1.

) ________ refer to funds in foreign currencies which are accepted and held by
authorized banks in the regular course of business with the obligation to return an
equivalent amount to the owner thereof, with or without interest.
a. Global Investments
b. Foreign Investments
c. Foreign currency deposits
d. Global deposits

ANSWER: C

2.) The following are liable under the Foreign Currency Deposit Act of the Philippines,
except:

a. Any person or government official who, or any government bureau or office

that, examines, inquires or looks into a foreign currency deposit without the
written permission of the depositor

b. Any official or employee of a banking institution who makes a disclosure

concerning foreign currency deposits to another, in any instance not allowed by
law

c. Anyone who shall attach, garnish, or subject the foreign currency deposit to any
other order or process of any court, legislative body, government agency or any
other administrative body

d. Any person who commits a willful violation of any of the provisions of

Republic Act No. 6425 or regulation issued by the Monetary Board pursuant to
the said law

ANSWER: D

3. Which of the following is/are true?

 I. All foreign currency deposits are absolutely confidential and cannot be
examined, inquired, or looked into by any person, government official, bureau or office,
whether judicial or administrative or legislative, or any other private or public entity.

II. Foreign currency deposits may be examined, inquired or looked into under the limited
exceptions in Republic Act No. 6426 and in other laws.

A. Statement 1 only
B. Statement 2 only
C. Neither statements
D. Both statements

ANSWER: D

4. Which of the following instances when confidentiality of the Foreign Currency

Deposit is not absolute is/are under the Foreign Currency Deposit Act of the
Philippines and not under other laws?

a. Foreign currency deposits may be examined, inquired or looked into when there
is written permission of the depositor.

b. Directors, officers, stockholders and related interests who contract a loan or any
form of financial accommodation with their bank or related bank are required to
execute a written waiver of secrecy of deposits

c. The Philippine Deposit Insurance Commission and the Bangko Sentral may
inquire into bank deposits when there is a finding of unsafe or unsound banking
practices.

d. The Commission on Audit is authorized to examine and audit government

deposits pertaining to the revenue and receipts of, and expenditures or uses of
 funds and properties, owned or held in trust by, or pertaining to, the Government
or any of its subdivisions, agencies or instrumentalities, including government-
owned and controlled corporations with original charters.

ANSWER: A

5. Which of the following is/are true?

I. Foreign investments refer to funds in foreign currencies which are accepted and held by
authorized banks in the regular course of business with the obligation to return an
equivalent amount to the owner thereof, with or without interest.

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

a. Statement 1
b. Statement 2
c. Both statements
d. Neither
ANSWER: B

6. Which of the following is/are liable under the FOREIGN CURRENCY DEPOSIT ACT
OF THE PHILIPPINES?

I. Any person or government official who, or any government bureau or office

that, examines, inquires or looks into a foreign currency deposit without the
written permission of the depositor

II. Any person or government official who, or any government bureau or office
that, examines, inquires or looks into a foreign currency deposit even with the
 written permission of the depositor

A. Statement 1
B. Statement 2
C. Both statements
D. Neither
ANSWER: A

7. The FOREIGN CURRENCY DEPOSIT ACT OF THE PHILIPPINES is ________

a. REPUBLIC ACT NO. 1405

b. REPUBLIC ACT NO. 1406

c. REPUBLIC ACT NO. 6425

d. REPUBLIC ACT NO. 6426

ANSWER: D

. 8. Any official or employee of a banking institution who makes a disclosure concerning

foreign currency deposits to another, in any instance not allowed by law is liable is a
provision of which act ?

a. REPUBLIC ACT NO. 1405

b. REPUBLIC ACT NO. 1406
c. REPUBLIC ACT NO. 6425
d. REPUBLIC ACT NO. 6426

ANSWER: D

9. Any person or government official who, or any government bureau or office

 that, examines, inquires or looks into a foreign currency deposit without the
written permission of the depositor is liable is a provision of which act?

a. REPUBLIC ACT NO. 1405

b. REPUBLIC ACT NO. 1406
c. REPUBLIC ACT NO. 6425
d. REPUBLIC ACT NO. 6426

ANSWER: D

10. Which of the following is/are liable under the FOREIGN CURRENCY DEPOSIT
ACT OF THE PHILIPPINES ?

I. Anyone who shall attach, garnish, or subject the foreign currency deposit to any
other order or process of any court, legislative body, government agency or any
other administrative body

II. Any person who commits a willful violation of any of the provisions of Republic
Act No. 6426 or regulation issued by the Monetary Board pursuant to the said law

A. Statement 1
B. Statement 2
C. Both statements
D. Neither

ANSWER: C

11.Which of the following is/are exceptions to the FOREIGN CURRENCY DEPOSIT

ACT OF THE PHILIPPINES ?
 I. Directors, officers, stockholders and related interests who contract a loan or any
form of financial accommodation with their bank or related bank are required to
execute a written waiver of secrecy of deposits pursuant to The New Central Bank
Act

II. Directors, officers, stockholders and related interests who contract a loan or
any form of financial accommodation with their bank or related bank are required
to execute a written waiver of secrecy of deposits pursuant to The General
Banking Law.

A. Statement 1
B. Statement 2
C. Both statements
D. Neither
ANSWER: A

12. Which of the following is/are true?

I. The Commissioner of Internal Revenue is authorized to inquire into bank

deposit accounts at all times.

II. The Commissioner of Internal Revenue is authorized to inquire into bank

deposit accounts in relation to some instances provided by law only.

A. Statement 1
B. Statement 2
C. Both statements
D. Neither
ANSWER: B