AMENDING SECTION ONE OF REPUBLIC ACT NUMBERED ONE THOUSAND FIVE HUNDRED THIRTY-THREE.

• Number: Presidential Decree No. 649
• Sections: 4

Preamble

WHEREAS, in the normal course of trading or handling of the

interest-bearing securities issued by the Government, its political

subdivisions, instrumentalities, and wholly owned Government

corporations, it is understandable that some of the securities would be

lost or stolen or so destroyed or defaced as to impair their value to

the owners thereof;

WHEREAS, while relief is available under Republic Act No.

1533 to owners of lost, stolen, destroyed or defaced interest-bearing

securities which are not payable to bearer and which have not been so

assigned as to become, in effect, payable to bearer, no remedy is

provided for those holding bearer securities, except where such

securities are lost or destroyed in the custody of the Government;

WHEREAS, without any legal remedy, owners of lost, stolen,

destroyed or defaced securities would not be able to recover their

investments from which the Government has already profited;

WHEREAS, in order to encourage and maintain the patronage

and support by the public of the market for bearer government securities

and for reasons of justice, fairness, and equity, relief should be

afforded to owners of bearer securities which are lost, stolen,

destroyed or defaced in their custody without had faith or gross

negligence on their part.

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

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

do hereby decree and order the following as part of the law of the land.

Section 1

SECTION 1. Section of Republic Act Numbered One thousand

five hundred thirty-three is hereby amended to read as follows:

"SECTION 1. Whenever it is clearly shown to the

satisfaction of the Central Bank of the Philippines that any

interest-bearing security issued by the Government of the Philippines,

or any of its political subdivisions, instrumentalities or wholly owned

Government corporations, identified by number and description, has,

without bad faith or gross negligence on the part of the owner, been

lost or stolen, so that it is not held by any person as his own

property, or has been wholly or partly destroyed, or so mutilated or

defaced as to impair its value to the owner, the Central Bank of the

Philippines, as fiscal agent, is hereby authorized to grant relief as

hereunder provided —

"(a) Where the security is not payable to bearer and has not

been so assigned as to become, in effect, payable to bearer, the Central

Bank of the Philippines shall, in case the security has not matured or

become redeemable pursuant to a call for redemption, issue a duplicate

thereof, having the same time to run, bearing like interest as the

security proved to have been lost, stolen, destroyed, mutilated or

defaced and so marked as to show the original number and date thereof;

or shall, in case the security has matured or become redeemable pursuant

to a call for redemption, make payment thereof to the owner, with such

interest only as would have been paid had the security been presented

when it become due and payable.

"(b) Where the security has been lost, stolen, mutilated or

defaced while the security was in the custody or control of the

Government of the Philippines (not including the Postal Service when

acting solely in its capacity as the public carrier of the mails) or of a

person thereunto authorized as lawful agent of the Government of the

Philippines, the Central Bank of the Philippines shall issue a duplicate

or make payment thereof in line with paragraph (a) above.

"(c) Where the security is payable to bearer, or so assigned as

to become, in effect, payable to bearer, and has been lost, stolen,

destroyed or mutilated under paragraph (b) above, relief may be granted

if the attendant circumstances, in the judgment of the Central Bank of

the Philippines, indicate that the security has been destroyed or

irretrievably lost and will never become the basis of a valid claim

against the issuing Government entity or the Central Bank of the

Philippines, and a sufficient period of time has elapsed after the

security has matured or become redeemable pursuant to a call for

redemption. Relief shall be in the form of payment of the face value of

the security together with interest only as would have been paid had the

security been presented when it became due and payable."

Section 2

SEC. 2. All Acts and parts of Acts inconsistent with the

provisions of this Decree are hereby repealed or modified accordingly.

Section 3

SEC. 3. This Decree shall take effect immediately.

Done in the City of Manila, this 30th day of January, in the

year of Our Lord, nineteen hundred and seventy-five.

(Sgd.)

FERDINAND E. MARCOS

President of the Philippines

By the President:

(Sgd.)

ROBERTO V. REYES

Acting Executive Secretary