An Act to Further Amend Section Two of Commonwealth Act Numbered Seven Entitled "An Act to Create a National Loan and Investment Board, Defining its Powers, and for Other Purposes," As Amended by Commonwealth Act Numbered One Hundred Nine

September 5, 1938

COMMONWEALTH ACT NO. 391

AN ACT TO FURTHER AMEND SECTION TWO OF COMMONWEALTH ACT NUMBERED SEVEN ENTITLED "AN ACT TO CREATE A NATIONAL LOAN AND INVESTMENT BOARD, DEFINING ITS POWERS, AND FOR OTHER PURPOSES," AS AMENDED BY COMMONWEALTH ACT NUMBERED ONE HUNDRED NINE

SECTION 1. Section two of Commonwealth Act Numbered Seven, as amended by Commonwealth Act Numbered One hundred nine, is further amended so as to read as follows: ETIDaH

"SEC. 2. The National Investment Board shall be under the Department of Finance and shall have the power to invest all existing funds, the investment of which is authorized by law, and such other funds which may hereafter be declared by law to be available for investment, more particularly the following:

"(1) The Loan Fund, created under Act Numbered Thirty-three hundred and thirty-five, as amended;

"(2) The Municipal Loan Fund, created under Act Numbered Thirty-nine hundred and thirty-two;

"(3) The Friar Lands Loan Fund, created under Act Numbered Seventeen hundred and thirty-six;

"(4) The San Lazaro Estate Loan Fund, created under Act Numbered Twenty-four hundred and seventy-eight as amended;

"(5) The Private Surveyors' Loan Fund, created under Act Numbered Thirty-three hundred and twenty-seven, as amended;

"(6) The Postal Savings Bank Fund, created under Act Numbered Fourteen hundred and ninety-three, and now governed by Act Numbered Twenty-seven hundred and eleven, as amended;

"(7) The Teachers' Retirement and Disability Fund, created under Act Numbered Thirty hundred and fifty, as amended;

"(8) The Pension and Retirement Fund of the Philippine Health Service, created under Act Numbered Thirty-one hundred and seventy-three, the investment of which is authorized by Act Numbered Thirty-three hundred and ninety-one;

"(9) The Pension and Retirement Fund of the Philippine Constabulary, created under Act Numbered Twenty-seven hundred and eleven, as amended;

"(10) The Land Title Assurance Fund, created under Act Numbered Four hundred and ninety-six;

"(11) The Agricultural Cooperative Fund, created under Act Numbered Twenty-eight hundred and eighteen, as amended; and

"(12) The Property Insurance Fund, created under the Administrative Code, as amended.

"In connection with the investment of such funds, the National Investment Board shall have power to enter into contracts; to discount notes, securities, and other obligations; to execute and foreclose mortgages; to authorize the payment of brokerage fees to licensed brokers for the sale of assets acquired; to authorize a committee or committees composed of members of the board, or its chairman, to perform in its behalf, place and stead, subject to such restrictions or limitations as the Board may impose, any of the powers and duties hereinabove specified; to sue and be sued, and perform such other acts as may be required to accomplish the purpose of this Act.

"The National Investment Board is authorized to issue rules and regulations, subject to the approval of the Secretary of Finance, governing the exercise by the Board of its powers and duties, the investment of the funds under its jurisdiction and control and such other matters as may be necessary for the proper functioning of the Board. The investment of these funds shall be subject to the conditions and limitations prescribed in the respective laws creating them; except as otherwise provided herein: Provided, That the total amount of investments in discounting notes, securities and other obligations authorized herein from any of the funds enumerated above, shall not exceed twenty per centum of such fund, and the transactions of the Board shall be subject to the inspection of the Bank Commissioner of the Philippines, free of charge, and the Bank Commissioner shall make a report to the Secretary of Finance of the result of his inspection, together with such recommendation as the said Commissioner may deem proper to make."

SECTION 2. Whenever the term National Loan and Investment Board is used in Commonwealth Act Numbered Seven, as amended, the same shall hereafter be read as National Investment Board. CSTEHI

SECTION 3. This Act shall take effect upon its approval.

Approved, September 5, 1938.