SSS starts crackdown on delinquent employers, owner of publishing company jailed

The owner of a publishing company is now in jail for non-payment and non-remittance of employees’ social security and Employees’ Compensation contributions to the Social Security System (SSS) after the agency started an intensified campaign with the Philippine National Police (PNP) to run after delinquent employers for violation of the Social Security Act of 1997.

“Together with the PNP, we served warrants of arrest last week against two erring employers due to a final and executory judgement and findings of probable cause. This is to warn all employers that no one is above the law and SSS will no longer tolerate blatant disregard for social security protection of its member-workers,” said Social Security Commission (SSC) Chairman Dean Amado D. Valdez.

The Makati Regional Trial Court convicted Victor A. Caluag, his 83-year old mother Conchita and Ma. Antonietta R. Henson, Board of Directors of Silver Stream Publishing Corporation, for non-remittance of contributions. However, accused Antonietta Henson remains at large and the case against accused Realiza G. Henson was sent to the archives since she has not been arraigned.

Based on the decision, the three accused jumped bail and failed to attend hearings despite due notice hence bench warrants were issued against them. On January 19, the Caluags were arrested at their residence in Bel-Air Village, Makati City. They will both serve a minimum of six years and 1 day to 8 years imprisonment, and were ordered to pay SSS the amount of P1,608,837.45 million for unpaid contributions and penalties as of December 15, 2011.

On the same day, a warrant of arrest was supposed to be served on Dominador I. Lim Florencio I. Lim, Rufino Tan Manuel L. Lopez and Jose Fernandez, Jr., owners of Paladin Protective & Security Services, Inc. for non-remittance of loan repayments to SSS. However, they are no longer residing in their last known address at San Antonio Village, Makati City.

“The SSS will use the strength of the law to find delinquent employers against whom criminal cases have been filed, so we can prosecute them for non-registration, non-reporting of employees, non-production of records and the corresponding non-payment and non-remittance of contributions and loan amortization repayments of their employees,” said Atty. Stella Berna Valentona-Inacay, Officer-In-Charge, NCR South Operations Legal Department.

Early this month, Dean Valdez announced that SSS will conduct operation tokhang as a contribution collection mechanism. Under this mechanism, SSS will issue a show cause order among delinquent employers to give them a chance to comply with the SS Act. Otherwise, a legal case would be filed against them.

“The warrants of arrest against the Caluags and Lim is only the beginning of our crackdown against erring employers. We will not stop until employers learn the value of registering and reporting their employees and paying their monthly contributions with SSS, otherwise, face civil and criminal charges for violation of the SS Law,” said Dean Valdez.

Dean Valdez added that names of the top delinquent employers will soon be published in media.

From 2010 to first semester of 2016, SSS has initiated legal actions such as issuance of demand letters and filing of cases against 34,000 delinquent employers. The SSS was able secure 41 employer convictions with a corresponding collectible delinquency pf P61.66 million.

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