Almadro offers services to DOJ

TACLOBAN CITY -- Resigned Philippine Stock Exchange (PSE) vice president Ruben Almadro has offered his technical expertise to the Department of Justice (DOJ) for its review of the criminal case against presidential pal Dante Tan, his associates and brokers involved in the Best World (BW) Resources Corp. price manipulation scandal.

Almadro, who formerly headed the PSE's Compliance and Surveillance Group that submitted the controversial report on BW, said he was optimistic the DOJ would study thoroughly the criminal case filed by the Securities and Exchange Commission (SEC) last April 7.

"I would like to believe the DOJ can resolve the case on its merits," he told The STAR here Saturday.

The former PSE exec said it was vital for the DOJ five-man review panel to consult with experts on technical aspects of the BW report.

Asked if he would be willing to offer his expertise, Almadro said: "If they need me, why not? I am ready to volunteer."

Last April 6, SEC chairman Lilia Bautista filed criminal charges against Tan, former BW president Eduardo Lim Jr. and stockholder Jimmy Juan for violations of the Revised Securities Act and the so-called broker-director rule.

Also charged were five brokerage firms, namely: Aurora Securities Inc.; SEC 2000 Inc.; PNB Securities Inc.; Mark Securities Corp.; and Belson Securities Corp.

Tan and his co-accused have denied any wrongdoing.

Last year, investors plowed billions of pesos into BW's stock on speculation that Macau casino tycoon Stanley Ho would take a stake in the company and transform it into a major gambling force. When the stock plunged, many investors were left with huge losses, leading to suspicions that the stock was illegally ramped up.

The SEC, PSE and the Senate have already conducted separate probes on the biggest scandal to rock the Philippine stock market.

Almadro also confirmed that there were "more names, personnel and brokers at the Exchange who are involved in the price manipulation scandal."

He noted that while he was still PSE vice president and head of the surveillance group, there were at least 51 brokers investigated for "matching trades."

Almadro said it was the deteriorating professionalism and integrity within the Exchange that led to his decision to resign from his post.

"My current passion is to return the stock market's integrity by ensuring fair, transparent trading," he said.

The former PSE official said he has been very busy the past weeks organizing a group that will serve as the newest watchdog of the stock market.

He said former Finance Minister Cesar Virata was among those invited to form the 15-man Philippine Stock Watch Group (PSWG), a third party that will independently monitor the operation of the PSE.

He pointed out that on May 17, the PSWG will be launched with the sole objective of "tracking insider trading, price manipulation and other anomalous transactions at the Exchange."

"This is our crusade for reforms, to overhaul the PSE and restore investor confidence in the capital market," Almadro said. "This will be independent from any influence in order to be credible."

He pointed out that they are completing a list of credible persons that will compose the private group.

Apart from Virata, who had served as long time finance minister to the late strongman Ferdinand Marcos, those in the list include former Commission on Elections chairman Christian Monsod, former Bangko Sentral ng Pilipinas Gov. Gabriel Singson, former PSE chairman Dindo de los Angeles and PSE chairman Jose Yulo.

Almadro said the select individuals will comprise the group's Board of Trustees, which he will chair.

On the other hand, the operational group will be composed of Almadro's former staff at the CSG that resigned with him last March 7.