In re Magayon Construction and Development Corp.

May 12, 2008 SEC EN BANC CASE NO. 11-07-0291 IN THE MATTER OF MAGAYON CONSTRUCTION AND DEVELOPMENT CORPORATION (SEC REG. NO. 66457) , petitioner . RE: SETTING ASIDE ORDER OF REVOCATION O R D E R Petitioner Magayon Construction and Development Corporation is a stock corporation registered with the Commission on 11 March 1976. 1 The primary purpose of petitioner corporation is to engage in and carry on the business of general constructors, builders and developers, such as the construction, development and improvement of buildings, bridges, roads and highways, railways, and tramways, private or public roads, airports, ports and harbors, wharves, tunnels, dams, irrigation systems, dikes, underworks, aquatics and other edifice and/or structures of whatever kind and nature, including their estimates, appraisals, supervision and/or such other acts which may be necessary, advisable and convenient for the accomplishment thereof. 2 Its office address, per its 2007 General Information Sheet, is located at Unit 408-B Greenhills Mansion, 37 Annapolis Street, Greenhills, San Juan, Metro Manila. On 11 August 2003, Petitioner's Certificate of Registration No. 66457 was revoked pursuant to the SEC Order dated 08 July 2003 for non-compliance with the Commission's reportorial requirements. Said Order was published in a newspaper of general circulation on 11 July 2003. Petitioner now prays for the setting aside of the said Order of Revocation based on the following grounds: 1. "if said Order is not lifted by this Honorable Commission, the company, its shareholders and officers and all its employees and workers will suffer gravely because Magayon's construction business; 2. Currently, Magayon has bright business prospects and it is just awaiting the lifting of the revocation before it can pursue these prospects will be wasted and the potential income for its shareholders will not be realized. 3. It must be emphasized that Magayon has been in the construction business for many years and it has already established a solid name and reputation as a reliable and efficient construction company. If the Order is not lifted by this Honorable Commission, the solid name and reputation of Magayon, built through the hard work of its officers and stockholders, will become worthless and its outstanding trackrecord as a construction company will be rendered insignificant; 4. Magayon has a pool of construction workers which it taps whenever it has construction projects. If the Order is not lifted by this Honorable Commission and the business of Magayon is stopped, then these construction workers will lose their source of income. The same goes for Magayon's employees who will lose their jobs if Magayon's operations are shut down; and, 5. Over the years, Magayon has acquired substantial construction equipment, machineries and tools. If this Honorable Commission does not lift the Order, Magayon will be forced to end its construction business thereby wasting these equipment, machineries and tools." 3 In support of the Petition, the Petitioner submitted the following: a) 2007 General Information Sheet (GIS); b) 2006 Audited Financial Statements; c) Income Tax Return for fiscal year 2006; and, d) Mayor's Permit issued by the City Mayor of San Juan (2006 and 2008). Petitioner further alleges that it has no intention to violate the law and any SEC rules and regulations and henceforth, commits to comply with the rules and regulations of the Commission regarding the submission of reports. It has also paid in full the penalty amounting to Twelve Thousand Pesos (Php12,000.00) as evidenced by Official Receipt No. 0118073 issued on 22 November 2007. WHEREFORE, premises considered, the Order of the Commission dated 10 February 2004 revoking the Certificate of Registration of MAGAYON CONSTRUCTION AND DEVELOPMENT CORPORATION is hereby SET ASIDE. A careful examination of the records submitted, however, would show that the current principal office of petitioner is different from that stated in the Articles of Incorporation, which is "Suite 323 Third Floor, Farmer's Plaza, Cubao, Quezon City". In view of the discrepancy, petitioner is directed to amend its Articles of Incorporation within thirty (30) days from receipt of this order, failure on its part 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 (CRMD) and the Economic Research and Information Department (ERID) of this Commission for their appropriate action. SO ORDERED. Mandaluyong City. May 12, 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. 2. Primary Purpose of Petitioner's Articles of Incorporation. 3. Supplemental Petition to Lift Order of Revocation. Par. 5.