WHEREAS, under Section 3513 of the Tariff and Customs Code, a cash reward of twenty percentum of the fair market value of the smuggled and confiscated goods is given to the officers and men and informers who are instrumental in the discovery and seizure of such goods in accordance with the rules and regulations to be issued by the Secretary of Finance;

WHEREAS, the smuggling-out or illegal exportation of Philippine sugar is just as injurious and detrimental to the national economy and to the public interest as the smuggling-in of untaxed goods;

WHEREAS, it is necessary and advisable to provide material incentives and encouragement to the public and law enforcement personnel to extend full cooperation and do their utmost to stamp-out the smuggling or illegal exportation of Philippine sugar, and also to provide a ready source of funds for the Government's anti-smuggling operations;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby decree and order:

SECTION 1. Presidential Decree No. 659, dated February 21, 1975, is hereby further amended by adding a new paragraph to Section 5 thereof, which shall read as follows:

"A cash reward equivalent to not more than twenty per centum of he appraised value of the sugar traded or loaded in violation of this Decree and confiscated in favor of the Government shall be given to the officers and men and informers who are instrumental in the discovery and seizure of such sugar in accordance with rules and regulations to be issued by the Secretary of National Defense. The Secretary of National Defense is hereby also authorized to allot and expend the equivalent of up to fifty per centum of the appraised value of such sugar for operational expenses in connection with the implementation and enforcement of this Decree, and the balance thereof shall accrue to the general fund of the National Government."

SEC. 2. All laws, executive orders, instructions, rules and regulations inconsistent with these provisions are hereby repealed or amended accordingly.

SEC. 3. This Decree shall take effect immediately.

Done in the City of Manila, this 29th day of August, in the year of Our Lord, nineteen hundred and seventy-five.