SC: Danding's SMC shares not ill-gotten

MANILA, Philippines (June 22 2011) - After more than 20 years of litigation, the Supreme Court (SC) upheld with finality yesterday Eduardo 'Danding' Cojuangco's rightful ownership of 20 percent shares in San Miguel Corporation (SMC) estimated to be worth 19 billion pesos in 2007.

Furthermore, the Supreme Court shall no longer entertain any more pleadings on the case.

Also denied were all motions for reconsideration filed in connection with the case, including those of the Office of the Solicitor General (OSG) in behalf of the government, former Solicitor General Francisco Chavez, and a multi-sector group headed by former Senators Jovito Salonga and Wigberto Tanada.

Back in Nov. 28, 2007 the Sandiganbayan ruled that Cojuangco was the rightful owner of the SMC shares. When the PCGG’s motion for reconsideration was denied, the government elevated the case to the SC.

The SC ruled that the SMC shares were not part of the Marcos wealth and not ill-gotten and rejected the claim of the Presidential Commission on Good Government (PCGG) that the shares were acquired using coconut levy funds that Cojuangco controlled during the reign of Marcos.

SC spokesman Midas Marquez said the justices dismissed the PCGG’s claim that Cojuangco’s shares should be returned to the government, as they had been purchased in 1983 using funds from the United Coconut Planters’ Bank and the Coconut Industry Investment Fund (CIIF)’s oil mills – both repositories of coconut levy funds.

In a 73-page decision penned by Associate Justice Lucas Bersamin and handed down last April 12, the SC dismissed the petition of the PCGG seeking reversal of the Nov. 28, 2007 ruling of the Sandiganbayan favoring Cojuangco.

In the ruling, the SC affirmed the Sandiganbayan’s lifting of nine writs of sequestration issued by the PCGG on Cojuangco’s shares. The SC said there was no abuse of discretion in Sandiganbayan’s ruling.

Aside from Justice Bersamin those who concurred with the SC ruling were Chief Justice Renato C. Corona and Justices Presbitero J. Velasco Jr., Teresita Leonardo-De Castro, Mariano C. del Castillo, Roberto A. Abad, Martin S. Villarama Jr., and Jose Portugal Perez.

Justices Conchita Carpio Morales (now retired), Arturo D. Brion, Jose P. Mendoza, and Ma. Lourdes Sereno dissented.

Justices Antonio T. Carpio, Anonlinetonio Eduardo B. Nachura (now retired), and Diosdado Peralta did not participate. (from philstar.com)