QuestionsQuestions (PRESIDENTIAL DECREE NO. 642)
The primary purpose of Presidential Decree No. 642 is to maximize the use of Veterans Claims Settlement Funds for the benefits of Philippine Veterans and their dependents by investing these funds in productive projects and supporting veterans' welfare.
The Veterans Claims Settlement Funds originated from the United States, amounting to $31,120,000.00, which was converted to Philippine pesos and turned over to the Republic of the Philippines to pay claims of Filipino veterans for services during World War II.
The Philippine Veterans Bank acts as the trustee of the Veterans Claims Settlement Funds as per the Trust Agreement dated September 5, 1967.
PD No. 642 orders that P49 million of the Veterans Claims Settlement Fund be segregated and turned over to the Philippine Veterans Bank as payment for 490,000 preferred shares of stock to increase its paid-up capital to P100 million.
The Philippine Veterans Investment Development Corporation (PHIVIDEC) was created pursuant to PD No. 243 as an investment arm of the government, and the Philippine Veterans Assistance Commission (PVAC) was created pursuant to PD No. 244 to render assistance to Philippine veterans.
PHIVIDEC is tasked with investing a large portion of the Veterans Claims Settlement Funds in worthwhile and productive projects to generate more funds for the benefit of veterans and accelerate socio-economic development.
P24 million of the balance of the Veterans Claims Settlement Fund was segregated and retained in trust with the Philippine Veterans Bank to pay all remaining claims still unadjudicated by the Philippine Veterans Affairs Office.
The P2 million allocation is turned over to the Philippine Veterans Assistance Commission specifically for medicare of veterans, establishing and supporting veteran homes for the aged, and providing small business loans not exceeding P2,000 to each veteran-applicant.
The Trust Agreement governs the terms and conditions for managing and disbursing the Veterans Claims Settlement Funds, ensuring proper administration and utilization for the benefit of veterans.
The President of the Philippine Veterans Bank, the President of the Philippine Veterans Investment Development Corporation, the Administrator of the Philippine Veterans Assistance Commission, and the Administrator of the Philippine Veterans Affairs Office are responsible for coordination and immediate implementation.
All provisions of laws, decrees, instructions, executive orders, proclamations, administrative orders, rules, and regulations or parts thereof inconsistent with PD No. 642 are either repealed or modified accordingly.