In re Calauag Montessori Learning Center Foundation, Inc.

November 27, 2008 SEC EN BANC CASE NO. 03-08-0374 IN THE MATTER OF CALAUAG MONTESSORI LEARNING CENTER FOUNDATION (CMLCFI), INC. SEC REGISTRATION NO. A199712262 FOR : Setting Aside the Order of Revocation of the Certificate of Registration O R D E R Petitioner, CALAUAG MONTESSORI LEARNING CENTER FOUNDATION (CMLCFI) INC. [formerly CALAUAG LEARNING CENTER FOUNDATION (CLCFI) INC.,] is a non-stock educational corporation registered with the Commission on 27 June 1997, under SEC Registration No. A199712262, with principal office address at J. Rizal Street, Brgy. Pinagkamaligan, Calauag, Quezon, organized to operate a pre-school/training and learning center, as stated in its Articles of Incorporation. cIHDaE On 15 March 2004, its Certificate of Registration was revoked by the Commission, by virtue of SEC Order dated 10 February 2004, published on 14 February 2004 in the Philippine Daily Inquirer, for non-filing of reports. Petitioner now prays for the setting aside of the said Order of Revocation dated 10 February 2004 on the following grounds: 1. that Petitioner has been in continuous operation and currently holding classes for students; 2. that Petitioner is employing handful of teachers and other school support personnel; and 3. that Petitioner intends to continue helping less fortunate children in the area by giving them low cost education. In support of its Petition, Petitioner submitted the following documents: * 1. Trustees' Certificate dated 26 June 2008, certifying that at the special meeting of the members and the Board of Trustees, held on 26 June 2008 in J. Rizal Street, Brgy. Pinagkamaligan, Calauag, Quezon, at which a quorum was present, the resolution allowing the filing of Petition to Set Aside Order of Revocation was unanimously approved; 2. Photocopies of 2008, 2007, 2006, 2005, 2004, 2003 and 2002 Business Permit, Calauag, Quezon; 3. Photocopy of minutes of meeting dated 5 October 2007 signed by Mr. Justo T. Florido, Jr., President and Ms. Laarni F. Tajon, Corporate Secretary of the Petitioner; 4. Photocopy of 2006 DTI Certificate of Business Name Registration, dated 21 March 2006; 5. Photocopy of 2002 Government Recognition issued by the Department of Education dated 24 June 2002 for the N-K-P of the Pre-Elementary Course; and AEIHaS 6. Photocopy of 2002 Government Permit issued by the Department of Education dated 24 June 2002 for the authority to operate Grades I-IV of the Elementary Course. Petitioner submitted its 2007 General Information Sheet (GIS) and 2006 Financial Statements (FS) to prove its intention to continue its registration with the Commission. It also manifested that it has no intention to violate the law and commits to immediately pay the fines as due. Upon evaluation of the submitted documents vis-a-vis the records on the file with the Commission, it appears that the Petitioner violated Section 16 of the Corporation Code of the Philippines (the Code). Per Document No. 5, Petitioner has engaged in the elementary course from grades I to IV. Also, Document No. 6 states that it has intention to include in its operation, High School, Vocational and Higher Education. Hence, based on the proofs submitted, Petitioner incurred a violation by engaging in the elementary course without properly amending its Articles of Incorporation, which states that it is organized to operate a pre-school/training and learning center. Thus, a fine of Php5,000.00 is imposable on Petitioner, pursuant to Section 144 of the Code. On 05 October 2007, Petitioner paid the fine of Php9,500.00 under O.R. No. 0145456, for non-filing of the following, on the years indicated hereunder: NOT FILED FILED LATE General Information Sheet 1998-2006 2007 Financial Statements 1997-2005 2006 WHEREFORE, finding the Petition meritorious, the Order of the Commission dated 10 February 2004, revoking the Certificate of Registration of CALAUAG MONTESSORI LEARNING CENTER FOUNDATION (CMLCFI), INC. is hereby SET ASIDE. Further, Petitioner is hereby directed to file its application for the amendment of its Articles of Incorporation (changing its primary purpose from pre-school/training and learning center to pre-school, elementary, high school, vocational, and higher education ), and pay the corresponding penalty within thirty (30) days from date of receipt of this Order. Failure on the part of the Petitioner to comply with this directive shall constitute a continuing violation of Section 16 of the Code and shall cause the recall of this Order. IEHDAT SO ORDERED. Mandaluyong City, November 27, 2008. (SGD.) FE B. BARIN Chairperson on leave MA. JUANITA E. CUETO Commissioner (SGD.) JESUS ENRIQUE G. MARTINEZ Commissioner (SGD.) RAUL J. PALABRICA Commissioner (SGD.) THADDEUS E. VENTURANZA Commissioner Footnotes * Photocopies are faithful reproductions of the originals of the documents.