Post by : Rameen Ariff

Photo : MSN

SEC Imposes Penalties on Villar Land

MANILA – The Securities and Exchange Commission (SEC) has penalized Villar Land Holdings Corporation and 11 of its top officers a total of PHP12 million. The penalty comes after the company failed to submit its audited financial reports for 2024 and the first quarter of 2025 on time.

The SEC said the fines were necessary because of the company’s repeated failure to file the required reports by the legal deadline and for not following lawful orders from the Commission.

Officials Identified in the Order

The SEC identified 11 key officers of Villar Land Holdings in its order, including:

• Cynthia Javarez, President and Director

• Manuel Villar Jr., Chair

• Manuel Paolo Villar, Camille Villar, Mark Villar, Directors

• Ana Marie Pagsibigan, Garth Castaneda, Independent Directors

• Estrellita Tan, Chief Financial Officer

• Gemma Santos, Corporate Secretary

• Ma. Nalen Rosero, Assistant Corporate Secretary

• Kate Cator, Compliance Officer

Each officer was also fined PHP2,000 for every day of delay starting from July 1, 2025, for the submission of the 2024 annual report and the 2025 first quarter report.

Company Denied Extension

Villar Land’s request to extend the deadline until August 31, 2025, was denied by the SEC. The company has 10 days upon receiving the SEC order to explain why they should not be held administratively liable for violating the Securities Regulation Code.

Background on Financial Reporting Issues

The SEC noted that Villar Land Holdings acquired 366.34 hectares of land at Villar City and PHP5.2 billion worth of stock from Althorp Land Holdings, Chalgrove Properties, and Los Valores Corporation in September 2024.

Because the company changed its accounting policy for investment properties to fair value accounting, it requested extra time to allow its auditors to finalize the 2024 financial statements.

Reported Financial Gains

According to Villar Land’s report to the SEC on March 28, 2025, the Board had approved the release of the 2024 financial statements. The company reported fair value gains on investment properties of PHP1.37 trillion by the end of December 2024, compared to PHP28.64 billion in 2023, largely due to the shares acquisition in September.

Despite this disclosure, the SEC stated that the company failed to submit the financial statements and required quarterly reports even after extensions were granted.

Importance of Timely Reporting

The SEC’s action highlights the importance of timely and accurate financial reporting by public companies. Audited financial statements are crucial for investors, regulators, and the public to assess a company’s performance, financial health, and transparency.

Delays or failure to report financial information can mislead investors and reduce confidence in the market. Regulatory compliance ensures fairness and accountability in the corporate sector.

Conclusion

The SEC’s penalty sends a strong message to all publicly listed companies that compliance with financial reporting rules is mandatory. Villar Land Holdings now faces fines and administrative scrutiny, emphasizing that even large corporations must follow legal and regulatory requirements.

This case also serves as a reminder to investors and the public to monitor corporate filings carefully and ensure transparency in the business sector.