In a previous column, I wrote about the recent annual general meeting of Victo National Cooperative Federation and Development Center and how the institution, through its more than 210 member cooperatives and 281 direct and active coop affiliates, has impacted greatly and positively on the lives of many Filipinos.
The relevance of the cooperative system is highlighted by its remarkable performance during the global economic crisis of 2008. Many United States banks crashed under the weight of the subprime toxic mortgages, characterized by a rise in mortgage payment delinquencies, foreclosures and decline of securities that guaranteed the said mortgages.
Credit financing to houses, cars, etc., was mostly taken out by American consumers but in the ensuing investigation of the financial system, even undocumented immigrants helped themselves to offers of credit by banks desperately looking for buyers of toxic properties. The business crisis eventually forced the U.S. government to rescue ailing institutions, with an initial commitment of $3 trillion, but according to economic pundits, the cost to American taxpayers could be as high as $10 trillion.
In a cooperative system, would the U.S. subprime toxic mortgage fiasco have happened?
At a press con last week, I asked Rep. Pablo Garcia about the resilience of coops during times of economic adversity. He stressed that in a classical setting, owners of capital do not run the business but delegate decision makings to business managers. The capitalist has no control over business practices and his main concern is the profit that he would earn from his investments.
The cooperative setup is a radical departure from the classical style because the owners of the capital are themselves the managers. They have substantial control over the cooperative which makes the system democratic. The smooth operation of a cooperative enterprise is sustained by a set of basic principles that upholds the values of transparency and fairness. Prudence and a keen awareness to promote savings are some of the best business practices that the cooperative system promotes. It is in this context that Representative Garcia lauded cooperatives, calling it the wave of the future.
I am not surprised Victo National is very upbeat about the future. The synthesis and declarations culled from the two-day convention will be endorsed to the worldwide federation of cooperatives in Japan on July 2012 during the International Year of Cooperatives. In that sense, Victo National’s 41st annual general meeting becomes historic.
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The conferment rites, by Pope Benedict XVI through Cebu Archbishop Jose S. Palma, of the Order of St. Sylvester to Dames Mariquita Yeung, Lourdes Vilma Lee, Alita Solon, Anita Cabinian, Julia Gandionco, Lourdes Jereza, Anita Sanchez, Conchita Go and Rosa Maria Garcia at the Cebu Metropolitan Cathedral last Wednesday was very well attended.
Thankfully, the cathedral was cooled for the occasion because it made things easier and comfortable for the awardees, who all looked resplendent in their black gowns etched with gold accents. Families, friends and admirers of all nine awardees came to share the joy and blessing of the solemn occasion. Applause reverberated around the cathedral each time their names were called, but owing to the number of her supporters who came, the cheers were louder for Mariquita Salimbangon-Yeung.
Less than two months ahead of the conferment rites, I wrote an article about the inclusion of Ms Yeung on the papal list. A brief backgrounder about past and current activities were mentioned like her chairmanship of the charitable institution that bears her name and her unsuccessful bid in the last mayoralty elections of Bogo.
The MSY charities that extend free surgery to children born with facial defects have been around since the ’90s and thousands of families have always looked up to Operation Smile each year, around Valentine’s Day. To hear their benefactor’s charity work being recognized by the Pope is something that the 4,000 or so beneficiaries will smile about. Likewise, and I mean no disrespect for any elected official, Ekit’s failed tender in Bogo City gains a different dimension because not all who made it during the last elections could merit a papal award.