A controversy has erupted over whether the Provincial Government of Bohol (PGBh) paid for its 30% stake in the Bohol Light Company Inc. (BLCI), with conflicting claims from former Bohol Gov. Rene Relampagos and gubernatorial aspirant Atty. Dan Neri Lim, former mayor of Tagbilaran City.
Relampagos, who served as governor in 2000, claimed that the PGBh did not pay for its stake in BLCI, as it was part of a package offered by the Salcon Group, the joint venture agreement (JVA) partner when the Provincial Public Utilities Department (PPUD) was privatized.
However, Lim and lawyer Kurt Bongabong countered that records and documents in their possession show that the PGBh released P22.5 million pesos to Salcon in 2001, during the term of late Gov. Erico Boyles Aumentado.
The amount corresponds to the value of the 30% stake in BLCI.
Bongabong said he saw a voucher showing the payment, which raises questions about Relampagos’ claim that the PGBh did not pay for its stake.
Lim is seeking to investigate the issue further, questioning where the P22.5 million pesos went and whether it was used as payment for the BLCI stake.
He also wants to know why the payment was made, considering the sale of the Provincial Public Utilities Department took place in 2000, a year before the late Erico Aumentado took office.
The controversy has sparked a review of the Salcon transaction with the BLCI franchise, which is up for renewal in 2025.
The Office of Government Accountability and Review (OGAR) has been informed about the review, which may involve the name of incumbent Gov. Aris Aumentado’s father.
Lim and Bongabong are also questioning the sale of Salcon’s stake in BLCI to the Razon group, arguing that the PGBh should have issued a prior written agreement before the sale.
They claim that the joint venture agreement between Salcon and the PGBh remains in effect, despite Salcon selling its interest to the Razon group.
The Provincial Legal Office (PLO) has stated that an approval on the sale was made when the Sangguniang Panlalawigan declined Salcon’s offer to buy its BLCI stake.
However, Lim argues that the refusal to buy is not tantamount to fulfilling the requirements of Section 13 of the joint venture agreement.
Lim has filed a case about the alleged non-compliance of Section 13 in respect to the sale of Salcon’s BLCI shares.
He believes that the PGBh could have earned from the sale of the stake if it had been handled properly.
Former Gov. Relampagos has also weighed in on the issue, insisting that the joint venture agreement between Salcon and the provincial government should have been terminated due to the lack of a prior written agreement to sell the majority shares in BLCI.
Relampagos claims that the provincial government could have reacquired the entire ownership of BLCI and looked for other partners.
Relampagos also questioned the leadership and the Sangguniang Panlalawigan for allegedly missing out on the potential of getting a better deal for Tagbilaran consumers.
He pointed to the possibility of negligence and the need for due diligence on BLCI sale.