Sale of Carabaos Purchased by Insular Government

The Insular Purchasing Agent has the authority to consign animals to provincial boards for sale.
Such consignments require proper requisition from the provincial boards and authorization through a Commission resolution.

Carabaos and other draft animals may be sold by the Insular Purchasing Agent and provincial boards via public auction or other methods authorized by the Commission.
Sales are limited to farmers or individuals needing the animals for work on owned or leased property or business operations.
Certificates of purchase, containing detailed descriptions, must be issued to buyers, aligning with private sale certificates but exempt from stamp tax.

Reasonable notice of animal sales must be given where possible.
If multiple buyers are present at sale time, the privilege of choice is auctioned to the highest bidder above a set minimum price.
Minimum prices are fixed at 70 pesos for cash sales and 93 pesos for mixed cash and credit sales, convertible to Mexican or Spanish-Filipino currency at the official rate.

Sales can be made for cash or on installment terms: one-third cash, one-third after one year, and one-third after two years without interest.
Deferred payments require security by pledge, mortgage, or personal guaranty satisfactory to the provincial board or Insular Purchasing Agent.
Unpaid amounts create a preferred government lien on the animals.
Early full payment in one year is allowed at a discounted total price of 81 pesos instead of 93 pesos.

The Insular Purchasing Agent must keep detailed accounts of all sales, including branding numbers, purchaser details, prices, payment status, and securities for credit sales.
Similarly, provincial treasurers must maintain detailed sales accounts and report to the Insular Auditor and Insular Purchasing Agent.

Animals sold under this law cannot be resold, transferred, or pledged before full payment and issuance of a certificate without written authorization from the provincial board or Insular Purchasing Agent.
Such permissions must include detailed information about parties involved and the animal’s identification and be officially recorded.
Copies of permissions must be shared with relevant government offices.
Violations of this provision are punishable by fines up to 500 pesos, imprisonment up to one year, or both.

The law's enactment was expedited by authority under a procedural act of the Philippine Commission.
The law took effect immediately upon passage on August 7, 1903.