Vol. XXII, No. 164 [ BusinessWorld Online ]
Monday, March 23, 2009 | MANILA, PHILIPPINES
TALKS BETWEEN the city government of Caloocan and Gotesco Investments, Inc. are ongoing to resolve the issue of the latter’s alleegd non-payment of real property taxes for the Ever Gotesco Grand Central mall.
"The mayor asked for a ’ceasefire’ last week. We are exploring the possibilities of the amicable settlement of [our] differences," said Teresita C. Marbidi, lawyer of Ever Gotesco Investments, in a telephone interview during the weekend.
Caloocan city mayor Enrico R. Echiverri could not be reached for comment.
The Caloocan trial court had issued an order for the turnover of the management of Ever Gotesco Grand Central mall to the city government, with the supposed failure of owner Gotesco Investments Inc. to settle real property taxes for 23 years worth P722.3 million.
Gotesco Investments said however that the city government cannot take over the mall because of an injunction issued by a Manila court last year. It also argues that taxes should only be computed beginning last year, when it bought the land from the city government.
But Caloocan officials have pointed out that taxes on the building and equipment also have to be paid.
The mall operator was given by the Caloocan court sheriff until March 12 to vacate the establishment, but the owner and its tenants refused to leave.
Ms. Marbidi noted that order issued by the Caloocan trial court is now with the Court of Appeals. — L.D. Desiderio
____________________________________________________________________________________
