CH mulls filing case vs PPSB

 CEBU, Philippines - The Cebu City government is contemplating to file a petition in court to compel one of the city’s depository banks to release the P124 million it has frozen because of a pending notice of garnishment from the court.

City Legal Officer Joseph Bernaldez said his office may soon file the necessary petition before the Regional Trial Court to compel the Philippine Postal Savings Bank to release the money.

Bernaldez said he will tell the court that the Court of Appeals through Associate Justice Gabriel Ingles has issued an order that prohibits the bank and other parties to implement the notice of garnishment earlier issued by the lower court against the city’s deposits.

According to Bernaldez, since the appellate court had issued a writ of injunction the bank should not prevent the city from withdrawing its deposits with them.

Mayor Michael Rama had directed the personnel of the City Treasurer’s Office to withdraw all the city’s deposits with the Philippine Postal Savings Bank after the heirs of Rev. Fr. Vicente Rallos want to garnish the money.

The heirs of the late priest demanded payment from the city of the lot used for public road in Barangay Sambag II. Because of the city’s failure to pay the amount the demand has gone up after several years which is at present already amounting to P133 million.

Rama refused to pay the amount demanded by the Ralloses because of the newly-discovered evidence showing that the lot has been donated in 1940.  (FREEMAN)