REPUBLIC ACT NO. 556 - AN ACT AUTHORIZING THE CLAVECILLA RADIO SYSTEM TO CONTINUE OPERATING FOR A LIMITED PERIOD ITS RADIO STATIONS IN MANILA, CEBU AND ILOILO.

Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

SECTION 1. Authority is hereby granted the Clavecilla Radio System, a Corporation duly organized under the laws of the Philippines, and hereinafter referred to as the "grantee", to continue operating its radio stations in Manila, Cebu and Iloilo, for a period of five years from the date of expiration of the temporary permits granted it under the provisions of Commonwealth Act Numbered Seven hundred twenty-nine.

SEC. 2. The authority granted hereby shall be subject to the same terms and conditions as those prescribed under the above-mentioned Act, and to the following additional terms and conditions:

The operation and activities of the stations shall contribute to the public welfare; shall conform to the ethics of honest enterprise; shall assist in the functions of public information and education; shall not be used for the dissemination of deliberately false information, of willful misinformation, or to the detriment of the public health, or to incite, encourage or assist in subversive or treasonable acts;

The operation of the stations shall be in strict accordance with provisions of Philippine radio laws and regulations and of those of International Radio Laws, Regulations and agreements to which the Republic of the Philippines is a signatory;

The grantee shall comply with all the requirements of the Government applicable to duly organized corporation and to public telegraph carriers, and shall pay the same taxes on its real estate, buildings and personal property exclusive of the franchise, as other persons or corporations are now or hereafter may be required by law to pay

The grantee shall make its facilities available for the handling of whatever traffic the Bureau of Telecommunications may desire to route over the grantee's system, and shall likewise install and maintain its system required to handle efficiently such traffic as may be turned over to it by the Government Official Government telegrams routed over the grantee's system shall be handled free of charge.

The grantee's stations shall be so operated and its service shall be so handled and conducted that they shall serve as supplement to that of the Bureau of Telecommunications for the effective achievement of this purpose shall be complied with by the grantee.

A special right is hereby reserved to the Government of the Republic of the Philippines, in time of war, insurrection, or emergency, to take over and operate the stations of the grantee, upon order and direction of the President of the Philippines, with compensation to the grantee to be determined by the Government.

The operation of the stations of the grantee may be discontinued at any time when public interest, convenience and necessity are no longer served thereby.

SEC. 3. This Act shall take effect upon its approval.

Approved, June 17, 1950.