Mindanao coconut farmers have scored reports supporting the plan to convert the San Miguel Corp. (SMC) common shares held in trust by government into preferred shares, claiming it is a wily move to strip the real owners of the shares of their right to vote and be represented in the board of conglomerate.

Jose Adorable, chairman of the Alyansa sa Maglulubi sa Mindanaw (AM-Mindanaw), also repudiated reports quoting Efren Villasenor which said that one million coconut farmers support the move for a swap, insisting that the later is misrepresenting the sentiments of farmers.

Adorable revealed that the sweetener to the deal, the fixed 8 percent annual return, is not even guaranteed based on the SMC disclosure to the Securities and Exchange Commission (SEC).

What it amounts to is a reverse bribe, with the party benefiting from the swap offering a sum that is actually due and demandable by the farmers who have won the coco levy fund case, he said.

In exchange for the small amount of annual dividends, Cojuangco and his allies want them to yield their right to speak and have a say on the management of the company.

"We condemn the gross misrepresentation made by Mr. Villaseñor. He does not, in any manner, speak for nor represent the coconut farmers. Worse, his position is in sharp contrast with our struggle to fully recover the coco levy funds," Adorable said.

"Analyzing the statements made by Mr. Villaseñor, it is obvious that it is the same position being advanced by Eduardo "Danding" Cojuangco and Cocofed. The latter has historically attempted to claim the coco levy funds, arguing that the funds are private in nature. The public nature of the coco levy funds has long been declared and affirmed by the Supreme Court (SC) and Sandiganbayan," he noted.

"Moreover, Cojuangco’s group tried to negate the judicial gains of the coconut farmers by peddling a compromise agreement between their camp and the coconut farmers. Why would we enter into a compromise agreement when we won in courts already? And now, instead of affirming our victory, it appears that Mr. Villaseñor and his group have merged their interests with Danding’s group," Adorable complained.

For Adorable and other coconut farmers, the conversion scheme is a ruse to deny them of their judicial victory.

"The proposed conversion of shares is still another corporate tactic to rob the farmers once again of the coco levy funds. As we communicated to the Presidential Commission on Good Government (PCGG) and the directors of the CIIF Oil Mills, United Coconut Planters Bank (UCPB) and the 14 holding companies, the proposed conversion of shares is illegal and grossly disadvantageous to the government and the coconut farmers," he added.

"These shares are in 'custodia legis' or under the control and disposition of the SC. As such, any act which would tend to change their nature requires the approval of the High Court," Adorable protested. "Villaseñor conveniently fails to appreciate this."

"If Mr. Villaseñor truly represents the interests of the coconut farmers, he should affirm the judicial victories of the farmers. Instead, he is attempting to legitimize a patently illegal act," the AM-Mindanaw leader warned.