PCGG seeks turnover of P5-B PLDT dividends paid to PTIC

The Presidential Commission on Good Government (PCGG) is asking the Fourth Division of the Sandiganbayan to order the Philippine Telecommunications Investments Corp. (PTIC) to turn over to the government at least P5 billion in cash and stock dividends paid over two decades on the forfeited 111,415 PTIC shares registered in the name of Prime Holdings Inc.

According to PCGG Commissioner Nicasio Conti, the turnover of the accumulated dividends was included in the relief sought by the PCGG when it moved for the transfer of the disputed PTIC shares to the Republic of the Philippines.

The Sandiganbayan, however, limited its resolution to the transfer of the ill-gotten shares in the name of the government but did not grant the PCGG’s petition for the remittance of the cash and stock dividends.

According to the anti-graft court, the delivery of the paid dividends is not covered by the Supreme Court’s decision on Jan. 20, 2006 that declared the disputed shares as ill-gotten.

"It is the view of the Court, consistent with jurisprudence, that execution cannot go beyond what is specifically decreed in the dispositive portion of the (SC) decision, which only ordered the ‘reconveyance to the Republic of the Philippines of 111,415 PTIC shares registered in the name of PHI (Prime Holdings, Inc.)," the Sandiganbayan noted.

In its 14-page motion, the PCGG claimed the remittance of dividends is part and parcel of the judgment rendered by the Supreme Court for the effective recovery of ill-gotten wealth of the Marcos family and their associates.

"It is indubitable that the Republic, having been adjudged by final judgment as the rightful owner of the subject shares of stock, is unquestionably entitled to the accumulated dividends pertaining to the same shares," said, Conti.

Conti said the exact amount can be determined through records of payment declarations made by the Philippine Long Distance Telephone Co. (PLDT) in favor of PTIC since 1986.

PCGG has started accepting bids for the PTIC shares that are expected to fetch between P25 to 29 billion.

PTIC was the single biggest stockholder of PLDT during the administration of the late President Ferdinand Marcos.

It will be recalled that the Sandiganbayan had ordered the corporate secretary of the PTIC to cancel the 111,415 shares registered in the name of Prime Holdings, Inc. (PHI) and to issue new certificates in the name of the Republic of the Philippines.