House OKs bill creating trust fund from coco levy money

The House of Representatives on Monday approved on third and final reading a bill seeking to establish a trust fund to develop the coconut industry and help protect the socioeconomic well-being of farmers.

Voting 216 in favor and seven against, the chamber approved House Bill 5745 or the proposed "Coconut Farmers and Industry Development Trust Fund Act."

The measure seeks to create a "perpetual" trust fund from the coconut levy funds—taxes, charges and other fees which have been collected from coconut farmers, planters, millers and other end users.

"The Trust Fund shall be used exclusively for the ultimate benefit of coconut farmers and farm workers," the bill read.

The trust fund will be deposited with the Bureau of the Treasury.

Lawmakers who opposed the bill claimed its provisions do not recognize the coconut levy fund collected during the term of the late strongman Ferdinand Marcos.

"Hindi kinikilala ng panukalang ito ang inhustisyang idinulot ng pagdambong sa coco levy. Ang mga pangakong ito ay hindi kasingkahulugan ng pagbibigay ng hustisya sa mga biktima. Bagkus ito ay pag-ulit sa karanasan na kung saan ang pondong ito ay hinoldap o ninakaw," Anakpawis party-list Representative Ariel Casilao claimed.

"Hindi ito demokratiko dahil ang komite na bibigyan ng kapangyarihan para madetermina ng programa ng paggamit sa pondong ito at matuloy pa rin ang isang ad hoc na mas makapangyarihan kumpara sa itinatag na komite na kung saan may mga kinatawan ang ating mga magsasaka," he added.

Bayan Muna party-list Representative Carlos Zarate said the farmers should manage the trust fund. "Ang tunay na nagmamay-ari ng coco levy funds ay ang mga magniniyog at sila ang dapat mamahala at makinabang dito," he said.

"Ang laman ng House Bill 5745 ay mas nakatuon sa pag-agaw ng coco levy funds sa mga magniniyog at pabalat bunga lang ang sinasabing magiging pakinabang nila dito. Sa madaling sabi ay naging anti-magniniyog at anti-magsasaka po ang laman ng HB 5745 kaya namin ito tinututulan," he added.

Gabriela Women's Party Representative Arlene Brosas was firm on her stand that the coco levy fund scam during the Marcos era is "a huge injustice to the victims."

"We continue to rub salt on the wounds of these farmers by creating a law preventing their direct involvement in the usage and utilization of this fund through House Bill 5745," she said.

"We remain firm in our stand that farmers are not just mere beneficiaries in this case, they are the owners of the fund. It is the fruit of their sweat and tears in the farms, enjoyment of said fruits were denied  them by the dictator and plunderer," she added.

The coco levy fund came from taxes imposed on coconut farmers during the martial law years by alleged cronies of Marcos, including Eduardo "Danding" Cojuangco, on the premise of investment-sharing and industry development.

In January 2012, the Supreme Court ruled in favor of government that a 31-percent bloc of San Miguel Corp. shares was bought using the coconut levy funds—which constitute public money—with a caveat that the money must be used solely for the benefit of farmers and the industry.

The ruling became final and executory on September 4 that same year. — VDS/KVD, GMA News