Monday, January 26, 2009

Sad CAP Insurance in the Philippines

From the Looking Glass Column of Sunday Post

THOUSANDS OF PLANHOLDERS, mostly educational, have been seeking the assistance of the Securities and Exchange Commission (SEC), to recover their investments in some fifty (50) pre- need companies such as CAP, Pacific Plans, among many others.

 Unfortunately until now, these pre-need companies refused to return the hard-earned money of their planholders. To evade payment of their just claims, some twenty eight (28) of these companies have either declared bankruptcy or closed shop.

 The SEC, which is supposed to protect public interest, and go over the activities of these pre-need establishments so that planholders can recover their claims, has so far refused to compel pre-need companies to respond favorably to the complaints of their investors.

 Instead, SEC appears to protect the interest of pre-need companies by agreeing with the owners of these companies that because the latter lost some P1.4 billion for last year's operations alone, that planholders should wait for better times when these pre-need companies can finally recover from their financial woes.

 The questions are: Is it the fault of planholders that these companies allegedly lost some P1.4 in their operations? How about the money put up by planholders which were largely invested for their children's education?  

 The recent actuations of the SEC vis-à-vis the issue of the thousands of unpaid planholders, point to one overwhelming conclusion. It is either inutile or sick.

 We received a copy the letter of RTC Judge Pablo Magdoza sharply rebuking the Bohol Chronicle for a recent editorial that pilloried the judiciary for some imagined fault or wrongdoing.

 The good judge who has established a sterling record in his career with the prosecution service as well as in the judiciary was apparently irked by what he called half- truths, etc., in the paper's recent editorial.

 To our mind, Judge Magdoza only wants truth to stalk the land, and for justice to prevail even when life seem unbearable.

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