Vol. XXII, No. 158-A [ BusinessWorld Online ]
Saturday, March 14, 2009 | MANILA, PHILIPPINES
THE CALOOCAN city government yesterday took over the management of the Ever Gotesco Grand Central Mall in that city, despite the resistance of the mall’s administration. Caloocan city mayor Enrico "Recom" R. Echiverri said yesterday that the mall’s operations will now be under the control of the city government.
"Tenants and stall owners need not worry as their operations will continue as long as they coordinate with the city government," he said in a telephone interview.
Earlier this month, the Caloocan Regional Trial Court Branch 126 issued an order to take over the mall due to the failure of its owners to pay real property taxes to the city government since 1986. The amount, after 23 years of nonpayment, comes up to P722.3 million.
The lawyer of the mall’s administration, Teresita Marbidi, had said earlier that the order was not valid as a Manila court had issued an injunction last December, which means that the management of the mall must remain with the owners, Gotesco Investments Inc., as long as the case is pending in Manila.
Mr. Echiverri said that the city government has the right to take over the establishment as the mall’s owners have failed to pay the taxes due.
Gotesco Investments and Ms. Marbidi could not be reached as of press time yesterday. — Louella D. Desiderio
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