Ferdinand Marcos and Imelda Marcos / Vilma Bautista New York Art Case / Human Rights Victims' Settlement

The public officials involved were Ferdinand Marcos; President of The Philippines (1965-1986) and 

Imelda Marcos; First Lady, Governor of Metro Manila and Minister of Human Settlements (1978-1986) and 

Vilma Bautista; Foreign Service Officer and de facto Personal Secretary to Mrs. Marcos (early 1970s - approx. 1986). 

On October 29, 2013, the US District Court in Hawaii approved a settlement agreement in the sum of $10 million between the Marcos-era human rights victims and the current owner of art that is currently the subject of a criminal action in New York.  (Source: In re: Estate of Ferdinand Marcos Human Rights Litigation, Case No. 03-cv-11111 (D. Hawaii), Order of Settlement filed October 29, 2013)

According to a statement by the lawyers representing the Marcos era human rights victims, "Filipinos tortured, summarily executed or who disappeared during the Marcos regime may soon receive a second distribution.  Robert Swift, lead counsel for the 10,000 Filipino victims human rights abuses, announced a $10 million settlement over artwork owned by Imelda Marcos.  The settlement derives from litigation in New York City by the victims to recover on their judgments against the Marcoses.

Immediately after the Marcoses fled to Hawaii in February 1986, more than 200 pieces of artwork purchased by Imelda Marcos disappeared from the Marcoses townhouse in New York.  In 2010, the New York District Attorney indicted a former assistant to Imelda Marcos, Vilma Bautista, for the illegal sale of one of the paintings, an impressionist masterpiece by Claude Monet.  The District Attorney also recovered $15 million from the sale as well as three other valuable artworks.  Class counsel, who obtained a contempt judgment against Imelda Marcos and Senator Ferdinand R. Marcos for $353.6 million, immediately filed suit in New York to recover the paintings and the proceeds.  The $10 million settlement was paid by the current owner of the Monet painting, a good faith purchaser of that artwork.  The victims continue to sue all others involved in the sale of the painting.

Robert Swift commented: “With this settlement, the Class is just starting to recover on its judgment.  The Marcoses have hidden many of their assets and prevented the victims from making any significant recovery on their original 1995 judgment of $2 billion.  It is poetic justice that the victims are benefitting from a valuable painting that Imelda Marcos purchased and revered.  The Marcoses have thumbed their noses at the United States court and Filipino victims of  human rights violations ever since the original judgment was entered.  They were caught trying to dissipate the Marcos Estate’s assets to re-capitalize their political dynasty in the Philippines.  This New York litigation may be the vehicle to discover the totality of the Marcos artwork trove and to recover still more money for the victims.”

Philippine co-counsel Rod C. Domingo, Jr. said “the recovery of $10 million will be welcome news to the victims, most of whom are now aged and poor.  The first distribution of $1,000 to each victim in 2011 was greeted joyously.  We anticipate a second distribution in early 2014 when perhaps even more money will have been recovered.”  The approval of the settlement is pending before Judge Manuel Real of the Federal Court in Hawaii.  Any distribution must be approved by the Court."  (Source:  Class Suit Lawyers Statement on Monet Painting Recovery, Press Statement, Re: Marcos Human Rights Litigation, July 18, 2013.)

Money laundering was implicated in this case.