In re Second Rural Bank of Basista (Pang.), Inc.

April 16, 2008 SEC EN BANC CASE NO. 11-07-0269 IN THE MATTER OF SECOND RURAL BANK OF BASISTA (PANG.), INC. (SEC REG. NO. AS095-006553), petitioner . FOR: SETTING ASIDE OF ORDER OF REVOCATION O R D E R Petitioner SECOND RURAL BANK OF BASISTA (PANG.), INC. is a stock corporation registered with the Commission on 10 July 1995. 1 Petitioner was organized to carry and engage in business of extending rural credit to small farmers and tenants and to deserving rural industries or enterprises and to do and perform all acts, and to transact all business which may legally be had or done by rural banks under and in accordance with Republic Act No. 7353 (Rural Banks Acts of 1992). 2 The business office of petitioner is located at Magsaysay Avenue, Poblacion, Basista, Pangasinan. On 03 November 2003, petitioner's Certificate of Registration No. AS095-006553 was revoked by virtue of SEC Order dated 30 September 2003 for non-compliance with the Commission's reportorial requirements. Petitioner seeks reconsideration of the Order revoking petitioner's registration on the ground that the previous members of the Board of Directors due to accident, mistake and excusable negligence failed to file its financial statements and General Information Sheets. Petitioner likewise alleged that its newly elected board for the year 2007-2008 was not informed of the revocation of its certificate of registration. The present board, however, undertakes to submit all the reportorial requirements and documents that may be required for the setting aside of the revocation order. HEAcDC In support of its petition, petitioner submitted copies of the following: 1. 2006 Annual Income Tax Return; 2. Mayor's Permit No. FI-2007 issued by the Office of the Mayor of the Municipality of Basista; 3. 2007 General Information Sheet; and 4. Audited Financial Statements for the year ended 31 December 2006. Petitioner further alleges that it has no intention to violate the law and henceforth, commits to comply with the rules and regulations of the Commission regarding the submission of reports. As a matter of fact, petitioner already paid the penalty in the amount of ONE HUNDRED THOUSAND PESOS (Php100,000.00) as evidenced by Official Receipt No. 5483668 dated 21 September 2007. TIaDHE WHEREFORE, premises considered, the Order of the Commission dated 30 September 2003 revoking the Certificate of Registration of SECOND RURAL BANK OF BASISTA (PANG.), INC. is hereby SET ASIDE. Accordingly, petitioner is hereby directed to submit its 2008 Mayor's Permit as well as all relevant government licenses within thirty (30) days from date of receipt of this Order. Failure on the part of petitioner to comply with this directive shall cause the recall of the instant Order. Let a copy of this Order be furnished the Company Registration and Monitoring Department and the Economic Research and Information Department of this Commission for their appropriate action. SO ORDERED. Mandaluyong City. April 16, 2008. (SGD.) FE B. BARIN Chairperson (SGD.) MA. JUANITA E. CUETO Commissioner (SGD.) JESUS ENRIQUE G. MARTINEZ Commissioner (SGD.) RAUL J. PALABRICA Commissioner (SGD.) THADDEUS E. VENTURANZA Commissioner Footnotes 1. Certificate of Registration dated 23 April 1987. 2. Second Article, Articles of Incorporation of Petitioner.