Government’s nominee in the Philcomsat and POTC board Manuel Andal, who is also the treasurer of the two companies, asked the PCGG earlier to conduct an investigation of the company books and to ask the group of minority shareholders that illegally took over management led by Victor Africa to reveal how much funds are left in the two companies.
Andal said the PCGG should review the two firms’ books in the possession of the Africa group and come up with a thorough audit of the financial state of POTC and Philcomsat after they received reports that the two firms have been seriously mismanaged.
In 1999, Philcomsat posted a net income of P100.2 million on revenues of P268.19 million. In 2000, net income grew to P121.75 million on revenues of P298.87 million.
However, in 2001, when the Africa group had already taken the reins, Philcomsat posted a net loss of P71.9 million.
Andal said the government, as majority stockholder in the two firms, was never updated since then on the financial health of the companies.
POTC and Philcomsat were sequestered in 1986. In the same year, Jose Yao Campos surrendered to the National Government Independent Realty Corp. and MLDC Land Development Corp., which owned 40 percent of POTC. POTC in turn owns 100 percent of Philcomsat.
The Africa group has held management of POTC and Philcomsat since 2000.