ERMITA, Manila — Following the Supreme Court’s rejection of the petition of Cebu governor Gwendolyn ‘Gwen’ Garcia challenging the alias writ of execution that required her to pay damages to Hong Kong and Shanghai Banking Corporation (HSBC), the lady governor may have to hand over some US$700,000 (about ₱39 million) to the bank in payment of damages for the loan she obtained in 1996.

The case stemmed from Garcia’s $900,000 loan from HSBC to buy a light cargo transit barge in 1996, during which time she was not yet in politics (Garcia was governor from 2004 to 2013; a House of Representative member from 2013-2019; and governor since 2019) and running a family business, which she allegedly failed to reimburse.

In its decision on G.R. No. 255252 promulgated on December 4, 2023 but made public only last week, the High Court’s Second Division ordered the Makati Regional Trial Court (RTC) to enforce its 2012 resolution requiring the Cebu governor to pay HSBC US$700,000 in damages, including a 12-percent legal interest from July 17, 2000 as well as ₱404,560.50 in legal costs.

However, Garcia’s camp has insisted that there was no “real and imminent threat” to enforce any action against her even after the Supreme Court’s ruling.

“Unless and until the Supreme Court decides with finality that this case could still be revived, any attempt to enforce a decision that has been dead for 10 years would be premature,” the governor’s legal counsel, Atty. Alex Avisado Jr., pointed out.

HSBC was prompted HSBC to file a complaint for a sum of money with prayer for preliminary attachment against Garcia and her now former husband Eufrocino ‘Winnie’ Codilla Jr. before the RTC with Garcia’s outstanding debt already reaching US$720,000 plus US$103,522.91 in interest in March 2020.

The local court and the Court of Appeals both ruled in favor of HSBC, ordering Garcia and her then spouse to pay the bank for damages and the actual cost of the lawsuit.