John Hay locators asked to pay rent directly to government

The Bases Conversion Development Authority (BCDA), through its local subsidiary John Hay Management Corp (JHMC), is asking Camp John Hay special economic zone sub-locators and establishment to redirect their rental payments to the government instead of paying the Camp John Hay Development Corp. (CJHDevCo), the operator and developer of John Hay.

The move of the BCDA prompted the CJHDevCo to label the move a form of harassment.

According to Atty. Gina Alvarez, spokesperson and senior vice president (SVP) for Legal and Corporate Services of CJHDevCo,"shouldn’t BCDA be fixing the tax issue brought about by the Supreme Court Decision instead of picking a fight with the innocent investors of Camp John Hay?"

"This is harassment, pure and simple. BCDA must have realized that CJHDevCo is not giving in to their threats of an illegal takeover, so now they have taken on innocent investors. It bears to stress that CJHDevCo is the legitimate manager and steward of Camp John Hay. The Lease Agreement we signed with BCDA in 1996 and the succeeding Memoranda of Agreement are in force. No court or arbitral body has struck these down to be of no legal effect. Thus, BCDA should cease and desist from violating the clear language of our contract as well as relevant law," said Alvarez.

"Worse, a government agency, which should be the first to uphold and obey the law is forcing private entities to ignore its existing and valid contract with CJHDevCo", she added. According to legal experts, this recent move of BCDA could open the agency, its officers, and directors to various law suits, both criminal and civil in nature.

The recent move by BCDA has caused apprehension among sub-locators that the BCDA- CJHDevCo dispute could affect their businesses.

Many are confused as to how they will answer BCDA, and have brought their concern to CJHDevCo.

Boy Abat an establishment owner admitted the latest demand of BCDA is putting Camp John Hay businessmen like him in a very hard place.

"They’re putting us on the spot. It’s like BCDA is indirectly checking our loyalties right now. We have dealt with CJHDevCo for the past years, and now we get this letter saying we should start dealing with BCDA now, or else," Abat said.