SEC: Pryce Plans pays planholders with medicine, cooking gas

ABS-CBN News

Posted at Feb 10 2009 07:02 PM | Updated as of Feb 11 2009 03:02 AM

The Securities and Exchange Commission (SEC) on Tuesday named a pre-need company which has not been able to service its obligations to planholders.

At the Senate hearing on the state of pre-need firms, SEC Director Jose Aquino disclosed that Pryce Plans has been giving medicine and cooking gas to its planholders instead of paying them in cash.

"Pryce Plans instead of delivering the benefits promised, they pay them medicine, cooking gas...We called their attention your honor, but they told us this is the most that they can do," Aquino said.

According to Aquino, the SEC has licensed 24 pre-need companies in the country, which include Ama plans, Ayala Plans, Caritas Financial, Citiplans, Cocoplans, Danvil Plans, Destiny Financial Plans, Eternal Plans, First Country Plans, First Union Plans, Greyline Plans, and Himlayang Pilipino Plans.

Other licensed pre-need firms, Aquino said, include Loyola Plans Consolidated, Manulife, Mercantile, Paz Memorial Service, Permanent Plans, Philam Plans, Provident Plans International, Prudential Plans, St. Peter Life Plans, Sunlife Financial Plans, Transnational Plans, and Trusteeship Plans.

Meanwhile, Parents Enabling Parents Coalition (PEP) Philip Piccio urged the SEC to announce all pre-need companies which are nearing collapse. The SEC, Piccio said, are protecting the pre-need firms instead of public welfare.

"The SEC is not even announcing that there is another preneed company that will collapse anytime now. The smoke is so strong, everyday we get complaints for the past year of them not being paid. Can you imagine inoofer o sige wag nalang pera, in kind nalang... pinagloloko na lang ang mga tao," Piccio said. With a report from Maricar Bautista, ABS-CBN News