MANILA – The Sandiganbayan has ordered the release of sequestered assets belonging to the late Benjamin “Kokoy” Romualdez, brother of former First Lady Imelda Marcos, which may still be under government control.
In a resolution, the Sandiganbayan Sixth Division indicated that this decision arose from a motion submitted by Trans Middle East (Phils.) Equities, Inc., requesting the Sandiganbayan, the Presidential Commission on Good Government (PCGG), and other relevant parties to release the assets potentially still in their possession.
This encompasses sequestered shares of stocks, along with accrued dividends and interests in BDO Unibank, as per the order issued by the same court in March 2025.
Additionally, it referenced a resolution from January 2, 2003, in which its Fifth Division deemed Sequestration Order No. 86 0056, dated April 15, 1986, to be null and void.
“However, it did not order the return of the shares to [Trans Middle East (Phils) Equities Inc]. Instead, the Fifth Division ordered that the said shares including the interests earned thereon, be deposited with the Land Bank of the Philippines escrow,” Sandiganbayan said.
But the Trans Middle East (Phils) Equities later on filed a motion for partial reconsideration asking the plaintiff to turn over to their custody the shares “as the rightful owner of the same” which the Fifth Division denied.
“The Fifth Division ruled that the lifting of the sequestration over the subject shares of stock registered in TMEPEI’s name does not mean that TMEPEI may exercise unrestricted rights of ownership thereon,” it read.
“The Court has yet to determine the issue of whether the said shares constitute il-gotten wealth of the Marcoses or their cronies. Pending the determination of the issue, the shares should remain in custodia legis for the protection of the party who will eventually be declared the real owners thereof,” it added.
The Trans Middle East (Phils) Equities, Inc. raised the issue to the Supreme Court through a petition for certiorari, where the High Court ruled in their favor, citing Sandiganbayan’s “grave abuse of discretion when it retained the shares of stock in custodia legis.”
“Considering the nullification of the writ of sequestration and the subsequent dismissal of the complaint against TMEPEI, there was no longer basis for holding TMEPEI’s shares of stock in custodia legis,” the Sandiganbayan said.
The Sixth Division upheld this decision, stating that the anti-graft court is no longer authorized to maintain legal custody of the previously sequestered assets related to TMEPEI.
Furthermore, it instructed the Sandiganbayan’s Executive Clerk of Court, the PCGG, and other involved parties to proceed with the release of the sequestered assets that may still be in their possession.
However, the Sixth Division did not specify the exact amount to be returned to Romualdez.
Additionally, the Sandiganbayan’s Executive Clerk of Court, the PCGG, and BDO were ordered to provide a report within 15 days of receiving the resolution./PN
