Philippine Amusement and Gaming Corporation (PAGCOR), Creation and Purpose.
SEC. 2. Philippine Amusement and Gaming Corporation
(PAGCOR), Creation and Purpose. — To implement State policy and pursue the
objectives set forth in the preceding Section, there is hereby created a body
corporate to be known as the Philippine Amusement and Gaming Corporation,
hereinafter referred to as the "Corporation”, which shall have its principal
office in Metropolitan Manila. The Corporation may establish such offices,
agencies, subsidiaries, or branches in the Philippines as its operations would
require and its Board of Directors may determine.
Corporate Powers.
SEC. 3. Corporate Powers. — The Corporation shall
have the following powers and functions, among others:
to prescribe its By-Laws;
to adopt, alter and use a corporate seal;
to own real or personal property, and to sell, alienate, mortgage, encumber
or otherwise dispose of the same;
to make contracts, and to sue and be sued;
to employ such officers and personnel as may be necessary or proper to carry
on its business;
to acquire, lease or maintain, whether on land, water or air, personal
property and such other equipment and facilities as may be necessary or proper
to carry out its purposes;
to import, buy, sell, or otherwise trade or deal in merchandise, goods,
wares and objects of all kinds and descriptions that may be necessary or proper
to carry out the purposes for which it has been created;
to enter into, make, perform, and carry out contracts of every kind and for
any lawful purpose pertaining to the business of the Corporation, or in any
manner incident thereto, as principal, agent or otherwise, with any person,
firm, association, or corporation.
to borrow money from local or foreign sources as may be necessary or proper
for its operations;
to invest its funds as the Corporation may deem necessary or proper in any
activity related to its principal operation, including in any bonds or
securities issued or guaranteed by the Government of the Philippines;
to perform such other powers and functions as may be provided by
law; and
to do anything and everything necessary, proper, desirable, convenient or
suitable for the accomplishment, of any of the purposes or the attainment of any
of the objects or the furtherance of any of the powers herein stated, either
alone or in' association with other corporations, firms or individuals, and to
do every other act or thing incidental, pertaining to, growing out of, or
connected with, the aforesaid purposes, objects or powers, or any part
thereof.
Authorized Capital Stock.
SEC. 4. Authorized Capital Stock. — The Corporation
shall have an authorized capital stock divided into one million voting and no
par value shares, to be subscribed, paid for and voted as follows:
550,000 shares of stock to be subscribed to and paid for by the Government
of the Republic of the Philippines at an original issue value of P200.00 per
share; and
450,000 shares remaining may be subscribed to by persons or entities
acceptable to the Board of Directors at issue value to be determined by such
Board of Directors.
The voting power pertaining to shares of stock subscribed to by the
Government of the Republic of the Philippines shall be vested in the President
of the Philippines or in such person or persons as he may designate.
The voting power pertaining to shares of stock subscribed by private persons
or entities shall be vested in them.
Government Investment.
SEC. 5. Government Investment. — The Government
advances to the Corporation authorized on May 29, 1978, having reached the
amount of P70,430,752.03, shall be converted into equity as part of the
investment of the Government to be applied to the subscription of 550,000
shares.
Board of Directors.
SEC. 6. Board of Directors. — The Corporation shall
be governed and its activities be directed, controlled and managed by a Board of
Directors, hereinafter referred to as the Board, composed of five (5) members,
three (3) of whom shall come from the Government sector and shall be appointed
by the President, while the ether two (2) shall be from the private sector, who
own at least 1 share of stock in the Corporation and who shall be elected by the
stockholders of the corporation in the annual general meeting or in a special
meeting called for such purpose.
Each Director shall serve for a term of one (1) year and until his successor
shall have been duly appointed and qualified.
Powers, Functions and Duties of the Board of Directors.
SEC. 7. Powers, Functions and Duties of the Board of
Directors. — The Board shall have the following powers, functions and
duties;
To allocate and distribute, with the approval of the Office of the President
of the Philippines, the earnings of the Corporation earmarked to finance
infrastructure and socio-civic projects;
To designate the commercial bank that shall act as the depository bank of
the Corporation and/or trustee of the funds of the Corporation;
To prepare and approve at the beginning of each calendar year the budget
that may be necessary under any franchise granted to it, to insure the smooth
operation of the Corporation; and to evaluate and approve budgets submitted to
it by other corporations or entities with which it might have any existing
contractual arrangement;
To submit to the Office of the President of the Philippines before the end
of February of each year a list of all the infrastructure and/or socio-civic
projects that might have been financed from the Corporation's earnings, and to
submit such periodic or other reports as may be required of it from time to
time; and
To perform such other powers, functions and duties as may be directed and
authorized by the President of the Philippines or as may be necessary or proper
for the accomplishment of its purposes and objectives.
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).
