Section 14Sec./Art. 14

Additional Mandate of Designated Disposition Entities. - In addition to its powers, duties and functions, DDEs as may be assigned by the Trust Fund Management Committee shall, for in and in behalf of the National Government, take title to and possession of, conserve, provisionally manage, and dispose the Coconut Levy Assets which have been identified for privatization and disposition.

Subject to the approval of the Trust Fund Management Committee, the DDEs are hereby empowered to:

(i) Implement the marketing and disposition program of the Coconut Levy Assets and/or Funds;

(ii) Execute and deliver, on behalf of the National Government, deeds of sale, contracts, trust instruments, and other legally operative documents as may be necessary or appropriate to convey title to, take possession of, and conserve, such assets;

(iii) Engage external expertise as may be necessary in the fulfillment of its tasks under this Act; and

(iv) Adopt internal rules and regulations in relation to the marketing and disposition of the Coconut Levy Assets and/or Funds.

The DDEs shall prepare the disposition plans and policies of the Coconut Levy Assets transferred to it. They are empowered to enter into sales through public bidding, negotiated sale, lease, or any form of divestment or transmission of rights over the Coconut Levy Assets and/or Funds, including a partnership with the private sector in the management or operation of these Coconut Levy Assets and/or Funds prior to actual sale or disposition in accordance with the Investment Strategy approved by the Trust Fund Management Committee: Provided, That the maintenance and operation expenses of the non-cash assets shall not in any manner be taken from the existing cash component of the Coconut Levy Assets.

Prior to the implementation of any disposition plan for corporations transferred to it, the DDEs may recommend the following:

(i) Require any of the subject corporations to adopt and implement cost reduction measures to enhance the viability, and therefore the disposability of such corporations, to potential buyers, including measures requiring personnel retrenchment plans or other forms of corporate downsizing;

(ii) Direct any of the subject corporations to submit to the DDE, within fixed time-tables, such reports and information as the DDE may require in the exercise of its ownership, administrative, and disposition over such corporations or their assets; and

(iii) Cause the subject corporations to undergo rehabilitation, merger, consolidation, spin-off, or other corporate acts of reformatory nature as it may deem necessary or desirable to expedite the disposition and privatization under this Act.

Any of the above-enumerated, as well as the final disposition of such assets, shall be subject to the approval of the Trust Fund Management Committee.ℒαwρhi৷