VZCZCXRO4361
OO RUEHCHI RUEHCN RUEHDT RUEHHM
DE RUEHML #1975/01 2330216
ZNR UUUUU ZZH
O 200216Z AUG 08
FM AMEMBASSY MANILA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 1648
INFO RUEHZS/ASSOCIATION OF SOUTHEAST ASIAN NATIONS IMMEDIATE
RUEATRS/DEPT OF TREASURY WASHDC
RUCPDOC/USDOC WASHDC

UNCLAS SECTION 01 OF 02 MANILA 001975 
 
SENSITIVE 
 
SIPDIS 
 
STATE FOR EAP/MTS, EAP/EP, AND EEB/TPP/IPE 
STATE PASS USTR FOR BWEISEL, RBAE AND KEHLERS 
STATE ALSO PASS USAID, OPIC 
TREASURY FOR OASIA 
USDOC FOR 4430/ITA/MAC 
USDOC PASS USPTO 
BANGKOK FOR FCS JENNIFER NESS 
 
E.O. 12958: N/A 
TAGS: KIPR ETRD ECON RP
SUBJECT: PHILIPPINES IPR TO ADDRESS FLICKER PIRACY 
 
REF: Manila 497 
 
¶1.  (U) Summary: Illegal recording of movies in cinemas, known as 
"flicker piracy," is becoming an intellectual property rights 
concern for both local and foreign film industry players in the 
Philippines.  Specific legislation to address the problem is in the 
Lower House of the Philippine legislature, but not yet in the 
Senate.  A new Manila City ordinance against flicker piracy is a 
stopgap measure.  End Summary. 
 
Flicker Piracy in Metro Manila 
------------------------------- 
 
¶2.  (U) Flicker piracy is becoming a serious concern to foreign and 
local film industry players in the Philippines.  Flicker piracy, the 
illegal recording of movies while being shown in cinemas using video 
recording gadgets such as a mobile phones or more sophisticated 
camera equipment, is a violation of intellectual property rights. 
According to the Philippine Motion Picture Anti-Film Piracy Council, 
the film industry in the country could generate about 7 billion 
pesos annually nationwide without film piracy, but with increased 
film piracy in the past two years, revenues from theater ticket 
sales of local as well as foreign films only reached about 4 billion 
pesos annually.  Pirates have reportedly targeted Manila for flicker 
piracy since first run films are shown in English here without 
dubbing or subtitles.  As a result, pirates get a "clean copy" of 
the film which they can then subtitle or dub as they please. 
 
Caught Watching "Wanted" 
------------------------- 
 
¶3.  (U) Local enforcement agents of the National Bureau of 
Investigation arrested and charged two men caught illegally taking a 
video of Angelina Jolie's film "Wanted," while being shown inside a 
movie house in an SM Mall in Quezon City.  The two suspects were 
discreetly using MP4 recorders to copy the film.  When the local 
enforcement officers asked the suspects to show permission to record 
the movie, the two failed to do so.  The Quezon City Prosecutor's 
Office charged suspects with violating Section 217.1 (on copyright 
infringement) of the Intellectual Property Code of the Philippines. 
 
 
Need for an Enabling Law for Flicker Piracy 
------------------------------------------- 
 
¶4.  (SBU) Local IP stakeholders and practitioners such as the 
Philippine Motion Picture Film Anti-Piracy Council, as well as the 
Optical Media Board share the view that there is no precise law 
against flicker piracy and the IP Code as it stands may not be 
sufficient.  Hence, both local and foreign IP stakeholders are 
advocating a law that would detail firm penalties for this IPR 
violation. 
 
¶5.  (SBU) The Optical Media Board, according to its Chairman, 
Eduardo Manzano, is looking at the possibility of amending the 
Optical Media Act to expand its scope, which is now limited to 
regulation and licensing of optical media for protecting and 
promoting intellectual property rights (reftel).  He noted that 
given advances in technology, optical media may be obsolete in a few 
years. 
 
Proposed Legislation in Congress 
--------------------------------- 
 
¶6.  (U) Representative Irwin Tieng filed an anti-piracy bill known 
as the Anti-Camcording Bill (House Bill 4117).  This bill aims to 
prohibit and penalize the unauthorized possession, use and/or 
control of audiovisual recording devices for the unauthorized 
recording of cinematographic films, other audiovisual works and/or 
their soundtracks in public exhibition/ theatrical facilities.  It 
defines such unauthorized acts as contrary to the public interest, 
economic growth, and the intellectual property rights of the owners 
of cinematographic films, audiovisual works and/or soundtracks.  In 
a recent meeting with Economic Officers, a staffer of the House 
Committee on Public Information confirmed that the proposed 
Anti-Camcording Act is currently in the committee, but is not 
considered priority legislation. 
 
¶7.  (SBU) As yet there is not a counterpart bill in the Senate.  In 
a meeting with Economic Officers, Matthew Cheetham of the Motion 
Picture Association International said that they are looking for 
 
MANILA 00001975  002 OF 002 
 
 
Senators to file a similar bill. 
 
City Ordinance:  A Stop Gap Measure 
----------------------------------- 
 
¶8.  (U) On July 8, the City Council of Manila passed the Film 
Protection Ordinance of Manila which penalizes the use, possession 
and/or control of audio-visual recording devices for the 
unauthorized recording of cinematographic films and other 
audio-visual works and/or their soundtrack in cinemas or other 
exhibition facilities.  Penalties for violation of the ordinance 
include imprisonment of up to one year and a fine of up to 5,000.00 
pesos.  Manila is the first municipality in the Philippines to enact 
such a measure.  Members of the local film and movie industry, such 
as the Film Academy of the Philippines applauded this as a stopgap 
measure to combat flicker piracy. 
 
¶9.  (U) Comment:  It is good to see the local film industry actively 
fighting for intellectual property rights in the Philippines.  While 
the current IP Code is the basis for arrests for flicker piracy, 
industry stakeholders hope that new legislation will specifically 
address this violation.  In the meantime, city ordinances such as 
the Film Protection Ordinance could serve as stop-gap measures. 
 
Kenney