Republic Act No. 1576

Section 1

A new section to be denominated as section nine-A is hereby inserted after section nine of Republic Act Numbered One thousand three hundred, otherwise known as the Revised Charter of the Philippine National Bank, as to read as follows:

"Sec. 9-A. The Board of Directors shall also have the power and authority:

"(a) To create, establish and operate a "Self-Insurance System" in order to offset possible damage or loss of cash-in-transit that the Bank may suffer on account of cash and check remittances to its branches and agencies and vice-versa;

"(b) To create and establish a "Provident Fund" which shall consist of contributions made both by the Bank and its officers or employees to a common fund for the payment of benefits to such officer or employee or his heirs under such terms and conditions as its Board of Directors may fix;

"(c) To create and establish a "Supplementary Retirement Plan" for qualified officials and employees for the payment of a gratuity equivalent to one month salary for every year of service rendered by them but not exceeding two (2) years in the aggregate;

"(d) In its discretion, to accept assignments of, or as payments, certificates of indebtedness of the Government or other such similar securities: Provided, however, That the authority herein granted shall not be used as regards backpay certificates."

Section 2

All Acts or parts of Acts inconsistent or incompatible with the provisions of this Act are hereby repealed.

Section 3

This Act shall take effect upon its approval.

Approved: June 16, 1956