[ Act No. 2705, March 10, 1917 ]

AN ACT TO CREATE THE NATIONAL COAL COMPANY.

Be it enacted by the Senate and House of Representatives of the Philippines in Legislature assembled and by the authority of the same:SECTION 1. A company is hereby organized, which shall be known as the National Coal Company, the principal office of which shall be in the city of Manila, and which shall exist for a period of fifty years, from and after the date of the approval of this Act.SEC. 2. The said company shall be subject to the provisions of the Corporation Law in so far as they are not inconsistent with the provisions of this Act, and shall have the general powers mentioned in said Act and such other powers as may be necessary to enable it to prosecute the business of developing coal deposits in the Philippine Islands, and of mining, extracting, transporting, and selling the coal contained in said deposits.SEC. 3. The capital of said company shall be three million pesos divided into thirty thousand shares of stock having a par value of one hundred pesos each, and no stock shall be issued at less than par nor except for cash.SEC. 4. The Governor-General, on behalf of the Government of the Philippine Islands, shall subscribe for fifty-one per centum of said capital stock, and the remainder shall be offered to the public. Ten per centum of the value of all stock subscribed shall be paid at the time of the subscription, and the balance thereof shall be paid at such time as shall be prescribed by the Board of Directors. The voting power of all such stock owned by the Government of the Philippine Islands shall be vested exclusively in a committee consisting of the Governor-General, the President of the Senate, and the Speaker of the House of Representatives.SEC. 5. The board of directors of the company shall consist of five members.SEC. 6. There is hereby appropriated, out of any funds in the Insular Treasury not otherwise appropriated, the sum of one million five hundred and thirty thousand pesos, for investment in the stock of the National Coal Company to be acquired by the Insular Government: Provided, however, That the Insular Auditor shall not set up said sum on his books in full, but only such part or parts thereof as it may be necessary to invest for the development of the corporation created by this Act.SEC. 7. All Acts or parts of Acts inconsistent with this Act are hereby repealed.SEC. 8. This Act shall take effect upon its approval.Approved, March 10, 1917.

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