Section 3
SEC. 3. A bond of indemnity shall not be required in any of the following cases: If the Central Bank of the Philippines is fully satisfied that the destruction, defacement or loss, as the case may be, occurred without fault of the owner and while the security was in the custody or control of the Republic 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 duly authorized as lawful agent of the Republic of the Philippines. If substantially the entire security is presented or surrendered by the owner and the Central Bank of the Philippines is satisfied as to the identity of the security presented and that the missing portions are not sufficient to form the basis of a valid claim or claims against the Republic of the Philippines or the Central Bank of the Philippines.