PSNA

Philippine Solidarity Network of Aotearoa

Home

Kapatiran

Links

Contact Us

Archive


Issue Number 23, November 2003

Kapatiran Issue No. 23, November 2003

WHEN WILL MARCOS VICTIMS GET JUSTICE?
- Murray Horton


Celsa Rapi Hilao died in July 2003, aged 89. She and her late husband Maximo, along with eight others, were the lead plaintiffs in the historic class action suit filed against Ferdinand Marcos, in 1986, on behalf of 9,539 human rights victims. The case was called Hilao et al versus Ferdinand Marcos. This case has been reported in virtually every issue of Kapatiran since 1995, when a Honolulu jury awarded the claimants a total of $US1.9 billion against the Marcos estate.

Some background is necessary. The Marcoses - world champions in thievery, murder and torture - were extricated from the besieged Malacanang Palace by the US, when millions of Filipinos rose up in People Power and peacefully overthrew the dictator, in 1986. They, and their illgotten loot, fled to Hawaii. For that reason, they could be sued under US civil law - hence the Hilao et al suit was filed in Honolulu. The plaintiffs sued according to a formula of $US3 million per murder victim and $US1 million per torture victim. By the time the case was heard, Marcos himself was dead (he lies, still unburied, in his ancestral homeland in Ilocos Norte, northern Luzon, because his megalomaniac widow, Imelda, wants him buried with the other Presidents of the Philippines).

Four Marcos Victims From One Family

Ferdinand Marcos declared martial law in 1972 (it lasted until shortly before his 1986 overthrow). The Hilao family paid a high price. In April 1973, four of Celsa and Maximo’s nine children were arrested for being anti-Marcos activists. Two of them spent nearly four years in prison, without charge or trial (a third, Marie Hilao-Enriquez, who spent almost two years in prison, is now the General Secretary of SELDA, a group of martial law victims, and one of the leading human rights activists in the Philippines). But the fourth paid with her life. Liliosa, or Lily, Hilao was a journalism student and editor of the student newspaper at the University of the City of Manila. She was dead after less than two days in custody. The authorities said that she committed suicide by drinking cleaning fluid. In fact, she was raped and beaten to death - among other atrocities, cigarettes were stubbed out on her face. She was 21. Her death became a cause celebre and has remained one for the following 30 years. Maximo Hilao, a fisherman from Bulan in Sorsogon (in the Bicol region, in the far south of Luzon) died in 1988, aged 89. His widow, Celsa, or Sisang, replaced him as the lead plaintiff in the class action suit. Marie described her parents as “the rare kind who respected our views and decisions…She would even remind me to stay alert during rallies and wear rubber shoes so that I could run much faster” (Philippine Daily Inquirer [PDI], 24/7/03; “Mother of 4 Marcos victims dies at 89”).

The search for the billions looted by the Marcoses (estimates range from $US5 billion, up to $US10 billion) started as soon as they were overthrown, in 1986. The government of Cory Aquino mounted a worldwide search and fairly soon, more than $US350 million was found, in Swiss banks. But then began a tug of war. The Swiss, obsessed with their reputation as an “ask no questions” haven for money from all around the world, were not prepared to give it up without a fight. Years dragged by. In the interim, the Honolulu court awarded the $US1.9 billion damages to the human rights victims in the Hilao et al case and the judge, Manuel Real, ordered a worldwide freeze on Marcos assets so that they could be located and seized. In the mid 1990s a deal was reached between the Swiss banks and the Philippines government - the $US350+ million (which had multiplied greatly, due to interest) was transferred to an escrow account in the Philippines.

Aborted 1998 Deal

But the condition was that nobody could touch it until Imelda Marcos (as head of the Marcos estate) had been convicted of criminal offences by a Philippine court. Easier said than done. Imelda had beaten earlier corruption charges in a US trial and although convicted and sentenced to prison by a Philippine court, won the case on appeal. She remains unpunished by the Philippine legal system and has never spent one minute in prison. On the contrary, she is currently the elected Congresswoman for her native island of Leyte, and two of her children also hold elected office. Imelda admits to no wrongdoing by her late husband, either with regard to corruption or human rights abuses. She has mounted a vigorous (and totally bizarre) campaign to prove that he was legally entitled to all those billions. She reckons he earned them all by dint of being a brilliant businessman. She has never apologised or expressed remorse, and has never paid one cent of the $US1.9 billion awarded to the human rights victims.

There were now several parties involved in the saga of the Swiss money (which is only a fraction of the billions looted by Marcos. The rest remains unaccounted for). The Swiss banks, the Marcoses themselves who claimed that the money was legitimately theirs, the Philippine government, the human rights claimants (who split into two rival factions) and the lawyers, both in the US and the Philippines. Twists and turns became the norm. For example, in 1998, Claimants 1081, the smaller of the two rival groups (named after Marcos’ Proclamation 1081, which established martial law), agreed to a deal with the Marcoses to cut the damages payable from $US1.9 billion to $US150 million. This deal would have also freed the Marcoses from any further liabilities, civil or criminal. It was approved by President Joseph Estrada (a Marcos supporter, who was overthrown by People Power 2 in 2001, and who is in custody himself, on trial for his life on corruption charges of Marcosian proportions). But the deal was struck down as unconstitutional by the Sandiganbayan anti-graft court and the Macapagal-Arroyo Administration has refused to honour it.

2003: Government Offers Victims $US200 Million

The Philippine legal system is glacially slow. Court action to establish the ownership of Marcos loot had been started in 1986. In July 2003, a mere 17 years later, the Supreme Court ruled that the Swiss money belongs to the Government. It had now grown to $US683 million. This ruling came just six days before Celsa Hilao’s death and the old lady was virtually comatose. Her daughter Marie Hilao-Enriquez said: “But she still shed tears of joy when I whispered it to her. She heard me, I can tell” (PDI, ibid.).

The Marcoses said that they will appeal. As for the Government, for nearly two decades, it had earmarked any recovered Marcos loot for land reform. That sounds good in theory, but in practice, the Comprehensive Agrarian Reform Program is deeply flawed and has achieved little. What it has succeeded in doing is transferring even more land and wealth into the hands of huge landowners such as Danding Cojuangco, a Marcos crony and one of the richest men in the Philippines (he is best known in New Zealand for paying record prices for race horses at the annual yearling auctions). Kapatiran has devoted as much critical attention to CARP as to the Marcoses over the years.

However, in light of the Supreme Court decision, President Gloria Macapagal- Arroyo said that she ask Congress to pass an enabling law, setting aside $US200 million of the Swiss money for the human rights claimants. In Philippine currency, that translates to eight billion pesos out of 38 billion. This proposal immediately enraged Marie Hilao-Enriquez. SELDA is the main group of claimants demanding immediate approval of Senate and House bills allotting ten billion pesos to compensate the victims. So there was an immediate row about the Government’s offer being two billion pesos short.

Then, Claimants 1081 proposed that the money be used to compensate all human rights victims in the Philippines, not just those from the Marcos dictatorship. This would definitely open a Pandora’s box. This proposal is headed by Etta Rosales, a Congressional party-list Representative. Rosales is leader of Claimants 1081 and stands to personally benefit from any Marcos payout. There has been public and political pressure on her to waive her claim, as has already been done by the two other party-list Representatives who are claimants (Satur Ocampo and Crispin Beltran). Fellow party-list Representative, JV Bautista, said: “I do not believe, as a human rights victim myself, that she should receive something for the work that she has done as a member of Congress. She should not benefit from a law that she has co-authored. She should renounce her claim” (PDI, 26/9/03; editorial, “Quick renunciation”). The editorial agreed, saying that Rosales should quickly renounce her personal claim, “if only out of ‘delicadeza’ (sense of propriety)”.

US Judges Imposes Worldwide Freeze

Judge Manuel Real, the Hawaii district judge who presided over that trial, issued a September 2003 ruling putting a worldwide freeze on the $US683 million Swiss money, and threatening to cite for obstruction of justice any financial institution or person that does so. At same time Judge Real reinstated the 1998 $US150 million settlement agreed between Claimants 1081 and the Marcoses, saying that he wanted to make sure that the victims get their money. Of course, he has no jurisdiction in the Philippines - this is a power struggle between a US court and the Philippine government as to who controls the Swiss money. The PDI described this as a decision that “infringes on Philippine sovereignty” (ibid.).

Things became further complicated when, as a result of Real’s action, a Singapore branch of a German bank refused to return $US22 million of the Swiss money that the Philippine government had invested with it, until a Singapore court has ruled how it should be disposed of. Not surprisingly, this did not impress the Philippine government who determined to use all means to recover that amount.

The American and Filipino lawyers from the Honolulu class action suit are also eager to secure a multimillion dollar cut. Robert Swift, Claimants 1081’s US lawyer, was instrumental in negotiating that aborted 1998 settlement. “Some Filipino officials have accused Swift of colluding with the Marcoses to block the release of the $US683 million to the Government. Maybe. But what is becoming increasingly clear is that Swift is interested only in protecting his own stake in the case. Rosales and Claimants 1081 should now consider dismissing him as their counsel. With no victim to represent, whom will Swift ask Real to protect with an injunction. Then perhaps both the Government and the victims can finally lay their hands on every dollar due them” (PDI, ibid.).

So, it’s business as usual. This case has dragged on since 1986, and the lead plaintiff is now dead. None of the surviving claimants are expecting to see their money any time soon.

Lessons Of Martial Law Not Learnt

Because of the mindboggling sums involved, the never-ending saga of the Marcos loot has had all the attention for nearly two decades. But there are much more sinister legacies from that era and until they are put to rest, the Philippines will not be able to move forward. “But more than economic plunder, the Marcos dictatorship seared the soul and weakened the moral fibre of the nation. Corruption became a normal way of life. People became inured to torture, human rights violations and the suppression of their rights and freedom” (PDI editorial, 23/9/03, “Collective amnesia”). This editorial reported disquiet at a recent opinion poll, which found that fully 40% of Filipinos support the imposition of martial law to solve the country’s numerous problems. Hence the title. It concluded that there has never been any consistent “de-Marcosification” and cites a 1999 conference paper which listed some of the “legacies” of the Marcos martial law as suppression of human rights; widespread poverty; the degradation of the nation’s institutions; and a culture of dishonesty, cheating and lies.

Other countries, ranging from South Africa to Chile, have held truth and reconciliation inquiries into the decades of dictatorship that afflicted their peoples; still others, such as Argentina and South Korea, have imprisoned the dictators and their cronies. At the extreme, dictators such as Romania’s Nicolae Ceausescu, have been summarily shot. But not in the Philippines. It has not dealt with its monstrously distorted recent history and its people are forgetting the lessons from those dark times, because the country’s leadership has a vested interest in not pursuing the subject. The cliché is true - those that do not learn the lessons of history are condemned to repeat them (even New Zealand has learned this and is attempting, however imperfectly, to deal with its 19th Century history by means of the Treaty of Waitangi claims process). The question of who gets what from the millions or even billions of the Marcos loot is a secondary one - what the Filipino people need, in order to be able to move on from the Marcos nightmare, is justice.

(There is a family connection to all this. Celsa Hilao was the maternal grandmother of my wife, Becky. The murdered Lily was her aunt, and two of her other aunts, and her only uncle, were the ones imprisoned. I only ever met Celsa once, on my last visit to the Philippines, in 1998. She was then well into her 80s and not in good health. Unfortunately Becky was not able to go to the Philippines to attend her grandmother’s funeral. And, in case anyone is wondering, no, we don’t stand to make any money out of the Marcos loot, if, and when, there is any payout).


Murray Horton is Secretary of PSNA and Editor of Kapatiran. He has visited the Philippines several times, most recently spending a month there in 1998.

Go to top