PART I

1. What is the Visitorial power of the State?
2. Determine the Government Agencies in charge with visitorial power.

PART II

Problem 01

S subscribed to 100 shares of stock of C Corporation with par value of P100 each, paying P2,000 on his subscription. Subsequently S asked P, the president of the corporation, to release him from his subscription. P consented provided that S forfeits to the corporation what he had already paid. S left afterwards, C went into insolvency and an assignee was appointed. The assignee now seeks to collect from S the balance of his unpaid subscription. Can the assignee still collect from S, the subscriber?

Problem 02

T, stockholder of C Corporation, assigns his shares of stock to E for a valuable consideration. The certificate of stock was thereupon delivered to E. A few days later, T died. The heirs of T, in a deed of Extrajudicial Partition, adjudicated his shares of stock to his son S.

In the meantime, C Corporation declared cash dividends and sent the corresponding notice to T's address, T being the registered owner of the shares of stock in the books of the corporation

S received the notice and by virtue of the aforestated deed of partition claimed payment of the dividend. E likewise claimed payment asserting ownership of the shares by virtue of the assignment made by T.

Who has a better right?