Section 2. The President of the Philippines shall have the power and authority to permit the location of said private fixed point-to-point, land-based, and land mobile, aeronautical and coastal radio stations or any of them on the public domain upon such terms as may be prescribed.

Section 3. This permit shall continue to be in force for a period not exceeding twenty-five years, and is granted upon the express condition that the same shall be void unless the construction of at least one of the said stations be begun within one and a half years from the date of approval of this Act, and completed within two years from the date the Secretary of Public Works and Communications shall have allotted to the grantee the frequencies and wave lengths to be used by the stations.

Section 4. The grantee shall not engage in domestic business of telecommunications in the Philippines without further special assent of the Congress of the Philippines, it being understood that the purpose of this permit is to secure to the grantee the right to construct, install, establish and operate private fixed point-to-point, land-based and land-mobile, aeronautical and coastal radio stations in places within the Philippines as the interest of the Institute and its purposes and objectives may justify.

Section 5. A special right is hereby reserved to the President of the Philippines in time of war, insurrection, public peril, emergency, calamity, or disturbance of peace and order, to cause the closing of the station or stations or to authorize the temporary use or possession thereof by any department of the Government upon payment of just compensation.

Section 6. No fees shall be charged by the grantee as the radio stations that may be established by virtue of this Act shall engage in communications regarding the grantee's business only.

Section 7. The grantee, its successors or assigns, shall so construct and operate its radio stations as not to interfere with the operation of other radio stations maintained and operated in the Philippines.

Section 8. The grantee, its successors or assigns, shall hold the national, provincial, city and municipal governments of the Philippines, harmless from all claims, accounts, demands or actions arising out of accidents or injuries, whether to property or to persons, caused by the construction or operation of its radio stations.

Section 9. The grantee shall not lease, transfer, grant the usufruct of, sell or assign this permit, nor the rights and privileges acquired thereunder to any person, firm, company, corporation or other commercial or legal entity, nor merge with any other person, company or corporation organized for the same purpose, without the approval of the Congress of the Philippines. Any corporation to which this permit may be sold, transferred, or assigned, shall be subject to the corporation laws of the Philippines now existing or hereafter enacted, and any person, firm, company, corporation or other commercial or legal entity to which this permit is sold, transferred, or assigned, shall be subject to all conditions, terms, restrictions and limitations of this permit as fully and completely and to the same extent as if the permit had been originally granted to the said person, firm, company, corporation or other commercial or legal entity.

Section 10. The grantee, its successors or assigns, is authorized to operate its private fixed point-to-point, land-based and land mobile, aeronautical and coastal radio stations in the medium frequency, high frequency, and very high frequency that may be assigned to it by the licensing authority.

Section 11. This permit shall be subject to amendment, alteration, or repeal by the Congress of the Philippines when the public interest so requires, and shall not be interpreted as an exclusive grant of the privileges herein provided for.

Section 12. This Act shall take effect upon its approval.

Approved: June 18, 1966