Units for sale at Securities and Exchange Commission (SEC) district, Patubagan condominium
In the bustling Cebu, the Securities and Exchange Commission (SEC) Extension Office has been dealing with a heated controversy involving a Canadian investor and a condominium corporation in Barangay Kamputhaw, Cebu City. This case escalated following complaints about the qualifications of the directors in the same condo.
This situation marks the most significant controversy for the Winland Towers Condominium Corporation since George Nathaniel Hancock, an active opponent of Winland Towers' management, reported the poor handling of safety issues, violations of fire codes, criminal negligence, and potential bribery allegations against the Bureau of Fire Protection (BFP) 7, Winland Towers, and the Office of the Building Official (OBO) to the National Bureau of Investigation (NBI) on March 26, 2025.
In the past, the BFP 7 confirmed that the Winland Towers had not undergone a fire safety inspection, and several issues were unaddressed. Prior to this, the SEC warned Winland Towers for failing to provide access to financial records for assisting unit owners.
Recently, the SEC addressed this issue in light of Section 26 of Republic Act (RA) 11232, or the Revised Corporation Code of the Philippines. This section outlines the reasons for disqualifying individuals from serving as directors, trustees, or officers, even in corporations unrelated to finance.
Under Section 26, a person could be disqualified if they have not been elected or appointed within the past five years and have been found guilty of fraudulent acts in the past year, or violations of RA 11232 or RA 8799, which is the Securities Regulation Code.
However, Hancock criticized the SEC for not addressing his complaint, claiming that the SEC ignored the referred Section 26. Hancock further contended that the SEC should administratively remove his allegedly "illegal directors" from the Winland Towers, citing Section 27 of RA 11232, which addresses investigations and penalties for fraudulent acts.
The SEC responded, suggesting that they are "selectively applying" Section 26 rather than Section 27, implying that the SEC's concern lies more with giving corporations the benefit of the doubt when they violate the law than enforcing their own regulations.
Hancock has recently filed a formal complaint against the SEC, asking for more action and transparency in the matter. Our website Cebu reached out to Winland Towers Condominium Corporation for their response to these recent directives from the SEC. / JPS
The Winland Towers Condominium Corporation, based in Cebu, is at the center of a controversy that extends beyond just business, as George Nathaniel Hancock accuses the SEC of overlooking the disqualification of certain directors, in alleged violation of Section 26 of Republic Act 11232. In response to Hancock's complaint, the SEC maintains that they are prioritizing giving corporations the benefit of the doubt over enforcing regulations, a decision that Hancock finds troubling.
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