President Aquino calls on all departments, agencies, local government units to support technical working group onBaguio and Boracay

President Benigno S. Aquino III has enjoined all departments, agencies and instrumentalities of the national government and local government units (LGUs) to actively support the Technical Working Group (TEG) on Baguio and Boracay for the preparation of comprehensive plans and programs to preserve and develop these places.

The Chief Executive issued the directive by virtue of Memorandum Circular (MC) No. 47 signed by Executive Secretary Paquito N. Ochoa Jr. on May 17.

Baguio City and Boracay Island are leading tourist destinations that are considered national assets, the President said.

He said rapid growth, commercialization, and the lack of a comprehensive development and zoning plan have caused the degradation and deterioration of the two localities.

The President has directed the secretaries of Tourism, Environment and Natural Resources, Interior and Local Government, and Justice to constitute a Technical Working Group (TWG) to review the environmental, commercial, tourism, and law and order situation in Baguio and Boracay for the purpose of developing comprehensive plans to preserve these vital national assets.

He said there is need to ensure full support and cooperation from all officials and employees of government agencies and instrumentalities, including Government-Owned and Controlled Corporations for the successful completion of its tasks and functions.

The President designated the Secretary of Tourism as coordinator of the technical working group to ensure proper formulation and full integration of social and economic policies, plans, and programs.

He directed the said technical working group to work with all concerned stakeholders, including the LGUs with jurisdiction over Baguio and Boracay, in the preparation and implementation of plans and programs, and to submit regular reports to the Office of the President.

This Memorandum Circular shall take effect immediately.

President Aquino signs into law a consolidated bill amending Rural Bank Act to allow foreign capital infusion in rural banks

President Benigno S. Aquino III has signed into law a consolidated bill amending the Rural Bank Act to allow foreign capital infusion in rural banks.

Deputy Presidential Spokesperson Abigail Valte announced during the regular press briefing in Malacanang on Wednesday that the Chief Executive signed on May 24 Republic Act 10574 otherwise known as "An Act Allowing the Infusion of Foreign Equity in the Capital of Rural Banks, Amending Republic Act No. 7353 otherwise known as "The Rural Bank Act of 1992," as amended and for other purposes.

The Act is a consolidation of House Bill 5360 and Senate Bill 3282 that were finally passed by the House of Representatives and the Senate on February 4, 2013 and January 30, 2013, respectively.

The new law amends Section 4 of Republic Act 7353 to enable foreign individuals and entities to acquire equity of up to 60% in rural banks.

"Non-Filipino citizens may own, acquire or purchase up to sixty percent (60%) of the voting stocks in a rural bank. The percentage of foreign-owned voting stocks shall be determined by the citizenship of the individual or corporate stockholders of the rural bank," the law said.

Prior to the passage of this Act, foreign banks are allowed to acquire equity in rural banks but prohibits foreign individuals or foreign entities from doing the same.

The new law provides "that no rural bank shall be operated without a Certificate of Authority from the Monetary Board of the Bangko Sentral ng Pilipinas. Rural banks shall be organized in the form of stock corporations. No less than forty percent (40%) of the voting stocks of a rural bank shall be owned by citizens of the Philippines or corporations or associations organized under the laws of the Philippines at least sixty percent (60%) of whose capital is owned by such citizens."

Under RA 10574, non-Filipino citizens may become members of the Board of Directors of a rural bank but their participation in the Board shall be limited to their proportionate share in the equity of the rural bank: Provided, however, that at least one (1) independent director shall be elected to the Board of Directors.

"No director or officer of any rural bank shall, either directly or indirectly, for himself or as the representative or agent of another, borrow any of the deposits or funds of such banks, nor shall he become a guarantor, indorser, or surety for loans from such bank to others, or in any manner be an obligor for money borrowed from the bank or loaned by it except with the written approval of the majority of the directors of the bank, excluding the director concerned. Any such approval shall be entered upon the records of the corporation and a copy of such entry shall be transmitted forthwith to the appropriate supervising department. The director/officer of the bank who violates the provisions of this section shall be immediately dismissed from his office and shall be penalized in accordance with Section 26 of this Act," the law said.

The Monetary Board may regulate the amount of credit accommodations that may be extended directly to the directors, officers or stockholders of rural banks of banking institutions. However, the outstanding credit accommodations which a rural bank may extend to each of its stockholders owning two percent (2%) or more of the subscribed capital stock, its directors, or officers shall be limited to an amount equivalent to the respective outstanding deposits and book value of the paid-in capital contributions in the bank.”

Under this Act, loans or advances extended by rural banks organized and operated under this Act shall be primarily for the purpose of meeting the normal credit needs of farmers, fishermen or farm families owning or cultivating land dedicated to agricultural production as well as the normal credit needs of cooperatives and merchants.

The new law "provides supplemental capital to any rural bank until it has accumulated enough capital of its own or stimulate private investments in rural banks, the Land Bank of the Philippines, the Development Bank of the Philippines or any government-owned or -controlled bank or financial institution shall subscribe within thirty (30) days to the capital stock of any rural bank from time to time in an amount equal to the total equity investment of the private shareholders which shall be paid in full at the time of the subscription or such amount as may be necessary to promote and expand rural economic development: Provided, however, that shares of stock issued to the Land Bank of the Philippines, the Development Bank of the Philippines or any government-owned or -controlled bank or financial institution, may, pursuant to this section, at any time, be bought at adjusted book value."

According to the new law, the Bangko Sentral ng Pilipinas, consistent with Section 11 of Republic Act No. 7353, "shall prescribe the necessary rules and regulations on the amendments of the Rural Banks Act of 1992 in consultation with various stakeholders as well as disseminate this information to allow entry of foreign equity into our rural bank system to revitalize the rural banking industry and improve access of banking services to the rural areas in the country."

The implementing rules and regulations shall be published within ninety (90) days from the publication of this Act in two (2) newspapers of general circulation in the Philippines.

This Act shall take effect 15 days after its complete publication in the Official Gazette or in at least 2 newspapers of general circulation, whichever is earlier.

President Aquino signs laws creating more courts, amending Family Code

President Benigno S. Aquino III recently signed into law Republic Acts creating more courts of justice in the Philippines and amending provisions in the Family Code Establishing the Liability of the Absolute Community or Conjugal Partnership for an Obligation of a Spouse who Practices a Profession and the Capability of Either Spouse to Dispose of an Exclusive Property, Deputy Presidential Spokesperson Abigail Valte said on Wednesday.

In a press briefing in Malacanang, Valte said the President signed Republic Acts 10562 up to 10571 “creating courts in several areas.”

“First, from R.A. 10562 to R.A. 10571…we now have new courts in Paniqui, Capas, Concepcion, Tarlac (in the province of Tarlac); in Digos, Davao del Sur; as well as in Pasig (in Metro Manila); in Urdaneta, Pangasinan; Antipolo, Rizal; Biñan, Laguna; Cebu City; and Bais, Negros Oriental,” Valte said.

Valte added that the President signed RA 10572 which establishes the Liability of the Absolute Community or Conjugal Partnership for an Obligation of a Spouse who Practices a Profession and the Capability of Either Spouse to Dispose of an Exclusive Property.

According to Valte, this new law amends Articles 73 and 111 of Executive Order No. 209, also known as the Family Code of the Philippines (FCP) designating the Courts to determine if there is basis for any objection between spouses in exercising any legitimate occupation, business or activity and to discern whether any benefit from this exercise should accrue against community property or separate property; and allowing “either spouse may mortgage, encamber, alienate, or otherwise, dispose of his/her exclusive property,” respectively.

“So, ang spouse po hindi kailangan ng pahintulot sa kanyang kabiyak para mag-practice ng isang legitimate occupation or profession. Ngunit kung meron disagreement, the court can step in and decide if there is basis to the objection of the spouse,” Valte said.

“Ngayon, kung nag-benefit na po ang pamilya from the proceeds of that occupation or profession that is being objected to, then puwede na pong i-charge ang benefit to the community property. Kung hindi naman po nag-object, nag-benefit muna, tapos saka lang nag-object, then it should be charged to the separate property of the spouse,” she said.

Valte said the amendment to Article 111 of the Family Code was done to reflect changes in the law.

Palace says judicial reforms continue

Reforms in the judiciary is continuing and the Aquino administration remains committed in pushing this initiative, a Palace official said on Wednesday.

A year after former chief justice Renato Corona was convicted by the Senate for not fully disclosing his assets, Deputy Presidential spokesperson Abigail Valte said the administration hasn’t wavered in reforming the country’s judiciary.

“It’s still a work in progress,” Valte said in a press conference in Malacanang on Wednesday. “Perhaps, the impact immediately that you could already see is the emphasis given on the filing of SALNs [statements of assets, liabilities and net worth] when it comes to employees of the government. But it is still a work in progress,” she said.

“We hope to continue the reforms that the President has been talking about since he was a candidate for the presidency in May 2010,” Valte said.

In May last year, the Senate, sitting as impeachment court, voted 20-3 to convict Corona for betrayal of public trust and culpable violation of the Philippine Constitution.

The court ruled that Corona was guilty of Article II of the impeachment complaint: the chief magistrate did not fully disclose his assets in his SALN.

Corona’s conviction came at the end of a five-month trial with the entire nation glued to their television sets watching events as they unfolded.

The verdict was seen as a triumph for President Benigno S. Aquino III who campaigned in the 2010 presidential election under the “daang matuwid” reform agenda.

The President never recognized Corona’s appointment as chief justice by then-President Gloria Macapagal-Arroyo a few weeks before she stepped down in 2010.

President Aquino vetoes rights of Internally Displaced Persons Act of 2013

President Benigno S. Aquino III has vetoed a consolidated bill entitled “Rights of Internally Displaced Persons Act of 2013," saying the measure's provisions are in conflict with the Constitution.

The Chief Executive vetoed last May 24 "An Act Protecting the Rights of Internally Displaced Persons, Providing Penalties Therefore and For Other Purposes"

The vetoed measure is a consolidated enrolled Senate Bill No. 3317 and House Bill No. 5627.

In his veto message sent to the Senate, the President said that while the objectives of the bill relating to the protection and promotion of rights of internally displaced persons (IDPs) are laudable, the measure’s provisions conflict with the Constitution.

The President cited four grounds in vetoing the bill.

First, the bill’s provision on damages unlawfully differentiates between displacements caused by security agents of the State and other entities;

Second, the power granted to the CHR (Commission on Human Rights) to determine damages incurred against IDPs and facilitate the award of such claims is a power that belongs exclusively to the Judiciary, thus impinging on the latter’s exclusive power;

Third, the additional powers that it grants to the CHR exceed those which the Constitution intended to give as it was conceived as an investigative and recommendatory agency exercising limited powers; and

And fourth, the provision allowing individuals to claim financial assistance and compensation from the government opens the door to a slew of claims or cases against the government, and goes against the 'non-suability' character of the State."

RDC-X chairperson bares gains in state of the region address

By Apipa P. Bagumbaran

CAGAYAN DE ORO CITY, May 30 (PIA) -- Iligan City Mayor Lawrence Ll. Cruz, chairperson of the Regional Development Council of Northern Mindanao (RDC-X), spelled out the major accomplishments of the Council in the past three years in his State of the Region Address (SORA) which he delivered during the 97th RDC-X meeting held Iligan City on Tuesday, May 28.

He said that the region’s quest to present Northern Mindanao as the most competitive, efficient and attractive transshipment hub and the leading industrial core and trade center in Southern Philippines is now fast becoming a reality.

According to him, various infrastructure projects have been implemented including the improvement of the region’s road networks and seaports.

He said the RDC has created the Special Committee on the Laguindingan Airport Development Project that fast-tracked the formulation of immediate actions on issues and concerns pertinent to the operation of the much-awaited international standard Laguindingan Airport.

RDC-X was also instrumental in bringing back the survivorship benefits removed in August 2009 for gainfully employed surviving spouses of GSIS members, Cruz added.

Moreover, the Council endorsed the following proposals for inclusion in the Regional Development Investment Program 2011-2016: Road Development Projects in Ozamiz City; Iligan Coastal By-Pass Road Project; Iligan Tourism Triangle Development Master Plan; Gilligan-Bukidnon Agribusiness and Ecotourism Growth Corridor Master Plan; and eFlood Control Development Master Plan for Mandulog and ligan Rivers and the Conduct of a Feasibility Study for a Sabo Dam Project in Iligan City.

The Council further supported the request for the National Disaster Risk Reduction and Management Council (NDRRMC) through the Regional DRRMC to retain the budget for Iligan City recovery and rehabilitation after 2013 until all the projects in the P12 billion plus Calamity Fund have been completed.

It also expressed support to the amalgamation of the State Universities and Colleges (SUCs) in Region X; the passage of the Magna Carta for Barangay Nutrition Scholars;RA 10070 Establishing an Institutional Mechanism to Ensure the Implementation of Programs and Services for Persons with Disabilities, Amending RA 7277 known as the Magna Carta for Disabled Persons; and the revised implementing rules and regulations governing Section 18 of the Urban Development and Housing Act (UDHA) to fast-track the relocation of high-risk communitiesto safe areas.

Meanwhile, the RDC awarded Certificates of Appreciation to its officials for their exemplary leadership and Certificates of Recognition to its members for their steadfast commitment, active participation and continuing support in attaining regional development.

The said meeting was the last full council conference presided by Mayor Cruz as the RDC now prepares for its reorganization in August 2013 for the 2013-2016 term. (Peleta B. Abejo/NEDA-10/APB/PIA-10))