tax of the preceding year, the fund of the Social Reform Council intended for survey and delineation of
ancestral lands/domains, and such other source as the government may deem appropriate. Thereafter,
such amount shall be included in the annual General Appropriations Act. Foreign as well as local funds
which are made available for the ICCs/IPs through the government of the Philippines shall be coursed
through the NCIP. The NCIP may also solicit and receive donations, endowments and grants in the form of
contributions, and such endowments shall be exempted from income or gift taxes and all other taxes,
charges or fees imposed by the government or any political subdivision or instrumentality thereof.
CHAPTER XIPenalties
SECTION 72. Punishable Acts and Applicable Penalties. — Any person who commits violation of any of
the provisions of this Act, such as, but not limited to, unauthorized and/or unlawful intrusion upon any
ancestral lands or domains as stated in Sec. 10, Chapter III, or shall commit any of the prohibited acts
mentioned in Sections 21 and 24, Chapter V, Section 33, Chapter VI hereof, shall be punished in
accordance with the customary laws of the ICCs/IPs concerned: Provided, That no such penalty shall be
cruel, degrading or inhuman punishment: Provided, further, That neither shall the death penalty or excessive
fines be imposed. This provision shall be without prejudice to the right of any ICCs/IPs to avail of the
protection of existing laws. In which case, any person who violates any provision of this Act shall, upon
conviction, be punished by imprisonment of not less than nine (9) months but not more than twelve (12)
years or a fine of not less than One hundred thousand pesos (P100,000) nor more than Five hundred
thousand pesos (P500,000) or both such fine and imprisonment upon the discretion of the court. In addition,
he shall be obliged to pay to the ICCs/IPs concerned whatever damage may have been suffered by the
latter as a consequence of the unlawful act.
SECTION 73. Persons Subject to Punishment. — If the offender is a juridical person, all officers such
as, but not limited to, its president, manager, or head of office responsible for their unlawful act shall be
criminally liable therefor, in addition to the cancellation of certificates of their registration and/or license:
Provided, That if the offender is a public official, the penalty shall include perpetual disqualification to hold
public office.
CHAPTER XII
Merger of the Office for Northern Cultural Communities (ONCC) and the Office for Southern Cultural
Communities (OSCC)
SECTION 74. Merger of ONCC/OSCC. — The Office for Northern Cultural Communities (ONCC) and
the Office of Southern Cultural Communities (OSCC), created under Executive Order Nos. 122B and 122C
respectively, are hereby merged as organic offices of the NCIP and shall continue to function under a
revitalized and strengthened structures to achieve the objectives of the NCIP: Provided, That the positions of
Staff Directors, Bureau Directors, Deputy Executive Directors and Executive Directors, except positions of
Regional Directors and below, are hereby phasedout upon the effectivity of this Act: Provided, further, That
officials and employees of the phasedout offices who may be qualified may apply for reappointment with the
NCIP and may be given prior rights in the filling up of the newly created positions of NCIP, subject to the
qualifications set by the Placement Committee: Provided, furthermore, That in the case where an indigenous
person and a nonindigenous person with similar qualifications apply for the same position, priority shall be
given to the former. Officers and employees who are to be phasedout as a result of the merger of their
offices shall be entitled to gratuity a rate equivalent to one and a half (1 ½) months salary for every year of
continuous and satisfactory service rendered or the equivalent nearest fraction thereof favorable to them on