ISSUE
Cease and Desist Order (CDO) from further conducting selling advertisement activities issued by the Housing and Land Use Regulatory Board (HLURB).
OUR POSITION
The EFX Creative Studio would like to clarify that the undertaking made by the EFX is not to sell residential and/or subdivision lot/s to individual or group buyers, rather, EFX is only concerned with the formation and organizing of community associations from among active and formally employed members of Pag-IBIG who may be desirous of and eligible to housing loans under the existing consolidated guidelines of the Pag-IBIG Housing Loan Program.
In the organization process, the participation of EFX is only to disseminate information by educating interested members of Pag-IBIG who are eligible for loans under the existing consolidated guidelines of Pag-IBIG Housing Loan Program and organize an association eligible under the GLAD Pag-IBIG Program.
Thus, the flyer disseminated by the EFX is not to sell to any prospective buyer, but to encourage any interested person to join the association and during negotiation process, assist when requested by any party between landowner/seller and the association, assist in the documentation compliance procedure.
The only participation or would -be participation thereafter of the EFX shall be in the construction of the house to be constructed/built by the individual member of the association shall be, when so requested to assist them in the planning, architectural and civil engineering, or design of the house which is the line of business of the EFX.
ECS Land Residences Homeowners Association’s Position
Due to the issue, the ECS Land Residences Homeowners Association also submitted their position paper with regards to the Cease and Desist Order.
The ECS Land Residences Homeowners Association is in support of the position under the said GLAD program, the homeowners association concerned is required to collect the equity prior to the issuance of the license to sell in order for the loan for the acquisition of the property to be developed shall be release.
On the issue of equity collection, the same falls under Par. D, No. 6 of HDMF Circular 80-J which reads in part : “the community association must have already collected and deposited in a bank the required equity for land acquisition and land development as well as interest payments equivalent to three (3) months.” This must be collected at the time the loan application under the GLAD program of the HDMF.
In page 2 of GLAD Checklist of Requirements, “Passbook or certification from the depository bank representing the equity for land acquisition and development” is again required and which, in accordance with the immediately preceding paragraph, is the already collected equity in the amount or ratio required.
On the issue of collecting the equity required for a loan assistance under the GLAD program before the issuance by that good office of the License to Sell, the ECS Land Residences Homeowners Association humbly submits that for the purpose of seeking the loan assistance adverted to, the License to Sell is only required upon approval of the loan and prior to the funds being release to the landowner for land acquisition.
With the foregoing, the EFX Creative Studio and the ECS Land Residences Homeowners Association Inc. hopes to have enlightened the community involved particularly with this matter.
EFX Creative Studio 