DATE=8/23/2000
TYPE=BACKGROUND REPORT
TITLE=PHILIPPINES / CYBER LAW
NUMBER=5-46903
BYLINE=GRACE CUTLER
DATELINE=HONG KONG
CONTENT=

VOICED AT:

INTRO: This week the so-called "Love Bug" computer 
hacker - believed responsible for disabling millions 
of the world's computers last May - walked free in the 
Philippines. Government prosecutors said they couldn't 
prosecute due to a lack of electronic commerce 
legislation. The incident has raised questions about 
the inadequacy of cyber laws in developing countries.  
Grace Cutler has more from Hong Kong. 

TEXT: There may have been no electronic commerce laws 
on the books when Onel de Guzman released the "I Love 
You" virus, but legislation was in the pipeline.

The E-commerce Act was introduced in the Philippines 
Congress four years ago. But it was not until a month 
after the message-reproducing virus was injected into 
global computer networks in May, that lawmakers passed 
the bill.  

Experts say the measure languished so long in part 
because legislators did not understand what it meant.
Philippine lawyer Joseph Alehendro from Romulo Law 
firm in Hong Kong is says the new legislation is 
already outdated and not able to protect against many 
of today's cyber crimes. 

            /// ALEHENDRO ACT ///

It's nothing great.  As I understand it, it is just a 
prototype of an e-commerce regulation.  But it's not 
up to date as the progress of technology.

            /// END ACT ///

The virus is believed to have cost nearly 10 billion 
dollars in damage when companies and governments 
around the world were unable to function due to frozen 
computer networks. The computer-reliant, more 
developed countries were hardest hit. 

And even though the Philippines had the suspect and 
the evidence, the new law they needed to prosecute 
could not be applied retroactively to crimes.  

The Philippines is not alone when it comes to 
inadequate legal armor. In 1997, the United Nations 
adopted a universal e-commerce law to help developing 
countries deal with computer viruses such as the "Love 
Bug."  The Philippines, as well as many other 
countries, has yet to ratify the bill.

Despite the risks, many electronic commerce companies, 
looking to set up shop, are attracted to the 
Philippines' low rental costs and highly educated work 
force. 

Political scientist Alex Magno from the University of 
the Philippines in Manila, says although the country 
is rich in talent, an idle pool of computer students 
could create problems. 

            /// MAGNO ACT ///

We have a very, very large army of software 
specialists.  Not all of them will be immediately 
employed. A lot of them will find entertainment in 
hacking.

            /// END ACT ///

But Mr. Magno says the new e-commerce bill, while not 
perfect, will dissuade hackers from committing crimes 
at least in the short term. He says the global infamy 
of the "Love Bug" is likely to prompt the government 
to adopt a get tough attitude on high-tech offenders. 

But he also points out that these and other cyber 
crimes have also created a moral dilemma in the 
Philippines. The alleged "I Love You" bandit Onel de 
Guzman has already had several job offers, including 
at least one at a Silicon Valley company in the United 
States. Hackers may try to follow suit in order to get 
high paying jobs.

Legal experts say unlike robbery or murder, computer 
attack is not universally recognized as a crime. 
Countries that do not have legislation could become a 
haven for would-be cyber-criminals. (signed)

NEB/HK/GC/JO 



24-Aug-2000 04:07 AM LOC (24-Aug-2000 0807 UTC)
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Source: Voice of America
.