Later part of 1986, when Samahang Nayon – a farmer organization was then almost dying and unexisting due to some unavoidable problems, the Department of Agriculture mandated that all Samahang Nayon’s organization be granted authority to convert into full pledged cooperative.

Through the initiative of a member named Eliseo A. Padilla, and with the help and support of other members, they re-organized the organization. With the meager paid up capital of P 18,000.00 in 1988, the operation started with only 36 initial members, services offered were Crop Production loan and Capital Share Loan.

Eliseo Padilla sat as Chairman of the Board on May 20, 1988, confident and diligently carried the responsibilities and rendered service voluntarily for the welfare of the organization. It was registered at the Department of Agriculture, San Fernando, Pampanga on June 27, 1988 with Registration No. R-III-FF-0232 and finally confirmed by the CDA on March 13, 1991 with Confirmation No. 724, named as BANTUG PRIMARY MULTI-PURPOSE KILUSANG BAYAN INCORPORATED.