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SECTION 1.       Title — These guidelines shall be known as the "Guidelines on Share Books and Share Capital Certificates".

SECTION 2.       Share Book — (a) Every newly registered cooperative shall present for authentication a blank share book to the Cooperative Development Specialist II (CDS II) assigned to the cooperative's area of operations within ninety (90) days from the issuance of the cooperative's certificate of registration.

b.      As soon as one share book is filled up, the cooperative secretary shall present for authentication another blank share book.  The filled up share book shall be presented to the CDS II for inspection and verification.

c.       For cooperatives registered prior to the effectivity of the Cooperative Code and those under transformation from the fixed deposit system to the share capital system, their respective cooperative secretaries shall present blank share books to the CDS II within (30) days from notice to present such share books.

SECTION 4.       Contents of the Share Book — The share book to be used by cooperatives shall contain the following information in columnar format:

a.      The date the information was entered;

b.      The name and complete address of the member;

c.       The number of share capital contributed by the member;

d.      The value of such shares contributed by the member;

e.      The serial number of the share capital certificate issued by the cooperative evidencing such contribution of the member;

f.        A remarks column wherein any transaction concerning such shares shall be entered, such as transfer to another member or withdrawal by the member of such share capital contribution.

SECTION 5.       Duties of the CDS II — (a) It shall be the duty of every CDS II assigned to verify the share books of every cooperative within his area of responsibility.

b.      On the first blank page of every share book, the CDS II shall make the following notation: "I have inspected and verified the _____ share book of the _________ cooperative, consisting of ___ pages"; wherein the first blank shall correspond to the number of the share book, the second blank is the full name of the cooperative and the third blank is the number of pages of such book.  The notation shall be signed by the CDS II over his printed name and the date the notation was made.

c.       When the said share book is all filled up, the CDS II shall make the proper notation on the last page of said share book as follows: "I have inspected the __ share book of _______________ cooperative and all the pages thereof have been completely filled up."  He shall then sign the said notation over his printed name and the date he made such verification.

SECTION 6.       Duties of the Cooperative Secretary — In addition to those duties and functions of the Secretary of the cooperative as stated in the by-laws, the secretary shall -

a.      Keep and maintain the share books in proper order for the examination and inspection of the members of the cooperative and the representatives of the Authority;

b.      Religiously fill in all the data required whenever a member transacts business using his share capital contributions;

c.       On the last page of every share book, he shall state that "I have filled in each and every space in the share book without leaving any blank spaces and that all errors have been properly crossed out with a single horizontal line and such error bears my initials."  Such statement shall be signed by the secretary over his printed name and the date he made such statement; and

d.      Make, execute, and issue the requisite share capital certificates for shares fully paid-up by the members.

SECTION 7.       Share Capital Certificates — (a) A share capital certificate is a document issued by the cooperative, under its seal, if any, evidencing that a member has contributed a sum of money or value of property received by the cooperative corresponding to his share in the contribution.

b.      The share capital certificate may be in any form in either of the national languages of the Philippines so long as it is legible.

c.       The share capital certificate shall contain the following information.

1. The serial number of the share capital certificate;
   
   
2. The name and address of the cooperative issuing such certificate;
   
   
3. The name and address of the member to whom such certificate was issued;
   
   
4. The number of shares fully paid-up by the member;
   
   
5. The par value of each share which shall not be less than One Peso (P1.00);
   
   
6. The total value of such shares contributed by the member;
   
   
7. The date of issuance of such share capital certificate;
   
   
8. The printed names and signatures of chairman and the secretary of the cooperative issuing such certificate; and
   
   
9. The seal of the cooperative, if any.

SECTION 8.       Reports — (a) Within the first five (5) days of every month, the CDS II shall attach to his report a list of cooperatives whose share books he has verified. Such list shall also contain the date when he conducted such verification.

b.      The cooperative secretary shall submit a list of the share certificates issued by him together with their value along with the annual report.

SECTION 9.       Rights to Inspect — The share book shall be among the books and/or documents which shall be kept open for inspection and examination by members of the cooperative and representatives of the Authority.

SECTION 10.    Effectivity — These Guidelines shall take effect upon approval.

Adopted: 29 July 1992