Jalandoon, a long-time claimant of a 20-percent interest in the equity of IBC, is taking steps to annul the bidding and sale the winning bidders of IBC’s assets.
The Presidential Commission on Good Government (PCGG) proceeded with the public bidding of IBC assets which includes IBC-TV Channel 13 and its relay stations all over the country last Dec. 21 despite the temporary restraining order (TRO) issue by the Special Seventh Division of the Court of Appeals.
Although most of the possible bidders for the assets of the TV network were scared off from the auction by the court order, four bidders entered their bids for what were considered as minor assets of IBC. When the bids were opened, neophyte company Blockbuster Broadcasting, Inc., which was represented by its assistant treasurer Rolando Sulit, a popular DJ known as "Joe D’ Mango," won the bid for dzMZ, an FM station based in Metro Manila with a bid of P218 million while Albino Dee Gothong won the bid for a real property located in Cebu with his bid of P10 million. Blockbuster’s bid was higher than the P160-million indicative price set for the radio while Gothong’s bid fell P4-million short of the P14-million indicative price pegged for the Cebu real property.
The total yield for the government was only P228 million, very far off the targeted amount of P3.59 billion. No offers were made for the bigger assets of IBC.
Jalandoon through his spokesman and counsel, Reynaldo B. Robles, stated that apart from pursuing contempt charges against the directors and officials of IBC and the PCGG, they are also preparing to initiate suit to annul the bidding and award for the assets to the bidders and to compel them to pay damages.
"As far as we are concerned, the winning bidders definitely acted in bad faith. They cannot deny that they were aware of the TRO issued by the Court of Appeals and the pending claim of Mr. Jalandoon because this was very well publicized and was even discussed in the pre-bidding conference. We issued a fair warning that we will sue in case the bid pushes through. They took the risk and now, they have to take the consequences," Robles said.
Robles, a partner of the Chan Robles and Associates law firm, said that the bidding of the assets of IBC can be considered as null and void on at least three grounds: "First, the same was done in violation of a validly existing TRO issued by a court of competent jurisdiction. Second, the same also transgresses a compromise agreement entered into by the PCGG, IBC and Jalandoon before the Supreme Court in 1998. Lastly, PCGG apparently lacks the appropriate board approval of IBC to sell substantially all of the assets of IBC in accordance with the Corporation Code."