Two long-time Philippine Stock Exchange (PSE) broker-directors, Eddie T. Gobing and Ma. Vivian Yuchengco, have filed a petition before the Court of Appeals seeking to nullify a Securities and Exchange Commission (SEC) rule that imposes term limits for broker-directors. They challenge SEC Memorandum Circular No. 17, series of 2026, which sets a cap on how long broker-directors can serve. The petition asks the court to stop the SEC from implementing the circular, and cites alleged grave abuse of discretion and lack or excess of jurisdiction on the part of the regulator. The directors also argue the circular is unconstitutional and is “ultra vires,” meaning it allegedly goes beyond the SEC’s statutory authority.
In their filing, the directors request relief through certiorari and prohibition, contending that the SEC’s actions should be reviewed by the appellate court. The case centers on the legality of the SEC’s tenure-limiting measure for broker-directors at the PSE, and whether the SEC has the power to issue such a rule.
