Repeal of Prior Incentives Law
- Section 1 repeals Republic Act No. 2261, entitled “An Act to promote economic development by giving incentives to marginal and sub-marginal industries.”
Supervision of Existing Barter Contracts
- Section 3 requires the Secretary of Commerce and Industry to create a staff from personnel of the Department of Commerce and Industry to supervise liquidation and termination of unliquidated and subsisting contracts, barter permits, and/or barter transactions.
- Section 3 covers items that were approved and sanctioned by the Producers Incentives Board under Republic Act No. 2261.
- Section 3 grants parties to such contracts, barter permits, and/or transactions time to liquidate or finalize their transactions up to December 31, 1963.
- Section 3 requires the Department of Commerce and Industry, within one week from the effectivity of the Act, to prepare and publish a list of the barter permits, contracts, transactions, and applications in at least once in all leading newspapers of general circulation in the Philippines.
- Section 3 prohibits any amendment, alteration, or modification after the required publication of the list.
Termination Benefits for Producers Incentives Board Staff
- Section 4 provides that officials, employees, and laborers of the Producers Incentives Board separated due to the Act’s effectivity who are entitled to retire shall be retired under existing retirement laws, rules, and regulations.
- Section 4 provides that those not retired are entitled to commutation of the money value of vacation and sick leaves and gratuity paid in one lump sum.
- Section 4 establishes gratuity equal to one month’s salary for every year of continuous, satisfactory service, based on the last salary received, but capped at not exceeding twelve months in the aggregate.
- Section 4 provides that any official, employee, or laborer who rendered less than one year of service is entitled to gratuity equivalent to one month’s salary.
- Section 4 authorizes and appropriates PHP 150,000 for immediate payment of retirement gratuity under Republic Act No. 396, gratuity for those not retireable under Republic Act No. 396, and commutation of vacation and sick leaves.
- Section 4 requires any remaining amount after those payments to be forwarded to the national treasury to form part of the general fund.
- Section 4 grants first priority in filling new positions that may be created in the Department of Commerce and Industry for fiscal year 1963–1964 to officials, employees, and laborers separated by virtue of the Act.
- Section 4 requires refund by any person reinstated in government service or in any government-owned or controlled corporation after receiving gratuity and/or the money value of vacation and sick leaves, for the value of the unexpired portion of vacation and/or sick leave, and the value of gratuity they would not have received had it been payable in monthly installments.
Criminal Penalties and Liability Rules
- Section 5 imposes on any person who violates the Act: a fine of not less than PHP 200 and not more than PHP 5,000, and imprisonment of not less than two months and not more than five years.
- Section 5 imposes the same penalty on persons who commit acts intended to defeat the purposes of the Act.
- Section 5 provides that if the offender is a public officer, the offender shall be punished with the maximum penalty provided for in the Act.
- Section 5 provides that if the offender is an alien, the penalty shall be the payment of the fine and immediate deportation without any further proceedings by the deportation board.
- Section 5 provides that for violations committed by a corporation, partnership, or association, the president, managing director, or manager shall be held liable under the section.
- Section 5 authorizes, in addition to the penalties, seizure and confiscation of the articles imported by the Commissioner of Customs under the procedure in the Revised Administrative Code.
Effect of Inconsistent Laws
- Section 6 repeals or modifies Acts, executive orders, administrative orders, circulars, proclamations, rules and regulations, or parts thereof that are inconsistent with the Act.
Entry into Effect
- Section 7 provides that the Act takes effect upon approval.
- The Act was approved June 20, 1963.