IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF PUERTO RICO

In re:

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO 

RICO,

as representative of

THE COMMONWEALTH OF PUERTO 

RICO, et al.,

Debtors. 1

In re:

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO 

RICO,

as representative of

THE EMPLOYMENT RETIREMENT 

SYSTEM OF THE COMMONWEALTH OF 

PUERTO RICO (“ERS”),

Debtor.

PROMESA

Title III

No. 17 BK 03283-LTS

(Jointly Administered)

PROMESA

Title III

No. 17 BK 03566-LTS

BRIEF REPLY

TO THE HONORABLE COURT:

Individual Plaintiffs, Pedro José Nazario Serrano; Joel Rivera Morales; María de Lourdes 

Gómez Pérez; Héctor Cruz Villanueva; Lourdes Rodríguez y Luis M. Jordán Rivera, all of them 

1 The Debtors in these Title III cases, along with each Debtor’s respective Title III case number and the last four (4) digits of each 

Debtor’s federal tax identification number, as applicable, are the (i) Commonwealth of Puerto Rico (Bankruptcy Case No. 17-BK3283 (LTS)) (Last Four Digits of Federal Tax ID: 3481); (ii) Employees Retirement System of the Government of the 

Commonwealth of Puerto Rico (“ERS”) (Bankruptcy Case No. 17-BK-3566 (LTS)) (Last Four Digits of Federal Tax ID: 9686); 

(iii) Puerto Rico Highways and Transportation Authority (Bankruptcy Case No. 17-BK-3567 (LTS)) (Last Four Digits of Federal 

Tax ID: 3808); (iv) Puerto Rico Sales Tax Financing Corporation (Bankruptcy Case No. 17-BK-3284 (LTS)) (Last Four Digits of 

Federal Tax ID: 8474); and (v) Puerto Rico Electric Power Authority (Bankruptcy Case No. 17-BK-4780 (LTS)) (Last Four Digits 

of Federal Tax ID: 3747) (Title III case numbers are listed as bankruptcy case numbers due to software limitations). 

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Retirees/Beneficiaries and Plaintiffs in a claim for damages described below that is currently pending 

in the Commonwealth of Puerto Rico Court of First Instance, San Juan Part (the “Commonwealth 

Court”) without submitting to the jurisdiction of this Court, very respectfully State and Pray as follows:

1. The Individual Plaintiffs, Retirees/Beneficiaries, Pedro José Nazario Serrano; Joel 

Rivera Morales; María de Lourdes Gómez Pérez; Héctor Cruz Villanueva; Lourdes Rodríguez y Luis 

M. Jordán Rivera, have received and reviewed the “RESPONSE OF THE FINANCIAL OVERSIGHT 

AND MANAGEMENT BOARD TO URGENT OBJECTION OF INDIVIDUAL PLAINTIFFS 

RETIREES AND BENEFICIARIES OF THE ERS TRUST TO THE MODIFIED EIGHTH AMENDED 

TITLE III JOINT PLAN OF ADJUSTMENTY OF THE COMMONWEALTH OF PUERTO RICO, ET 

AL. (hereinafter the “Response”). [ECF Document No. 19791].

2. Although counsel for the Financial Oversight and Management Board for Puerto Rico 

(“FOMB”) labels the Individual Plaintiffs’ motion as “untimely”, they candidly acknowledge that the 

inclusion of the “UBS Action in the definition of the ‘ERS Litigation’ was in error.” (Response, ¶ 4). 

Indeed, the “error” was significant and could have been devastating for the Individual Plaintiffs 

Retirees and for the ERS.

3. We are filing this motion because we believe the Court deserves an explanation as to 

why the motion of the Individual Plaintiffs Retirees was not untimely.

4. As counsel for the FOMB candidly concedes on April 2, 2021 [ECF Document 

No.18791-9] a stipulation was reached disposing of the ERS bondholder claims. That stipulation 

provided that “...nothing herein shall stay or prevent the commencing, continuing, filing, or 

otherwise pursuing any claims or actions in connection with that certain action captioned as 

Administración de los Sistemas de Retiro de los Empleados del Gobierno y la Judicatura de Puerto 

Rico, et al. v. UBS Financial Services. Inc. of Puerto Rico, et al., Civil No. KAC-2011-1067 (803), 

currently pending in the Commonwealth of Puerto Rico Court of First Instance, San Juan Part.” 

On the basis of that stipulation, the Individual Plaintiffs never suspected that, somehow or someone 

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would subsequently attempt to obtain the dismissal of the Commonwealth Court litigation by 

surreptitiously inserting language to that effect in the Joint Plan of Adjustment. Fortunately, one of 

our team members, in reviewing the latest version of the Joint Plan of Adjustment, noticed the reference 

to the Commonwealth Court litigation filed by the Individual Plaintiffs Retirees and our “Urgent 

Motion” followed. [ECF Document No. 19766].

5. What counsel for the FOMB has not explained is how and why, after the April 2, 2021 

stipulation, that erroneous language was introduced in the Joint Plan of Adjustment and more 

importantly, by whom. Essentially, that language would have induced the Court to approve a plan 

contrary to the Stipulation. Had it been approved by this Court, it would have totally released UBS 

Financial from significant exposure without any consideration whatsoever, and would have been 

devastating for the Individual Plaintiffs Retirees and for the ERS.

WHEREFORE, it is respectfully requested that the Court take notice of the above and to enter 

any order it may deem appropriate under the circumstances.

RESPECTFULLY SUBMITTED.

WE HEREBY CERTIFY: That on this same date a true and exact copy of this motion was 

filed with the Clerk of Court using CM/ECF system, which will notify a copy to counsel of record. 

Also, copy of this document will be notified via electronic mail to all case participants.

In San Juan, Puerto Rico, this 18th day of January 2022.

VICENTE & CUEBAS PUJOL LAW OFFICES, PSC

P.O. Box 11609 P.O. Box 363042

San Juan, PR 00910-1609 San Juan, PR 00936-3042

Phone No. (787) 751-8000 Phone No. (787) 724-0900

Fax No. (787) 756-5250 Fax No. (787) 724-1196

/s/ Harold D. Vicente /s/ Francisco Pujol-Meneses 

Harold D. Vicente, Esq. Francisco Pujol Meneses, Esq.

USDC-PR Bar No. 117711 USDC-PR Bar No. 212706

hvicente@vclawpr.com fpujol@pujollawpr.com

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s/ Harold D. Vicente-Colón BUFETE ANDREU & SAGARDÍA

Harold D. Vicente-Colón, Esq. 261 Avenida Domenech

USDC-PR Bar No. 211805 San Juan, Puerto Rico 00918

hdvc@vclawpr.com Phone No. (787) 754-1777/763-8044

Fax No. (787) 763-8045

 

 

 /s/José A. Andreu-Fuentes

 José A. Andrey Fuentes, Esq. 

USDC-PR Bar No. 204409

 jaf@andreu-sagardia.com

Counsel for individual plaintiffs, beneficiaries of the Retirement System 

of the Commonwealth of Puerto Rico

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