Hacienda Luisita

Presented by:De Guzman, Kerwin

Gallano, IdelNarsico, Grant

Terrado, CamilleZabat, Reina

Brief History

1957—Jose Cojuangco Sr. acquires Central Azucarera de Tarlac, including Hacienda Luisita, from the Spanish company Compania General de Tabacos de Filipinas (Tabacalera) through a Central Bank-guaranteed loan from the Government Service Insurance System and a dollar loan from the Manufacturer’s Trust of New York.

May 7, 1980—The Marcos government files a civil case before the Manila Regional Trial Court (RTC) to compel the distribution of the land to farm workers.

Dec. 2, 1985—Manila RTC orders the transfer of the hacienda to the Ministry of Agrarian Reform, which will distribute the land to farmers after compensating the landowners P3.988 million. The Cojuangcos brought the case to the Court of Appeals.

February 1986—Cory C. Aquino, one of Cojuangco’s five heirs and the widow of slain Sen. Ninoy Aquino, is installed as President after People Power Revolution ousts Marcos.

July 22, 1987—Aquino issues Presidential Proclamation No. 131 and Executive Order No. 229 calling for a Comprehensive Agrarian Reform Program (CARP).

March 17, 1988—Solicitor general files motion to dismiss the civil case against the Cojuangcos, citing CARP; court grants motion.

June 10, 1988—CARP law is enacted, provides stock distribution option (SDO) scheme as an alternative to land distribution.

Aug. 23, 1988—Tadeco creates Hacienda Luisita Inc.(HLI) for SDO deal.

May 9, 1989—In a referendum, 92.6 percent of farmers voted “yes” to SDO; assets of HLI is put at P590 million, of which P196.6 million comprise the value of the agricultural land.

Oct. 14, 2003—Supervisors petition DAR to revoke SDO, saying HLI was not giving them dividends, their one-percent share in gross sales and 33-percent share in the proceeds from the conversion of 500 hectares of land.

Dec. 4, 2003—5,000 farmers file a supplemental petition to revoke SDO, claiming deal is unconstitutional.

Nov. 16, 2004—Seven people are killed and scores are injured in a violent dispersal of striking workers.

Sept. 30, 2005—DAR cancels SDO, orders distribution to farmers of estate.

Dec. 20, 2005—The Presidential Agrarian Reform Council (PARC) upholds DAR decision. HLI asks the Supreme Court to nullify the PARC resolution.

June 2006—Supreme Court issues a temporary restraining order against PARC’s resolution.

July 5, 2011—Court upholds DAR revocation of SDO, but calls for another referendum.

Nov. 22, 2011— Responding to an appeal, court votes 14-0 for distribution of 4,195 hectares of the hacienda to 6,296 farm worker-beneficiaries, sets 1989 as basis for land valuation.

Land Area

4,915.75 hectares – Total area of agricultural land covered by the stock distribution program which was approved in November 1989

500 hectares – Area that had been converted for residential-industrial-commercial use—200 hectares were sold to Luisita Realty Corp. while 300 hectares were sold to Luisita Industrial Park Corp.

80.51 hectares – Area sold to the government as part of the Subic-Clark-Tarlac Expressway (SCTEx)

4,335 hectares – Land to be distributed to farmworker-beneficiaries (FWBs) or their successors in interest

6,296 – Total number of original FWBs of Hacienda Luisita who will benefit from the Supreme Court decision

4,206 – Total number of nonqualified FWBs, or those who will not benefit from the high court’s ruling

P196.6 million – The value of 4,915.75 hectares at 1989 prices

Hacienda Luisita is composed of 10 barangays in three municipalities in the province of Tarlac.

Tarlac City› CutCut › Bantog› Balete› Asturias› Lourdes› Mapalacsiao

Concepcion town› Parang› Pando› Mabilog

La Paz town› Motrico

The CARP and Hacienda Luisita

Issue

Comprehensive Agrarian Reform Program

1988, Republic Act 6657

Seeking the distribution of some agricultural land for farmers and regular farm workers.

Estimated 10M Hectares will be insert for distribution.

Objectives of CARP

Farmers will have their own land for agricultural purposes.

Farmers will have opportunities to improve the quality of their life and their family.

Change the human perspective regarding the Filipino farmers.

CARP over Hacienda Luisita

The Law will covered the land area covered by Hacienda Luisita.

As the law provided, the land must be distributed to the farmers.

Hacienda Luisita farmers will benefit from the programs held by the CARP.

What happen?

CARP did not success to covered the Hacienda Luisita. As land owners still have the authority over the hacienda for the past decades.

And for the past decades hacienda farmers still looking forward on their claim, as CARP promised.

The Case of Hacienda Luisita

Farmers are still fighting, as they do protest for their right, to claim their promised land even if it will cost their life.

History will tell us, on how many blood lost as about this issue.

Supreme Court

Finally, in 2011, SC order the actual distribution of land. This will be done by compensating the Hacienda Luisita owners, the Cojuanco – Aquino family.

COJUANCO-AQUINO Compensation

They will be compensated for 4,335 hectares of land which will be distributed to the farmers.

Notice (based on report): if each hectare is valued P1,000,000.

then, P1,000,000 x 4,335 hectares = P4.335

billion.

COJUANCO-AQUINO Compensation

The compensation became major issue to the public, because the fund that will used for compensation will be coming from the public fund and from the farmers.

The Compensation Issue The farmers will not have their land for

free. The government will pay the advance and the farmers will worked to pay the rest through amortization scheme.

Stock Distribution Option (SDO)

Aside of actual distribution of land. In 1989, SDO was implemented in Hacienda Luisita, where farmers will have option of owning a stock rather than owning a land.

The stock belongs to Hacienda Luisita Incorporated (HLI), which is owned and managed by Cojuanco Family.

SDO Promises

SDO will provide a better life for farm workers by having stable jobs and higher incomes.

Stockholders will receive company profits.

Stock Distribution Option (SDO)

The SDO system seems encouraging for farmers, that is why they agree with it.

But problems occurred when SDO is implemented within Hacienda Luisita.

Farmers find out that they will not benefit from it and it is just for self interest of the Cojuanco Family.

The Problems on SDO

Many believe that it is not made to help the farmers, but to make the owner remain its ownership over the hacienda.

Aside of improving the life of the farmers, the SDO did not help them, but add to their problems.

SDO Issue

As of today, SDO is still implemented within Hacienda Luisita.

The farmers life is getting worst. They are getting more poorer.

The land owners is having fun. Becoming more richer.

Land for Sale Issue

Hacienda Luisita is subjected to land reform but some part were sold out to private corporations.

RCBC – purchase 500 hectares