MEMORANDUM CIRCULAR NO. 46 - INFORMING ALL GOVERNMENT OFFICES/AGENCIES/INSTRUMENTALITIES THAT MANTRUSTE INSURANCE CORPORATION IS AUTHORIZED TO BECOME A SURETY UPON OFFICIAL RECOGNIZANCES, STIPULATIONS, BONDS AND UNDERTAKINGS PURSUANT TO ADMINISTRATIVE ORDER NO. 217, DATED OCTOBER 1, 1953

WHEREAS, Administrative Order No 217, dated October 1, 1953, authorized the Philippine International Surety Co. Inc., to become a surety upon official recognizances, stipulations, bonds and undertakings;

WHEREAS, the Philippine International Surety Co., Inc., became the Mindanao Insurance Co., Inc., which change of corporate name was approved by the Securities and Exchange Commission on July 19, 1963;

WHEREAS, the Mindanao Insurance Co., Inc., became the Mantruste Insurance Corporation, which change of corporate name was approved by the Securities and Exchange Commission on March 25, 1986;

WHEREAS, the Mindanao Insurance Co., Inc., which was formerly the Philippine International Surety Co., Inc., was issued a certificate of authority by the Insurance Commission on March 24, 1986;  

WHEREAS, the Mantruste Insurance Corporation, which was formerly the Mindanao Insurance Co., Inc., was issued a certificate of authority by the Insurance Commission on July 1, 1986;

WHEREAS, on September 14, 1987, the Secretary of Justice opined that: "there is no legal necessity for the reissuance of Administrative Order No. 217. It is settled that an authorized change in the name of a corporation does not dissolve the corporation nor affect the rights, privileges, or obligations previously acquired or incurred by it (Philippine First Insurance Co., Inc. vs. Hartigan, 34 SCRA 252m citing cases). For all legal intents and purposes, Administrative Order No. 217 is the valid and subsisting authorization for Mantruste Insurance Corporation, the successor corporation of Philippine International Surety Co., Inc. 'to become a surety upon official recognizances, stipulations, bonds and undertakings'. The two authorized changes in name and ownership of the original corporation, Philippine International Surety Co., Inc. did not alter the legal personality and capacity of such corporation to become a surety under Administrative Order No. 217;" and

WHEREAS, it is nonetheless appropriate to inform officially all government offices/agencies/instrumentalities and others concerned of the foregoing changes of corporate name and the opinion of the Secretary of Justice on the legal personality and capacity of Mantruste Insurance Corporation to become a surety pursuant to Administrative Order No. 217.

Accordingly, all government offices/agencies/instrumentalities and all concerned are hereby informed that Mantruste Insurance Corporation is authorized to become a surety upon official recognizances, stipulations, bonds and undertakings pursuant to Administrative Order No. 217, dated October 1, 1953.

Manila, Philippines, January 4, 1988.

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