Sandiganbayan Resolves 1987 Civil Forfeiture Case Against Marcoses and Cojuangco

The Sandiganbayan has settled in its entirety the civil forfeiture case filed against two businessmen who were co-respondents of the late President Ferdinand Marcos and his wife, and the late Eduardo M. Cojuangco Jr.

The case against Cojuangco was dismissed by the Supreme Court in 2021 due to inordinate delay. Following the SC decision, the Sandiganbayan also dismissed the case against the Marcoses in 2024 for the same reason.

The remaining issues on the case against the heirs of the late Ernesto O. Escaler and Ernest Escaler, who filed counterclaims, were resolved by the Sandiganbayan.

The civil forfeiture case stemmed from alleged unlawful acts in acquiring the Pepsi bottling business of Pepsi Co., Inc. in 1985. The prosecution claimed that the respondents aimed to monopolize the soft drink industry in the country by using coconut levy funds to purchase the local partner of Pepsi Co.

Cojuangco was accused of using coconut levy funds for the organization, capitalization, and operation of ECI Challenge Corp., Pepsi Cola Bottling Group, and Pepsi Cola Distributors. He allegedly facilitated loans through his position at United Coconut Planters Bank that led to the purchase of the local partner of Pepsi Co. for P962,000,000.

The civil case was filed by the Presidential Commission on Good Government in 1987 and was divided into eight cases. The Sandiganbayan disposed of the third amended complaint, docketed as Civil Case 0033-G, in its June 26 resolution.

The parties agreed to settle the case amicably, and the court concurred. The court mentioned that the amount sought to be recovered had already been paid in full by Pensacola Marketing and Distributors Inc. in 1989.

However, the court dismissed the counterclaims due to the failure of one defendant to appear during pre-trial as plaintiff despite notice. The court emphasized that this failure should not be tolerated and ruled to dismiss the case with prejudice.

The 12-page resolution was authored by Presiding Justice Geraldine Faith A. Econg with the agreement of Associate Justices Edgardo M. Caldona and Arthur O. Malabaguio.

According to the source: Manila Bulletin.