Relatively, a Supreme Court (SC) decision said the CIIF
companies, 14 holding companies and the converted SMC shares are 'owned by the government to be used only for the benefit of all coconut farmers and for the development of the coconut industry'.
Ordered to be transferred to the government for the benefit of coconut farmers were six companies known as the CIIF
Oil Mills Group, 14 CIIF
holdings companies and these holding companies' 753.85 million CIIF
shares of stocks in San Miguel Corp.
177857-58 and 178193, which affirmed the Partial Summary of Judgment of the Court dated May 7, 2004, finding that the CIIF
Companies, the 14 Holding Companies, and the CIIF
Block of San Miguel Corporation (SMC) shares are owned by plaintiff Republic of the Philippines," the resolution read.
is a fund pooled from taxes collected from coconut farmers by the late President Ferdinand Marcos.
180 that governed the reconveyance and use of CIIF
The high tribunal declared that the CIIF
is a "public fund," which means the firms created through it, including all their assets must be reconveyed to the government.
The SC ruling held that the CIIF
Companies and its block of SMC shares "shall belong to the government, which shall be used only for the benefit of the coconut farmers and for the development of the coconut industry."
Thus, they said, they "must be allowed to use a portion of the proceeds of the redemption of the SMC shares to pay their loan obligations and thereafter they may be dissolved or liquidated so that the funds may be uploaded to CIIF
OMG which may then distribute the same as dividends to their stockholders, the biggest of which is the government."
In its 2012 decision, the high tribunal declared that CIIF
is a 'public fund,' thus the firms created through it, including all their assets, must be reconveyed to the government.
7, which was made public on Thursday, the Sandiganbayan finally ordered the enforcement of the Supreme Court's 2012 landmark decision declaring that P83 billion in assets acquired through the Coconut Industry Investment Fund (CIIF
) were owned by the government for the benefit of coconut farmers.
has a good direct buying scheme with coconut farmers.