Court assails city take over of Bredco port
BACOLOD CITY – Regional Trial Court (RTC) Branch 42 Presiding Judge Fernando Elumba has granted the Writ of Preliminary Injunction prayed by Bacolod Real Estate Development Corporation (Bredco) against the implementation of City Ordinance 454 series of 2007 which seeks to take over the unfinished reclamation project, port and port operations in the reclamation area.
Recently Bredco, represented by its president Simplicio Palanca, filed the case against the City of Bacolod, Mayor Evelio Leonardia, Vice Mayor Jude Thaddeus Sayson, Councilors Al Victor Espino, Dindo and Kevin Ramos, Homer Bais, Greg Gasataya, Celia Flor asking the court to issue a temporary restraining order and preliminary injunction to prevent the city from taking over the management and operation of the Bacolod port while the main case has not yet been resolved.
Elumba in his 11-page resolution cited that the net effect of granting the application for preliminary injunction is not to ‘stave off’ the implementation and completion of the government project but precisely for Bredco to continue with the project pending the determination of the main case.
Bredco's counsel former Vice Mayor Renecito Novero yesterday said they are very happy with the resolution of the Court since their arguments have been considered during the hearings.
Novero said there are existing contracts between Bredco and the city government which are valid until today. He said these contracts are enforceable, legally binding and have never been revoked, canceled or repudiated by any party except City Ordinance 454.
They believed that the passage of the ordinance is not the proper way to repudiate the contract. He said the city should have filed a case of recession in court if they intend to invalidate, repudiate, cancel or put to no effect the contract.
Bredco spent billions of pesos for the construction, the development and the maintenance of the seaport and other billions of pesos for the reclamation area that’s why it is proper for the court to rescue Bredco from this unjust situation.
“We have proven that we are also the real party in interest, contradictory to the claims of the city. There is a contract and that Bredco has existing rights which have been grossly violated by the passage of City Ordinance 454, and that the construction of the port involves billions is a very awesome task and expense,” he added.
Novero said they have also proven that if the city takes over the operation and management of the Bacolod seaport, it will cause a natural death to Bredco, as a corporation and as an investor especially their share on the reclaimed lands became smaller from 90% on the original contract to 62.5% on the Comprehensive Revised Reclamation Agreement.
“The existence of Bredco also contributes a lot to the economy of the city like in terms of taxes, employment, infrastructure, tourism, physical profile, investment, among others,” he added.
With the resolution, everything is in ‘status quo’ and the court ordered Bredco to file a bond in the amount of P5 million to answer whatever damages that defendants may sustain by reason of the injunctive order.