Cebu City Lawyers Want Outright Suspension of P135M Payment to School

(PNA) — The Cebu City Legal Office wants the outright suspension of payment of the city’s PHP135-million obligation to the Asian College of Technology International Education Foundation (ACTIEF) after they found jurisprudence that supports suspending money claims in anti-graft cases.

Cebu City Attorney Jerone Castillo cited the 2003 case of Republic of the Philippines vs. Court of Appeals where the court ruled for the suspension of the civil action for payment while the case was pending.

The same jurisprudence provides that the suspension of money claims will avoid conflicting decisions between the Sandiganbayan and the lower court.

Castillo said they have reconsidered their earlier position of depositing the money to the bank or to consign it to the court.

”In fact, I would even advise the mayor not to consign. We must suspend all money claims and await the decision of the Sandiganbayan,” Castillo said.

Castillo also cited the 2006 case of La’O vs. Republic of the Philippines which states that contracts which violate Republic Act 3019 or the Anti-Graft and Corrupt Practices Act are null and void from the beginning.

These jurisprudence were incorporated by the legal office in its answer to ACTIEF’s request asking the Regional Trial Court (RTC) to dismiss the civil petition for declaratory relief filed by the City against them.

The city filed the petition for declaratory relief for the court to determine if it is allowed by law to pay ACTIEF following the Office of the Ombudsman’s resolution finding the school’s owner, Rep. Rodrigo Abellanosa (Cebu City, south district), liable of committing conflict of interest.

The anti-graft office also found probable cause to file a criminal case against Abellanosa before the Sandiganbayan.

Abellanosa, when he wast still city councilor, signed the memorandum of agreement (MOA) in 2010 for the scholarship program as trustee and president of ACT.

In 2011, he signed the MOA on behalf of ACTIEF.

Abellanosa, who has already divested his shares from the school, has since filed a motion for reconsideration on the Ombudsman’s findings. (PNA) LAP/EB/EDS