PEA execs face plunder raps

MANILA, Philippines - Incumbent and former officials of the Public Estates Authority (PEA) and those of a private developer have been charged with plunder and graft before the Office of the Ombudsman for allegedly conspiring to defraud the government in the sale of a four-hectare reclamation property along Roxas Boulevard in Parañaque   in 1988, now valued at more than  P41 billion.

Charged were PEA chairman Roberto Muldong, general manager Peter Anthony Abaya, board directors Virgilio Ambion, Manuel Medina, Edilberto de Jesus, Reynaldo Robles and Rene Enrique Silos, and former general manager Eduardo Zialcita, who executed the deed of sale 17 years ago.

The United Filipino Consumers and Commuters (UFCC) and the Water For All Refund Movement (WARM) also charged with plunder and graft Manila Bay Development Corp. (MBDC) president George Chua and the private company’s unnamed board directors. 

UFCC lead convenor Rodolfo Javellana Jr.  said the complaint arose from the private developer’s alleged failure to develop the seaside estate beside the Cavite Expressway (Cavitex), nearly three decades after both parties signed an agreement covering its sale and supposed conversion into a Greenhills-type commercial center.

As WARM’s lead convenor, he also accused the respondents of conspiracy to defraud the government and the Filipino people of expected accumulated earnings from “what is probably the country’s biggest scam of asset disposition  involving this reclamation lot believed to be worth P41 billion at current market prices,” at MBDC’s Central Business Park II.

Javellana said the deed of absolute sale has proven to be grossly disadvantageous to the government and the Filipino people because MBDC has continued to renege on its commitment under the 1998 agreement to acquire the lot for a relatively small amount, on condition that it would fully develop the property into a business-commercial complex in five years’ time.

“Past and incumbent PEA management and its board have surprisingly done nothing to take punitive steps against MBDC such as canceling the contract for this serious breach,” he said.

Javellana said the 10-year prescription period for the filing of plunder charges and the 20-year prescription period on graft complaints do not apply although the allegedly anomalous deal happened almost three decades ago.

“The Filipino people (only) became aware of the deed of sale just recently when the issue became public,” he said. “Hence, the filing of these cases against the former and present officials of PEA as well as against the owners and officers of MBDC is within the period allowed under the rules.” 

Javellana said the alleged anomaly and   conspiracy of PEA and MBDC officers surfaced only recently when Uniwide Sales Realty & Resources Corp came out in 2014 with a newspaper advertisement appealing to PEA to take back the property worth P41 billion that MBDC had purchased for only P420 million.

Uniwide has a court case against MBDC.