MANILA, Philippines – Students, faculty members, and staff of the Philippine School of Business Administration-Quezon City (PSBA-QC) are looking at possible legal options to prevent the closure of the school in October.

The school’s board of directors and stockholders announced on the school’s website on September 20 the “unanimous” decision they reached that day to close PSBA-QC and its educational programs effective at the end of first semester classes on October 18.

The notice of closure, signed by PSBA president Jose Peralta and PSBA chair Juan Lim, was also put out in newspapers on Wednesday, September 25, and Friday, September 27.

Aside from the closure, the notice also set the termination of academic and non-academic employees effective November 8 and 29, respectively.

It said students may transfer to PSBA-Manila for the second semester.

The notice said the school is being closed due to “serious business losses that have been sustained for the past eight years.”

Another reason cited was the continuous operation of the school by Benjamin Paulino without “an independent permit from the Commission on Higher Education (CHED)” and “authority from PSBA-QC.”

Paulino served as school president from 1991 until May 4 this year, when the Board of Directors elected Jose Peralta as president.

However, Paulino, who was not present during the election of a new set of directors and officers, questioned the validity of the May 4 stockholders’ meeting. Last June, he filed a civil case to declare the meeting and the election proper null.

He has continued serving as the school president.

Is the closure legal?

“The one with complete possession of the school, physically and operationally, is Atty Paulino, who said he is against the closure of the school,” National Service Training Program (NSTP) director Evans Pino told Rappler on Thursday, September 26.

He, along with Dean Raul Addatu and Paulino, told students on Wednesday during a students’ assembly that the closure is not true.

“Ginugulo lang kami (they’re causing chaos), because they know they’re losing in the cases filed [against them],” Addatu said.

Student council treasurer Jervina Gainsan said students initially panicked when the news first broke out, but they now support Paulino, who has clarified with them why he doesn’t want the school closed.

Faculty members also said everything is “normal” as far as the institution is concerned.

Pino said Paulino’s lawyers are studying the legality and implication of the closure notice, and whether damages have been committed against the students and employees.

The school will hold an open forum on Monday, September 30, regarding the issue. They invited CHED officials to clarify processes involved in the closure of an institution. – Rappler.com