The Negros Property Management and Development Corp. is demanding P57 million for it to walk away from its joint venture agreement (JVA) with the Negros Occidental provincial government, Provincial Administrator Rayfrando Diaz said today, February 4.
Negros Occidental Gov. Eugenio Jose Lacson late last year issued a notice to terminate the JVA that allowed the firm to manage Negros First CyberCentre in Bacolod City.
Diaz said they are asking the NPMDC to put its demand for P57 million in writing so the provincial government can turn it down in writing.
The NPMDC has been the one that has been making money from the joint venture in the past three years, the demand of its officials for P57 million is unreasonable and unacceptable, and he hopes they reconsider, Diaz said.
Lacson, in his letter to Salvador Enriquez Jr., chairman of the NPMDC, said the JVA is being terminated for being grossly disadvantageous to the economic interests of the provincial government.
The governor said it has been more than four years since the JVA was executed between the provincial government and NPMDC for the latter to maintain the Negros First CyberCentre, create a viable environment for all tenants, and promote economic activity through potential investors.
However, the equity participation of the provincial government is not commensurate with the capitalization it infused considering that the provincial government owns the Negros First CyberCentre and the four-hectare property where it is located, Lacson said.*