The Securities and Exchange Commission (SEC) has ordered the corporate dissolution of two construction firms tied to controversial contractor Sarah and Curlee Discaya after they were found to have submitted false beneficial ownership records.
In separate resolutions dated November 26, the SEC’s Enforcement and Investor Protection Department revoked the certificates of incorporation of St. Timothy Construction Corporation and St. Gerrard Construction General Contractor and Development Corporation.
The move came after a Senate Blue Ribbon Committee hearing where Sarah Discaya admitted to owning and holding officer positions in both companies.
SEC records, however, revealed that she was not declared as a beneficial owner in St. Timothy’s filings from 2022 to September 2025, nor in St. Gerrard’s submissions from 2022 to 2024.
“The failure of the two firms to disclose Sarah as their beneficial owner constituted a violation of SEC MC No. 15, Series of 2019, as amended by MC No. 10, Series of 2022,” the SEC said.
Each company was fined ₱2 million under Section 11, I-A of SEC Memorandum Circular No. 10, Series of 2022, plus ₱1,000 per day of continuous violation under the Revised Corporation Code. Their directors were also barred for five years from serving as directors, trustees, or officers of any corporation.
The firms were previously issued notices in September directing them to settle the penalties for false declarations but failed to respond within the 15-day period.
The SEC emphasized that corporations must uphold truthful reporting: “Failure to comply, whether by omission or by submission of incorrect information, undermines market integrity and will be met with decisive regulatory sanctions.”
The commission added that administrative sanctions do not preclude civil, administrative, or criminal proceedings under other laws. Revocation of incorporation, it noted, similarly does not bar further legal action.
“The SEC continues to remind all corporations of their duty to maintain accurate beneficial ownership information and to update their submissions promptly as required by established regulations,” it said.