Gullas to FLI: Invest in Talisay City instead

CEBU, Philippines - The Talisay City government is calling on the Filinvest Land Inc. (FLI) to invest in its city instead, if the company officials think the Cebu City government is driving them away.

Talisay City Mayor Eduardo Gullas said he is willing to invite FLI and hopes that the city government would come up with a partnership with the firm.

FLI had announced this week that it has agreed in principle to rescind the contract for alleged failure of the city to comply with the provisions of the terms and reference of the contract, among others.

"Gisalikway man gud sila sa Cebu, they might be interested to come to Talisay," Gullas said.

Gullas added that providing an area for FLI is not a problem since the city has several sites that the company can choose.

“Area?  Naay daghan. Pila ra man ang area nila?  I don’t think it’s more than 50 hectares,” he added.

He also mentioned that FLI already had chains of business in Talisay, which include high-end subdivisions in Barangays Mohon and Pooc. As this developed, Mayor Tomas Osmeña doubts the Deed of  Sale on Installment that former Cebu City mayor Michael Rama and officials of FLI signed in 2015 for the 19.2-hectare lot sale at the South Road Properties was valid.

“That's one of the problems (if the contract is valid). We're going to ask the council to produce a copy of the contract. Are you confused? A contract is not valid until it is approved by the council, correct?  The council never approved the contract. So we will be sending a letter to the council, where is the contract that you approved?” he told reporters in his press conference yesterday.

Osmeña said there is no contract to rescind in the first place if the contract is invalid.

He said the matter is part of the discussion of the legal options and positions talked about by the city government and the management of FLI.

“We have many options. That's why it’s very confusing. But it all boils down to the comedy of errors. We will start with that. Where is the contract that the council approved because the council didn’t approve a contract, there can be no contract. If there can be no contract, there can be no sale,” Osmeña said.

He said he was informed that previous members of the City Council which was dominated by his allies “removed” the authority of Rama to sign the deed with FLI.

Councilor James Anthony Cuenco, who was a member of the previous City Council, said he remembered that the legislative body before authorized Rama to negotiate and dispose the 45.2-hectare lot at SRP.

Cuenco, who is now the majority floor leader, said he could not remember if there is a separate resolution authorizing Rama to sign the Deed of Sale on Installment.

“Because blanket naman to ang among gihatag nga authority kadtong authorizing the mayor to negotiate and dispose the lot until the consummation of the sale. All-inclusive nato,” he said in a phone interview.

In THE FREEMAN archive, the City Council passed a resolution last August 13, 2014 authorizing Rama for and on behalf of the city to negotiate and dispose by sale through public bidding Lot No. 8 (located near the Calungsod templete) containing a total land area of 26 hectares; and consolidated lots No. 7 and No. 17 (located beside SM Seaside) consisting of 19.2 hectares, to any interested and qualified investors and developers.

In 2015, the city government declared the consortium of Ayala Land, Cebu Holdings Inc. and SM Prime Holdings as the highest bidder with P10.009 billion for a 26.3-hectare property, while Filinvest Land Inc. was the highest bidder with P6.7 billion for a 19.2-hectare property.

Cuenco said the previous City council was not asked to issue a separate resolution authorizing Rama to sign the contract.

He, however, said the contract has been perfected and developers and buyers of the lots have paid over P11 billion to the city government.

“My opinion is, perfected naman ang contract. Wala na tay mahimo ana. As to whether there is a requirement nga moagi sa council ang contract, I think wala na. It is not needed na,” he said, insisting that the contract is valid.

He asked the council secretariat office to check all resolutions and related documents involving the SRP lot sale to “reconcile everything.” — Iris Mariani B. Algabre and Jean Marvette A. Demecillo (FREEMAN)

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