[No. 1736.] AN ACT Appropriating the sum of one hundred thousand pesos, for the purpose of establishing a reimbursable fund for the promotion of agricultural pursuits upon certain haciendas and parcels of land, commonly known as "Friar lands," and for the extension of the cultivated area thereof. By authority of the United States, be it enacted by the Philippine Commission, that: SECTION 1. There is hereby appropriated out of any funds in the Insular Treasury not otherwise appropriated, the sum of one hundred thousand pesos, for the purpose of establishing a reimbursable fund, under the direction and control of the Director of Lands except as hereinafter provided, which shall be known as the Friar Lands Loan Fund, and which shall be made available in accordance with the provisions hereinafter specified, for the making of mortgage loans upon growing crops and salable commodities manufactured therefrom, work animals, warehouses, mill houses and machinery, and other property both real and personal belonging to actual and bona fide cultivators of the so-called Friar Estates, for the encouragement of agricultural pursuits and the extension of the cultivated areas of the said estates. SEC. 2. The Secretary of the Interior shall designate to the Director of Lands the maximum amount of the Friar Lands Loan Fund which may be loaned in accordance with the provisions of this Act within any given period of time, the rate of interest which such loans shall bear, the term within which the mortgages shall be redeemed, the estate or estates to which the provisions of this Act shall be extended, the kind or kinds of crops or salable commodities manufactured therefrom and the class or classes of buildings, animals or other property, both real and personal, which may become subject to mortgage as herein provided, the manner in which advances of loans shall be made and the maximum amount which shall be advanced for each hectare under cultivation: Provided, however, That in no case shall the maximum amount so advanced exceed one hundred pesos for each hectare cultivated by the mortgagor. SEC. 3. The Director of Lands shall, under the direction and approval of the Secretary of the Interior, promulgate such regulations and issue such forms and instructions as may become necessary to secure the Government against loss and to carry out the purposes of this Act. He shall likewise cause to be kept a full and complete record of all transactions regarding loans and payments thereof, and shall keep such books and render such accounts approved by the Insular Auditor as may be necessary for the proper accounting for said fund, and loans made therefrom, together with interest on such loans. SEC. 4. By and with the approval of the Secretary of the Interior the Director of Lands is hereby empowered, for and on behalf of the Government of the Philippine Islands, to make such loans as are authorized by this Act, and to execute as mortgagee, acting for and on behalf of the Government of the Philippine Islands, the necessity mortgages to carry out the purposes of this Act, and all mortgages executed under this Act shall be executed to the Director of Lands, mortgagee, acting for and on behalf of the Government of the Philippine Islands. SEC. 5. For the purposes of this Act the Director of Lands shall be the trustee for all mortgagors for the purpose of disbursing amounts advanced in consideration of the mortgages, and shall have custody of all mortgages and other securities for the mortgage debts pending their final satisfaction and release. He shall approve or disapprove all applications for loans, either wholly or in part, and such approval or disapproval shall be final and conclusive: Provided, however, That the Secretary of the Interior shall endorse upon each mortgage his approval thereof, before said mortgage shall be considered as valid and effective. SEC. 6. In case the mortgagors have failed or neglected to discharge the mortgages in accordance with the agreement therein specified, the Director of Lands shall, upon the maturity of the mortgage notes, proceed to the foreclosure of the mortgages in the manner provided by law. Whenever, in his opinion, the interests of the Insular Government are in jeopardy through the failure or neglect of the mortgagors properly to observe the conditions of the mortgage agreements, the Director of Lands shall likewise proceed to the foreclosure of all mortgages, or shall take such other action as may to him seem necessary in the premises. SEC. 7. The actual and necessary expenses arising from the administration of the Friar Lands Loan Fund shall be advanced from the general appropriations made for the Bureau of Lands, and shall be reimbursed thereto from the interest and profits realized from the mortgage loans which may be made in accordance with the provisions of this Act. SEC. 8. Upon the repayment and satisfaction of all mortgage debts the principal of the loans shall be reimbursed to the Friar Lands Loan Fund as established by section one of this Act, and all net profits from said loans shall likewise accrue to and become a part of said fund, and may be available for any or all of the purposes for which said fund may be used. SEC. 9. The public good requiring the speedy enactment of this bill, the passage of the same is hereby expedited in accordance with section two of "An Act prescribing the order of procedure by the Commission in the enactment of laws," passed September twentysixth, nineteen hundred. SEC. 10. This Act shall take effect on its passage. [No. 1737.] AN ACT To amend section one of Act Numbered Fourteen hundred and eleven, entitled "An Act for the purpose of maintaining the parity of the Philippine currency in accordance with the provisions of sections one and six of the Act of Congress approved March second, nineteen hundred and three, by prohibiting the exportation from the Philippine Islands of Philippine silver coins, and for other purposes," by providing that the prohibition therein contained shall not apply to sums of twenty-five pesos or less of the new coins authorized by Act Numbered Fifteen hundred and sixty-four and carried by passengers leaving the Philippine Islands. By authority of the United States, be it enacted by the Philippine Commission, that: SECTION 1. Section one of Act Numbered Fourteen hundred and eleven, entitled "An Act for the purpose of maintaining the parity of the Philippine currency in accordance with the provisions of sections one and six of the Act of Congress approved March second, nineteen hundred and three, by prohibiting the exportation from the Philippine Islands of Philippine silver coins, and for other purposes," is hereby amended to read as follows: "SECTION 1. The exportation from the Philippine Islands of Philippine silver coins, coined by authority of the Act of Congress approved March second, nineteen hundred and three, or of bullion made by melting or otherwise mutilating such coins, is hereby prohibited, and any of the aforementioned silver coins or bullion which is exported, or of which the exportation is attempted subsequent to the passage of this Act, and contrary to its provisions, shall be liable to forfeiture under due process of law, and one-third of the sum or value of bullion so forfeited shall be payable to the person upon whose information, given to the proper authorities, the seizure of the money or bullion so forfeited is made, and the other two-thirds shall be payable to the Philippine government, and accrue to the goldstandard fund: Provided, That the prohibition herein contained shall not apply to sums of twenty-five pesos or less of the new coins authorized by Act Numbered Fifteen hundred and sixty-four and carried by passengers leaving the Philippine Islands." SEC. 2. The public good requiring the speedy enactment of this bill, the passage of the same is hereby expedited in accordance with section two of "An Act prescribing the order of procedure by the Commission in the enactment of laws," passed September twentysixth, nineteen hundred. SEC. 3. This Act shall take effect on its passage. [No. 1738.] AN ACT To amend section twenty-four of Act Numbered Five hundred and twenty by providing for ensigns for vessels operating under the contracts authorized by Act Numbered Thirteen hundred and ten and Act Numbered Seventeen hundred and fifteen. By authority of the United States, be it enacted by the Philippine Commission, that: SECTION 1. Section twenty-four of Act Numbered Five hundred and twenty, entitled "An Act permitting the issuing of special licenses to engage in the coastwise trade of the Philippine Islands until July first, nineteen hundred and four, to vessels not entitled to general coastwise-trade licenses under the Customs Administrative Act, and authorizing the fixing of maximum rates for transportation of merchandise and passengers in the coastwise trade," is hereby amended to read as follows: "SEC. 24. Any vessel possessing a certificate of protection issued under section one hundred and seventeen of the Philippine Customs Administrative Act, shall be entitled to the privileges and shall be subject to all the penalties directly or indirectly imposed in sections nineteen, twenty and twenty-one of this Act, and all vessels engaged in the Philippine coastwise trade on or after the first day of January, nineteen hundred and three, shall fly the Philippine coasting emblem at the mainmast: Provided, however, That all vessels operating under the Government contracts authorized by Acts Numbered Thirteen hundred and ten and Seventeen hundred and fifteen, shall fly at the mainmast, instead of the Philippine coasting emblem, an ensign of a design to be approved by the Secretary of Commerce and Police." SEC. 2. The public good requiring the speedy enactment of this bill, the passage of the same is hereby expedited in accordance with section two of "An Act prescribing the order of procedure by the Commission in the enactment of laws," passed September twenty-sixth, nineteen hundred. SEC. 3. This Act shall take effect on its passage. [No. 1739.] AN ACT Creating the " Fidelity-bond premium fund," providing for assurance against losses, shortages, and defalcations by officers or employees accountable for public funds and public property, and for other purposes. By authority of the United States, be it enacted by the Philippine Commission, that: SECTION 1. There is hereby appropriated, out of any funds in the Insular Treasury not otherwise appropriated, the sum of forty thousand pesos, to be known as the "Fidelity-bond premium fund. This fund shall be a permanent reimbursable appropriation and shall be available (a) For the purpose of replacing losses, shortages, or defalcations in the accounts of all Insular and provincial officers and employees and officers and employees of the city of Manila who are accountable for public funds or public property, unless such officers or employees have been relieved under the provisions of existing law; (b) For the purpose of replacing losses, shortages, or defalcations in the accounts of municipal treasurers who are at the same time deputies of the provincial treasurer, unless such officers have been relieved in like manner; (c) For the refund of unearned premiums on bonds executed prior to December thirty-first, nineteen hundred and seven, when such refund would have been properly chargeable against the fund created by Act Numbered Fourteen hundred and sixteen, entitled "Fidelity-bond premiums," and abolished in the next succeeding section: (d) For the payment of all fees and costs accruing as a result and in consequence of any civil action or proceeding taken against any bonded officer or employee, within the meaning of this Act, who has suffered losses in the public funds or public property for which he is accountable, or who has defaulted, or in whose accounts of public funds or public property shortages may be discovered which have arisen from whatever cause: Provided, however, That whenever any person suffers loss in money or property intrusted to any officer or agent of the Government bonded in the fidelity-bond premium fund who, by virtue of his official position and in accord ance with law, received such money or property, the head of the Bureau or Office concerned and the Insular Auditor may, after ascertaining and fixing the amount of the loss, recommend that such loss be repaid out of the fidelity-bond premium fund. Upon approval of such recommendation by the Governor-General the Insular Treasurer shall pay the amount so recommended and approved out of said fund." SEC. 2. The permanent reimbursable appropriation entitled " Fidelity-bond premiums," and created by Act Numbered Fourteen hundred and sixteen, entitled "An Act making appropriations for sundry expenses of the Insular Government for the fiscal year ending June thirtieth, nineteen hundred and six, and other designated periods," is hereby abolished, and any balances standing to the credit of said appropriation and all moneys which are due to said appropriation and remain unpaid on December thirty-first, nineteen hundred and seven, and all sums paid to cover or replace shortages, losses, and defalcations and afterwards recovered, and all payments required from provinces or municipalities and from bonded officers or employees on account of fidelity-bond premiums, and all premiums paid out of funds or appropriations of Insular Offices or Bureaus under section ten of this Act, and all interest or other accretion on the money in the said fidelity-bond premium fund, shall be merged in, accrue to, and become a part of said fidelity-bond premium fund created in the preceding section. SEC. 3. The Governor-General shall fix, and may from time to time change, the annual rate of premium chargeable for insurance of the fidelity of officers and employees in the fidelity-bond premium fund. Two-thirds of the rate of premium so fixed shall be charged to the fidelity-bond premium fund on behalf of every Insular officer or employee, and in the case of provincial officers or employees and officers and employees of the city of Manila two-thirds of said premium shall be paid by the province to which the particular bonded position may belong or by the city of Manila, as the case may be, and one-third of such premium shall in all cases not exempted under sections four and nine of this Act be paid out of the personal funds of the officer or employee whose fidelity is insured in said fund. The Insular Treasurer shall collect the amount of premiums due from the various Bureaus, Offices, and provinces and from the city of Manila and from the individuals who are bonded under such Offices, Bureaus, and provinces and the city of Manila. SEC. 4. The Philippine Commission may, by resolution, exempt any accountable officer or employee from the payment of his part of the bond premium, and any officer or employee now exempted from such payment shall continue to be so exempted unless and until the Philippine Commission, by resolution, shall otherwise determine. SEC. 5. It shall be the duty of the Insular Treasurer to prepare and keep an exact and accurate record of bonded positions in such manner and in such detail as may be required by the Secretary of Finance and Justice, and to make such changes in said record from time to time. as changing facts and conditions may require. SEC. 6. Whenever an appointment or designation is made to any bonded Insular or provincial position, or to a bonded position under the city of Manila, or to the dual office of municipal and deputy pro |