COLLEGE OF ENGINEERING

UNIVERSITY OF PERPETUAL HELP

SYSTEM DALTA CALAMBA CAMPUS
BRGY. PACIANO, RIZAL

Assignment in Management Engineering

Midterm

Tobias, Hazel Lynn C. Engineering Management

BsECE IV Engr. E. B. Pioquinto

January 17, 2019

 COLLEGE OF ENGINEERING
Functions of Sec
Philippines
Its major functions include registration of securities, analysis of every registered security,
and the evaluation of the financial condition and operations of applicants for security
issue.
The functions of the SEC are defined in Section 5 of the Securities Regulation Code, and
include the following major areas:
• Supervision over all registered business entities in the country, including
suspensions and revocations of their registrations
• Policymaking with regard to the market in securities
• Control over and approval of security registration statements
• Power to investigate violations of securities laws and to impose sanctions for such
violations
• Power to issue subpoenas, punish for contempt, and issue cease and desist orders
in furtherance of its law enforcement mission
U.S
5 Functions of the U.S. Securities and Exchange Commission
Investing is a complex world that can be very intimidating to a beginner. It’s also a world
that offers a lot of unique opportunities. Investing can be very financially rewarding for
those with a talent for making the right moves at the right time.
The Securities and Exchange Commission (SEC) was created during the Great Depression.
In 1934, the passage of the Securities Exchange Act was designed to increase trust in
capital markets by providing honest and accurate information for investors. In the modern
world, the SEC has a number of important functions, but its overall mission is to protect
investors and maintain a fair and orderly market.
1. Looking Toward the Future
Protection continues to become more important as more first-time investors enter the
market. The economy is struggling, and many younger people are seeking ways of
increasing their wealth and saving for the future. The SEC is working to oversee security
transactions while promoting capital formation that can sustain and improve economic 1
growth. The healthier our economy gets, the easier it will be for everyday families to make
it.
2. Creating Fair Markets
The SEC has a special division that’s designed to provide a daily overview of the activities
of the market. The major participants, including the clearing agencies, exchanges, credit
 COLLEGE OF ENGINEERING
rating agencies and security firms, are all watched by this division of the SEC. It also helps
establish new rules and policies by examining and interpreting matters that affect
operations within the securities markets.
3. Ensuring Corporate Disclosure
The Division of Corporation Finance works with the SEC to implement the rules and
regulations established in the Securities Act of 1934. The main objective of this division is
to make sure that corporations provide investors with honest information regarding
securities. Without this protection, there would be a great deal more fraud surrounding
transactions. The SEC reviews documents, such as yearly reports that are sent out to
shareholders.
4. Protecting Investors
Along with making sure that corporations provide full disclosure, the SEC also looks after
the investors themselves. The Division of Investment Management handles this duty. They
regulate businesses that are engaged in investing and protect individual investors with
mutual funds by making sure that the information about the investments is fully disclosed.
5. Enforcing the Law
If the SEC obtains evidence of violations, they can bring civil actions in court. The Division
of Enforcement handles this type of situation. This division uses intelligence like investor
tips, surveillance and information from other divisions to determine the nature of certain
situations. When dealing with criminal activities, they will work with other law-
enforcement agencies to handle the problem. Such cases often end up in federal court after
the initial evidence has been gathered.
The SEC is a regulatory agency. While it does work with law enforcement, it can’t be
expected to oversee every unique transaction. If you’re an investor, you will need to do
your own research and figure out how to make smart decisions. Investing is and always
will be a gamble, but with strong regulations in place, everyone will have a better chance
of success.

Powers of SEC
Based on PRESIDENTIAL DECREE NO. 902-A SEC REORGANIZATION ACT
Sec. 6. In order to effectively exercise such jurisdiction, the Commission shall possess the
following powers: chanroblesvirtuallawlibrary
(a) To issue preliminary or permanent injunctions, whether prohibitory or mandatory, in 2
all cases in which it has jurisdiction, and in which cases the pertinent provisions of the
Rules of Court shall apply;
(b) To punish for contempt of the Commission, both direct and indirect, in accordance
with the pertinent provisions of, and penalties prescribed by, the Rules of Court;
 COLLEGE OF ENGINEERING
(c) To compel the officers of any corporation or association registered by it to call meetings
of stockholders or members thereof under its supervision
(d) To pass upon the validity of the issuance and use of proxies and voting trust agreements
for absent stockholders or members;
(e) To issue subpoena duces tecum and summon witnesses to appear in any proceedings
of the Commission and in appropriate cases order search and seizure or cause the search
and seizure of all documents, papers, files and records as well as books of accounts of any
entity or person under investigation as may be necessary for the proper disposition of the
cases before it
(f) To impose fines and/or penalties for violation of this Decree or any other laws being
implemented by the Commission, the pertinent rules and regulations, its orders, decisions
and/or rulings;
(g) To authorize the establishment and operation of stock exchanges, commodity
exchanges and such other similar organization and to supervise and regulate the same;
including the authority to determine their number, size and location, in the light of
national or regional requirements for such activities with the view to promote, conserve
or rationalize investment;
(h) To pass upon, refuse or deny, after consultation with the Board of Investments,
Department of Industry, National Economic and Development Authority or any other
appropriate government agency, the application for registration of any corporation,
partnership or association or any form of organization falling within its jurisdiction, if
their establishment, organization or operation will not be consistent with the declared
national economic policies.
(i) To suspend, or revoke, after proper notice and hearing, the franchise or certificate of
registration of corporations, partnerships or associations, upon any of the grounds
provided by law, including the following:chanroblesvirtuallawlibrary
[1] Fraud in procuring its certificate of registration;
[2] Serious misrepresentation as to what the corporation can do or is doing to the great
prejudice of or damage to the general public;
[3] Refusal to comply or defiance of any lawful order of the Commission restraining
commission of acts which would amount to a grave violation of its franchise;
[4] Continuous inoperation for a period of at least five (5) years;
3
[5] Failure to file by-laws within the required period;
[6] Failure to file required reports in appropriate forms as determined by the Commission
within the prescribed period;
 COLLEGE OF ENGINEERING
(j) To exercise such other powers as implied, necessary or incidental to the carrying out
the express powers granted to the Commission or to achieve the objectives and purposes
of this Decree.
In the exercise of the foregoing authority and jurisdiction of the Commission, hearings
shall be conducted by the Commission or by a Commissioner or by such other bodies,
boards, committees and/or any officer as may be created or designated by the Commission
for the purpose. The decision, ruling or order of any such Commissioner, bodies, boards,
committees and/or officer may be appealed to the Commission sitting en banc within
thirty (30) days after receipt by the appellant of notice of such decision, ruling or order.
The Commission shall promulgate rules of procedures to govern the proceedings, hearings
and appeals of cases falling within its jurisdiction.
The aggrieved party may appeal the order, decision or ruling of the Commission sitting en
banc to the Supreme Court by petition for petition for review in accordance with the
pertinent provisions of the Rules of Court

Functions of DTI
MAJOR FINAL OUTPUTS
The Major Final Outputs (MFOs) of the DTI highlight the Department’s contributions to
the achievement of the country’s key societal goals of national economic growth and
poverty reduction; and to the twin sectoral (industry and services) goals, which are job
generation and global competitiveness.
The functions of the DTI are performed with improved delivery of services by transparency
and accountability consistent with the Department’s mantra: Consumer Matters, Business
Gains. It has adopted four (4) MFOs:
1. International trade policy negotiation, facilitation, and promotion
services
The DTI’s crucial role in trade policy negotiation, facilitation, and promotion is clear and
evident. In recent years, the Philippines took a more pro-active stance in trade policy
negotiations, making sure we protect and further our national interests and aligning our
product and market strategies with the dynamics of the world trading system. We need to
expand our exports through market access and product diversification. We need to face
the challenges in the international front. The Department recognizes that it should avoid
fully embracing unbridled liberalization but instead face the legitimate challenge of
international competitiveness.
4
The Department, together with other government agencies and the private sector, as
enshrined in the Philippine Export Development Plan (PEDP) 2004-2007, shall intensify
the linkage between market access negotiations and trade promotion activities. Effective
combination of these two enables better matching between RP export supply capabilities
and market demand. Such alignment would maximize the country’s limited resources and
 COLLEGE OF ENGINEERING
have a higher impact on export performance. Geographic markets would be ASEAN,
China, Japan, USA, and EU.
In addition to the key markets as specified in the PEDP, secondary markets shall be
addressed based on the opportunities that are presented by trade agreements, business
matching, and those resulting from developmental activities of government and the
private sector. Opportunities provided by specific market segments such as those defined
along cultural bounds shall likewise be tapped. These culture-based markets that will
provide opportunities to Philippine exports include, but are not limited to, halal, kosher,
and overseas Filipinos. Also, as provided in the PEDP, the key concern from the supply
side is the country’s capability to meet the demands of markets. Specific interventions are
necessary along the supply chain of each Revenue Stream (priority sector) to ensure one
or combinations of the following:

• Compliance with market regulations;

• Achievement of critical supply levels;
• Integration of widely-accepted technological innovation;
• Improvement of competitiveness; and
• Creation of high-impact strategic partnerships
Other specific strategies and interventions would include: promoting service-oriented
exports and nurturing the capabilities of globally competitive enterprises that produce
high quality products; accelerating industry clustering programs to enhance
competitiveness; pursuing a country branding program to promote the Philippines as a
source of quality and competitive products; and strengthening strategic alliances and
partnerships with the export sector, business support organizations, other government
entities, and embassies and foreign trade offices to address the proper valuation of exports
and imports, thereby increasing revenues. The Department shall also guarantee a policy
and financing environment that is conducive to export growth.
Programs/Activities/Projects (PAPs)

• Formulation of plans, programs, and policies for the promotion and facilitation of
exports Policy advocacy/enabling environment
• Implementation of trade remedy measures against unfair trade practices and/or
surges in imports
• Negotiation of bilateral/multilateral/international agreement Commercial
intelligence
• Accreditation of certifying bodies/conformity assessment bodies/testing and
calibration laboratories
• Participation in international/regional standardization program (e.g. 5
International Organization for Standardization/International Electrotechnical
Commission)
• Provision of information through servicing of trade inquiries, rendering export
advisory services, development of information of products and markets, and
conduct of information sessions
 COLLEGE OF ENGINEERING
• Alignment of Philippine National Standards (PNS) with international standards
Resolution of trade complaints
• Issuance of export clearance and accreditation of exporters
• Participation in conduct of local/international fairs, trade missions and exhibits
Conduct of business matching activities
• Provision of cargo consolidation networking services
• Participation/coordination with international counterparts for policy coordination
and formulation relative to shipping/logistics interests
2. Industry development and investment promotion and facilitation
services
The DTI’s agenda is to create economic activity. The focus is to make the economy more
robust by implementing measures that shall attract more investments and allow
businesses to grow and expand.
As the vanguard of investment promotion, the Department undertakes initiatives to
address investor concerns in the areas of labor, immigration, bureaucracy and red tape,
security and peace and order, taxation, and tariff. It continuously contributes to the
creation of a conducive business environment by developing measures and action plans to
attract more investors in the country. Through public and private partnerships, the DTI
aggressively pursues the provision of necessary infrastructure support to entice more
investors and to retain them in the country.
To enhance the country’s investment promotion program, the DTI aggressively pursues
the Retention, Expansion, and Diversification (RED) Program to encourage the growth
and stability of businesses. Other strategies include: rationalization of the incentives
system; revitalization of the mining industry; focus on high-end, high-value investments;
aggressive promotion of the country as a provider of services in IT, medical tourism, eco-
tourism, and logistics hubs; and completion of ongoing and pipeline infrastructure
projects (through the Philippine Infrastructure Corporation) to spur further economic
activity; and initiating policy reforms, among others.
Programs/Activities/Projects (PAPs)

• Formulation of plans, programs and policies for industry development and

investment promotion and facilitation
• Policy advocacy/enabling environment
• Conduct of focused investment promotion campaign, investor servicing and
awareness activities
• Registration of investment projects 6
• Operation and maintenance of Build - Operate -Transfer Center (BOT)
• Development of new approaches to enhance Labor-Management Cooperation for
Quality and Productivity
• Activation of quick reaction teams
• Conduct of plant-level productivity training/seminars Administration of
Philippine Quality Award/s Program Monitoring of industrial training programs
 COLLEGE OF ENGINEERING
3. Development and promotion services for MSMEs
The DTI is the primary agency in the promotion and development of MSMEs through the
provision of various assistance and interventions, e.g., financing, marketing and
promotion, human resource development, product development, and advocacy. The focus
on MSME promotion and development is geared towards the graduation to higher levels
of undertaking, from micro to small and from small to medium enterprises. A stable
framework has been developed for the proper implementation of MSME development
policies, programs, and
strategies consistent with the provisions of the Small and Medium Enterprise (SME)
Development Agenda.
Programs/Activities/Projects (PAPs)

• Formulation of plans, programs, and policies for MSME development and

promotion
• Policy advocacy/enabling environment
• Conduct of business matching activities
• Conduct of selling missions and domestic/local trade fairs
• Operation of trade houses/centers
• Organization of product showcase
• Promotion of indigenous raw materials
• Conduct of resource mapping activities
• Conduct of training/seminars
• Conduct of business counseling and consultancy services to MSMEs Facilitation in
the conduct of product research, development, and design services Facilitation in
the conduct of design promotion activities Facilitation in accessing credit for
MSMEs
• Maintenance/operation of SME Centers

4. Consumer welfare and protection services

Guaranteeing consumer welfare entails an unyielding quest for strategic policies and
interventions that would result in better consumer protection. To attain this goal, the DTI
serves as a catalyst in promoting a vibrant and sustainable trading environment through
the development and enforcement of policies, trade regulations, and world class product
standards while promoting the efficient distribution of goods and services through regular
monitoring of supply and price levels of basic and prime commodities.
7
The DTI goes beyond the traditional scope of consumer welfare by being an advocate on
behalf of consumers. Over the past years, the Department has been strengthening its
linkage with private consumer organizations, increasing media awareness of the general
public on specific consumer issues, and providing speedy resolution on consumer
complaints. The Department also undertakes aggressive price monitoring and conducts
 COLLEGE OF ENGINEERING
regular market visits to ensure that basic and prime commodities are made available to
consumers at reasonable prices.
Programs/Activities/Projects (PAPs)

• Formulation of plans, programs, and policies for consumer welfare and protection
• Policy advocacy/enabling environment
• Price and supply stabilization
• Business regulation (e.g., business name registration)
Enforcement/promotion/monitoring of Fair Trade Laws
• Consumer assistance/response and mediation/arbitration of consumer
complaints/cases
• Development of PNS
• Product certification scheme and product testing
• Accreditation of freight forwarders
• Implementation of PD 1466 (Cargo Reservation Law)
• Consumer protection advocacy, training, and education/information programs
Organization/Strengthening of consumer organizations Regulation of importation
of used motor vehicles and spare parts
It is emphasized that the DTI functions using the “soup-to-nuts” approach where the
whole gamut of required services, from enterprise formation to production,
sale/distribution of goods in either the domestic and/or export markets, shall involve
the intervention of the appropriate operating units in the entire business process. The
services, which range from investments facilitation, generation and promotion, MSME
development and promotion, trade negotiation, development and promotion, as well
as consumer protection, highlight the equal importance given by the Department to
both the producers (firms) and consumers of the goods and services. To reiterate: in
DTI, Consumer Matters, Business Gains.

Powers of DTI
Based on DEPARTMENT ADMINISTRATIVE ORDER NO. 07 Series of 2006
Section 10. Powers and Duties of the Adjudication Officer. – The
Adjudication Officer shall exercise the following powers and duties:
a. Issue summons;
b. Administer oaths and affirmations;
8
c. Conduct adjudication;
d. Regulate and maintain order during the proceedings;
e. Issue subpoena or subpoena duces tecum, motu proprio or when requested by any
party to compel the attendance of witnesses or the production of documents,
records or books during the hearing;
 COLLEGE OF ENGINEERING
f. Take or receive all relevant evidence;
g. Rule upon offers of proofs;
h. Take or cause deposition to be taken whenever the ends of justice would be served
thereby;
i. Rule on any procedural request;
j. Issue preliminary orders, preventive orders, and temporary orders;
k. Exclude any party, witness, or any other person from the hearing room;
l. Render a decision within fifteen (15) days from the time the proceedings were
terminated; and
m. Perform such other functions as would contribute to the just, speedy, and
inexpensive resolution of the case.