Board Resolution / 2025-010

KNOW ALL MEN BY THESE PRESENTS:

RESOLVED AS IT IS HEREBY RESOLVED, that MARITIME MULTIPURPOSE COOPERATIVE (MMPC) with business address at 5th Floor, 665 CRI Building, President Quirino Avenue, Malate, Manila, with its Board of Directors held a Strategic meeting on Tagaytay Application on December 19-20, 2025 at this meeting, a quorum was present and acted throughout, the following resolution were adopted and

approved:

A RESOLUTION ON THE INVOLUNTARY TERMINATION OF MEMBERS DUE TO TWO (2) YEARS OF INACTIVITY AND THE RECLASSIFICATION OF THEIR SHARE CAPITAL TO PAYABLES WITHOUT INTEREST

WHEREAS, the Cooperative By-Laws require members to actively fulfill their duties and responsibilities, including participation, patronage, and compliance with Cooperative policies;

WHEREAS, failure to actively participate and fulfill the duties of membership for an extended period constitutes inactivity and is a valid ground for involuntary termination of membership;

WHEREAS, there are members who have remained inactive for two (2) consecutive years, thereby failing to fulfill their duties as members of the Cooperative;

WHEREAS, upon involuntary termination of membership, the former member ceases to enjoy the rights and privileges of membership, including entitlement to interest on share capital, patronage refund, and other benefits;

WHEREAS, it is necessary to properly account for the share capital of involuntarily terminated members in accordance with sound accounting practice and cooperative principles;

NOW, THEREFORE, BE IT RESOLVED, as it is hereby RESOLVED, that:

1. Members who are involuntarily terminated due to two (2) consecutive years of inactivity, defined as failure to fulfill the duties and responsibilities of membership, shall have their paid-up share capital reclassified from Share Capital to Payables, under “Payable to Former Members.”

   
   

2. Upon reclassification, the said share capital shall no longer earn interest, dividends, or any form of return, effective from the date of involuntary termination.

   
   

3. The reclassified amount shall remain payable to the former member upon valid claim, subject to:

• Settlement of all outstanding obligations to the Cooperative, if any; and

• Compliance with existing Cooperative policies, procedures, and applicable laws.

4. The Management and Accounting Department are hereby authorized to:

   • Implement the necessary accounting adjustments;

   • Maintain an updated list of involuntarily terminated members and corresponding payable balances; and

   • Ensure proper recording and disclosure in the Cooperative’s books of accounts.

5. This Resolution shall take effect immediately upon approval and shall remain in force unless amended or repealed by the Board of Directors.

RESOLVED FINALLY, that copies of this Resolution be furnished to the Management, Accounting Department, Internal Auditor, and concerned Committees for their information and implementation.

Signed

Alberto Gomez

Maria Rodelita Homecillo

Eugenio Gonzales

Jeff Rex Calambuhay

Belly Joe Ligason