Whereas, in order to promote economic development and facilitate the adjustment of the Philippine economy in preparation for independence, the Government has established certain corporations and enterprises for the purpose of engaging in economic activities;

Whereas, in order to insure the successful attainment of the purposes for which these corporations and enterprises have been established, it is necessary to bring about a proper coordination of their policies and activities, and between these entities and the offices of the Government engaged in the development of the national economy; and

Whereas, in order to insure economy and efficiency in the operation of said corporations and enterprises, it is necessary to establish an instrumentality that will exercise a unified supervision over them;

Now, therefore, I, Manuel L. Quezon, President of the Philippines, by virtue of the powers vested in me by law, do hereby create and constitute the National Enterprises Control Board which shall be composed of a Chairman and such members as may, from time to time, be appointed by the President. Subject to the approval of the President, the Board shall have power to employ the necessary personnel to carry out its functions and duties and to fix their rates of compensation.

The following government corporations and enterprises are hereby placed under the supervision of the National Enterprises Control Board: National Development Company and its subsidiary corporations (including the National Rice and Corn Corporation, Cebu Portland Cement Company, the National Footwear Corporation, the National Food Products Corporation, and the Insular Refining Corporation), National Power Corporation, National Abaca and Other Fiber Corporation, National Tobacco Corporation, National Coconut Corporation, National Trading Corporation, National Cooperatives Administration, People ™s Homesite Corporation, National Land Settlement Administration, Rural Progress Administration, National Produce Exchange, and such others as the President may designate from time to time.

The Board shall be charged with the following duties:

(a) To supervise, for the President of the Philippines, the above-named corporations and enterprises for the purpose of insuring efficiency and economy in their functions and business operations;

(b) To adopt, subject to the approval of the President, such measures as may be necessary to coordinate the policies and activities between said corporations and enterprises, and between these entities and such offices of the Government as may be dedicated to the development of the national economy, for the accomplishment of the declared economic and social policies of the Government; and

(c) To pass upon the program of activities and the yearly budget of expenditures approved by the respective Boards of Directors of said corporations and enterprises.

The decisions of the National Enterprises Control Board on policies relating to the economic activities of the corporations and enterprises placed under its supervision shall be final when approved by the President of the Philippines.

The expenses for the establishment and maintenance of the Board and its personnel shall be reimbursed by the different Government corporations and enterprises placed under the supervision of this Board in the proportion that the President of the Philippines may determine.

The Board is hereby empowered to call upon any official, office, branch, dependency or agency of the Government for such data and assistance as it may require.

The Board shall render to the President from time to time a report of its work and activities, as well as on the general state of the government corporations and enterprises under its supervision, together with such recommendations as it may deem necessary to make.
Done at the City of Manila, this fifth day of August, in the year of our Lord, nineteen hundred and forty-one, and of the Commonwealth of the Philippines, the sixth.


By the President:

(Sgd.) JORGE B. VARGAS
Secretary to the President