Issuance of the 1966 Patriot Bond (hereinafter, "the Bond") shall be conducted in compliance with the provisions of this Act.
The Bond will be issued for a total amount of NTD 500 million, and will be issued at full face value in separate issues during the fiscal year 1966. The number of issues of the Bond and the amount and date of each issue shall be prescribed by the Executive Yuan.
The certificates of each issue of the Bond will have five face value denominations: NTD 500, NTD 1,000, NTD 5,000, NTD 10,000, and NTD 50,000. All certificates will be in bearer form.
The interest rate of the certificates of each issue of the Bond is 4 percent per annum, and the interest will be paid once every 6 months from the issue date.
A certificate of any issue of the Bond, beginning from the fifth periodic interest payment, principal and interest payments will be made in equal installments once every 6 months, until the Bond has been redeemed in full over a period of 10 years.
The Bond is on offer to all patriots of the Republic of China. Regulations governing the offering of the Bond shall be separately prescribed.
If a certificate of any issue of the Bond is lost, stolen, or destroyed, it may not be reported lost nor payment stopped, nor shall Article 720, paragraph 1 (proviso), Article 725, and Article 727 of the Civil Code apply.
Funds for redemption and interest payments of the certificates of each issue of the Bond shall be put on allocation on an annual basis in the national general budget, and shall be appropriated to the managing bank in advance to be held on deposit in preparation for payment.
The offering and sale and the principal and interest payments of the certificates of each issue of the Bond shall be managed by the Central Bank.
The certificates of any issue of the Bond may be freely traded, pledged, or used as guarantees in official dealings, and may serve as guarantee reserve of financial enterprises.
Interest on the certificates of each issue of the Bond is exempt from income tax.
This Act shall come into force from the date of promulgation.