‘Ramos need not appear in House lease deal inquiry’

MANILA, Philippines — Former president Fidel V. Ramos need not appear in a House inquiry on the P1,000-a-year lease made during his watch for a P7.5-billion government lot, the principal proponent of the probe said yesterday.        

“There are other former and incumbent officials who can better explain the transaction and the losses suffered by the government. President Ramos just issued an executive order on export promotion, which his officials used in entering into the disadvantageous lease agreement,” Eastern Samar Rep. Ben Evardone said.        

He and Rep. Salvador Belaro Jr. of party-list group Ang Edukasyon authored the resolution that prompted the inquiry by the committee on good government and public accountability.        

In 1996, the Department of Trade and Industry (DTI), using the Ramos EO, leased its five-hectare lot along Roxas Boulevard in Manila to Philippine Exporters Confederation (Philexport) for 50 years, renewable for an additional 25 years at the latter’s option.        

The agreed rent was P1,000 a year for the entire five hectares. Philexport was to develop the property and development proceeds would be used to promote the country’s exports and open new markets. Philexport in turn sublet the lot to Manila Exposition Center Inc. (MECI), which built the World Trade Center and other structures. MECI in turn is subleasing the buildings to other renters.        

On Wednesday, the good government committee decided to invite Ramos to its next hearing to shed light on his EO and the lease. The invitation was upon a motion presented by Surigao del Sur Rep. Prospero Pichay Jr.        

The committee has been informed that Roxas Boulevard lot prices are in the P150,000-per-square-meter range, which means the property is worth P7.5 billion.

In a related development, Speaker Pantaleon Alvarez denied having said that the DTI-Philexport-MECI land lease deal was “worse than Tadeco.”

“(It) is fake news. I was never interviewed by the newspaper reporter nor did I say anything about the issue. I decry the manner I am being used by people with ulterior motives by putting words into my mouth,” he said.

In asking for a probe, Evardone clarified: “We are not against export promotion and opening of new markets. In fact, we are for it. What we want to know is where the proceeds from the use and development of that government property went. We also want to find out if the objectives of prompting exports and opening new markets have been accomplished.”

He said incumbent DTI officials and those involved in the layers of lease and subleases of the property should be able to provide the committee with sufficient information.

“But sadly, the information they have given us is insufficient. Some of them do not even know the latest transactions of MECI on the property. We get the impression that it is MECI and its investors who are making money on the use of this valuable lot,” he said.

On Feb. 27, responding to questions from members of the good government committee, Trade Secretary Ramon Lopez said he was not aware that MECI was inviting investors for a hotel-casino project on a portion of his agency’s lot.        

The committee has asked for copies of all the lease and sublease agreements and financial documents of Philexport and MECI.

In their resolution, Evardone and Belaro said the government should be earning more from the use of the DTI property.        

Certainly, a five-hectare lot that could be worth P7.5 billion is not worth only P1,000 a year in rent, they said.        

They said the administration could also sell the lot to raise funds for its massive P8-trillion “Build, Build, Build” program.