Audit of coco levy-funded firms sought

MANILA, Philippines - Several coconut farmers’ groups have urged Malacañang to place under financial audit the companies belonging to the CIIF – Oil Mills Group following reports that the sequestered firms have incurred huge losses.

Datu Mao K. Andong Jr., president of the Coconut Peasants’ Reform Alliance (Copra), cited the statement of Senate President Juan Ponce Enrile who claimed that CIIF – Oil Mills lost over P1 billion since 2005.

Oscar C. Solidor, chairman of Alyansa ng mga Timawang Maguugmad sa Amihang Mindanao (ATIMAN-Mindanao), suggested that Malacañang must promptly order an audit of CIIF – Oil Mills Group and other coco levy-funded corporations to determine where and how the huge losses came about.

Solidor said they are aware that the funds being used for development projects intended to benefit coconut farmers do not come from proceeds of the operations of CIIF-Oil Mills but from the dividends of the CIIF shares n San Miguel Corp.

Andong said the use of such fund is mandated by President Arroyo through Agriculture Secretary Arthur Yap, who recently earmarked P700 million for the coconut fertilization fund.

“Since this is mandated by President Arroyo, it is the obligation of whoever sits there as president of CIIF to implement it,” Andong added.

Efren Villaseñor, Pambansang Koalisyon ng Samahang Magsasaka at Manggagawa a Niogan (PKSMAN) national president, said the audit will illuminate several issues, including foreign travels done by some CIFF officials allegedly using the group’s funds as disclosed by Sen. Enrile and PCGG Commissioner Narciso Nario.

The farmers’ groups said they also thank the president for appointing Jesus L. Arranza who has served the industry for 40 years in various capacities, as new president and CEO of CIIF — Oil Mills Group.

“He is also recognized both here and abroad being the founding chairman of the Asean Vegetable Oils Club (AVOC) and served for several terms as chairman of the United Coconut Association of the Philippines,” Andong said of Arranza.