Plunder of PNCC Gratuity Fund (11)

8. If Section 5 of A.O. 59  directs all government agencies such as the DBM, NEDA, etc. to accord operational flexibility and differential treatment to GOCC’s engaged in proprietary functions, with more reason and with greater force should this directive apply to PNCC which is merely an acquired asset corporation and essentially a private corporation.

9. It is axiomatic in law that obligations are demandable only if there is a law or contract requiring their performance by persons clearly covered thereby (Article 152-1158, Civil Code). xxx   therefore, the grant of gratuity benefits to those who rendered invaluable services to PNCC in accordance with PNCC’s Retrenchment/Retirement Guidelines was legally authorized, justifiable and reasonable under the particular circumstances.”

Rapidfire hastens the view that the aforesaid position taken by the members of the previous PNCC Board (This Board) is inherently weak. Their insistence that PNCC is a private entity and not covered by COA audit rules and regulations has recently been struck down by the Supreme Court in  its  Radstock  Decision (December 4, 2009, 607 SCRA 413, and which Rapidfire also recently serialized),  which held that PNCC is a government owned and controlled corporation.

Another recent SC verdict (Manggagawa at Mangingisda, Inc./TRB cases, G.R. Nos. 166910, 169917, 173630 & 183599, October 19, 2010) also considers PNCC as a “government agency.”

Aggrieved PNCC rank-and-files agitate that erring members of This (PNCC) Board involved in this retirement gratuity caper should be required to refund to PNCC the millions of benefits they have unlawfully received, thru cash advances, from such funds.

It would be a very strong statement if Chair Butalid and the new PNCC board members are minded to institute the appropriate charges against all those responsible for the RAIDS on the mentioned PNCC re-tirement  trust fund.

In another sense, filing by PNCC’s new leadership of the insinuated, if pertinent, cases  could validate snowballing public perception that this agency – PNCC – the President recently cited twice (in his Ulat Ng Bayan and SONA messages) for implementing cost-saving measures is amazingly rising, like the mythical phoenix, from the ashes of self-inflicted financial oblivion and leading many other GOCC’s  also ruined by mismanagement in   gradually coming back to the mainstream of  fiscal viability and profitability.


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