Mayor cancels contract of Chinese bizman-A A +A
Tuesday, June 19, 2012
CAGAYAN de Oro City Mayor Vicente Emano has issued orders to cancel the contract of a Chinese businessman who rented the whole second floor of the Carmen Public Market for alleged violations.
City Administrator Leon Gan said businessman Jacky Cheng has violated three provisions of the contract, which the City Government “will not tolerate.”
Cheng earlier inked an agreement with the City Government to rent the whole second floor of the Carmen Public Market where the P250-million Unitop Department Store and Supermarket is located and some portion of the market’s ground floor.
Gan said the alleged major violation of the businessman is when he “subleased the entire second floor by accepting Unitop Department Store and Supermarket” as his tenant.
Cheng’s rented area at the ground floor has also been subleased to some tenants.
According to the stipulated contract, Gan said Cheng is not allowed to sub-lease the building and that he was only required to use it on what was agreed, “by putting up his own store and not to accept tenants.”
“Subleasing the building to other parties is a grave offense,” Gan said.
The businessman’s other alleged violation is the non-construction of police posts inside the market, which was also included in the agreement.
Gan said aside from not providing the police post, Cheng also did not accommodate the vendors who earlier occupied the second floor.
The vendors were allegedly promised by Cheng that they will be “relocated to a much better place.”
In the agreement, Gan said Cheng will shoulder the construction of the stalls outside the area where the vendors will be relocated but until now, “no action has been taken.”
Earlier, some affected vendors complained that their means of living are already compromised by Cheng’s broken promises.
Gan said they have already sent a letter of demand to Cheng last month, asking for an explanation.
The demand letter is set to expire on June 25.
“If we will not receive a reply from Cheng, then the City Government will be forced to take over the building. Unitop and the other tenants will pay their rent to us,” Gan said.
Earlier, Cheng was given the authority by the City Government to use the building on condition that he will follow the requirements that were agreed upon.
Sun.Star Cagayan de Oro tried to get Cheng’s contact details from Unitop but was told they don’t have any information.
Maritess Telandas, secretary of Unitop, said they cannot comment on the issue.
Published in the Sun.Star Cagayan de Oro newspaper on June 19, 2012.