While the 43rd Infantry was attempting to retreat from Bataan after being ordered to withdraw, they encountered a Japanese blockade. Instead of surrender, Col. John P. Horan decided to retreat into the Mountain Province and engage in guerrilla warfare.
Not long after this, the provincial board established a Currency Committee, and began printing currency which President Quezon had authorized (a total of 300,000 Pesos).
Consisting of Acting Provincial Governor Roque Perido as Chairman, Assistant Provincial Treasurer Ambrosio Vallejo and Provincial Auditor Lupo Guzman as members, they arranged printing with the Missionary Press in Sagada.
While this region has fairly common notes for the beginning collector, the more advanced collector could still spend much time in this region, as many of the notes were counterstamped by the individual municipalities (cities) within the region, as well as local haciendas. You could collect by counterstamp, as well. Some of these counterstamps are very difficult to obtain, while others are relatively common.
Municipal notes:
- <em>There are no known municipal issues by this province.</em>
Provincial notes:
- First issue
The first printing amounted to 96,070.35 Pesos.
- Second issue
In January of 1942, the Japanese started closing in on the area. The provincial government moved to Lubuagan temporarily. After the Japanese withdrew from the area, the government moved back to Bontoc in early February, and resumed printing money. They printed more than was originally authorized (500,000 Pesos) but had to destroy almost 200,000 Pesos worth of currency that they printed when the Japanese forces re-occupied the area.
