Panlilios won't shoulder P26-million back rent for Nayong Pilipino hotel

The Panlilio family has rejected any liability to pay more than P26 million in back rentals for the 36,289-square meter site of the Philippine Village Hotel within the Nayong Pilipino Complex in Pasay City.

In a letter to The STAR, businessman Jocel Marcel Panlilio said they could no longer be held liable for any legal obligation of Philippine Village Hotel Inc. (PVHI) as they had already sold almost all of their shares of stocks and interest in the 34-year-old hotel to Roger Serafica of the Burgundy Realty in 2002.

“We have documents in our possession of absolute sale of the subject corporation and separately, absolute sale of all assets and liabilities – all dated Jan. 23, 2002,” he said. “Hence all liabilities, including the Supreme Court finding, are assumed to be the responsibility wholly of Mr. Serafica of Burgundy Realty.”

Panlilio said the hotel’s new owner might have failed to inform the Securities and Exchange Commission about the sale and the change in ownership.

Serafica was in complete possession of the corporation’s stock and transfer books after the sale, he added.

Panlilio said the news reports about the Supreme Court ruling for PVHI to hand over the hotel building and pay back rentals to Nayong Pilipino Foundation (NPF) could cause misimpressions that may affect their family’s reputation.

President Arroyo personally asked him if their family was the subject of the SC order, he added.

Affirming a Court of Appeals decision, the SC ordered the PVHI to vacate the hotel’s 36,289-square meter site within the former leisure park.

Court records show the NPF, a government-owned and controlled corporation leased the site to Sulo sa Nayon, Inc. (later known as PVHI) in June 1975.

Under the lease contract, Sulo agreed to lease the land for 21 years or until May 1996 and renew it for another 25 years.

On March 7, 1995, PVHI senior executive vice president Jose Marcel Panlilio renewed the contract until 2021.

However, since January 2001, PVHI started to default on its monthly rental of P725,780 prompting NPF to send a demand letter on March 26, 2001.

When the demand was ignored, NPF filed a complaint for unlawful detainer against PVHI before a Pasay City court.

On Feb. 26, 2002, the lower court ordered PVHI to vacate the premises and surrender possession of the property to NPF. The court also said PVHI should pay back rentals amounting to P26,183,225.14 from July 31, 2001, pay the monthly rental of P725,780 from August 2001 thereafter as reasonable compensation for the use and occupation of the premises and P50,000 in attorney’s fees.– Edu Punay