'Luisita' Loses 'Hacienda'

SC Decides To Distribute Sugar Plantation To Farmers

By REY G. PANALIGAN

April 24, 2012, 6:36pm

BAGUIO CITY, Philippines — The Supreme Court (SC), voting 14-0, Tuesday affirmed its November 22, 2011, resolution that ordered the owners of the 4,915-hectare Hacienda Luisita in Tarlac to implement actual distribution of land to 6,296 farmer-beneficiaries who will pay just compensation based on the 1989 land valuation.

With the ruling, the SC denied the motion for clarification and reconsideration filed by Hacienda Luisita, Inc. (HLI), the managing firm of the plantation, which sought to peg the just compensation to the 2006 level.

Reports stated that with the 1989 land valuation, the farmer beneficiaries will pay only about P40,000 per hectare instead of about P2 million per hectare if based on the 2006 land valuation.

The result of the SC deliberation on the Hacienda Luisita case was announced here by SC Spokesman and Court Administrator Jose Midas P. Marquez.

Fourteen justices, except Senior Justice Antonio T. Carpio who inhibited himself, voted unanimously to deny HLI’s motion for clarification and reconsideration.

On the issue of just compensation, the SC voted, 8-6, to base the payment to the 1989 level as opposed to the 2006 level sought by HLI.

Marquez said Chief Justice Renato C. Corona and Justices Presbitero J. Velasco Jr. (writer of the November 22, 2011 resolution and the July 5, 2011 original decision), Arturo D. Brion, Teresita Leonardo de Castro, Roberto A. Abad, Jose Catral Mendoza, Jose Portugal Perez, and Martin S. Villarama Jr. voted to peg the just compensation to the 1989 level.

On the other hand, Justices Lucas P. Bersamin, Ma. Lourdes P. Sereno, Estela Perlas Bernabe, Diosdado M. Peralta, Mariano C. Del Castillo, and Bienvenido L. Reyes voted to have the Land Bank of the Philippines (LBP) and the Department of Agrarian Reform (DAR) determine the just compensation.

Hacienda Luisita is owned by the family and relatives of President Benigno S. Aquino III.

Sought for comment, Malacañang refused to air its views. Deputy presidential spokeswoman Abigail Valte said the Palace would let the Office of the Solicitor General and the Department of Agrarian Reform (DAR) deal with the SC ruling that fixed the compensation for the owners on the valuation of the land in 1989.

In its motion for reconsideration that was denied by the SC, HLI sought a clarification on the amount of just compensation and to revert the decision to its original ruling that the farmer-beneficiaries were given the option either to get the piece of land due them or remain as stockholders of the corporation.

HLI pleaded the SC to order that the just compensation on its agricultural land be reckoned for computation from the time of taking or at least at the issuance of the notice of coverage by the DAR on January 2, 2006 pursuant to the resolution of the Presidential Agrarian Reform Council (PARC) recalling the approval of the Stock Distribution Plan (SDP).

As an alternative plea, HLI asked the SC to leave it up to the LBP and the DAR to determine the reckoning period, which is, it said, is a vital part of determining just compensation for the property.

In its November 22, 2011 resolution, the SC ordered the actual distribution to 6,296 farm worker-beneficiaries (FWBs) of the agricultural land of Hacienda Luisita, a 4,915-hectare sugarcane plantation in Tarlac.

To be deducted from the total land area of the plantation for actual distribution to FWBs are 580 hectares which had been sold to a third party and the government, the SC said.

The resolution modified its July 5, 2011 decision that allowed the FWBs an option to either get their portion of the agricultural land or remain as stockholders of HLI.

The dispositive portion of the November 22, 2011 resolution:

“Wherefore, the motion for partial reconsideration dated July 20, 2011 filed by public respondents Presidential Agrarian Reform Council and Department of Agrarian Reform, the motion for reconsideration dated July 19, 2011 filed by private respondent Alyansa ng mga Manggagawang Bukid sa Hacienda Luisita, the motion for reconsideration dated July 21, 2011 filed by respondent-intervenor Farmworkers Agrarian Reform Movement, Inc., and the motion for reconsideration dated July 22, 2011 filed by private respondents Rene Galang and AMBALA are PARTIALLY GRANTED with respect to the option granted to the original farm worker-beneficiaries of Hacienda Luisita to remain with Hacienda Luisita, Inc., which is hereby RECALLED and SET ASIDE. The Motion for Clarification and Partial Reconsideration dated July 21, 2011 filed by petitioner HLI and the Motion for Reconsideration dated July 21, 2011 filed by private respondents Noel Mallari, Julio Suniga, Supervisory Group of Hacienda Luisita, Inc. and Windsor Andaya are DENIED.