THE issue on the ownership of the Paskuhan Village in the City of San Fernando is far from over as lawyers of Third District Representative Aurelio “Dong” Gonzales Jr. filed an urgent motion before the Regional Trial Court Branch 42 for the reconsideration of the compromise agreement between the City Government of San Fernando and Premiere Central Inc. (PCI).
The motion was filed on Friday, February 21, with prayer for leave of court to intervene and reconsideration of the compromise agreement with the local government and PCI.
Earlier in February, the City Government’s City Information Office (CIO) had been announcing the supposed amicable settlement.
“Part of the agreement is the PCI’s donation of 5,000 square meters of the Paskuhan Village plus a two-storey building and amphitheater, to be built free of cost for the city,” the CIO press release said.
But lawyers representing Gonzales were far from impressed. Edward Magat, co-counsel for Gonzales, said that 5,000 square meters is only a small fraction of the 9.3-hectare property.
He added Paskuhan is for the people of the city and represents a portion of the cultural identity of San Fernando.
It could be remembered that Solicitor General Jose Calida said the sale of the property to the Premier Central Incorporated (PCI), a subsidiary of SM Prime Holdings Corporation, by the Tourism Infrastructure and Enterprise Zone Authority (TIEZA) "is void pursuant to Section 54 of Republic Act No. 9593.”
Paskuhan was sold for P939,656,848 or close to P1 billion. A deed of absolute sale covering the properties was executed between TIEZA and PCI.
In 2017, the House Committee on Good Government and Public Accountability chaired by Surigao del Sur Second District Representative Johnny Pimentel led the inquiry on the sale after Gonzales filed House Resolution 654 that called for the investigation of the sale on whether proper procurement laws were followed as well as ascertain the real ownership of the land of the said property.
After a series of hearings, the Committee declared the alleged public bidding was a farce.
Premier was among the four companies which bid for the property, namely SM Development Corporation, Premier Central Incorporated, SM Prime Holdings and SEJ North Premier Holding Corporation. Three of them, Premier, SMDC and SM Prime Holdings are part of the SM Group of Companies.
The Committee said that TIEZA disregarded the provision of R.A. 9593 that gives the City of San Fernando and the Province of Pampanga the right of first refusal on the sale or lease of Paskuhan.
As early as 2009, the Pampanga Mayors' League issued a resolution to negotiate and enter into an agreement with the Department of Tourism to acquire jurisdiction and management over the facility, the report noted.
On December 4, 2014, the Provincial Government of Pampanga also offered to purchase the village at book value or based on current prevailing market value to reactivate the facility as venue for promoting the tourism industry of Pampanga, according to the report.