Amending Further Section Eighty-Six Of Republic Act Numbered Thirty Eight Hundred And Forty-Four, As Amended, Entitled "The Code Of Agrarian Reforms Of The Philippines"

MALACAÑANG
M a n i l a

PRESIDENTIAL DECREE No. 1039 October 21, 1976

AMENDING FURTHER SECTION EIGHTY-SIX OF REPUBLIC ACT NUMBERED THIRTY EIGHT HUNDRED AND FORTY-FOUR, AS AMENDED, ENTITLED "THE CODE OF AGRARIAN REFORMS OF THE PHILIPPINES"

WHEREAS, the Land Bank of the Philippines was established to provide timely and adequate financial support in all phases of the implementation of the Agrarian Reform Program of the Government.

WHEREAS, one of the major phases of such program is the financing and/or guaranteeing of the acquisition of farm and home lots transferred to the tenant-farmers pursuant to Presidential Decree No. 27; and

WHEREAS, consistent with the policy on farmers' participation and involvement in securing the benefits of agrarian reforms, the farmers should have a voice in the governing body of the Land Bank of the Philippines.

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the President, by virtue of the powers vested in me by the Constitution, do hereby decree and order:

Section 1. Section eighty-six of Republic Act Numbered three thousand eight hundred and...

Login to see full content

Summary of Presidential Decree No. 1039

Amending Section 86 of Republic Act No. 3844 (Code of Agrarian Reforms of the Philippines):

- Board of Directors of the Land Bank of the Philippines:
• Composed of 7 members
• Chairman: Secretary of Finance
• Vice-Chairman: President of the Bank
• Ex-officio members: Secretary of Agrarian Reform, Secretary of Labor
• 1 member representing agrarian reform beneficiaries (appointed by the President)
• 2 members elected by stockholders (Sec. 1)

- Election of 2 Board members by stockholders:
• Held annually on the first Tuesday after the first Monday in December
• Each shareholder has votes equal to the number of shares registered in their name as of October 31
• 1 member elected if outstanding preferred shares <= P100 million
• 2 members elected if outstanding preferred shares > P100 million (Sec. 1)

- Appointive member's term:
• 1 year, continues until successor is appointed and qualified (Sec. 1)

- Board meetings:
• Convened as necessary, at least once every 2 weeks
• Convoked by Chairman or Vice-Chairman in Chairman's absence
• Quorum: 4 members
• Decisions require concurrence of at least 4 members (Sec. 1)

- Qualifications for Directors:
• Natural-born Filipino citizen
• At least 35 years old
• Good moral character
• Proficient, expert, and competent in banking, finance, economics, law, agriculture, agrarian reform, or business management
• Not a director, shareholder, or employee of any other bank (Sec. 1)

- Per diem for Chairman and Board members:
• P250 per Board session attended
• Maximum of P2,000 per month (Sec. 1)

- Repealing and effectivity clauses (Sec. 2-3)