AUTHORIZING STOCK TRANSACTIONS BY MEMBERS OF AN OPERATING STOCK EXCHANGE THROUGH MEMBERS OF ANY OTHER OPERATING STOCK EXCHANGES WHEN NECESSARY TO EXECUTE CUSTOMERS' ORDERS.

• Number: Presidential Decree No. 282
• Sections: 5

Preamble

WHEREAS, the purchase and sale of sizable block of

securities require time if done only in one stock exchange, particularly if the

market is not bullish. Moreover, it tends to weaken the price of the

security;

WHEREAS, the best interest of the seller and the buyer of

securities will be served if more than one broker handle the transaction if the

same is carried out in any or all the operating stock exchanges; and

WHEREAS, to infuse more interest among investors in the

stock market and help create a healthier investment climate, it is necessary

that transactions affecting listed securities be spread out among as many people

as could handle the same profitably with a view to promoting an active market

and not dampen it;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the

Philippines, by virtue of the powers vested in me by the Constitution as

Commander-in-Chief of all the Armed Forces of the Philippines, and pursuant to

Proclamation No. 1081, dated September 21, 1972, and General Order No. 1, dated

September 22, 1972, as amended, do hereby order and decree as part of the law of

the land, the following:

Section 1

SECTION 1. Any provision of law or decree to the contrary

notwithstanding, any and all brokers of an operating stock exchange are hereby

authorized to transact and/or execute orders through members of any other

operating stock exchanges when necessary in the interest of customers, pursuant

to such terms and conditions as may be mutually agreed upon between the

executing brokers: Provided, That the customer shall not pay more than

the authorized commission, and an appropriate report on the matter is submitted

to the Securities and Exchange Commission.

Section 2

SEC. 2. The Securities and Exchange Commission is hereby

authorized to promulgate such rules and regulations as may be necessary to

implement this Decree, and to impose fines, suspension or revocation of license

of the guilty party for any violation thereof, as provided under

existing laws.

Section 3

SEC. 3. Any and all laws, decrees, rules or regulations

contrary to, or in conflict with, any provisions of this Decree are hereby

repealed or modified accordingly.

Section 4

SEC. 4. This Decree shall take effect immediately.

Done in the City of Manila, this 30th day of August, in the year of Our Lord,

nineteen hundred and seventy-three.

(Sgd.) FERDINAND E. MARCOS

President

Republic of the Philippines

By the President:

(Sgd.) ROBERTO V. REYES

Assistant Executive Secretary