BCDA confident of Sobrepeña conviction “It’s just a matter of time,” says Casanova

Bases Conversion and Development Authority (BCDA) president and CEO Arnel Paciano D. Casanova has expressed confidence that Camp John Hay Development Corporation (CJHDevCo) chairman and CEO Robert John Sobrepeña will be convicted of malversation. The latter pleaded not guilty to two counts of malversation of funds before the Baguio City Regional Trial Court last Thursday.

“The wheels of justice have finally caught up with Robert Sobrepeña, and it’s just a matter of time before the court finds him guilty,” Casanova said. “We will not rest until Sobrepeña   and his cohorts pay their debts to the government.”

The malversation charges, which were filed by the Department of Justice on April 1, 2013, stem from a complaint filed by the BCDA against the Board of Directors and officials of CJHDevCo and its subsidiary, Camp John Hay Hotel Corporation (CJH Hotels).

The 22-page complaint stated that the CJHDevCo directors and officers, even after the lawful demand of the BCDA, refused to return the public properties to the government. These properties are 16 units of the CJH Manor Hotel and 10 units of the CJH Suites Hotel which have a total value of P121 Million. The hotel units were payments in kind or dacion en pago made to BCDA in 2008, as partial settlement of CJHDevCo’s unpaid rental obligations.

The complaint further stated that CJHDevCo continues to earn from these units but refused to provide the liquidation of public funds—revenues that it earned from the use and lease of the 26 units which should go to the public coffers.

The DOJ approved the filing of two counts of malversation of funds, stating that “In the instant case, respondents' delayed remittance of the rental income of BCDA despite repeated demands did not extinguish their criminal liability for malversation of public funds. Again, it should be noted that the respondents did not provide any sufficient explanation for the said remittance. Thus, they are presumed to have malversed the rents due to BCDA for the period mentioned above under leaseback agreement."
CJHDevCo officials Ferdinand Santos, Alfredo Yñiguez and Emily Roces-Falco were also charged.
Sobrepeña was asked by immigration officers to disembark from a plane prior to take-off, following an attempt to leave the country only one day after he was charged . The plane was bound for the United States. CCTV footage from the Ninoy Aquino International Airport (NAIA) showed Sobrepeña, a Filipino-American, being held up at Immigration as officials checked documents. He was allowed past Immigration, but was later shown by security cameras returning to Immigration and exiting the premises after he was evicted from the airplane.

“Sobrepeña’s attempted departure, not to mention all the records of CJHDevCo’s ballooning debt to the BCDA, is a clear indication of guilt. He cannot hide from the law any longer,” remarked Casanova.

BCDA Pres. Arnel Casanova on GNN's Philippines UnCut (Pt. 6)

BCDA Pres. Arnel Casanova on GNN's Philippines UnCut (Pt. 5)

BCDA Pres. Arnel Casanova on GNN's Philippines UnCut (Pt. 4)

BCDA Pres. Arnel Casanova on GNN's Philippines UnCut (Pt. 3)

BCDA Pres. Arnel Casanova on GNN's Philippines UnCut (Pt. 2)

BCDA Pres. Arnel Casanova on GNN's Philippines UnCut (Pt. 1)

BCDA plans $5-B ‘Green City’

The following story comes from the Philippine Star:

MANILA, Philippines - The Bases Conversion and Development Authority (BCDA) is preparing to launch before the year ends a $5-billion development project that will transform a sizeable chunk of the Clark reservation into a fully automated, state-of-the-art metropolis to be known as “Green City”.
It will have all the amenities of a modern city where all services are fully automated, said BCDA president and CEO Arnel Paciano Casanova.

The entire area will cover 35,000 hectares which is a little more than half of Metro Manila’s 63,000 hectares. Within the area is an urban core that will occupy around 8,800 hectares, Casanova said.
He said the planned development will consist of five nodes: government center, central business district, academic center, agro-industrial area and eco-tourism and wellness area.

The proposed government center is a one-stop-shop that will have access to all records so that any and all transactions with the government can be processed under one roof using an integrated system.
This will mean substantial savings in both time and money for citizens who are applying for a passport or even just a birth certificate, Casanova said.

BCDA Pres. Casanova interviewed by Karen Davila on ANC's Headstart

On June 12, 2013, BCDA President and CEO Arnel Paciano D. Casanova was interviewed by ANC's Karen Davila on her morning program, Headstart, to talk about the SM Aura issue. The first part of the interview may be viewed here:

BCDA among GOCCs' "Billionaire' Club"

The state-owned Bases Conversion and Development Authority (BCDA) belongs to the so-called “Billionaires’ Club” or the top eight Government-Owned and -Controlled Corporations (GOCCs)  that remitted dividends of  P1-B or more to the National Treasury during the recently held GOCCs Dividends Day in Malacanang  (June 3, 2013).

BCDA President and CEO Arnel Paciano D. Casanova said the BCDA remitted a total of P2.309 billion to the National Government for the period January  to December 2012. The amount represents the National Government’s (NG) dividends share and the share of government beneficiary agencies from BCDA’s asset disposition proceeds.

The turnover  rites was witnessed by no less than President Benigno S. Aquino III.  The BCDA ranked fourth  among the GOCCs based on the amount  remitted.

The Philippine Amusement and Gaming Corp. (PAGCOR) remitted P7.182-B, the Land Bank of the Philippines (LBP) remitted P6.241-B, while  the Development Bank of the Philippines remitted P3.166-B.  A total of 38 GOCCs remitted P28-B in dividends to the National Treasury.

BCDA President and CEO Arnel Paciano D. Casanova said the P2.3-B generated was achieved by “delivering our commitments to our  partners which resulted to collection efficiency, better cash flow management and reduction of receivables.”

He said the P2.3 billion remitted to the national government would benefit government’s anti-poverty programs and government services, and the modernization of the Armed Forces of the Philippines (AFP).

“The revenues generated will go a long way to ensure that there is inclusive growth and development for all. It will also contribute in modernizing our armed forces by acquiring the much needed hardware and equipment to defend our land and address both internal and external threats,” Casanova said.

He added that the revenues generated for the AFP Modernization Program would also beef up the search and rescue  capabilities of the AFP to help our countrymen during natural disasters and calamities.

Casanova  said  of  the  P2.3 billion, P549 million represented dividends to the  NG.  Pursuant to Section 3 of the Republic Act No. 7656, all Government Owned and Controlled Corporations (GOCCs) are required to declare and remit at least 50 percent of their annual net earnings as cash, stock or property dividends to the national government.

Casanova said the remaining P1.76 billion was the share of several government beneficiaries from  the proceeds generated from existing joint venture and lease agreements and assets disposed in 2012.

Pursuant to RA 7917 and EO 309, proceeds from disposition of former military camp Fort Bonifacio, now developed into Bonifacio Global City, and the former Villamor Air Base, now Newport City,  are to be shared with BCDA and  named beneficiaries.

Under Administrative Order 236, certain government beneficiary agencies are entitled to the disposition proceeds.  Getting the lion’s share is the Armed Forces of the Philippines (AFP) at P1.691 billion.

The share of the other government beneficiary agencies amounted to P63.22 million. The remaining P5.467 million  were the shares of the Local Government Units (LGUs) of Taguig, Pateros and Makati.

Casanova pointed out that after BCDA remits the money to the National Treasury, the utilization and distribution of the remittances become the responsibilities of the Department of Budget and Management in accordance with the approved fiscal program of the government and the budget guidelines.

BCDA remits P2.3-B to National Government

President Benigno S. Aquino III shakes the hand of Bases Conversion and Development Authority (BCDA) President and CEO Arnel Paciano D. Casanova  during the  Government-Owned and -Controlled Corporations (GOCCs)  Dividends Day in Malacanang where the BCDA turned over  a total of P2.309 billion to the National Government.  The BCDA belongs to the so-called “Billionaires’ Club” or the top eight Government-Owned and -Controlled Corporations (GOCCs)  that remitted dividends of  P1-B or more. The BCDA ranked fourth  among the GOCCs.  Looking on are (from left) Finance Secretary Cesar Purisima  and  Senator Franklin Drilon.

SM Aura road excavation is a safety risk

Despite the denial of the BCDA on SM Prime Holdings Inc.’s request to excavate BCDA-owned land beside SM Aura, SM Prime Holdings forcibly destroyed the fence along McKinley Parkway Drive and unlawfully entered BCDA property.

The excavation of the road also endangered the lives of the residents below the construction area due to the absence of a proper retaining wall. Up to now, SM has failed to address the legitimate safety issues concerning the residents living beside their mall:

Given this and other glaring facts, can SM really claim that they are innocent in this issue?

PDI publishes BCDA's letter to the editor

The Philippine Daily Inquirer has published the BCDA's response to Conrado Banal's May 27 column. The full text of the published letter can be found below:

This refers to Conrado Banal’s May 27 column, titled “Martial ruler,” which discussed the ongoing issue between the Bases Conversion and Development Authority (BCDA) and SM over the latter’s SM Aura mall. Banal’s vigorous views, not to mention his colorful language, clearly show that he has strong feelings on the matter.

First of all, we wish to emphasize that despite BCDA’s denial of SM’s request to excavate BCDA-owned land beside SM Aura, SM destroyed the fence along McKinley Parkway Drive and unlawfully entered BCDA property. The excavation also endangered the lives of residents below the construction area due to the absence of a proper retaining wall, which SM has yet to install.

And contrary to claims that we harassed SM personnel, our staff arrived at SM Aura on May 6, 2013, unarmed. The fact is our staff was surrounded by SM personnel and Taguig police officers and, therefore, could not possibly commit harassment. Security personnel of the Bonifacio Global City (BGC), who were at the site, will attest to this.

BCDA answers the SM Aura question, "Why only now?"

With regards to the SM Aura issue, one of the burning questions being asked of BCDA by pro-SM pundits as well as concerned netizens is, "Why only now?" They are under the impression that the BCDA, for some reason, waited until SM's brand new luxury mall was ready to launch before publicly complaining that the development was illegal.

But the BCDA would like to point out that as early as 2009, the Bonifacio Estate Services Corporation (BESC), which is in charge of BGC’s upkeep, rejected SM Prime Holdings Inc.’s Outline Application for the proposed Community and Retail Complex  on the grounds that: (i) "The proposed land uses are inconsistent with  Section 8(d) of Republic Act No. 7227, as amended, since the same is limited to “national government and local government centers, sports facilities and parks.”

But while a BESC permit is necessary to engage in construction activities in BGC, SM was able to commence building by getting a permit from Taguig City Hall. SM even avoided declaring the official purpose of the development, and this loophole allowed them to continue with the building.

BCDA President and CEO Arnel Paciano D. Casanova also points out that “Many people were kept in the dark on what that huge structure being built along C5 was. There were no signages, no advertisements, nothing. The structure was virtually completed when SM officially announced that it was a mall. It is a building that was completely done in bad faith,” Casanova noted.

SM keeps on insisting that it is an innocent 3rd party in this issue, but the BESC has jurisdiction over the construction projects inside BGC, and has authority to approve or deny project applications. SM knew this full well—otherwise, why would they even apply for a permit from BESC in the first place?

SM knew that Aura should not have been built—but they built it anyway.

What's REALLY happening in BGC

On May 14, 2013, a malicious video was posted on YouTube claiming that BCDA "harassed" SM staff with "armed guards" and "forced" the blockage of the road leading to SM Aura. The following video shows what really happened:

The BCDA is firm in its stand that the law is on its side-- and that the truth will prevail.