Title
Legalization of Colorum Shipbuilders
Law
Mia Memorandum Circular No. 55
Decision Date
Jul 3, 1990
The MIA Memorandum Circular No. 55 establishes a one-year amnesty program for unlicensed "colorum" shipbuilders and ship repairers to secure proper licenses from MARINA, outlining qualifications, documentary requirements, and penalties for non-compliance.

Q&A (MIA MEMORANDUM CIRCULAR NO. 55)

Shipbuilding means the design, construction, launching, and outfitting of all types of motorized watercraft except bancas, sailboats, and those less than three (3) tons, including floating structures and equipment such as oil rigs and dredgers.

Ship repair refers to the overhaul, repair, improvement, or alteration of the hull, machineries, equipment, outfits, and other components of all types of motorized watercraft except bancas, sailboats, and those less than three (3) gross tons, including floating structures and equipment like oil rigs and dredgers.

Afloat ship repair means the repair, improvement, alteration, and reconditioning of the hull or the overhaul of the machinery and equipment of vessels when at berth or anchorage.

Individuals, partnerships, or corporations engaged in shipbuilding, ship repair, or afloat ship repair without a license from MARINA under P.D. 666 and related circulars, or whose licenses have expired and have not been renewed for at least one year from expiration.

All those covered must secure their license from MARINA within one (1) year from the issuance of this Circular. Failure to do so after this period results in penalties.

The applicant must be a Filipino citizen, or if a partnership or corporation, at least 60% of the authorized capital stock must be owned by Filipino citizens, except joint ventures registered with the Board of Investments.

Applicants must submit SEC Registration/Articles of Incorporation and By-Laws or DTI Registration for single proprietorship, Business and Mayor's Permit, BIR Tax Clearance, proof of financial capacity, proof of management capability, and other relevant requirements under P.D. 666, all in triplicate.

They shall be fined P25,000.00, subjected to closure, and all rights, privileges, properties, or businesses acquired in violation of the Circular shall be forfeited.

Yes, the existing fees prescribed for the issuance of licenses for shipbuilding/ship repair must be paid upon filing the application.

It took effect fifteen (15) days after its publication in a newspaper of general circulation following its adoption on July 3, 1990.


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