American Automobile International, Inc.

REPUBLIC OF THE PHILIPPINES DEPARTMENT OF FINANCE SECURITIES AND EXCHANGE COMMISSION SEC Building, EDSA, Greenhills City of Mandaluyong, Metro Manila Compliance and Enforcement Department :.' IN THE MATTER OF PED Case No. 20-2431 AMERICAN AUTOMOBILE INTERNATIONAL, INCJ CEASE AND DESIST ORDER American Automobile International, Inc. (AAl) is an entity registered with this Commission under SEC Registration No. A199908512 issued on June 17, 1999. As indicated in its Articles of Incorporation, its primary and secondary purpose are to wit XXX XXX KXX Primary Purpose To carry on printing service business for International Identification Card for International Driver's Permit, to work and undertake Iithographer, stenotyper, photo printers, and any other business similar on analogous to be foregoing or any of them. Secondary Purpose 1). To carry on business to translate Identification Card for International Drivers Permit; 2). To conduct seminars from time to time and to inform holders of drivers permit of Traffic Rules and Regulations promulgated by duly instituted authority; A PED Case No. 20-2431 Cease and Desist Order Page 2 3).To import/export, purchase, own, acquire or otherwise accept such property, .real or personal " as may be necessary, convenient and appropriate of any corporation; To perform all and everything and proper for the attainment of pirpose in furtherance of the power set forth either alone or in association with other corporations or individuals. XXX XXX Based on information transmitted to this Department, AAI is engaged and is representing itself as an authorized issuer of International Driver's Permits (IDPs) for Asia, Canada, USA, Europe, as among others and is also hiring representatives for the distribution of said IDPs. Furthermore, it appears that said IDPs are not even recognized in other territories Aas purported to be. E Thus, it is apparent that there exists, not only a disparity between the registered : *: purpose of AAI as scoped against its actual operations but more imperatively noted is the commission of fraud and misrepresentations against an unsuspecting public . :..* Such being the case, the commission of these ultra vires acts, aside from being a violation of Section 45 of the Corporation Code of the Philippines, is a ground for suspension and revocation of corporate franchise as provided for under PD 902-A PED Case No. 20-2431 Cease and Desist Order Page 3 4T . ::: Finally, the same would also work as a serious misrepresentation detrimental to the .: interest of the transacting public necessitating the issuance of a Cease and Desist Order by this Commission. WHEREFORE, premises considered and in order to protect the public, this : Commission HEREBY ORDERS and DIRECTS AMERICAN AUTOMOBILE ... I INTERNATIONAL, INC. its officers, directors, agents, representative and any and all persons claiming and acting under its authority to Cease and Desist from further engaging in the printing, distribution and sale of International Driver's Permit without the required authority to do so. Subject to this order and pending investigation, AAI may file a request for the lifting of this Cease and Desist Order within five (5) days from receipt hereof. SO ORDERED Mandaluyong City, Metro Manila, January 24, 2001 EMILIO B? QUINO Directo