OSG ruling on BuCor contract premature – Tadeco

MANILA, Philippines -  Davao-based Tagum Development Co. Inc. (Tadeco) yesterday described as premature and uninformed the statement of Solicitor General Jose Calida that its contract with the Bureau of Corrections (BuCor) is void “as it goes against the Constitution and the Public Land Act.”

Tadeco is the country’s largest banana exporter. It is leasing more than 5,000 hectares of prison land in Davao del Norte. The family of Rep. Antonio Floirendo Jr. owns the company.

In a statement e-mailed to reporters, Tadeco said there is a review of its joint venture agreement (JVA) with BuCor by the Department of Justice (DOJ) and an impending investigation by the House of Representatives on the deal.

However, the DOJ review “is still ongoing and the House probe has not yet begun,” it said.

It said Calida is not involved in both the review and congressional inquiry.

“Furthermore, there is no case filed before the courts on the cancellation of the said JVA. Only the courts of law can declare that a contract is void. This is a clear case of prejudging our JVA. Where is fairness? Perhaps the intent is to condition the minds of the public and pre-empt the review by the DOJ as well as the House probe,” Tadeco added.

It claimed that its contract with the BuCor “has withstood the test of time and multiple reviews by secretaries of justice and several congressional investigations over so many years.” 

“All of them have found our JVA to be valid and beneficial to the BuCor and the republic. These are the same items raised by Speaker (Pantaleon) Alvarez and, thus, there is nothing new in this recent statement of the Solicitor General. Nonetheless, we are prepared to answer all these issues in the proper time and proper forum,” it said.

A request from Alvarez prompted the DOJ review. Justice Secretary Vitaliano Aguirre II has promised to release his findings soon. 

Alvarez has also filed a graft charge against Floirendo with the ombudsman’s office.

The two were previously good friends but a quarrel between their girlfriends reportedly fueled their bitter feud.

Alvarez represents Davao Del Norte’s first district. Floirendo is representative of the second district and is the largest contributor to President Duterte’s election campaign.