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SC orders Disini: Pay government ₧1 billion in damages for $2.2-billion nuke plant

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THE Supreme Court has ordered businessman Herminio Disini to pay the Philippine government the amount of more than P1 billion in damages for taking advantage of his  influence with then President Ferdinand Marcos  to broker the awarding of the $2.2.-billion Bataan Nuclear  Power Plant project to Westinghouse Electrical Corp.

In a unanimous vote of 12-0 with two inhibitions, the SC magistrates granted in part Disini’s petition seeking reconsideration of the April 11, 2012 decision of the Sandiganbayan, which ordered him to return to the government the amount of $50.56 million that he received as commission for negotiating the BNPP deal.

The anti-graft court’s decision, according to Disini’s camp, was actually favorable for the businessman  as it  dismissed charges of bribery, behest loans withdrawals of government assets and embezzlement against him.

The Sandiganbayan also ruled that the government failed to produce sufficient evidence that Disini acted as a dummy for the Marcoses in acquiring and exercising control over several corporations.

No commission, but damages

However, the Court affirmed with modification the Sandiganbayan ruling.

It deleted for lack of basis the Sandiganbayan’s order for Disini to return the $50.56 million he received as commission.

Instead, the SC directed Disini to pay the government temperate damages in the amount of P1 billion and exemplary damages in the amount of P1 million.

It imposed an interest rate of 6 percent per annum on the monetary awards from the finality of the decision until its satisfaction.

The High Court held that the Sandiganbayan erred in relying on a piece of photocopied document which was not substantiated as a secondary evidence, and which purportedly showed that Disini received $50 million in commissions.

Nonetheless, the SC declared  “that  the totality of the testimonial and documentary evidence of the government proved that Disini had unduly enriched himself at the expense of the people and the Republic.”

“The Court held Disini liable for exerting undue influence in the awarding of the BNPP Project by taking advantage of his close association with former President Ferdinand Marcos,” the SC said in a decision penned by Associate Justice Ramon Paul Hernando.

The case stemmed from the complaint filed by the government through the Presidential Commission on Good Government (PCGG) before the Sandiganbayan in 1987 for restitution and damages against Disini and the Marcoses.

In 2012, the Sandiganbayan found Disini liable for receiving commissions of about $50 million from Westinghouse, but absolved former President Marcos and Mrs. Imelda Marcos for lack of evidence.

The PCGG insisted that Westinghouse solicited the influence of Disini, who was known as a close associate of the Marcoses,  to become its Special Sales Representative to ensure its appointment as the main contractor for the BNPP Project and for favorable terms. This, for a fee of 3 percent of the contract price as commission.

Chief Justice Alexander Gesmundo and Associate Justice Amy Lazaro-Javier took no part.

Read full article on BusinessMirror

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