QuestionsQuestions (PRESIDENTIAL DECREE NO. 1637)
Presidential Decree No. 1637 amends Republic Act No. 3518 (the Charter of the Philippine Veterans Bank), as amended by Presidential Decree No. 236, to further improve the Veterans Bank’s management and operations—specifically to establish the rule that the President of the Philippine Veterans Bank shall concurrently be the Vice-Chairman of its Board of Directors.
Section 1 amends Section 6 of Republic Act No. 3518 (as amended by Section 2 of Presidential Decree No. 236) regarding the qualifications and per diems of the Board of Directors.
The Board consists of eleven (11) members.
They are: (1) the Administrator of the Veterans Affairs Office, (2) the President of the Veterans Federation of the Philippines, and (3) the Minister of National Defense.
The remaining members are: five (5) from Luzon, two (2) from Visayas, and one (1) from Mindanao.
They must be veterans of good standing, college graduates, with formal business training and/or experience in banking and finance for a period of five years, and they must be actually and physically residing in their region.
They are appointed by the President of the Philippines, hold office for one year, and until their successors are duly appointed and qualified.
The eight members of the Board of Directors (the non-ex-officio members) are elected annually by the stockholders of the respective region in the manner prescribed in the By-Laws of the Bank.
No director, officer, or employee of any other bank shall be eligible as a member of the Board of Directors of the Veterans Bank.
They receive Fifty Pesos (P50.00) for every meeting of the Board actually attended by them.
Upon a majority vote of all its members, the Board elects its Chairman and Secretary (the Secretary may or may not be a member). The Board shall have a Vice-Chairman position that is non-elective and is held by the President of the Veterans Bank in a concurrent capacity.
Pending the election of its Chairman, the President of the Bank shall preside over the Board of Directors.
Section 2 amends Section 8 by stating that the President of the Veterans Bank shall be concurrently the Vice-Chairman of its Board of Directors.
The Chief Executive is the President who is chosen by the Board of Directors, and the President serves in addition to the powers, functions, duties, and responsibilities as Chief Executive.
They must possess practical experience in banking or finance as executives for at least five (5) years.
They are elected and may be removed only for cause by the Board of Directors.
The salaries of the President, Executive Vice-President, and other Vice-Presidents are fixed by the Board of Directors.
All laws, decrees, orders, rules, and regulations inconsistent or in conflict with the Decree’s provisions are repealed or modified accordingly.
It takes effect immediately.