Mr. Bernardo S. Catubay

March 27, 1995 Mr. Bernardo S. Catubay Personnel Manager Graphic Art Service, Inc. No. 70 18th Avenue Murphy, Quezon City S i r : This refers to your letter requesting information on the following: 1. Whether Bantay Bayan Foundation, Inc. is duly registered with the SEC. 2. Whether it is authorized to campaign for membership and collect membership fees. cdll The above-named corporation was registered with the Commission on December 13, 1991 with the following purposes stated in Article II of its articles of incorporation: 1. To propagate and promote barangay-based democracy for peace, stability and prosperity. 2. To organize the masses to enhance national solidarity and security. 3. To mobilize all pro-democratic forces to enhance democratic institutions and to effect socio-economic and cultural transformation of Philippine society. 4. To help government forces fight and combat criminality, lawlessness and terroristic activities which have wreaked havoc on the country and help restore peace and tranquillity. 5. To forge a closer bond with the common people in their endeavor to preserve and maintain the way of life of the common Pilipino Tao. 6. To help create a functioning body by and thru which a community may dialogue with duly-constituted authorities in times of extreme necessity and emergency. 7. To provide death, accident and sickness coverages/benefits to members. 8. To assist Rebel-Returnees in Livelihood projects as Conduit. LexLib Relative to your second query, please be advised that admission of members is a corporate power expressly granted under Section 36 of the Corporation Code, quoted in part hereunder: "SECTION 36. Corporate powers and capacity . Every corporation incorporated under this Code has the power and capacity: xxx xxx xxx. 6. In case of stock corporations, to issue or sell stocks to subscribers and to sell treasury stocks in accordance with the provisions of this Code; and to admit members to the corporation be it a non-stock corporation; . . ." (Emphasis supplied.) On the matter of collection of membership fees, Section 36 of the Corporation Code further provides: "11. To exercise such other powers as may be essential or necessary to carry its purpose or purposes as stated in the articles of incorporation." (Emphasis supplied) The By-laws of subject corporation likewise provide: "c. To pay membership dues and other assessments of the association.'' (Sec. 3 Art. V) (Emphasis supplied) "Every member of the association shall, in addition to the membership fee pay dues and/or assessments that may be imposed by the association from time to time." (Sec. 2 Art. VII) (Emphasis supplied) On the basis of the foregoing provisions, the corporation may collect reasonable membership dues and other assessments for purposes, of accomplishing the purposes or objectives for which the corporation was organized. Very truly yours, (SGD.) FE ELOISA C. GLORIA Associate Commissioner