Enrile urged to expand probe on CIIF-OMG losses

MANILA, Philippines - The Coconut Peasants Reform Alliance (Copra), Lakas ng Magsasakang Pilipino (LMP), and the Pambansang Koalisyon ng mga Samahang Magsasaka at Mangagawa sa Niyugan (PKSMMN) are urging Senate President Juan Ponce-Enrile to expand the coverage of Senate Resolution 389 which calls for a probe of the P1.5 billion in losses that were incurred by the CIIF-Oil Mills Group from 2005 to 2007.

The three large farmers’ groups made the appeal after reports revealed that travels made by former officials of the Presidential Commission on Good Government (PCGG), Philippine National Bank (PNB), Office of the Solicitor General (OSG), and top management of the CIIF OMG, were charged to the account of CIIF-OMG from 2005 to 2009.

In the new PCGG 100-day report, it was revealed that millions were spent by the previous PCGG administration and CIIF OMG management for overseas travel, coupled with fat per diems and tickets for first class plane seats.

For instance, a former president and CEO of CIIF OMG spent about P10.8 million for 27 foreign travels during a span of two and one-half years.

“The coconut farmers are worried about the complexity and seriousness of these reports being the rightful owners of these sequestered companies. We are asking the Senate President to look into all these foreign trips... and conduct a blanket probe on the dissipation of CIIF-OMG funds and how they were grossly mismanaged to the detriment of over three million coconut farmers,” LMP secretary general Oscar Solidor said.

Datu Mao Andong Jr., COPRA president, said the Senate should also investigate the reported irregularities in the purchases of crude coconut oil that were made by the United Coconut Chemicals Inc. (Cocochem) from 2005 to 2007, one of the companies acquired or organized using the coco levy funds.

Andong said they received reports that Cocochem, under its previous management, did not source its feedstock requirements regularly from its sister company, CIIF-OMG, but chose to buy crude coconut oil from private companies.

“The purpose of Cocochem is for the coconut farmers to earn more from the higher-value products that it would eventually produce using CNO as feedstock.

But since Cocochem chose to buy from other companies and deviate from the original concept that it should source CNO only from the CIIF-OMG, the benefits of value-adding did not filter down to the coconut farmers,” PKSMMN president Efren Villaseñor said.

He said the former Cocochem officials should be questioned by the Senate on why they bought feedstock from private suppliers.