A storm of legal challenges has erupted around Villar Land Holdings Corp. and its leadership, as the Department of Justice (DoJ) grapples with a criminal complaint filed by the Securities and Exchange Commission (SEC).
The core of the accusation centers on allegations of market manipulation, insider trading, and misleading disclosures – serious charges that have sent ripples through the Philippine business landscape.
Responding swiftly, Villar Land and its directors, including prominent Senators Mark A. Villar and Camille A. Villar-Genuino, have formally presented their defense before the DoJ, initiating a preliminary investigation.
Instead of a traditional counter-affidavit, their legal team opted for a “verified manifestation and motion,” a strategic move permitted under Justice Department protocols, containing sworn statements of their defenses.
The SEC’s complaint hinges on a dramatic discrepancy in reported asset values. Prior to an external audit, the company, formerly known as Golden MV Holdings, Inc., declared an astonishing asset increase of P1.33 trillion.
The subsequent audit, however, revealed a significantly lower valuation of just P35.7 billion, raising serious questions about the accuracy and transparency of the initial reporting.
This substantial difference, according to the SEC, potentially violates key provisions of the Securities Regulation Code, specifically those concerning false statements and deceptive practices aimed at investors.
Former Senators Manuel “Manny” B. Villar, Jr. and Cynthia A. Villar, along with their children, including Manuel Paolo Villar, have also been summoned to participate in the investigation, though not all were present during Monday’s proceedings.
Villar Land and its directors vehemently deny any wrongdoing, asserting their full cooperation with the ongoing investigation and their commitment to clearing their names.
“We are here to clear the name of the company and clear the names of the directors and officers impleaded in this case,” stated legal counsel Robel C. Lomibao, emphasizing their dedication to a transparent process.
Senator Mark Villar’s legal team echoed this sentiment, stating he “denies any wrongdoing” and that all actions were undertaken “in good faith and to ensure transparency.” They maintain there is “absolutely no evidence of fraud or intent.”
Despite the defense’s assertions, Senior Deputy State Prosecutor Peter L. Ong deemed the request for dismissal “premature,” emphasizing the ongoing nature of the preliminary investigation and the panel’s commitment to fairness.
The DoJ panel will now consider the submitted manifestation as a counter-affidavit, with a hearing scheduled for May 13th, where the SEC is expected to present its response.
Ultimately, the panel’s resolution will undergo rigorous review by the Prosecutor General and the Secretary of Justice, underscoring the gravity of the situation and the thoroughness of the legal process.
Despite the legal headwinds, Villar Land shares experienced a slight uptick in trading on Monday, closing at P439 each, a 3.29% increase, suggesting a degree of investor confidence amidst the uncertainty.
