Maximizing The Use Of Veterans Claims Settlement Funds For The Benefits Of Philippine Veterans And Their Dependents

MALACAÑANG
M a n i l a

PRESIDENTIAL DECREE No. 642 January 21, 1975

MAXIMIZING THE USE OF VETERANS CLAIMS SETTLEMENT FUNDS FOR THE BENEFITS OF PHILIPPINE VETERANS AND THEIR DEPENDENTS

WHEREAS, the Trust Agreement dated September 5, 1967 by and between the Republic of the Philippines as Trustor, and the Philippine Veterans Bank as Trustee over the P121,368,000.00 Veterans Claims Settlement Funds as Trust Corpus, representing the $31,120,000.00 (at conversion rate of P3.90 for every dollar) turned over by the United States of America to the Republic of the Philippines to pay the two claims of Filipino Veterans for services rendered during World War II expired as of July 7, 1972, as provided under paragraph 7 thereof, and was renewed by the parties thereto, on April 5, 1974;

WHEREAS, P38,556,272.90 was already paid to settle 62,721 claims adjudicated by the Philippine Veterans Affairs Office as of June 30, 1974;

WHEREAS, only P23,928,400.00 is still needed to settle in full the remaining claims estimated to be only about 45,083 officers and enlisted men...

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Summary of Presidential Decree No. 642

Maximizing the Use of Veterans Claims Settlement Funds for the Benefits of Philippine Veterans and Their Dependents

- Background:
• The Trust Agreement over the P121,368,000 Veterans Claims Settlement Funds from the US expired on July 7, 1972 and was renewed on April 5, 1974. (Preamble)
• P38,556,272.90 was paid to settle 62,721 claims as of June 30, 1974. (Preamble)
• Only P23,928,400 is needed to settle the remaining 45,083 claims. (Preamble)

- Provisions:
• P49 million shall be turned over to the Philippine Veterans Bank as payment for 490,000 preferred shares to increase its paid-up capital to P100 million as required by the Central Bank. Each veteran shall be entitled to one common and one preferred share. (Section 1)
• P24 million shall be retained in trust with the Philippine Veterans Bank to pay the remaining unadjudicated claims under the renewed Trust Agreement. (Section 2)
• P8 million shall be turned over to the Philippine Veterans Investment Development Corporation as partial payment for its unpaid subscription. (Section 3)
• Around P2 million shall be turned over to the Philippine Veterans Assistance Commission for medicare, veteran homes, and small business loans up to P2,000 per veteran-applicant. The funds shall be invested with PHIVIDEC for maximum yield. (Section 4)
• Inconsistent laws, decrees, orders, and regulations are repealed or modified accordingly. (Section 5)
• The heads of PVB, PHIVIDEC, PVAC, and PVAO shall coordinate for the implementation of this decree. (Section 6)