Short answer. No. Article 215 of the Revised Penal Code punishes any appointive public officer who, during his term, directly or indirectly becomes interested in any transaction of exchange or speculation within the territory subject to his jurisdiction. It carries imprisonment or a fine, in the amounts set by Republic Act No. 10951, or both.
What the law says
any appointive public officer who, during his incumbency, shall directly or indirectly become interested in any transaction of exchange or speculation within the territory subject to his jurisdiction.
Revised Penal Code, Article 215 — Prohibited Transactions By Officials. Read the full provision →
The prohibited conduct
Article 215 of the Revised Penal Code targets a specific conflict of interest. It penalises any appointive public officer who, during his incumbency, shall directly or indirectly become interested in any transaction of exchange or speculation within the territory subject to his jurisdiction. The officer need not act openly; becoming interested indirectly is enough. What the law forbids is the officer mixing his private financial speculation with the very territory over which his office gives him authority, where his position could improperly influence or benefit from the dealing.
Why the law forbids it
The rule guards the integrity of public office. An official who speculates or invests in business within the area he governs is exposed to an obvious temptation to use, or appear to use, his official power to advance his own stake, and to favour his interests over the public's. Even without proof of actual abuse, the law treats the situation itself as dangerous enough to punish, because the overlap between his authority and his private profit erodes trust in the impartial exercise of the office. The prohibition removes the temptation by forbidding the interest outright.
The penalty
The offense is punished by imprisonment or a fine, or both. The specific figures were updated by Republic Act No. 10951, which in 2017 revised the peso amounts throughout the Revised Penal Code; under that law the fine for this article ranges from forty thousand to two hundred thousand pesos, alongside the possible term of imprisonment. Because Republic Act No. 10951 governs the current amounts, any statement of the fine should be read against that law rather than the Code's original 1930 figures, which no longer reflect what a court may impose.
Who and when it covers
The article is precise about its reach. It applies to an appointive public officer, and to conduct during his incumbency, tied to the territory subject to his jurisdiction. An officer who becomes interested in speculation outside his area of authority, or after leaving office, is not caught by this particular provision. For anyone in appointive government service, the practical caution is clear: avoid acquiring an interest, directly or indirectly, in business speculation within the territory your office governs while you hold that office.