PIATCO to wait some more for release of P3 billion

The Philippine International Air Terminals Co. (Piatco) will have to wait a little more to recover the P3 billion that it had reportedly invested in the mothballed air terminal-building contract with the government, and which a Pasay City court had ordered released.

Piatco officials who requested anonymity said corporate treasurer Jefferson Cheng and corporate secretary lawyer Moises Tolentino tried on Thursday to withdraw the money from the Land Bank of the Philippines main office but were told by bank officials of the existence of a temporary restraining order from the Court of Appeals.

The Court of Appeals issued the TRO upon the motion of lawyer Jose Bernas who represented a group of lawmakers opposed to the government’s contract with Piatco concerning the construction of the controversial Ninoy Aquino International Airport Terminal 3.

Pasay RTC branch 117 judge Jesus Mupas earlier ordered the Manila International Airport Authority (MIAA) to allow the release of the money to PIATCO to set the stage for the government’s expropriation of the airport facilities. MIAA keeps the money in escrow at LandBank.

MIAA early Thursday sent a letter of instruction to LandBank for the release of the P3 billion to any authorized Piatco representative.

Mupas last week asked MIAA general manager Alfonso Cusi to explain within 48 hours MIAA’s failure to release the P3 billion despite an earlier court order.

Mupas, in his "show cause" order, stressed that the release of the funds was crucial to government’s effort to take over and eventually operate the airport facility.

Cusi said there was a delay in the release of the money because the MIAA board chaired by Transportation Secretary Leandro Mendoza would have to approve first the release.

Moreover, the money was in US currency and an approval from the Bangko Sentral ng Pilipinas (BSP) was needed for the amount’s conversion into Philippine currency, according to Cusi.

The government took over NAIA-3 in December 2004 shortly after the Supreme Court nullified its build-operate-transfer contract with Piatco.

Piatco condemned the government’s takeover and demanded that it be compensated first for its expenses.

MIAA tried to hold a soft opening for NAIA-3 on March 31 but it was called off by Cusi after a 100 square meter portion of the terminal’s ceiling collapsed.