PCGG to keep custody of shares, funds of sequestered firms

THE Presidential Commission on Good Government (PCGG) will maintain custody over shares of stocks and funds of sequestered companies Palm Avenue Holding Co. Inc. and Palm Avenue Realty Development Corp. despite a 2014 Supreme Court decision ordering their release.

In its six-page resolution dated July 19, 2024, the Sandiganbayan Sixth Division denied the Palm Companies’ Motion for Execution saying the move came four years too late.

“The Palm Companies had only until February 10, 2020— the last day of the five-year period, February 9, being a Sunday – within which to file their Motion for Execution. However, they filed their Motion for Execution only on April 19, 2024, or nine years, two months, and 10 days from the date of the entry of judgment,” the anti-graft court explained.

The disputed assets are among the assets subject of Civil Case No. 0035, a government lawsuit seeking forfeiture of shares of stocks in mining, media, and financial firms valued at P164.405 million and real properties worth P10.34 billion.

But in a November 2010 ruling, the Sandiganbayan Fifth Division held that the Palm Companies legally belong to the family of former Ambassador Benjamin ‘Kokoy’ Romualdez, youngest brother of former First Lady Imelda Romualdez-Marcos as it found no evidence that they were ill-gotten, contrary to allegations by government lawyers.

Based on the same ruling, the Sandiganbayan ordered the lifting of government sequestration over all shares of stocks and funds of the two companies.

In 2011, the PCGG filed a petition with the Supreme Court asking that the Sandiganbayan ruling be set aside.

The SC, in a decision dated August 6, 2014, dismissed the government petition and affirmed the findings of the Sandiganbayan. It also denied the PCGG’s Motion for Reconsideration on December 3, 2014.

On February 9, 2015, the SC decision became final and executory when it was recorded in the Book of Entries of Judgment.

Court records showed that the Palm Companies filed their Motion for Execution only on April 19, 2024 – nine years after the finality of the SC decision.

Rule 39, Section 6 of the Rules of Court states that a final and executory judgment or order may be