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Pending the creation by Congress of an office or body to carry into effect the Reparations Agreement between Japan and the Philippines signed on May 9, 1956, and the adoption by it of the policies, rules and procedure to be observed in the requisition and disposition of the reparations goods and services to be supplied by Japan, and in order to allow the widest possible participation by both the public and private elements of the country in the determination by the Government of the second and succeeding years’ schedule of reparations goods and services to be supplied by Japan; and so as to provide for a provisional body or agency to receive the reparations goods and services from Japan, I, RAMON MAGSAYSAY, President of the Philippines, by virtue of the powers vested in me by the Constitution and laws, do hereby order:

SECTION 1. There is hereby created a Reparations Committee, hereinafter referred to as the Committee, composed of a Chairman and two members who shall be designated by the President of the Philippines.

SEC. 2. The Committee shall have the following powers, functions and duties:

(a) To prepare draft schedules for the second and succeding years of the reparations goods and services to be requisitioned from Japan under the Reparations Agreement, which draft shall be submitted to the President of the Philippines through the National Economic Council reasonably in advance of the time required of our Government to submit its proposed schedule to Japan for the year involved.

(b) To receive, process, evaluate and make appropriate recommendations to the President of the Philippines on the applications filed by government offices and private parties for reparations goods and services that should be requisitioned from Japan, in accordance with the proposed draft schedule mentioned above.

(c) To receive, store and preserve, for such disposition as the proper authorities may eventually determine, the reparations goods and services to be supplied by Japan, a full inventory of which and the corresponding recommendations for their disposition are to be submitted to the President as soon as practicable.

(d) To draft and submit to the President of the Philippines for approval, within fifteen days from its organization, rules and regulations for the guidance of the public in regard, among other things, to the filing, processing and consideration of applications for reparations goods and services, which rules and regulations are to be given the widest possible publicity.

(e) To work in close cooperation and consultation with the National Economic Council so that there may be a coordinated effort in the implementation of the national economic policies by making appropriate recommendations for a judicious selection and disposition of the reparations goods and services.

SEC. 3. In the discharge of its duties and the promulgation of its rules and regulations, the Committee shall be guided by the following principles or considerations:

(a) Industries and activities determined by the National Economic Council as essential to the economic development of the country shall be given top priority in the requisition and disposition of reparations goods and services;

(b) Filipino citizens and corporations or associations the capital of which is wholly owned by such citizens shall be given preference in the award of reparations goods and services;

(c) The economic feasibility of the projects and the capability of the applicants to make maximum use of the goods and services involved shall always be taken into account.

SEC. 4. The Committee is authorized to call upon any department, bureau, office, agency or instrumentality of the Government for the detail of officials and employees and for such other assistance as it may need in the discharge and accomplishment of its tasks.

SEC. 5. This Order shall take effect immediately.

Done in the City of Manila, this 17th day of October, in the year of Our Lord, nineteen hundred and fifty-six, and of the Independence of the Philippines, the eleventh.

(Sgd.) RAMON MAGSAYSAY
President of the Philippines

By the President:
(Sgd.) FORTUNATO DE LEON
Executive Secretary