Sunday, August 10, 2008
Court rejects hotel's move
A REGIONAL Trial Court (RTC) judge has dismissed a hotel company’s petition to be declared bankrupt after it suddenly shut down three years ago.
RTC Judge Ramon Daomilas issued an order dated July 24, 2008, saying that Garwood Park Hotel Inc. (GPHI) failed to comply with previous orders asking it to tell the court where its assets and properties were.
GPHI filed a petition for declaration of insolvency—asking the court to declare it bankrupt—after the hotel suddenly closed at 2 p.m. on March 14, 2005, leaving at least 100 employees clueless and jobless.
Because of this petition, the court then directed the sheriff of the RTC-Office of the Clerk of Court to “take possession of all properties, assets and belongings” of GPHI.
However, none of the hotel’s assets were seized because, according to Daomilas, GPHI did not give assistance and support, especially in pointing out what its assets were.
On Sept. 20, 2007, Daomilas issued a garnishment order, directing RTC Branch 11 court sheriff Wellington Lachica to seize all of GPHI’s assets.
But GPHI still failed to cooperate.
Nearly three months later, Daomilas ordered GPHI to show cause “why this court should not dismiss this case for lack of cooperation and interest of the petitioner.”
However, GPHI did not respond.
In finally dismissing the petition for insolvency, Daomilas said GPHI still failed “to give assistance and provide the necessary support to Lachica, especially in pointing out the whereabouts of its assets and properties to expedite the disposition of this case.”
“For failure of the petitioner to show sufficient and necessary interest for the disposition of this case, petitioner’s petition for declaration of insolvency is hereby dismissed,” Daomilas wrote.
In previous Sun.Star Cebu reports, the employees of GPHI said they suspected mismanagement of funds, instead of bankruptcy, as the reason the hotel closed.
They said the hotel had consistently enjoyed a high occupancy rate. But in a 2005 Sun.Star Cebu report, GPHI was said to have payables amounting to P16 million, including P3.1 million for the rental of the building.
GPHI employees earlier said the management had failed to remit their Social Security System and Pag-ibig Fund contributions, despite deducting these from the employees’ salaries.
Many of these employees, though, are also minor stakeholders in the hotel, as they invested some 50 percent of their separation pay from Park Place Hotel in GPHI.
The Garwood Corp. took over Park Place Hotel in 2000, when the latter closed because its lease had expired. In place of GPHI now stands Rajah Park Hotel. The building is located across the Fuente rotunda. (KAB)
For Bisaya stories from Cebu. Click here. (August 10, 2008 issue)
Write letter to the editor.Click here.
|
