Pedrito Aragon told Jurisita Quinos, PSE senior vice president, that the decision was based on non-compliance with certain administrative regulations, "which were very puzzling."
"These factual issues were fully ventilated in hearings conducted by the Regional Trial Court in Quezon City that ruled that these were without basis," he said.
On the alleged failure of the company to submit a five-year protection plan and a seven-year reforestation plan, Aragon said Picop had both plans incorporated in a 10-year plan submitted to and approved by former Environment and Natural Resources Secretary Fulgencio Factoran as early as 1991 and covered until the year 2000.
The rest of about one year of the company’s TLA period, according to Aragon, was contained in the Integrated Annual Operation Plan (IAOP) covering the period up to the end of its TLA.
Aragon said that under DAO 99-53 Section 14.2, Picop’s Comprehensive Development and Management Plan should be submitted only within one year from the signing of the Integrated Forest Management Agreement, thus this was not yet due when the performance evaluation was made.
On the alleged non-payment of forest charges, he said Picop submitted certifications from the CENRO Bislig office that no forest charges were due from Picop.
Aragon said both the Quezon City RTC and the Court of Appeals had ruled in favor of Picop.
Domingo Tumambing, a senior forester of Picop, voiced out the alarm of Caraga residents over the adverse decision of the Supreme Court’s first division.
He said this would displace 8,000 workers and 300,000 residents of the Caraga region whose livelihood is dependent on the industrial complex developed by the company over 50 years.
He added that it also entails the loss of P200 million in taxes every year shared by four provinces, 12 municipalities and one city.
"This is the worst Christmas that will be experienced by people in the already depressed Caraga region," he said.