Government nominees take over reins of UCPB

The government took over management control of United Coconut Planters Bank (UCPB) last Friday when it installed 14 nominees, led by banker Edward S. Go as chairman and president, to the bank’s 15-man board following an amicable settlement reached between the Presidential Commission on Good Government (PCGG) and the group of businessman Eduardo Cojuangco Jr. on the reorganization of UCPB.

PCGG Chairman Haydee Yorac and Trade and Industry Secretary Manuel Roxas II, who negotiated with the Cojuangco camp, disclosed that aside from Go, who replaces Jeronimo U. Kilayco, also nominated were: Ramon C. Arceo as treasurer vice Juan J. Carlos; Helen R. Osias vice Virgilio S. Jacinto; Rolando A. Golez vice Redentor T. Alegre; Cayetano Paderanga vice Albert C. Gohu; PCGG Commissioner Ruben C. Carranza, Jr. vice Andres Y. Narvasa, Jr.; Victoria Avena vice Lorenzo V. Tan; Prudencio A. Garcia vice Romeo O. Odi; Alejandro D. Asis vice Justice Manuel R. Pamaran; Carlo Estabillo; Carolina G. Diangco; Vicente A. Fabe vice Rosario R. Razon; Romeo C. Royandoyan vice Mila A. Reforma and Jose Ma. Faustino vice Danilo R. Reyes.

Government still has to name the 15th member of the board.

Yorac stressed that the new nominees to the UCPB were mutually agreed upon by both parties and are all professionals.

Garcia, Asis, Fabe, Royandoyan and Faustino represent various coconut farmers’ group.

Yorac and Roxas stressed that the decision to reorganize the UCPB board was reached in an "orderly and amicable" manner to assure a "clean entry without any scuffles."

The naming of a professional board, the two officials said, is intended "to ensure that the bank is run along the highest standard."

Yorac said that the government wants UCPB to be run "first and foremost as a bank and not as tool for other purposes."

Go, who was last connected with Asian Bank, said that the first order of business is to do something about UCPB’s non-performing loans (NPLs) and attend to the possible recapitalization of UCPB as ordered by Bangko Sentral ng Pilipinas (BSP) Gov. Rafael B. Buenaventura.

There was also an agreement that the new executive committee would be composed of Go as chairman, Arceo, Osias, Golez and Carranza, as members.

Former Sen. Wigberto Tanada has been designated as adviser to the board while the corporate secretary would be Avena and the assistant corporate secretary Jose A. Barcelon.

Carranza and Avena are PCGG representatives.

The reorganization of the UCPB board, Roxas explained, is a prelude to the government’s entry into the San Miguel Corporation board.

Roxas pointed out that government’s entry in SMC and UCPB is by virtue of the coconut farmers shares which are being administered in trust by UCPB.