A PETITION has been filed before the Supreme Court (SC) seeking to stop the Palace from implementing two executive orders (EO) issued by President Aquino for the privatization and utilization of multibillion-peso coco-levy fund.
The petition was filed by coconut farmers, led by the Confederation of Coconut Farmers Organization of the Philippines (CCFOP)—the biggest organization of coconut farmers in the country. In their petition, the coconut farmers sought the nullification of EOs 179 and 180 that dwell on the inventory and privatization, as well as the reconveyance and utilization, of coco-levy assets, respectively.
CCFOP Executive Director and Spokesman Charlie Avila said the two EOs would result to new plunder of coco-levy funds.
“The Aquino government has no regard for the moral nature of the coco-levy assets,” Avila said.
The two EOs, according to Avila, violate the SC ruling issued on January 23, 2012, which held that the said funds are “owed by the government to be used only for the benefit of all coconut farmers and for the development of the
coconut industry.”
While they do not object to inventory of all coco-levy assets and investments, Avila said the government should not hastily privatize them—being just the trust owner of the assets.
“The privatization hang-up of the government via its EO 179 is a complete abandonment of its duties as trustee of the coco-levy assets and is indubitably contrary to the Supreme Court ruling and the moral philosophy of trust ownership,” Avila argued. The petitioners stressed that Mr. Aquino usurped the authority of Congress in ordering the allocation and use of the coco- levy funds, which they said should require law passed by Congress.
“The President cannot just arrogate unto himself, without legislative authority, the power to allocate, use and administer the billions of pesos of coconut funds and assets. The two chambers of Congress are doing this right now as it is their right and duty, but the President would preempt them with these assailed EOs for how many billions of reasons and for what urgent purposes only his ruling party knows—although the farmers have their ‚‘2016’ suspicions,” Avila pointed out.
“Nor can he arrogate unto himself the exclusive authority of the Judiciary to execute its final and executory decisions as this would violate the principle of separation of powers, essential to a democracy. But the President’s men would not be bashful at all in showing undue haste to transfer the coco-levy funds to their control. This is Disbursement Acceleration Program all over again. When will he stop mocking the other coequal branches of government by arrogating to himself their corresponding exclusive authority?” he added.
Avila lamented that the government failed to consult the coconut farmers before coming out with
the EOs.
The petitioners also cited the Court‘s previous ruling, which nullifed two EOs (312 and 313) signed by former President Joseph Estrada, on the utilization of the coco-levy funds.
They said the two EOs were nullified for violation of the Philippine Constitution, by deviating from the special purpose of the coco-levy funds. The Court held then that an EO cannot be above a presidential decree or a republic act.
Instead, the group said a law should be passed to constitute the coconut-levy funds and assets more explicitly into a Coconut Industry Trust Fund, and to provide the administrative structure that will manage the trust funds and ensure that its use will benefit the coconut industry and the coconut farmers.
The coco-levy funds are valued at P73.4 billion in hard cash, which are currently held in trust with the Bureau of the Treasury and various other companies, and billions more in noncash assets, which are now also held in different companies, such as the United Coconut Planters Bank, CIIF Oil Mills Group, Coco Life, UCPB-Gen and Cocochem.
Last year the SC granted the bid of the government to get hold of the proceeds from the 24-percent block of shares or 753,848,312, in San Miguel Corp. that the Supreme Court earlier forfeited in favor of the government.