Publishing Department Order No. 27-66 of the Department of Finance, dated April 4, 1966, Relative to the Implementation of Executive Order No. 10 of the President of the Philippines dated February 24, 1966, entitled "Centralizing the Custody and Disposition of Goods and Payment of Rewards to Informers"

August 10, 1966 REVENUE MEMORANDUM ORDER NO. 46-66 SUBJECT : Publishing Department Order No. 27-66 of the Department of Finance, dated April 4, 1966, Relative to the Implementation of Executive Order No. 10 of the President of the Philippines dated February 24, 1966, entitled "Centralizing the Custody and Disposition of Goods and Payment of Rewards to Informers" TO : All Internal Revenue Officers and Others Concerned For the information and guidance of all internal revenue officers and others concerned, there is quoted hereunder Department Order No. 27-66 of the Department of Finance, dated April 4, 1966, relative to the implementation of Executive Order No. 10 of His Excellency, the President of the Republic of the Philippines, dated February 24, 1966, the subject of which is "Centralizing the Custody and Disposition of Goods and Payment of Rewards to Informers." cdta "Republic of the Philippines DEPARTMENT OF FINANCE Manila "April 4, 1966 "DEPARTMENT ORDER NO. 27-66 "IMPLEMENTING EXECUTIVE ORDER NO. 10 DATED FEBRUARY 24, 1966, ENTITLED 'CENTRALIZING THE CUSTODY AND DISPOSITION OF GOODS AND PAYMENT OF REWARDS TO INFORMERS' AND FOR OTHER PURPOSES. "Pursuant to Section 79(B) of the Revised Administrative Code, and in implementation of Executive Order No. 10 dated February 24, 1966, of the President of the Philippines, entitled '"Centralizing the Custody and Disposition of Goods and Payment of Rewards to informers"', and in order to carry out efficiently and effectively the purposes and objectives sought to be accomplished, an agency is hereby created to be known as the 'Claims Adjudication and Disposal Administration', or CADA for short. "The CADA shall be headed by a Chief Action Officer, Disposal of Confiscated Goods, who shall, for purposes of this Order, be designated and henceforth be known as the Administrator. "Subject to previous approval of this Department, the Chief of the CADA is hereby authorized to prepare and submit to this Department an organizational chart, staffing pattern, general operational structure and budgetary requirements of the CADA with an eye to maximization of efficiency and effectiveness. "Pending final organization of the CADA, and as a temporary measure, the Administrator is hereby authorized to issue all necessary circulars, rules, regulations or instructions of temporary application, with copies furnished the Secretary of Finance, or otherwise perform all acts necessary to carry out the purposes and objectives of Executive Order No. 10. He shall render a forthnightly overall report of operations to the Secretary of Finance. "Effective April 1, 1966, the Commissioner of Customs, the Commissioner of Internal Revenue, and all other offices or agencies who heretofore have been charged with the functions of disposing through public auction or sale of seized, confiscated and/or abandoned goods, in the manner provided by existing laws, shall cease performing such functions. They shall undertake an inventory of all such goods and commodities in the possession of or under the jurisdiction of their respective bureaus or offices and submit the same to the Administrator of the CADA, with copies of such inventories furnished the Secretary of Finance. "The Auction and Cargo Disposal Division of the Bureau of Customs, including its present facilities and permanent personnel, are hereby temporarily placed, for operational purposes, under the Administrator of the CADA. Such personnel of the Tobacco and Miscellaneous Division of the Bureau of Internal Revenue as may be needed by the CADA, on recommendation of the Commissioner of the Bureau of Internal Revenue and approved by the Secretary of Finance, shall also be temporarily placed for operational purposes under the CADA. The Administrator, subject to the approval of the Secretary, is hereby authorized to call upon or detail any government officer or employee outside the Department of Finance for temporary assignment or service in the CADA, as authorized by Executive Order No. 10. "The CADA shall immediately designate, with prior approval of the Secretary of Finance, members of the Awards Committee on Bids and Public Auction whose members shall be subject to change as the circumstances may warrant. The Administrator is hereby directed to submit to this Department within ten (10) days from the date hereof all such rules and regulations governing a system of public auction, disposal and sale of seized, confiscated and/or abandoned goods which shall outline the following in detail: "1. Inventory, examination and appraisal of articles subject to auction sale; 2. Determination of the amount of duties and taxes due on said articles; 3. Advertisement of a general notice of sale of general merchandise as well as of perishable commodities; 4. Distribution of notice of sale of quantity and condition of subject articles before actual bidding; 5. Inspection of subject articles by prospective bidders; 6. Manner of auction sale, whether public and open or through sealed bidding; 7. The manner of posting bonds by prospective bidders; 8. Rejection or approval of bids if such is the decision of the awards Committee; 9. Dissemination of auction report or of winning bidders; 10. Individual notice of awards to winning bidders; 11. Manner of payment by prospective bidders; 12. Procedure and manner of affixture of Bureau of Internal Revenue strip stamps if articles are subject to specific tax; 13. Compliance with requirements of the Bureau of Health on delivery of perishable foodstuffs which are subject to health inspection; and 14. Frequency of auction sales in a given period. "The CADA shall also immediately organize an Awards Committee who shall receive, screen, evaluate, and pass upon the merits of all claims for rewards for violation of internal revenue and customs laws and regulations, as provided in R.A. 2338. The Administrator shall consult with the Anti-Smuggling Action Center, as provided in Executive Order No. 10 dated February 24, 1966. He shall formulate rules and regulations on the screening, evaluation and approval of bona fide and meritorious claims for reward filed under R.A. 2338. As far as practicable, all such claims shall be expeditiously acted upon and disposed of as an incentive to informers under the law. "All previous orders and regulations which are inconsistent with this Department Order are hereby revoked or modified accordingly. All officers and personnel of the Department of Finance, its bureaus and offices, as well as all personnel in field offices including those of the treasury offices in cities, provinces and municipalities are hereby directed to render their support and cooperation in the common effort to fulfill and accomplish the objectives and purposes of Executive Order No. 10." "(SGD.) EDUARDO Z. ROMUALDEZ Secretary" Attention is invited to paragraph 5 of the aforequoted Department Order and strict compliance thereof is enjoined. prcd MISAEL P. VERA Commissioner of Internal Revenue