Sen. Mark Villar, the main sponsor of the Internet Transaction Act of 2023

MANILA – The eagerly anticipated Internet Transactions Act (ITA) of 2023 has gained approval from both chambers of Congress and now awaits the President’s signature to become law.

“We at the Philippine Transportation and Communication Advocates (PTCA) welcome and consider this measure a significant milestone in our country’s ongoing battle against digital and online scammers,” PTCA president Aio Bautista said Friday (06 Oct 2023).

The chief convenor of the non-government organization added that their group which is advocating the fight against fake news and digital fraud hopes the chief executive sign the measure as soon as possible as they see it as an additional tool against cybercrime.

“The expeditious signing of this measure by President Marcos will provide substantial support to our nation’s fight against cybercriminals as it will enhance the Department of Trade and Industry’s ability to regulate digital platforms more effectively,” Bautista said.

When this bill becomes law, it will empower the DTI Secretary by granting the authority to issue takedown orders, rendering digital platforms inaccessible in the country if the advertised goods, services, or digital products are considered “imminently injurious, unsafe, or dangerous to the public,” stated Senator Mark Villar, the primary sponsor of the bill.

The House of Representatives adopted the Senate’s version of the bill on September 27, 2023, while the Senate version of the ITA (SB 1846) was passed by the Upper Chamber on the third and final reading on September 25.

Under this proposed law, digital platforms or e-marketplaces will be held accountable for any failure of online merchants or retailers to fulfill their responsibilities as outlined in the bill, thereby safeguarding consumers.

Once enacted, PTCA believes that the ITA will effectively curb online scams and ensure the safety of both consumers and e-commerce merchants.

“Filipinos are now one step closer to enjoying the benefits of the digital world while protecting their privacy and security,” added Bautista.

The Senate passed Senate Bill No. (SBN) 1846 with a vote of 20-1-0, aiming to ensure that all digitally transacted goods and services match their advertisements. The bill also guarantees the reliability, security, and accessibility of e-commerce transactions for all consumers.

In summary, SBN 1846 will hold digital platforms or e-marketplaces accountable, along with online merchants or retailers, if they fail to meet their responsibilities as defined in the bill and cause harm to consumers.

The proposed measure establishes penalties for e-marketplaces, e-retailers, online merchants, or digital platforms that sell illegal digital products. These penalties range from P50,000 to P100,000 for the first offense, and P500,000 to P1.5 million for third and subsequent offenses.

“These are substantial fines, and we can reasonably assume that scammers will think twice before committing fraudulent acts and taking advantage of our fellow citizens,” Bautista added.

SBN 1846 also outlines a code of conduct for all companies involved in e-commerce to protect and promote consumer interests.

Additionally, upon its signing, the bill will pave the way for the creation of an e-commerce bureau under DTI, responsible for overseeing internet-based activities currently lacking regulation. The e-commerce bureau will establish and maintain an online business registry of all Internet merchants to assist the public in verifying information on Internet transactions.

(ai/mnm)