Last November, I wrote about the rise and fall of the National Steel Corp. .
The first manifestation of serious trouble came when Wing Tiek appointed an absentee CEO, an ill-qualified COO, and other Malaysian executives of dubious capabilities. The new management team changed existing management systems and operating procedures. It did away with regular weekly coordination meetings, monthly board meetings, quarterly management update meetings, and semestral management planning conferences.
An unprecedented loss of more than P2 billion was incurred in 1996 – which, ironically, was the best year in Philippine economic performance during the 1990s. The losses of the now privatized NSC continued, cumulatively reaching more than P8 billion prior to its 1999 shutdown. Since writing my article last November, I’ve been in contact with a group called the Men of Steel . This is a group composed of 13 ex-NSC top management members. These are the men who built NSC and lead it in its heyday. Among them are Rolando S. Narciso, Antonio Arrobio, Roberto Cola, Anthony S. Dizon, Domingo Gotauco, and Jose Negre.
The ownership of the former NSC and its assets has long been transferred by government to the private sector. At present, the lligan plant is owned by GSPI, a private-sector corporation which is directly indebted to a group of Philippine banks, duly secured by mortgages. Hence, the responsibility to protect and preserve NSC’s assets falls on GSPI’s shoulders.
Appropriate government intervention is through though the Department of Finance . The DoF has protocols relating to the protection of the state’s financial exposures in private institutions and securing government’s share of uncollected property taxes secured by mortgages.
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: bworldph - 🏆 9. / 68 Read more »