CHIEF Justice Reynato Puno has directed the Office of the Court Administrator to take action on the request of Steel Corp.  of the Philippines (SCP) to have its rehabilitation case transferred from Branch 2 of the Regional Trial Court (RTC) in Batangas City to any court in Metro Manila.

In its letter-request, the SCP through its executive vice president and chief operating officer, Antonio Lorenzana, alleged some irregularities in the proceedings being presided by Judge Maria Cecilia Austria.

Lorenzana claimed that Austria hastily and erroneously acted on the petition for rehabilitation filed by SCP’s bank-creditor Banco de Oro- Equitable PCI Bank on September 11, 2006.

He noted that on the very next day, without hearing, the judge issued a stay order and appointed a receiver with a compensation of P300,000 a month.

In the same letter, Lorenzana maintained that inasmuch as almost all the parties are represented by lawyers based in Metro Manila, “it would be practical and convenient for the proceedings to be transferred to a commercial court based in Metro Manila.”

In his endorsement, Puno ordered Court Administrator Zenaida Elepaño to act on the letter of SCP asking for a transfer of further hearings of the Special Proceedings 06-7993 titled “In the Matter of the Petition to have Steel Corp. of the Philippines Placed Under Corporate Rehabilitation with Prayer for the Approval of the Proposed Rehabilitation Plan” still pending before Austria’s sala.

Earlier, Court of Appeals (CA) Justice Sixto Marella Jr. decided to recuse from hearing the cases filed by SCP following claims of irregularities in the raffle of petitions involving the firm’s rehabilitation plan.

In a four-page memorandum dated March 7, Marella told Justice Mario Guarina III, chairman of the CA’s 16th Division, that he is granting the motion filed by lawyers of the SCP to recuse from ruling on their petition for review.

The SCP is also questioning before the CA the rehabilitation plan approved by Austria that allows its bank creditor to acquire ownership of the company through a mandatory debt-to-equity conversion and create a management committee to replace its board of directors.

The CA’s 10th Division has also issued a temporary restraining order enjoining a Batangas City court from implementing its order allowing creditors of SCP to acquire ownership and management control of the latter.

In a three-page resolution, the appellate court stopped respondents Austria, Equitable PCI Bank and court-appointed receiver, lawyer Santiago Gabionza from constituting a Mancom that will supervise the operations of SCP.

P1.1B ‘missing’ in government swine program

WHILE the crisis spawned by the $329-million national broadband network (NBN) scandal remains a threat to the survival of the Arroyo administration, another can of worms was opened that allegedly robbed marginalized farmers once more of at least P1.1 billion of public funds.

CIVIL-society and faith-based groups are considering Chief Justice Reynato Puno as a replacement for former President Corazon Aquino in their campaign to push for President Arroyo’s resignation.

LEADERS and representatives of various civil society, farmers, urban poor, labor and fishermen’s groups held the People’s Food Summit at the UP Diliman’s School of Labor and Industrial Relations (Solair) on Wednesday to tackle the issue of food security and come up with an alternative solution to the looming food crisis haunting the Philippines.

THE Moro National Liberation Front (MNLF) elected Muslimin Sema as its new chairman on Tuesday in a move aimed at strengthening the fragile peace in Mindanao.

CHAIRMAN Jose Melo of the Commission on Elections (Comelec) hinted on Wednesday that poll automation in the Autonomous Region in Muslim Mindanao (ARMM) may not push through, as the commission is way behind its schedule to modernize the region’s August elections.

CHIEF Justice Reynato Puno has directed the Office of the Court Administrator to take action on the request of Steel Corp.  of the Philippines (SCP) to have its rehabilitation case transferred from Branch 2 of the Regional Trial Court (RTC) in Batangas City to any court in Metro Manila.

THE head of the antifraud and commercial crime division (AFCCD) of the Criminal Investigation and Detection Group (CIDG) on Wednesday warned businessmen to obey intellectual property laws or else the government would run after them and even seize their goods.

A LEGISLATOR urged President Arroyo on Wednesday to appoint a deputy Ombudsman in the Department of Agriculture (DA) who will serve as a tripwire against misdeeds as billions of pesos are heading the agency’s way.