Former Sen. Jovito Salonga has asked the Supreme Court to turn down the motion of Coconut Producers Federation Inc. (Cocofed) seeking the approval of the proposed sale of the sequestered shares of San Miguel Corp. (SMC) in the names of 14 holding companies of the Coconut Industry Investment Fund (CIIF) in the amount of P56 billion.

In a six-page manifestation of concern, Salonga, former chairman of the Presidential Commission on Good Government (PCGG), told the Court that Cocofed does not truly represent the interest of the coconut farmers, considering that the group and its leaders have also been impleaded in numerous coconut levy-related cases as among the culprits in “robbing” the farmers of their legitimate share in the taxes they paid.

“It is, thus, quite unsettling that Cocofed, while sued as a conspirator in the coconut levy racket, would file a motion to approve the proposed sale of the SMC shares…as if it were truly the representative and duly recognized organization taking care of all the coconut farmers. If it were, we would not be in this mess,” Salonga said.

“Worse, despite being among the culprits, it would assert that it must be entitled to a portion of the interest of the proceeds,” he added.

Salonga said during the April 17, 2001 oral arguments conducted by the Court, Cocofed alleged to have distributed shares of stock to only 1.4 million coconut farmers despite the fact that then President Marcos himself estimated the number of coconut farmers at six million in 1981.

Its continued representation of the coconut farmers, according to Salonga, deprives the coconut farmers of the opportunity to be heard on the issues pertaining to coco levy.

Salonga stressed that even the Philippine Coconut Authority (PCA) has not accredited Cocofed as the legitimate national organization of coconut farmers.

“As such, the representation of Cocofed as to the use, disposition and enjoyment of coconut levy proceeds and fruits, including but not limited to the SMC shares, their fruits and derivatives, like that of the motion to approved the proposed sale of the SMC shares...cannot be considered or given credence,” he noted.

Cocofed’s demand that it be given a percentage from the proceeds of the SMC shares should also not be granted.

In its motion to approve the proposed sale of the SMC shares, Cocofed said it is compelled to agree to the sale of the sequestered shares due to the continued depreciation in the stock market of SMC shares.

However, said the sale of the 753,848,312 shares should not below P56.53 billion or an average price of P75 per share and that it should be sold to Top Frontier Investment Holdings Inc., which offered to purchase the SMC shares in its letter dated April 28, 2008 to Cocofed.

Meanwhile, a Quezon congressman has urged PCGG to inform PCA on recent investments of SMC. Quezon Second District Rep. Proceso Alcala the investments may affect the value of the SMC shares potentially owned by some 18 million coconut farmers and their families in the country.

He said in his resolution initiated in the House of Representatives that the assets sequestered under the custody of the PCGG, citing the decision of the Sandiganbayan, which ruled on May 10, 2007 that 27 percent of SMC shares belong to the coconut farmers.

Alcala cited SMC’s planned investment in Liberty Telecom; signing deal with Qatar Telecom; taking 10-percent direct stake in Petron, planned payment of $10 million for right to buy indirect Petron stake; proposed expansion of its energy portfolio with plans to buy Bataan plant; among others. With John Bello