Section 22
Sec. 22. The Reserve Bank shall have the right to issue bank notes in the Philippines. The Reserve Bank may make application to the Treasurer of the Philippines for such amount of notes as it may require. After the Reserve Bank shall have issued bank notes in the aggregate amount of its capital and surplus, any further application shall be accompanied with a tender to the Treasurer of the Philippines of collateral security in amount equal to the sum of the notes thus applied for the issued pursuant, to such application. The collateral security thus offered shall be notes, drafts, bills of exchange or other negotiable instruments acquired under the provisions of section seven of this Act, or bills of exchange indorsed by a member bank and purchased under the provisions of section seventeen of this Act, or treasury certificates In no event shall such collateral security be less than the amount of the notes applied for. All the notes issued or to be issued shall become a first and paramount lien on all assets of the Reserve Bank and shall be exempt from taxation. Notes of the Reserve Bank shall be prepared and delivered to, and safeguarded, issue, withdrawn, and cancelled or destroyed by the Treasurer of the Philippines in the manner prescribed by law for treasury certificates, and the Treasurer of the Philippines shall deliver to the Reserve Bank only such amount of said notes as applied for in the manner hereinabove provided.