Question & AnswerQ&A (EXECUTIVE ORDER NO. 3)
The main purpose of Executive Order No. 3 is to revert the Board of Liquidators from the Asset Privatization Trust back to the Office of the President as an attached agency to ensure its efficient functioning in liquidating government entities and complementing the Asset Privatization Trust's efforts.
The Board of Liquidators shall continue performing its former functions and responsibilities, which include handling the winding-up of affairs of abolished government corporations and entities placed under its jurisdiction.
The Board of Directors is composed of the Executive Secretary or his designated representative as Chairman, and two Members who shall be appointed by the President.
Executive Order No. 149 dated December 28, 1993, Executive Order No. 345 dated June 14, 1996, and Memorandum Order No. 401 dated October 10, 1996 are repealed by this Executive Order.
The Board of Liquidators was previously under the Asset Privatization Trust, tasked with managing liquidation and asset disposition, but this EO reverts it to the Office of the President to maintain its focus and complement the Trust’s activities.
Because requiring the Asset Privatization Trust to handle the Board’s liquidation tasks affected its efficiency in generating substantial cash returns to the government, thus reverting the Board to the Office of the President would complement the Trust’s thrust better.
The Executive Order took effect immediately upon its signing on July 15, 1998.
An attached agency refers to a government agency that is administratively linked to a department or office (here, the Office of the President) but retains some degree of autonomy in its operations.
The order helps streamline and enhance the liquidation process by separating the functions of the Board of Liquidators from the Asset Privatization Trust, aiming for a more efficient disposition of assets to maximize cash recovery for the National Government.