Roxas laments Piatco-Fraport legal tussle

Former Trade and Industry Secretary Manuel Roxas II has lamented the decision of the Philippine International Air Terminals Co. (Piatco) and Germany’s Fraport AG to turn their dispute over the Ninoy Aquino International Airport (NAIA) Terminal 3 into a legal battle.

In his last press conference as DTI head, Roxas had expressed disappointment over the continuing delay in completing and operating the new NAIA terminal.

He pointed out that in this case, both Piatco and Fraport are in the losing end of the deal. However, in the long run, people would eventually be the most affected.

"Immediately, it is Fraport and Piatco. But in the long run, the people are also the losers because they are unable to avail of the facility," Roxas said.

Fraport has filed its complaint with the World Bank while Piatco has sought a separate suit in the local courts, leaving no room for a dialogue with the government, Roxas said.

Roxas, along with Tourism Secretary Richard Gordon and Transportation and Communications Secretary Leandro Mendoza, has been tasked to iron out the dispute with Piatco and Fraport after the Supreme Court nullified the government’s contract with Piatco over the exclusive operation of the new NAIA terminal.

The three parties were initially in discussions and appeared making some headway when Fraport decided to seek relief from the World Bank.

With the pending case in the World Bank, Roxas admitted that government’s response would now have to be done legally.

"Their decision," Roxas said, "seems to delay finding a solution."

By going to the World Bank, the German group hopes to be able to force the Philippine government to pay it for the funds it had already spent to construct the almost completed airport facility.

However, Piatco and Fraport are quoting a figure that reportedly includes "facilitation fees" which the Philippine government refuses to include in the computation.

The so-called "facilitation fees" reportedly include "grease" or "bribe" money.