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Thursday, April 25, 2024

Trial court greenlights Samar’s P800-m bank loan

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A local court has lifted the restraining order it had earlier issued on an ordinance of the provincial government of Samar authorizing it to obtain a loan of P800 million from the Development Bank of the Philippines. 

Branch 29 of the Regional Trial Court has lifted the 20-day TRO it had granted to provincial board member Alma Uy and dismissed all other petitions pertaining to the case. 

The court’s decision was based on the “insufficiency of factual and legal basis of the cause of action on record, and failure to show by clear and convincing evidence that there were irregularities in the passage of the resolutions adverted to and the borrowing ordinance oft-mentioned, so as to overcome the presumption of regularity.”

The judge likewise took note in his penned decision that the Province of Samar is capable of paying the loan to be contracted not only because of its Internal Revenue Allotment allocation but will only expend the 20 percent of its development fund to pay for the installments.

“All the infrastructure programs were included and consistent with the Annual Investment Plan of the province, elsewhere stated, the budget for other social services will not be affected” as told further by the court decision.

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Moreover, Judge Avila cited that the economic benefit that the infrastructure projects would provide for the province is a policy decision that cannot be estimated by the most accurate feasibility studies.

“Similarly, situated are the constructions of school buildings, bridges, health canters, wharves and the like, no matter how feasible they are, same are still subject to destruction from typhoon, fire, earthquake, landslides and similar calamities are all speculative” Judge Avila said in his decision.

Uy said through a social media post that the decision was premature, and done with indecent and suspicious haste.

“The hearing for the main case is set on January 6, 2016, and there was no presentation of evidence yet, and here comes a dismissal order?” she said. 

She added that she would appeal the decision and ask for the inhibition of Avila. 

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