Private directors of United Coconut Chemicals Inc. (Cocochem) are not required to submit Statements of Assets, Liabilities and Net Worth (SALNs), the Department of Justice said.
In a legal opinion issued recently, Justice Undersecretary Raul Vasquez, on behalf of Justice Secretary Jesus Crispin Remulla, said the private directors are not considered public officials.
They were elected by private shareholders, not appointed by the government, and thus fall outside the scope of Republic Act 6713, the Code of Conduct and Ethical Standards for Public Officials and Employees.
The opinion was issued in response to a query from Presidential Commission on Good Government Commissioner-in-Charge Raymond Dilag, who sought clarification on the SALN requirement for Cocochem directors following earlier DoJ rulings that declared the company a government-owned and controlled corporation (GOCC).
Vasquez distinguished between appointive and private directors in a non-chartered GOCC like Cocochem. While appointive directors are nominated by the state based on its shareholdings, private directors represent shareholders and are not subject to the same requirements.