Asset audit rekindles Philcomsat row despite agreement

Shareholders of the Philcomsat Group of Companies renewed their squabble over management and assets of the corporations under the group despite a memorandum of understanding inked last month.

In the latest twist to the long-running feud, the group led by Amb. Manuel Nieto Jr. has called for an independent audit of the books and records of Philcomsat (Philippine Communication Satellite Corp.) and Philippine Overseas Telecommunications Corp. (POTC).

Philcomsat Holdings Corp. director Concepcion Poblador said the only way to resolve the divisiveness among shareholders of the Philcomsat Group is to subject Philcomsat and POTC to an independent audit to find out which group is telling the truth.

Philip Brodett, Philcomsat Holdings vice president, had accused the camp led by Victor Africa of selling assets of Philcomsat and POTC worth around P100 million without the consent of all shareholders.

Among the assets allegedly sold were an airplane worth $1.3 million, helicopter (P30-P40 million), townhouses (P3 million each), and shares in Manila Golf (P49 million).

Presidential Commission on Good Government (PCGG) Commissioner Ricardo Abcede said the Nieto camp is now studying the possibility of filing criminal and civil charges against the Africa group for allegedly dissipating the assets of both Philcomsat and POTC.

The PCGG, the government agency tasked to recover ill-gotten wealth during the Marcos era, owns 35 percent of POTC, which owns 100 percent of Philcomsat. It also owns 30 percent of Philcomsat Holdings.

"It’s not as if we’re joining any group here. We’re here to protect the interest of the government. They (the Africa group) are accusing us of siphoning funds of the company but they are the ones who are diverting funds," Abcede said.

Enrique Locsin, government nominee on the board of Philcomsat Holdings, called for the conduct of new elections for POTC, Philcomsat and Philcomsat Holdings.

The PCGG said the proper tribunal to supervise the annual elections for the three companies is the Sandiganbayan.

The PCGG had asked the Securities and Exchange Commission (SEC) to hold in abeyance the stockholders meeting of Philcomsat Holdings pending the election of a common board of directors in POTC and Philcomsat as called and supervised by the Sandiganbayan.

The SEC earlier said it would not interfere in the affairs of Philcomsat Holdings as the major shareholders have reached an amicable settlement of their differences.

Under the agreement forged between the Africa group and Nieto camp, a unified slate for the board of directors of Philcomsat Holdings has been formed, comprising the private stockholder-families of the Philcomsat Group of Companies.

The parties agreed that each of the six shareholder-families shall appoint a representative who the parties shall cause to be elected as director of Philcomsat and Philcomsat Holdings while five of such representatives shall be elected as directors of POTC, the sixth to be elected immediately after the number of POTC directors as stated in the Articles of Incorporation has been increased to nine.

The parties also agreed that Nieto, as one of the two remaining living incorporators of POTC will assume the position of chairman emeritus of POTC, Philcomsat and PHC.

Moreover, the parties agreed that they shall not, individually or collectively, publish or cause to be published any press release against any party to this memorandum of understanding nor against any of the stockholders of the parties they represent.