Sandiganbayan lauds court ruling on forfeiture of Jose Velarde assets

MANILA, Philippines - The Sandiganbayan welcomed yesterday a Makati court decision not to issue a writ of injunction against the government’s sale of some P90-million worth of forfeited assets of the Jose Velarde account which businessman William Gatchalian is claiming ownership of.

However, the anti-graft court is not going to proceed with any auction yet pending the issuance of a final ruling on the issue.

“We welcome the development,” Sandiganbayan executive clerk of court and spokesman lawyer Renato Bocar told The STAR.

He said it would be “premature to take any action at this stage” since Gatchalian, owner of the Wellex Group of Companies, will likely appeal the ruling before a higher court.

Bocar said the Sandiganbayan has yet to receive an official copy of the ruling issued by Makati Judge Benjamin Pozon.

The lower court said it could not issue a writ of injunction because it does not have power over the anti-graft court.

Pozon said decisions of the Sandiganbayan can only be appealed before or elevated to the Supreme Court.

In April 2009, the Sandiganbayan acquired P146 million in assets from Banco de Oro (BDO) after its Special Division forfeited the Jose Velarde account by junking motions for reconsideration of a September 2007 order forfeiting the same in favor of the government following the conviction for plunder of deposed President Joseph Estrada.

But the following month, Gatchalian filed a complaint before the Makati court, prompting then Sandiganbayan Security and Sheriff Services chief Edgardo Urieta to postpone the auction of assets covering Waterfront Philippines.

Gatchalian wanted to stop the sale of share certificates, arguing that the same does not form part of the Jose Velarde account which supposedly belonged to Estrada.

After Estrada’s conviction, the Sandiganbayan ordered the forfeiture of other Jose Velarde assets like the funds of the Erap Muslim Youth Foundation worth P215 million and the Boracay Mansion in New Manila, Quezon City.