Licenses, registrations of 401 lending firms canceled – SEC

The Securities and Exchange Commission (SEC) on Monday said that it had canceled the registrations and licenses of 401 lending companies over their failure to comply with reportorial requirements.

The revocation order was issued last May 30 by the corporate regulator's Financing and Lending Companies Department.

"The subject companies were found to have failed to file their audited financial statements, general information sheet, director or trustee compensation report, and director or trustee appraisal or performance report and the standards or criteria for the assessment," the SEC said in a statement.

All companies had failed to file the required reports at least three times over a five-year period and were declared delinquent after ignoring an October 2023 notice to avail of an amnesty.

Delinquent firms were given another six months to comply but all respondents again failed to do so, the SEC said.

Under SEC Memorandum Circular 19, series of 2023, failure to comply within six months from the receipt of the order of delinquency authorizes the commission to revoke corporate registrations.

The list of lending companies that had their primary and secondary licenses revoked can be accessed at https://www.sec.gov.ph/wp-content/uploads/2025/06/2025Advisories_401-Delinquent-Lending-Companies_Order.pdf.

Source: Manila Times

Cash remittances jump 4% in April

Money sent home by overseas Filipino workers (OFWs) rose in April compared to a year earlier, the Bangko Sentral ng Pilipinas (BSP) reported on Monday.

At $2.97 billion, personal remittances grew by 4.1 percent from the $2.86 billion posted in April 2024. It was the highest growth recorded since December 2022's 5.7 percent.

"Personal remittances to the Philippines continued to grow in April of this year as remittances from both land-based and sea-based overseas Filipinos increased," the central bank said in a statement.

Remittances, however, declined from the $3.13 billion recorded in March.

The April count pushed the tally for the first four months of 2025 to $12.37 billion, up 3.0 percent from the $12.01 billion recorded in January-April last year.

In April alone, money sent home via banks totaled $2.66 billion, 4.0 percent more than the $2.56 billion posted a year earlier but lower than March's $2.74 billion.

Cash remittances to date reached $11.11 billion, up 3.0 percent from the $10.78 billion recorded from January to April last year.

The United States continued to account for the biggest share of overall remittances at 40.4 percent, followed by Singapore at 7.3 percent; Saudi Arabia, 6.3 percent; Japan, 5.0 percent; and the United Kingdom, 4.5 percent.

Rounding out the top 10 were the United Arab Emirates (4.5 percent), Canada (3.2 percent), Qatar (2.9 percent), Taiwan (2.7 percent), and Hong Kong (2.7 percent).

The BSP qualified that remittance data by source has limitations, with the US appearing to be the main source as remittance centers in cities abroad commonly course the money through correspondent banks that are mostly located in the US.

Sought for comment, Philippine Institute for Development Studies senior research fellow John Paolo Rivera said the increase showed underlying strength in remittance flows, driven by stable overseas employment, particularly in the US, the Middle East, and parts of Asia.

"Moving forward, remittance growth is likely to remain steady, supported by demand for OFWs abroad, especially in health care, logistics, and domestic services," he said.

"The weaker PHP (peso) may also incentivize higher dollar remittances. But global uncertainties such as inflation in host countries, geopolitical tensions, and policy shifts like taxes on remittances in major markets (e.g., US) are downside risks to monitor."

Oikonomia economist Matt Erece, meanwhile, said the strong remittance growth in April was likely due to seasonal factors.

"We may continue to see stronger remittance inflows from OFWs due to the relative strength of the peso. They may be prompted to send more to maintain the same peso value they used to send," he added.

The peso has fallen against the dollar over the last two trading days and is now in P56:$1 territory after stabilizing at the P55:$1 level last month.

Source: Manila Times and Business World

Oral partition of property is valid

Article 1079 of the New Civil Code of the Philippines provides for the meaning of partition, which states that:

"Art. 1079. Partition, in general, is the separation, division and assignment of a thing held in common among those to whom it may belong. The thing itself may be divided, or its value."

"Every act which is intended to put an end to indivision among co-heirs and legatees or devisees is deemed to be a partition. Partition may be inferred from circumstances sufficiently strong to support the presumption. Thus, after a long possession in severalty, a deed of partition may be presumed." (Spouses Marcos v. Heirs of Bangi, GR 185745, Oct. 15, 2014, penned by Associate Justice Bienvenido Reyes)

In the case of Espinas-Lanuza v. Luna, Jr., GR 229775, March 11, 2019, penned by Associate Justice Jose Reyes Jr., it is stated that:

"An oral partition by the heirs is valid if no creditors are affected. Even the requirement of a written memorandum under the statute of frauds does not apply considering that such a transaction is not a conveyance of property resulting in change of ownership but merely a designation and segregation of that part which belongs to each heir."

Citing an earlier case, the high court explained in Espinas-Lanuza v. Luna that:

"On general principle, independent and in spite of the statute of frauds, courts of equity have enforced oral partition when it has been completely or partly performed.

"Regardless of whether a parol* partition or agreement to partition is valid and enforceable at law, equity will in proper cases, where the parol partition has actually been consummated by the taking of possession in severalty and the exercise of ownership by the parties of the respective portions set off to each, recognize and enforce such parol partition and the rights of the parties thereunder.

Thus, it has been held or stated in a number of cases involving an oral partition under which the parties went into possession, exercised acts of ownership, or otherwise partly performed the partition agreement, that equity will confirm such partition and in a proper case decree title in accordance with the possession in severalty."

In many families, the issue of property inheritance often causes confusion and conflict, especially when the division of property is not formalized through a written agreement.

For an oral partition to be valid, it must be made with the consent of all the heirs. The oral partition is considered valid if the heirs have already taken possession of their respective shares in the property. If the heirs physically possess their designated portions, this can serve as proof of their agreement to the oral partition.

*Parol partitions are oral agreements between co-tenants to informally partition land.

Source: Manila Times