual act. They often fail to address the underlying structure and lack a comprehensive legal framework to dismantle the criminal enterprises themselves— specifically, the strategic plans, financial networks, and profits derived from a continued pattern of illicit activities. As it stands, a criminal organization can lose a "soldier" to prosecution, while the "general" and the financial infrastructure remain intact to continue their operations.

This bill fills a critical gap by introducing a comprehensive framework to dismantle criminal syndicates. It seeks to neutralize the economic base by providing for the mandatory forfeiture of all illegally acquired assets and proceeds of the crime. It also establishes severe penalties, including imprisonment of up to forty (40) years and a minimum fine of Ten Million Pesos (Php10,000,000.00), without the benefit of parole. Further, conviction for racketeering does not bar prosecution for other crimes, and vice versa. This ensures that penalties hereunder are imposed in addition to the penalties for the underlying predicate crimes. In view of the foregoing, the immediate passage of this bill is earnestly sought. Imeé h. Marca AMEÉ R. MARCOS

Senato Office of the Brittaty TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES ) P2:56 26 FEB 10 First Regular Session SENATE S.B. No. 1824 RECEIVED BY: Introduced by SENATOR IMEE R. MARCOS AN ACT DEFINING AND PENALIZING RACKETEERING INFLUENCED AND CORRUPT ORGANIZATIONS, PROVIDING CIVIL REMEDIES AND FORFEITURE OF ILLEGALLY ACQUIRED ASSETS, AND FOR OTHER PURPOSES Be it enacted by the Senate and the House of Representatives of the Philippines in Congress assembled:

Section 1. Short Title. - This Act shall be known as the "Anti-Racketeer

2 Influenced and Corrupt Organizations (RICO) Act of 2026."

Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to

4 confront the threat posed to the nation's security, economy, and democratic 5 institutions by organized crime syndicates and corrupt organizations. These entities, 6 through patterns of illegal activity and the infiltration of legitimate business and 7 government affairs, subvert the rule of law, impoverish the citizenry, and undermine public trust. The State shall adopt a sustained, coordinated, and powerful response to 9 dismantle the economic foundations of organized crime and corruption, utilizing enhanced criminal penalties, civil remedies, and comprehensive asset forfeiture to deprive such enterprises of their ill-gotten gains and to provide just compensation to their victims.

Sec. 3. Definition of Terms. - The terms shall be used in this Act, as follows:

a. "Enterprise" includes any individual, partnership, corporation, association, or other juridical entity, or any union or group of individuals associated in fact, whether legitimate or illegitimate, which engages in or affects commerce;

b. "Person" refers to any individual, association, partnership, corporation, or any group of individuals or entities capable of holding a legal or beneficial interest in property; c. "Racketeering Activity" means any act or threat, involving murder, kidnapping, or acts or threats thereof, which is chargeable under the Revised Penal Code and punishable by imprisonment of more than one year, or any of the following offenses under Philippine law: 1. Plunder, as defined in Republic Act No. 7080, as amended; 2. Syndicated Estafa, as defined in Presidential Decree No. 1689, as amended; 3. Violations of the Comprehensive Dangerous Drugs Act of 2002 (Republic Act No. 9165); 4. Violations of the Anti-Trafficking in Persons Act of 2003 (Republic Act No. 9208, as amended by Republic Act No. 10364); 5. Violations of the Anti-Carnapping Act of 2016 (Republic Act No. 10883); 6. Violations of the Anti-Cybercrime Act of 2012 (Republic Act No. 10175); 7. Violations of the Anti-Money Laundering Act of 2001 (Republic Act No. 9160, as amended); 8. Bribery, Direct and Indirect, and Corruption of Public Officers under Titles VII and VIII of the Revised Penal Code, and violations of the Anti- Graft and Corrupt Practices Act (Republic Act No. 3019); 9. Robbery and Extortion under the Revised Penal Code; 10. Fraudulent practices and violations under the Securities Regulation Code (Republic Act No. 8799); and 11. Other offenses which are analogous to the foregoing or are deemed predicate crimes for money laundering by the Anti-Money Laundering Council. d. "Syndicate" refers to a group of three (3) or more persons who collaborate, confederate, or mutually support one another in carrying out any racketeering activity or pattern thereof; and e. "Pattern of Racketeering Activity" refers to at least two (2) acts of racketeering activity committed within a ten (10)-year period, which are related and amount to or pose a threat of continued criminal activity.

Sec. 4. Prohibited Activities. -

a. It shall be unlawful for any person who has received any income or benefit, directly or indirectly, from a pattern of racketeering activity or through the

collection of an unlawful debt, to use or invest any part of such income or proceeds of such income, in the acquisition of any interest in, or the establishment or operation of, any enterprise which is engaged in, or the activities of which affect, commerce; b. It shall be unlawful for any person through a pattern of racketeering activity to acquire or maintain, directly or indirectly, any interest in or control of any enterprise, which is engaged in, or the activities of which affect, commerce; c. It shall be unlawful for any person employed by or associated with any enterprise engaged in, or the activities of which affect, commerce to conduct or participate, directly or indirectly, in such enterprise's affairs through a pattern of racketeering activity; and d. It shall be unlawful for any person to conspire to violate any of the provisions of this Act.

Sec. 5. Penalties. - Any person convicted of violating any provision of Section

4 of this Act shall be punished with imprisonment of twenty (20) years and one day to forty (40) years, without the benefit of parole or a fine of not less than Ten million pesos (Php 10,000,000.00) or three times the value of the proceeds, whichever is higher, or both, at the discretion of the court. In addition to the penalty prescribed above, the court shall order the forfeiture to the State of any property or interest acquired or maintained in violation of Section 4, and any property constituting or derived from any proceeds obtained, directly or indirectly, from racketeering activity or pattern thereof. If the violator is a public officer, he or she shall also suffer the penalty of perpetual absolute disqualification from holding public office and forfeiture of all retirement benefits and privileges.

Sec. 6. Civil Remedies. - Any person injured in his or her business, person, or

property by reason of any violation of this Act may sue therefor in any appropriate Regional Trial Court and shall recover threefold the damages he or she sustains and the cost of the suit, including reasonable attorney's fees. A verdict or finding of guilt in a criminal proceeding under this Act shall estop the defendant from denying the allegations of the criminal offense in any subsequent civil proceeding for forfeiture.

All actions under this Section must be commenced within ten (10) years after 2 the cause of action accrues.

Sec. 7. Temporary Restraining Order. - A temporary restraining order (TRO)

4 from the court may be requested if there is clear and convincing evidence that the properties of the defendant/s which are sought to be restrained were involved in a 6 violation of this Act, that such properties would be subject to forfeiture under 7 provisions of this Act and that the government have reasonable grounds to believe that the defendant/s will likely conceal or otherwise make the properties inaccessible 9 to the Government prior to conclusion of trial. The TRO shall be issued, with or without notice and hearing, depending on the exigencies of each case, on or after the filing of a sworn complaint with the Department of Justice (DOJ, but before the filing of the information with the court and shall be effective for a period of thirty (30) days. The TRO may direct the defendant, or any person acting on his behalf, to cease and desist from alienating, disposing, selling, assigning, conveying, transferring, or otherwise concealing any interest or right of the defendant over his property. Provided that, the applicant for a TRO, without notice to the adverse party, must establish that there is probable cause to engender a well-founded belief that the property of the defendant would be subject to forfeiture under the provisions of this Act, and the notice to the adverse party will jeopardize the availability of the property for forfeiture.

Sec. 8. Judgment of Forfeiture and Disposition of Forfeited Properties. - Upon

conviction and a declaration of guilt of the defendant by final judgment for any violation of this Act, the Court shall enter judgment and forfeiture of his or her property or properties in favor of the Government, appointing the Justice Secretary as receiver or conservator of all property ordered forfeited, and who shall act subject to the court's control and supervision. Following the seizure of the property or properties, the Secretary shall direct the disposition of the same by auction sale. Any property right or interest is exercisable by or transferable for value to the government and shall not revert to the defendant, nor shall the defendant or any person acting in his behalf be eligible to purchase said forfeited property.

Provided that, if any of the properties cannot be located even with the exercise 2 of due diligence, has been transferred, sold to, or deposited with a third party, has 3 been placed beyond the jurisdiction of the courts, has been substantially diminished in value, or has been commingled with other property which cannot be divided without difficulty, the court shall order the forfeiture of any other property of the defendant with an equal value.

Sec. 10. Jurisdiction. - The Supreme Court shall designate special RICO courts

8 to ensure continuous trial, protection of witnesses, and confidential handling of 9 financial intelligence.

Sec. 11. Non-Exclusivity. - Prosecution or conviction under this Act shall not

11 bar prosecution or conviction under any other provision of law. Similarly, prosecution or conviction under any other law shall not bar prosecution or conviction under this Act, unless the elements of the offenses are identical and the acts complained of are the same. Furthermore, the penalties under this Act shall be imposed in addition to, and not in substitution for, any penalty prescribed for the predicate racketeering activities.

Sec. 12. Implementing Rules and Regulations. - Within ninety (90) days from

18 the effectivity of this Act, the DOJ, in coordination with the National Bureau of 19 Investigation (NBI), the Anti-Money Laundering Council (AMLC), and the Office of the 20 Solicitor General (OSG) shall formulate the implementing rules and regulations of this 21 Act.

Sec. 13. Repealing Clause. - Any law, presidential decree or issuance, executive

23 order, letter of instruction, administrative order, ordinance, rule or regulation, or other issuances or parts thereof inconsistent with the provisions of this Act are hereby repealed or modified accordingly.

Sec. 14. Separability Clause. - If any portion or provision of this Act is declared

unconstitutional, the remainder of this Act or any provision not affected thereby shall remain in force and effect.

Sec. 15. Effectivity. - This Act shall take effect after fifteen (15) days following

the completion of its publication either in the Official Gazette or in a newspaper of general circulation in the Philippines. Approved,