President Ferdinand R. Marcos Jr. guaranteed that the members of the Maharlika Investment Corporation (MIC) will exercise independence to give the body more latitude in managing the fund, thus promoting good corporate governance.

This was one of the provisions put forward by the President when he met with officials from the Office of the President, Office of the Executive Secretary, Presidential Management Staff, Bureau of Treasury and Government Service Insurance System to give the Board of Directors of the MIC the independence to manage the fund, free from any undue political interference.

The President earlier on ordered the review of the implementing rules and regulations (IRR) of Republic Act (RA) No. 11954, or the law establishing the Maharlika Investment Fund, to make sure safeguards are in place to guarantee transparency and accountability in carrying out the provisions of the law.

The group met on Monday to finalize the IRR and, once approved, the President said that the corporate structure will be immediately established to get the Fund “up and running”, first ensuring that transparency and accountability will be evident in the organizational structure itself.

Section 21 of RA 11954 provides for the powers vested in the 9-member MIC Board. Its main function is to govern and manage the MIC, its assets, and investments in accordance with the law.

To carry out such functions as provided for under the law, the President instructed to strengthen and guarantee some powers that are inherently vested in the Board. These include, among others, the manner by which government contributions shall be deposited, creation of corporate officers, imposition of additional qualifications and/or disqualifications of regular and independent directors, and creation of committees and their functions.

The Office of the Executive Secretary, for their part, said that the revisions introduced by the President to the IRR of the MIL serve to clarify, while simultaneously buttressing, the exercise of the discretionary powers of the Board of Directors to maintain its independence; ensure that the MIC has a free hand to explore gainful investment opportunities, while adhering faithfully to the letter of the law; and, ensure that investments are of high impact and are in line with the socioeconomic development program of the government.

The MIC Board will be composed of 9 members, namely, the Secretary of Finance sitting as the Chairperson in an ex-officio capacity, the President and the Chief Executive Officer (PCEO) as the MIC Vice Chairperson, President and CEO of the Land Bank of the Philippines, President and CEO of the Development Bank of the Philippines and three Independent Directors from the private sector.

The PCEO, under Section 23 of the law, shall direct and supervise the operations and internal administration of the MIC, and shall be charged with the risk management, financial performance, human resources, accounting and legal affairs of the MIC.

President Marcos has instructed and given assurance that the operationalization of the MIF will push through before the year ends. | PND