Chair’s divestment a must if declared ‘overstaying alien,’ says mining firm
Joseph Sy, the detained chairperson of Global Ferronickel Holdings Inc. (FNI), will need to divest himself of his shares in the “remotest event” that authorities declare him an “overstaying alien,” the mining company said on Tuesday even as it continued to vouch for his innocence.
The arrest of Sy on Aug. 21—and Sen. Risa Hontiveros comparing his case to the citizenship fraud committed by former Bamban Mayor Alice Guo—prompted the Securities and Exchange Commission (SEC) to serve notice on Tuesday that it was closely monitoring the matter.
FNI on Tuesday issued two disclosures saying it still “disputes any assertion” that Sy is not a Filipino citizen, citing his valid passport which he carried with him upon arriving in Manila on Aug. 21 from Hong Kong.
Sy was intercepted in Hong Kong by agents of the Bureau of Immigration (BI). The agency’s chief, Commissioner Joel Anthony Viado, said Sy’s fingerprints matched those of a Chinese citizen, Chen Zhong Zhen.
The BI had claimed as far back as 2014 that Sy had been misrepresenting himself as a Filipino.
‘Wrong message’
News of the arrest drew statements of concern from business groups.
The Philippine Nickel Industry Association warned that Sy’s detention “sends the wrong message to the business and investment community.”
FNI said Sy’s passport was already “official proof of his Filipino nationality.”
But if the government ultimately declares Sy an illegal alien, he must divest himself of his stake in the FNI to qualified shareholders, the company said.
This is “without affecting the continuity of the company’s business operations,” it added.
‘Long-standing business leader’
Based on FNI’s latest annual report for 2024, Sy owns 5 million shares equivalent to a 0.10-percent stake.
The report also described Sy as a “Filipino-Chinese” entrepreneur with “long-standing experience in nickel and commodity trading and who has developed trusted relationships with key nickel customers in China.”
FNI maintained that “Mr. Sy has never been involved in any criminal activity,” describing him as a “long-standing, multiawarded business leader.”
“Under his leadership, companies within the FNI Group have also made substantial contributions to the Philippine economy through taxes and regulatory fees paid to the government,” FNI said.
SEC statement
Meanwhile, the SEC on Tuesday said it was looking into the circumstances of Sy’s arrest.
The regulator reminded publicly listed companies that “all material developments that may influence investors’ decisions must be promptly disclosed to the public.
The requirement is in line with the Securities Regulation Code and with the Consolidated Listing and Disclosure Rules of the Philippine Stock Exchange, the SEC said.
“Given Mr. Sy’s role as chairman of a publicly listed company, the SEC is closely monitoring the matter and will evaluate whether any actions are warranted under its jurisdiction,” the commission said.
PCG ‘commodore’
In statement on Monday, Hontiveros described Sy as “Alice Guo Part 2,” noting that he also “posed as a Filipino, has a fake passport and fake IDs” like the dismissed town mayor.
The senator also cited a 2018 document from the Philippine Coast Guard (PCG) showing that Sy had been appointed four years earlier to the PCG’s Executive Squadron with the honorary rank of auxiliary commodore.
“While joining the PCGA is voluntary and nongovernment, it’s still sad to imagine that Sy managed to access people and events where our national security can be discussed,” she said.
