Marcos Gives Up Millions in Cash, Jewels to Settle Philippine Suit

Imelda Marcos surrendered her claims to about $9 million in cash and jewelry on Monday to settle a $5-billion civil fraud case brought against her by the Philippine government in Los Angeles federal court.

In the brief legal proceeding, her attorneys agreed to turn over virtually everything the former Philippine first lady carried into exile aboard two jumbo jets almost six years ago.

Under terms of the out-of-court settlement, the widow of former Philippines dictator Ferdinand E. Marcos was allowed to retain a diamond- and pearl-adorned gold crown, an emerald and diamond broach and a ceramic statue of Jesus.

The Philippine government recovered suitcases filled with 75 million freshly printed pesos (worth about $3 million), a Los Angeles bank account with $1 million and luggage filled with other gems, jewels and gold worth between $3 million and $5 million. Pesos and jewels had been seized in Hawaii by U.S. Customs agents in 1986.

The agreement brings to about $50 million the amount of Marcos assets recovered through settlements and judgments springing from the landmark case. But it leaves undecided the fate of $356 million held in Swiss bank accounts. That money would go to the Philippine government, if it succeeds in prosecuting Marcos on civil and criminal charges pending against her in Manila.

The Los Angeles suit, brought in 1986 against Marcos and her husband, had sought to recover more than $5 billion that the couple was accused of looting from the Philippine treasury.

The settlement turns over to the Manila government virtually all known Marcos assets remaining in the United States.