‘BuCor can’t manage Davao penal colony’

MANILA, Philippines - The Bureau of Corrections has no capability to manage the entire Davao farm and penal colony, BuCor director Benjamin delos Santos said yesterday. 

Delos Santos made the admission as the Department of Justice is expected to decide on the legality of the joint venture agreement between BuCor and the Tagum Agricultural Development Co. (Tadeco) for the lease of 5,300 hectares of the penal farm.

The committees on good government and justice of the House of Representatives conducted an inquiry into the agreement upon the initiative of Speaker Pantaleon Alvarez, who claims the deal was disadvantageous to the government.

Justice Secretary Vitaliano Aguirre II had vowed to come up with recommendations after reviewing the contract.

Aguirre, who noted that the agreement is renewable after 25 years, admitted it would be difficult to renegotiate at this point.  

A fact-finding body of the Department of Justice had said the agreement, which is good for 12 more years, is unconstitutional. Under the deal, the government earns P26.542 million a year for the lease of the land at P5,000 per hectare.  

Tadeco president and chief executive officer Alex Valoria told a House hearing that the government earned P142.72 million in 2016 alone, representing a 45 percent share, under the joint venture agreement.

The family of Davao del Norte Rep. Antonio Floirendo Jr. owns Tadeco, the country’s largest banana producer and exporter.