An Act Amending Section One Hundred and Twenty-Five of Act Numbered Fourteen Hundred and Fifty-Nine of the Philippine Commission, Known as "The Corporation Law," by Making Certain Exceptions from the Requirement that Every Bank shall at All Times have on Hand Twenty Per Centum of the Aggregate Amount of its Deposits

December 10, 1910

ACT NO. 2003

AN ACT AMENDING SECTION ONE HUNDRED AND TWENTY-FIVE OF ACT NUMBERED FOURTEEN HUNDRED AND FIFTY-NINE OF THE PHILIPPINE COMMISSION, KNOWN AS "THE CORPORATION LAW," BY MAKING CERTAIN EXCEPTIONS FROM THE REQUIREMENT THAT EVERY BANK SHALL AT ALL TIMES HAVE ON HAND TWENTY PER CENTUM OF THE AGGREGATE AMOUNT OF ITS DEPOSITS

SECTION 1. Section one hundred and twenty-five of Act Numbered Fourteen hundred and fifty-nine of the Philippine Commission, known as "The Corporation Law," is hereby amended so as to read as follows:

"SEC. 125. Every such bank shall at all times have on hand, in lawful money of the Philippine Islands or of the United States, an amount equal to at least twenty per centum of the aggregate amount of its deposits in current accounts which are payable on demand and of its fixed deposits coming due within thirty days: Provided, That any banking institution in the Philippine Islands which shall have given the security required by section thirty-eight of Act Numbered Seventeen hundred and ninety-two, and been designated a Government depository as in said section provided, shall not in addition to such security be required to hold a reserve of twenty per centum of the amount of such Government deposits as may be made therein, the provisions of any other law or the by-laws of the bank notwithstanding. The term 'lawful money of the Philippine Islands' shall include silver certificates issued under authority of Act Numbered Nine hundred and thirty-eight, ordinarily called the 'Gold Standard Act' and gold certificates should the issue thereof be authorized for the Philippine Islands by the Congress of the United States, and the term 'lawful money of the United States' shall include gold and silver certificates of the United States and bank notes issued by national United States: Provided, However, That in case of a bank having branches as provided in section one hundred and twenty-eight of this Act the provision for a twenty per centum reserve shall be deemed to be complied with if the principal bank and its branches in the Philippine Islands in the aggregate have on hand twenty per centum in lawful money of the aggregate amount of the deposits in current accounts which are payable on demand and of its fixed deposits coming due within thirty days in the principal bank and all of its branches in the Philippine Islands." aTHCSE

SECTION 2. The public good requiring the speedy enactment of this bill, the same shall take effect on its passage, in accordance with section one of Act Numbered Nineteen hundred and forty-five of the Philippine Legislature.

ENACTED, December 10, 1910.