Title
Amendment to Nat'l Coconut Corp. Act
Law
Republic Act No. 5
Decision Date
Aug 1, 1946
Republic Act No. 5 amends sections of Commonwealth Act No. 518 to establish the National Coconut Corporation, which aims to operate drying plants, provide production loans, and trade in coconut and its by-products, with a board of directors appointed by the President and an additional operating capital of five million pesos.

Composition and Appointment of the Board of Directors

  • Board consists of seven members appointed by the President with the Commission on Appointments' consent.
  • The President appoints the chairman from among board members.
  • Directors serving at the time of the Act continue until removed by the President.
  • The President has discretion to remove any director.

Board Meetings, Quorum, and Oaths

  • Four members constitute a quorum for transacting business.
  • Directors must take an oath before assuming duties.

Compensation and Remuneration

  • Directors receive a per diem not exceeding twenty-five pesos per meeting day attended, except the chairman.
  • Chairman serves also as general manager and receives compensation not exceeding fifteen thousand pesos per annum.
  • Government officers/employees receiving fixed government salary who serve as directors are not entitled to the per diem.

Reporting and Accountability

  • The board must submit annual report and balance sheets to the President and Congress as required by the Administrative Code.

Appropriation of Additional Operating Capital

  • A sum of five million pesos appropriated from the Philippine Treasury as additional operating capital.
  • Disbursement of funds requires authorization from the Board of Directors.

Effectivity Clause

  • The Act's provisions take effect immediately upon approval on August 1, 1946.

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