The Securities and Exchange Commission has started a fact-finding exercise into the allegations over the surge in valuation of the vast tracts of prime property owned by Villar Land Holdings corporation, and the company said it welcomes the probe.

In a media interview, SEC Chairman Francis Lim said, “We're examining it. We're paying attention to the details before we come up with a decision one way or the other...there are many details. We cannot make judgments before investigating the facts.”

“These are technical issues. Fortunately, I've been teaching securities regulation course for a number of years. So, I know the refinements of the law. What I don't want to happen is for the SEC to act hastily, but, at the end of the day, we committed a mistake.

“Because we also have to consider not only the integrity of the market, not only the damage to the investors, but also the reputation of the companies involved,” he noted.

Lim stressed, “Let's just be fair. To be as objective as possible, we will decide on the basis of the facts that we discover. I know there are already facts. But we have to dig deeper in terms of the facts.

“Because at the end of the day, if these things end up in court, the court will decide on the basis of the facts and the evidence. We have to be ready.

“That’s the way I do things: long term. Not in the immediate reaction. That should be a no-no to a regulator....Only because this is coming out based on media. At the end of the day, we have to dig deeper and more carefully, more prudently.”

In response, Villar Land said it “welcomes the fact-finding investigation of the Securities and Exchange Commission over allegations raised against the company and reiterates its commitment to transparency and compliance with existing rules and regulations being enforced by both the SEC and the Philippine Stock Exchange.”.

“The company has consistently disclosed material developments and continues to coordinate with regulatory bodies regarding the status of its financials,” it noted.

Villar Land said its financial statement is currently undergoing a rigorous audit process by external auditors and this includes a comprehensive review of appraisal reports covering high-value properties.

“This extensive audit is necessary to ensure the accuracy and integrity of the financial statements. Once the audit is concluded, the audited financial statements will be publicly released in full compliance with regulatory requirements,” it added.

The firm also assured that, “The Company continues to engage and will continue to cooperate with its regulators and comply with all instructions and requests for information during the course of its fact-finding exercise.”