Minority group to file P6-B suit vs ULC majority owners

Minority investors of Universal Leisure Club Inc. (ULC), composed mostly of Filipino-Chinese businessmen, are set to file a P6-billion criminal case against the company’s officers and directors for syndicated estafa and falsification of documents.

In a press briefing yesterday, ULC’s minority investors represented by Maricel Lopez, the former head of the Philippine Stock Exchange’s Compliance and Surveillance Group, alleged that the club’s officers have engaged in misrepresentation and other fraudulent trading activities for their personal gains.

A unit of listed holding and property firm Universal Rightfield Property Holdings Inc., ULC offers ownership to multiple clubs for a single propriety membership share. It operates two business clubs, one city sports club, one beach club, and two golf courses.

Listed as liable for fraud include ULC founder and chairman Isidro Consunji, Cesar Buenaventura, Alfredo Lozano, Jose Merin,

Edwina Laperal, Jovencio Hernandez, Willard Mosquito, A. Bayani K. Tan, Rolando Justo, Abacus Capital & Investment Corp., and the DM Consunji group.

The ULC investors expressed confidence that they have a strong case against ULC management, saying they have sufficient evidence to pin down the responsible officers.

"We have a paper trail so we can strongly defend our case. We will file the case next week," Lopez said.

The filing of the criminal case follows the favorable decision of the Securities and Exchange Commission (SEC) ordering the revocation of ULC’s registration of securities and the return of payments made by purchasers of said securities.

"This is the first public offering where money will be returned. We laud the SEC for ordering the return of investments to investors. We are now in the process of getting our money back," Lopez said.

Apart from this, Lopez said the group is expected to go after ULC’s alleged violation of the Internal Revenue Code. The company allegedly falsified certain documents to pay lower taxes.

Lopez said a criminal complaint has already been filed by a group of 22 ULC investors against the company with the Quezon City Regional Trial Court early last year.