Luisita owners overpaid by P167 M – lawmaker

MANILA, Philippines - The Cojuangcos, who owned Hacienda Luisita until it was distributed to farmer-tenants, have received P167 million in excess payment, Rep. Antonio Tinio of the party-list group Alliance of Concerned Teachers said yesterday.

“There has been an overpayment of over P167 million,” he said after asking how much the Cojuangcos have received for their sugar plantation in the course of floor debates on the 2014 budget of the Department of Agrarian Reform (DAR) at the House of Representatives.

Responding to Tinio’s query, Negros Oriental Rep. Henry Pryde Teves, who was defending the DAR in consultation with Agrarian Reform Secretary Gil de los Reyes, said the Luisita owners have received a total of P571,501,417.98, of which P304,033,138.20 is the actual cost of the land and P167,468,278.78 represented “interest.”

De los Reyes and Land Bank vice president for agrarian services Alex Lorayes supplied the figures.

Tinio asked why there was need for Land Bank to pay the Cojuangcos more than P167 million in interest.

He was told that the P167.5 million represented the cash value of 10-year Land Bank bonds that the Cojuangcos had the option to take as part of the payment for their land.

However, Tinio said the huge amount should not have been paid to the hacienda owners because they were the value of their land based on 1998 prices, as mandated by the Supreme Court.

He said the Cojuangcos took cash in the amount of a little over P304 million, instead of choosing the option of taking 25 percent cash and the remainder in 10-year Land Bank bonds.

He said the Cojuangcos should return the P167 million to the government, including interest.

He added that it is the hacienda owners’ tenant farmers who would eventually shoulder the excess payment.

He appealed to President Aquino to order a review of the payments received by presidential relatives.

For his part, Bayan Muna Rep. Neri Colmenares questioned the P475 million the Department of Budget and Management released to DAR in December 2011.

He said the amount was supposed to fund the projects of unnamed senators.

The DAR returned the money to Malacañang because it did not request for it.

Documents provided by Colmenares show that it was Budget Undersecretary Mario Relampagos who signed the releases.

The funds were “for the requirements of the program beneficiaries development component of the Comprehensive Agrarian Reform Program.”

Palace officials have admitted that the National Bureau of Investigation has questioned Relampagos and three of his staff after pork barrel scam whistle-blowers alleged that they frequently coordinated with his office.

They said alleged scam brains Janet Lim-Napoles would call Relampagos if there were problems with the funds lawmakers gave her bogus foundations.