Iggy Arroyo gives all his estate’s income to Grace Ibuna – court records

All income of the estate of the late Negros Occidential Rep. Ignacio
"Iggy" Arroyo goes to his "partner" Mary Grace Ibuna, according to a
"Declaration of Trust" that he supposedly made hours before his last
will and testament on March 27, 2009.

The documents were obtained Friday by GMA News Online from a
London-based contributor.

In the will, Arroyo placed all his assets in a "living trust" and
appointed his eldest daughter Bernardina Arroyo Tantoco as trustee,
executor of his estate, and attorney-in-fact.

Then in the "Declaration of Trust" created hours before the last will,
Arroyo left instructions to Tantoco that she "distribute income only
to Mary Grace A. Ibuna to be paid in quarterly or more frequent
payments."

Children to get share after Ibuna dies

That same trust document provides that "the balance of the trust shall
be distributed" to each of his children in equal, one-third portions
only after Ibuna's death.

None of the documents GMA News Online obtained included an itemized
list or any other papers indicating the properties Iggy Arroyo placed
in trust.

Tantoco and her sister Bianca Marie are Iggy Arroyo's daughters by his
first wife, Marlene Jacinta. Arroyo has a third daughter, whose mother
is Alicia Rita Morales, his second wife.

Ibuna informed the chancery division of the High Court in London that
Arroyo's first marriage was annulled and that the second marriage with
Morales is going through annulment proceedings.

The last will and declaration of trust were made in California and was
among the documents Ibuna presented to the court in London, where she
fought for and got authority to bring the remains of Arroyo to the
Philippines.

Ibuna shares that authority with Tantoco.

Tantoco has control of the whole estate her father left, but her
powers are limited by the specifics of her designation as trustee,
executor and attorney-in-fact.

In the will, Arroyo "intentionally and with full knowledge omitted to
provide for (his) heirs and if the will is contested, he gives only
$1.00."

Morales contests the will through counsel

Atty. Lorna Kapunan, counsel of Morales, has disputed the will. She
said in an interview with GMA News' Kara David that the will must
comply with Philippine laws.

The Civil Code of the Philippines—and to some extent the Family Code
of the Philippines—governs matters on wills and instituions of heirs.
The Civil Code provides for compulsory heirs, who get to inherit even
if they are not mentioned in a will.

Among the significant provisions of the Civil Code are as follows:

"Article 805. Every will, other than a holographic will, must be
subscribed at the end thereof by the testator himself or by the
testator's name written by some other person in his presence, and by
his express direction, and attested and subscribed by three or more
credible witnesses in the presence of the testator and of one
another."

"Article 815. When a Filipino is in a foreign country, he is
authorized to make a will in any of the forms established by the law
of the country in which he may be. Such will may be probated in the
Philippines."

"Article 886. Legitime is that part of the testator's property which
he cannot dispose of because the law has reserved it for certain heirs
who are, therefore, called compulsory heirs."

"Article 887. The following are compulsory heirs:

(1) Legitimate children and descendants, with respect to their
legitimate parents and ascendants;
(2) In default of the foregoing, legitimate parents and ascendants,
with respect to their legitimate children and descendants;
(3) The widow or widower;
(4) Acknowledged natural children, and natural children by legal fiction;
(5) Other illegitimate children referred to in article 287.

Compulsory heirs mentioned in Nos. 3, 4, and 5 are not excluded by
those in Nos. 1 and 2; neither do they exclude one another."

"Article 888. The legitime of legitimate children and descendants
consists of one-half of the hereditary estate of the father and of the
mother. The latter may freely dispose of the remaining half, subject
to the rights of illegitimate children and of the surviving spouse as
hereinafter provided."

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