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Bacolod City, Philippines Tuesday, April 3, 2012
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ON AYALA LAND DEAL
‘Legal action an option
vs. COA delay’
BY GILBERT BAYORAN
Governor Alfredo Marañon Jr. who is blaming the Commission on Audit for the delay in deciding on the review of the sale and lease of the 7.7-hectare prime property of the provincial government to Ayala Land Inc., yesterday said that they have no choice but to de-prioritize the Capitol Civic Center project, in order to move on and focus on other development projects in Negros Occidental.

“At this juncture, we will leave it up to the Ayala Land Inc, to decide for themselves on whether they would like to continue with the project,” Marañon said, as he expressed his gratitude for their support for the development of Negros Occidental.

“In the meantime, we will start to put into motion whatever steps are necessary to shift our resources and energy to other worthwhile developments, which may have not been wasted by unjustified opposition and unnecessary delays,” he added.

Marañon, however, said they are not giving up the fight yet.

“It is up to COA, because the delay is with them, but we have to move on, because we have been focusing our energy resources, time and effort on the project,” he added.

Marañon said that ever since they submitted the award contracts to COA for review in July last year, they have wondered why they have set so many milestones, and would keep on deferring their decisions and resolutions.

He cited the recent creation of the COA technical team to evaluate and re-appraise the value of the property that is the subject of a deed of sale and contract of lease between the provincial government and Ayala Land Inc.

“It is a delaying tactic”, Marañon said.

“Why question the price now? They could have questioned it a long time ago if there are defects in the sale and lease. Why will it take them nine months?” Maranon asked.

The provincial government submitted the Capitol-Ayala contracts for approval to COA on July 22 last year.

The Provincial Committee on Awards and Disposal of Real Properties awarded the sale and lease of the Capitol prime property to Ayala Land Inc. The project would combine the center of government with commercial and residential uses, and fulfills the objectives of the Sangguniang Panlalawigan to finance the many development projects of Negros Occidental.

The sale and lease of the Capitol’s prime property got the overwhelming support of the Association of Chief Executives of Negros Occidental, League of Municipalities of the Philippines-Negros Occidental, Vice-Mayor’s League of the Philippines provincial chapter, Sangguniang Panlungsod of Bacolod, Metro Bacolod Chamber of Commerce and Industry, among others.

If the Capitol-Ayala deal pushes through, Marañon said it will dramatically perk up the provincial economy, boost its revenues and tax earnings, generate jobs and provide impetus to more badly-needed infrastructures and public utilities development under the three-year strategic Negros First development plan, which will end in 2013.

Asked if the delay will even reach 2013, which will be the end of his term as governor, Marañon replied “ We will ask the SP, since I am not the only one to decide on this case. The SP will also make its final decision”.

Legal action is also one of their options if they have proven that COA is really behind the delay in the approval of the transactions, he said.

“It’s about time to draw the line on the delays to the economic benefits the development of the Capitol property project will bring for Negros,” Marañon stressed.

The SM Prime Holdings Inc. filed a petition last year before the Bacolod Regional Trial Court seeking the annulment of any negotiated sale and lease by the provincial government property to ALI, and for SMPHI to be declared the winning bidder of the July 7 bidding.

The new hearing has been reset to April 27 and May 25.

Marañon claimed the court case has nothing to do with the COA decision, citing the opinion of their legal counsels.

The COA can approve the deal without minding the pending case,” he said. * GPB

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