Rev. Baldomero Paloay, et al. vs. Rev. Rufina C. Rosendo, et al.
SEC-SICD Case No. 3108 • Securities and Exchange Commission Departments • Securities Investigation and Clearing Department (SICD) • Sep 7, 1988
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[SEC-SICD * CASE NO. 3108. September 7, 1988.] REV. BALDOMERO PALOAY, ET AL. , petitioners , vs . REV. RUFINA C. ROSENDO, ET AL. , respondents . D E C I S I O N This is a petition for the annulment of the election of the members of the board of directors and officers of International Christian Church of the Philippines, Inc. (ICCPI, for brevity). Petitioners alleged, among others, that on June 22, 1986, an election for the Board of Directors and officers of ICCPI was held and the following were elected, to wit: President Rev. Rufina C. Rosendo Vice-President Rev. Baltazar Sabado Secretary/Treasurer Iluminada B. Paquit Board of Directors: 1. Rev. Carlos Bisuelan 2. Rev. Clemente Adugan 3. Mrs. Eulalia Pangayan 4. Mrs. Marina Duque 5. Mr. Espiritu Balingsat 6. Mr. Tomas Madamba 7. Mr. Honorato Domingo 8. Mr. Teodoro Libaten 9. Mrs. Theresa Adugan 10. Mr. Filomeno Quibatay 11. Rev. Felix Decano (Honorary member) 12. Pastor Magdalena Bitongo (Honorary member) that some of those elected members of the board of directors are not ICCPI members Eulalia Pangayan and Tomas Madamba are members of the United Methodist Church, Rev. Carlos Bisuelan, is a member and the incumbent President of the "Full Gospel Faith Temple" and Clemente Adugan, is a member and Pastor-Preacher of the Pentecostal Church of God; that except for Rufina C. Rosendo, all the officers and members of the board of directors who were elected on June 22, 1986 are not Ordained Ministers holding Credentials with the ICCPI; that the deletion from the records of the names of petitioners Rev. Baldomero Paloay, Rev. Lolita Pagullay, Rev. Alberto Pagullay, Rev. Edna Faraon, Rev. Dominador Panem and Rev. Angelina Inego of ICCPI is arbitrary, capricious and intended to malign them; and that petitioners were never notified of the meeting and election of officers and new set of board of directors of ICCPI held on June 22, 1986, hence, null and void. In answer thereto, respondents averred that Baldomero Paloay, Lolita Pagullay and Edna Faraon were formerly ICCPI members, but they have already disassociated themselves from ICCPI per their letter dated April 7, 1986 addressed to Rev. Roberto Rosendo, marked as Exh. "1", alleging that ICCPI is already defunct or non-existing; that petitioners Baldomero Paloay, Dominador Panem, Ernesto Baludbod, Alberto Pagullay, Lolita Pagullay, Angelina Inego and Edna Faraon have formed an association called "Kingdom Life Gospel Center Bible Institute"; that majority of the petitioners are not members of ICCPI and some of the petitioners who are ICCPI members were made to sign the petition without explaining to them the contents of the petition that Rev. Clemente Adugan, for purposes of reconciliation, personally served the notice of meeting to Rev. Baldomero Paloay, but the latter refused to receive it, as well as the personal invitation of Rev. Roberto Rosendo and that other members thereof were either notified verbally or formally of said meeting; that all the elected members of the board are bonafide members of ICCPI; that the emergency re-organization meeting was in accordance with Article V, Section 1, paragraph e; and that some of those elected in the board are not Ordained Ministers holding credentials with the ICCPI because those who have the credentials have disassociated themselves from the corporation. In their reply, petitioners denied having disassociated themselves with the ICCPI, the truth being that they wrote a letter to Rev. Roberto Rosendo to air their grievance for his neglect and failure to channel funds out of what he has solicited abroad to augment the salaries and wages of school teachers who are manning the Bible School under the ICCPI, and further, to show their distrust to Rev. Roberto Rosendo; and that all the signatories in the petition are bona-fide members of ICCPI and they all understood the impact and meaning of the contents of the petition. LLpr In the Order dated November 11, 1987, upon motion of counsel for the petitioners, respondents were declared in default for their failure to appear at the scheduled hearing, despite due notice. At the reception of evidence, held ex-parte, petitioners presented testimonial and documentary evidence which proved the following undisputed facts; That petitioners were never notified of the meeting and election of the new set of board of directors and officers of ICCPI held on June 22, 1986 in violation of Article III, Section 1 of the By-Laws, which provides: ". . . Written notice of such annual convention shall be sent by the Secretary to the members either by mail or personally, at least thirty (30) days before the date of the convention (Exh. "C-2"); and that the notice of Rev. Baldomero Paloay was only for the purpose of reconciliation. That except for Rev. Rufina C. Rosendo, all the members of the board of directors and officers who were elected on June 22, 1988 are not Ordained Ministers holding credentials with ICCPI, again, in violation of Article XI, Section 1 of the By-Laws which provides: "The Board of Trustees (or in religious terms Board of Presbyters) shall consist of seven (7) ordained ministers holding credentials with International Christian Church of the Philippines, Inc." That Eulalia Pangayan and Tomas Madamba are members of the United Methodist Church (Exhs. "A" and "B"), Rev. Carlos Bisuelan is a member and the incumbent President of the "Full Gospel Faith Temple" (Exh. "E") and Clemente Adugan, is a member and pasto-preacher of the Pentecostal Church of God, who were elected ICCPs directors are not qualified to be elected as such, they not being members of ICCPI. WHEREFORE, judgment is hereby rendered declaring NULL and VOID the election of members of the Board of Directors and officers of ICCPI held on June 22, 1986, as well as the documents signed by Rev. Rufina C. Rosendo and Iluminada B. Paquit. The holdover officers and directors of ICCPI are hereby directed to hold/conduct the election of officers and members of the board of directors in accordance with the provisions of the By-Laws. prLL SO ORDERED. (SGD.) MACARIO P. MALLARI Hearing Officer
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