LandBank exec arrested

An official of the LandBank of the Philippines (LBP) was arrested yesterday on orders of the Special Agrarian Court (SAC) over her failure to deposit some P73.5 million in government compensation to a private land owner.

Teresita Tengco, chief of the LBP Landowners’ Compensation Department, was arrested at her house in Parañaque City at around 7:30 a.m. yesterday by elements of the WPD-Warrant Section. She was initially "detained" at the office of the WPD-Tactical Operations Center (TOC).

LBP president Margarito Teves and several bank employees trooped to the WPD headquarters to give moral support to Tengco. Teves criticized the SAC order, which he described was issued in "undue haste" since the land compensation issue remains unresolved with the Court of Appeals.

The LBP president said he was willing to be detained in place of Tengco, who was arrested without bail.

"As president and chief executive officer, I assume full responsibility for LandBank’s decision and will not allow any other employee to be arrested for upholding it," Teves said. "I am willing to be detained in place of Ms. Tengco if the authorities allow it."

Last Thursday, the LBP received an order from Judge Ernesto Pagayatan for the bank to deposit P73.5 million in the account of the Suntay family as compensation for 440 hectares of rice lands acquired by the government in favor of farmers in Occidental Mindoro.

Under the Agrarian Reform Law, the LandBank is required to compensate the landowners according to the formula prescribed by law.

Teves maintained that the amount arrived at by the Provincial Agrarian Reform Adjudicator (PARAD) is 12 times more than the Department of Agrarian Reform’s original valuation of P6.5 million.

The difference in the assessment had prompted LBP to elevate the case to the CA, which issued a temporary restraining order good for 60 days. While the TRO had lapsed, Teves said the judge should have not issued any order since the CA has yet to rule on the certiorari and prohibition filed by the LBP.

Bank employees vowed to hold a vigil for Teves, who is currently under the care of District Deputy Director for Operations Senior Superintendent Rodolfo Corpus. – with Nestor Etolle