City-Filinvest deal probe to proceed

CEBU, Philippines – Cebu 3rd District Rep. Pablo Garcia said the House committee on government is likely to proceed with its inquiry into the controversial Joint Venture Agreement between Cebu City and Filinvest Land Inc. to develop a portion of the South Road Properties.

“What is important is the House committee to proceed with its hearing and come up with its findings,” Garcia said, adding that he will be requesting the committee to schedule the hearings once Congress reconvenes this month.

Last May, Garcia delivered a privilege speech in the House of Representatives, describing the Joint Venture Agreement as “anomalous and highly irregular.”

In his speech, Garcia told members of the Congress that the Cebu City-FLI joint venture is disadvantageous to the city government because the latter stands to get only a 10 percent share in the revenues instead of the standard industry practice of a 40 to 50 percent share.

Garcia said he already spoke with some members of the House committee on good government who reportedly assured to give him support once the hearing begins.

Garcia said he wants the hearing to be conducted here in Cebu since the resource persons and speakers are mostly from Cebu. He said the persons involved in the agreement will be invited to the inquiry.

These include Cebu City Vice Mayor Michael Rama, Filinvest Vice Chairman Andrew Gotianun Jr. and members of the City Council who authorized Rama to sign the agreement.

The first preliminary hearing is expected to be held in August, Garcia said.

It can be recalled that City Hall declared Capitol ineligible when it participated in the pre-qualification bid to challenge the unsolicited offer of Filinvest.

The joint venture with FLI includes the outright sale of 10.6 hectares of beach front lots at P15,000 per square meter, and the joint venture activities on a 40-hectare portion. — Garry B. Lao/JMO (THE FREEMAN)