Senate approves bill revising Philippine Veterans Bank charter

Senate approves bill revising Philippine Veterans Bank charter

By Ernie Reyes

MANILA — The Senate on Monday night, September 13, 2021, approved a
measure which seeks to revise the charter of the Philippine Veterans
Bank to benefit not only World War II veterans and their relatives and
heirs.

With the unanimous vote of 23 senators physically and virtually
present, Senate Bill No. (SBN) 2368, An Act Providing for the Revised
Charter of the Philippine Veterans Bank, Repealing for the purpose
Republic Act No. 3518, was passed on third and final reading.

Sen. Grace Poe, chairperson of the Committee on Banks, Financial
Institutions and Currencies and sponsors of the measure thanked
colleagues for passing the bill that should have been enacted a long
time ago, to benefit not just WWII veterans “but even those who are
still fighting for our safety and country.”

Philippine Veterans Bank was created in 1963 under Republic Act No.
(RA) 3518 and was last rehabilitated in 1992 under RA 7169.

Poe said it is high time the charter be revised to reflect the changes
that happened during the half-century of its existence and “pay
tribute to our heroic veterans and advance the constitutional mandate
of providing immediate and adequate care, benefits and other forms of
assistance to our war veterans and their surviving spouses and
orphans.”

SBN 2368 provides “immediate and adequate benefits and other forms of
assistance to all Filipino war veterans and the retired military
personnel, including their surviving spouses, orphans, and compulsory
heirs in recognition of the patriotic services in times of war and
peace for the cause of freedom and democracy.”

Aside from expanding the definition of veterans, the measure also
seeks to increase the bank’s capitalization, and some provisions to
make it compliant with the Revised Corporation Code, and other
pertinent laws, Poe said.

Among the corporate powers and duties of PVB are: to carry on a trust
business subject to compliance with pertinent provisions of laws and
in accordance with the applicable Bangko Sentral ng Pilipinas (BSP)
rules and regulations; to grant loans and advances in accordance with
Republic Act No. 8791 otherwise known as “The General Banking Law of
2000” and the BSP rules and regulations; and, to invest in stocks and
other investment instruments in accordance with Republic Act No. 8791
and the BSP rules and regulations.

According to the bill, the capital stock of the PVB shall be P10
billion divided into 75 million common shares and 25 million preferred
shares with a par value of P100 each. “The Board of Directors and
stockholders are hereby authorized to increase the authorized capital
stock and provide the features of preferred shares, subject to
pertinent laws and BSP and Securities and Exchange Commission (SEC)
rules and regulations,” the measure stated.

The term “veteran or veterans,” according to the bill also includes
“the widow, orphan or a compulsory heir of a deceased veteran, as
determined by existing laws.” Post-WWII veterans and Armed Forces of
the Philippines (AFP) retirees shall enjoy the benefits and privileges
after they have invested in the Veterans Bank, the measure added. (ai/mtvn)

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