Department of Labor and Employment v. Kentex Manufacturing Corp.

Facts: A fire broke out in the factory located in Valenzuela City owned by Kentex. The fire claimed 72 lives and injured a number of workers. As part of its standard procedures, personnel of DOLE­ CAMANAVA Field Office went to Kentex's premises. For its part, the DOLE-NCR also assessed Kentex's compliance with the occupational health and safety standards. Tt was discovered that Kentex had contracted with CJC Manpower Services (CJC) for the deployment of workers. The DOLE-NCR directed Kentex and CJC to attend the mandatory conference. Notably, Kentex, its Chairman and Chief Executive Officer Beato Ang, and the corporation's Chief Finance Officer Ong, were made parties to this case before the DOLE-NCR.

DOLE-NCR ruled against Kentex Manufacturing Corporation and/or Beato C. Ang and/or Ong King Guan. 

CA modified the ruling that Ong, as a company officer, he could not be personally held liable for the debts of Kentex without a showing of bad faith or wrongdoing on his part for the corporation's unlawful act.

Issue: Whether or not the CA erred in releasing Ong from monetary liability because a corporate officer has a juridical personality entirely separate and distinct from the corporation.

Held: Yes. CA committed serious error when it ordered the discharge or release of Ong from the obligations of Kentex. The reason is elemental in its simplicity: contrary to settled, unrelenting jurisprudence, it unconsciously and egregiously sought to alter and modify, as indeed it altered and modified, an already final and executory verdict.

Here, instead of filing an appeal with the DOLE Secretary, Ong moved for a reconsideration of the subject Order; needless to say, this did not halt or stop the running of the period to elevate the matter to the DOLE Secretary.