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Caramoan v. Balang

SEC-SICD Case No. 4180 • Securities and Exchange Commission Departments • Securities Investigation and Clearing Department (SICD) • Nov 16, 1992

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[SEC-SICD * CASE NO. 4180. November 16, 1992.] RACHEL O. CARAMOAN, ET AL. , vs . EFREN C. BALANG, ET AL. , respondents . D E C I S I O N In their complaint filed on March 5, 1992, complainants prayed that the election of all the officers of the Philippine Progressive Bicolanos Organization, Inc. which was allegedly held on 29 January 1992 and which they only learned on February 25, 1992 be declared null and void. IAEcaH It support thereof, complainants alleged that there was no notice or announcement of the said election to the general membership as usually done, nor a place and time where and when it will be held, so that general members of the organization can attend and exercise their rights to vote and be voted upon; that there was no majority members present and participated in the controversial election, an that complainants and the rest of the members who are equally situated would like to participate in a genuine election of the organization. Upon being summoned, the respondents filed their answers on April 1, 1992. However, upon motion by the complainants, the respondents were declared in default for their failure to file their preliminary conference brief. Respondents did not file any motion for reconsideration or motion to lift the Order of a default up to the present. Hence, the above-entitled case was deemed submitted for decision based on the evidence adduced by the complainants. As culled from the records and the affidavits submitted by the complainants, it appears that there was no notice to the majority of the members of the Philippine Progressive Bicolanos Organization, Inc. of the alleged election of the Board of Directors and officers thereof held on January 29, 1992 in violation of its By-Laws which provides: "Notices of the date, time and place of annual and special meetings of the members shall be given either personally or by special delivery mail, at least one week before the date set for such meeting. In Urgent cases, the notice may be communicated at least two days before the meeting personally or by telephone, or by telegram, if contract is not possible. The notice of special meeting shall state briefly the purpose or purposes of the meeting. No other business shall be considered at such meeting, except with the consent of all the members present thereat." (Article I, Section 3). WHEREFORE, premises considered, it is hereby declared that the elections of all the officers of the Progressive Bicolanos Organization, Inc. held on January 29, 1992 is null and void. IaECcH SO ORDERED. (SGD.) ELPIDIO S. SALGADO Hearing Officer

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