The Philippine Supreme Court has paved the way for the prosecution of San Miguel Corp. Chairman Eduardo Cojuangco in a 1990 graft case where he allegedly acted as a front man for holding shares in a M…
The Philippine Supreme Court has paved the way for the prosecution of San Miguel Corp. Chairman Eduardo Cojuangco in a 1990 graft case where he allegedly acted as a front man for holding shares in a Manila newspaper belonging to former President Ferdinand Marcos. The court ruled that Mr. Cojuangco“s motion to overturn an arrest warrant issued by the antigraft court on June 1990 had no basis and that the case could proceed. At issue are 33 million shares in listed Manila Bulletin Publishing Corp., which owns the Manila Bulletin, one of the country“s biggest newspapers. The share block is valued at PHP 105.6 million, based on Thursday“s closing price of PHP 3.20. Mr. Cojuangco was a close business ally of Mr. Marcos and is remembered for accompanying the fleeing leader and members of his family into exile in Hawaii in 1986. Mr. Cojuangco is also at the center of a legal battle over the ownership of San Miguel, the Philippines“ largest food and beverage group. Shortly after Mr. Marcos was ousted, the government seized a 47% stake in San Miguel from Mr. Cojuangco and his associates on suspicion it had been amassed using public funds. The government is also trying to unseat Mr. Cojuangco from San Miguel“s board, but failed to mount a successful proxy battle at a shareholders“ meeting in May. It wasn“t immediately clear why it has taken 11 years for the Supreme Court to make a ruling on Mr. Cojuangco“s petition.