In a statement, the Knights of Rizal said Palmon failed to fulfill his promise to step down last October in line with the Council of Elders Arbitral Order which was signed by all members of the Council of Elders, the Supreme Council and Palmon himself. The Arbitral Order was the result of conciliatory meeting conducted by the Elders among all members of the Supreme Council who had conflicting views on the resolution of the leadership issue, which emanated from complaints and resolutions from various chapters of the Knights of Rizal in the US, Canada and Metro Manila asking Palmon to step down as supreme commander starting July last year.
The Supreme Council relieved Palmon and chose to elect deputy commander Carmelo Gempesaw as supreme commander during its meeting on Sept. 7, 2002. But Palmon refused to vacate his position. Nestor Etolle