QuestionsQuestions (Republic Act No. 1168)
The policy is to prevent locally or generally scarcity, monopolization, hoarding, speculation, manipulation, and profiteering affecting the supply, distribution, and movement of the enumerated essential commodities. The law targets acts that distort market supply and prices for both imported and locally produced goods.
RA 1168 creates a Price Control Office in the Price Stabilization Corporation (PRISCO). It is charged with enforcement of the Act and issuances, under the control and supervision of the General Manager of PRISCO, subject to rules prescribed by the Board of Directors.
The maximum prices are the maximum price prevailing on December 31, 1953, as fixed under Republic Act No. 509 as amended by Republic Act No. 729.
When the market price of any covered commodity has risen or threatens to rise beyond the prevailing controlled price, or when circumstances clearly justify a reduction in the prevailing controlled price—upon recommendation of the PRISCO General Manager and Board of Directors.
They must consider: (1) average prevailing price during the preceding quarter; (2) estimated supply available; (3) cost of production (local) or landed cost (imported); (4) cost of distribution including transportation, storing, selling; and (5) reasonable profit margin to ensure continuous supply.
The General Manager must make use of index numbers of prices, production, and importation prepared and issued by the Central Bank. If inadequate, the General Manager may request additional index numbers from the Central Bank.
They take effect within fifteen (15) days after publication in a newspaper of general circulation in the Philippines.
It may examine bills of lading, bills of sales, invoices, books, records, and other pertinent documents. For this purpose, it can subpoena or subpoena duces tecum to require appearance and testimony or production of documents.
The municipal court or justice of the peace court where the person is found/resides/transacts business may, upon application and after notice and hearing, issue an order requiring appearance/testimony and production of documents; failure to obey constitutes contempt punishable by fine (up to P600) and/or imprisonment (up to 6 months).
Upon issuance of a search warrant by a competent court, the Price Control Office can inspect premises, bodegas, or storerooms where controlled stocks or related documents are kept.
Importers, manufacturers/producers, wholesalers, and retailers must file with the Price Control Office a complete and true inventory of their stock under oath, through their duly authorized representatives.
Importers must declare expected shipments under oath within five (5) days after receipt of the corresponding bills of lading and shipping documents. Also, importers/manufacturers/producers and wholesalers must transmit monthly reports of their sales under oath to the Price Control Office.
Yes. Section 6 provides that all merchandise reported as required in the Act shall be deemed offered for sale.
Retailers must post in a conspicuous place a list of controlled commodities offered for sale with corresponding prices, and attach price tags visible to the public. Retailers may not refuse to sell any such merchandise.
When a covered commodity is in short supply; when there is reasonable ground to believe it will disappear in the open market; or when there is uncontrolled inflation of prices. PRISCO may do so with the approval of the President.
It penalizes selling above the maximum price, hoarding or keeping stock beyond reported quantities, refusing to sell commodities kept as wholesaler/retailer, false or fictitious sales to defeat the Act, and failure/refusal to file required inventories/reports or to comply with any provision/order/rule. For example: selling any commodity in excess of the maximum selling price.
Imprisonment of not less than two months nor more than five years, or a fine of not less than P200 nor more than P5,000, or both. Additional collateral consequences may include business bans as provided in the same section.
For aliens: in addition to the penalty, on final conviction the offender is subject to immediate deportation without need of further proceedings by the Deportation Board. For corporations/partnerships/associations: the President, managing director, or manager is held liable under Section 9.
The Act continues in force until February 15, 1955. Convictions remain valid and enforceable; prosecutions for offenses committed during the effectivity shall continue and shall not be barred until terminated by conviction or acquittal.