Law Summary
Powers and Functions of the Secretary of Trade
- Conduct research on current practices and conditions affecting relevant service and repair enterprises.
- Establish and enforce ethical, moral, and professional standards.
- Set basic requirements for setting up and operating accredited enterprises.
- Promote professionalism and consumer protection in the service and repair sector.
- Investigate violations, issue subpoenas, and impose appropriate penalties.
- Collect filing and accreditation fees from enterprises and commercial practice fees from technicians, with rates varying by classification.
- Allocate up to 50% of collected fees for accreditation board maintenance and up to 10% for discretionary use.
- Create additional accreditation boards as necessary and recommend their dissolution.
- Establish exempt positions and appoint personnel for effective implementation.
- Delegate powers to officials when necessary.
- Issue rules, policies, and programs to enforce the decree.
Establishment of Accreditation Boards
- Created specific boards to assist the Secretary of Trade:
- Motor Vehicles, Heavy Equipment, Engineering Works and Engine Service
- Electronics, Electrical, Airconditioning and Refrigeration Services
- Office Equipment Services
- Medical and Dental Services
Composition and Qualifications of Accreditation Boards
- Each board comprises 9 to 11 members including the Secretary of Trade as Chairman.
- Members chosen from reputable professional or technical associations and must include a consumer representative.
- Members must be Filipino citizens, possess good moral character and integrity.
- Technical/professional members required to have recognized competence in their field.
- Vice Chairman designated by the Chairman from among members.
Compensation and Tenure of Board Members
- Chairman and Vice Chairman receive per diem not exceeding PHP 350 and PHP 200 respectively per meeting.
- Members’ monthly compensation capped at PHP 1,050 (Chairman) and PHP 600 (members).
- Staggered terms for initial board members: three one-year terms, three two-year terms, remainder three years.
- Filling vacancies to complete unexpired terms only.
Penalties for Violations
- Fines ranging from PHP 100 to PHP 5,000; imprisonment from 30 days up to 1 year; or both.
- In case of corporate violations, responsible directors, partners, or employees are liable.
- Aliens found guilty are deported after serving sentence.
- Naturalized Filipino offenders lose citizenship and are deported after sentence.
- Government officials or employees face additional penalty of perpetual disqualification from public office.
Appropriations and Funding
- Annual appropriation of PHP 1,000,000 from the National Treasury for implementation.
- Funds allocated for Accreditation Boards and the Secretary of Trade manages apportionment.
- Additional appropriations may be granted subject to justification.
Repealing Clause
- All prior laws, orders, and regulations inconsistent with this decree are repealed or amended, except those under the Professional Regulation Commission.
Effectivity Clause
- The decree takes effect immediately upon approval.