RECOGNIZING AND SUPPORTING THE CREDIT INFORMATION BUREAU, INC.

WHEREAS, in the wake of failures of corporate
borrowers in 1981, the President of the Republic of the Philippines issued
Letter of Instructions No. 1107 directing the Central Bank of the Philippines to
initiate a credit information exchange system and to study the possibility of
organizing, and funding the operation of, a credit bureau;

WHEREAS, pursuant to Letter of Instructions
No. 1107, the Central Bank organized the Credit Information Exchange System,
which now operates under the Central Bank’s Department of Loans and Credit;

WHEREAS, on April 14, 1982, upon the instance
of the Central Bank, other government agencies and the private sector, the
Credit Information Bureau, Inc. was incorporated as a non-stock, non-profit
corporation, to engage in the business of collating, developing and analyzing
credit information on individuals, institutions and all types of business
concerns; to develop and undertake the continuing exchange of credit information
among its members and subscribers; to provide an impartial source of credit
information for debtors, creditors and the public; and to cooperate with and
assist government agencies in their credit information requirements;

WHEREAS, the Credit Information Exchange
System and the Credit Information Bureau, Inc. as presently constituted are
unable to secure credit information from government agencies and private
institutions because of certain doubts regarding the legal ability of said
agencies and institutions to make available to them credit
information;

WHEREAS, the country’s financial system
demands the promotion and development of rational and efficient credit processes
in the financial system and the economy;

WHEREAS, the Credit Information Bureau, Inc.
is a viable credit information bureau, and a convenient and practical vehicle
through which the promotion and development of efficient credit processes can be
realized in the shortest possible time;

WHEREAS, it is advantageous and in the public
interest to make legally available to the Credit Information Bureau, Inc. credit
information in the possession of government and private entities, and to allow
the Credit Information Bureau, Inc. to continue to fulfill and serve the
purposes for its creation;

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 the following:

SECTION 1. It is hereby declared to be the
national policy of the State to promote the development and maintenance of
rational and efficient credit processes in the financial system, and in the
economy as a whole, by providing structured mechanisms for the organized supply
of information to all parties involved in credit and credit-related
activities.

SEC. 2. The Credit Information Bureau, Inc. is
hereby recognized by law as a competent and suitable credit bureau to implement
the declared national policy stated in Section 1 hereof, and as such, worthy of
governmental and private sector support. The operation and functions of the
existing Credit Information Exchange System are hereby transferred to the Credit
Information Bureau, Inc., and the Credit Information Bureau, Inc. shall
integrate the Credit Information Exchange System with its system.

SEC. 3. Notwithstanding the provisions of
Republic Act No. 265, as amended, including but not limited to Sec. 27 (c)
thereof, the Central Bank may, at its discretion, make available to the Credit
Information Bureau, Inc., upon the Credit Information Bureau, Inc. ‘s request,
information relating to the condition or business of any banking or financial
institution subject to its supervision or examination, or any other data or
information needed by the Credit Information Bureau, Inc. in order to discharge
its functions in implementation of the declared national policy stated in
Section 1 hereof.

SEC. 4. Notwithstanding the provisions of
Republic Act No. 337, as amended, including but not limited to paragraph 1 (b)
of Section 87-A thereof, and notwithstanding the provisions of special charters
of government banking or financial institutions such as but not limited to the
Philippine National Bank and the Development Bank of the Philippines, all
banking and other financial institutions may, at their discretion, make
available to the Credit Information Bureau, Inc., upon the Credit Information
Bureau, Inc. ‘s request, information relative to the funds or properties in the
custody of said institutions belonging to private individuals/corporation or any
other entity, and any other data or information needed by the Credit Information
Bureau, Inc. in order to discharge its function in implementation of the
declared national policy stated in Section 1 hereof.

SEC. 5. The Credit Information Bureau, Inc.
shall take steps to safeguard that the information supplied to it under Sections
3 and 4 hereof shall be furnished only to its accredited subscribers or credit
information who have legitimate interest in the information so supplied.

SEC. 6. The Central Bank, any banking or
financial institution, or any of its officers, employees or agents supplying any
of the information to the Credit Information Bureau Inc. under Sections 3 and 4
hereof shall be immune from all civil, criminal, administrative or other
liability. All reports, evaluations, watchlists, basic: information reports,
credit reports, credit ratings and the like produced by the Credit Information
Bureau, Inc. and distributed to its subscribers who have legitimate interest in
the information or data supplied, shall be considered as privileged
communication under Title thirteen, Chapter One of the Revised Penal Code on
libel.

SEC. 7. If any provision of this Decree shall
be held invalid, the remainder of the Decree not otherwise affected shall remain
in full force and effect.

SEC. 8. All other laws, orders, rules and
regulations, or parts thereof, inconsistent with any provision of this Decree
are hereby repealed or modified accordingly.

SEC. 9. This Decree shall take effect
immediately.

Done in the City of Manila, this 27th day of June in the year
of our Lord, Nineteen hundred and eigthy-four.