House joint committee to probe into TADECO-BuCor land deal

A joint committee inquiry at the House of Representatives will look into the contract between the Bureau of Corrections (BuCor) and the Tagum Agricultural Development Company Inc. (TADECO), a supposedly anomalous deal that came into light amid a rift between two political allies of President Rodrigo Duterte.

The House committee on Justice and the panel on Good Governance and Public Accountability will start a hearing on the matter Tuesday morning.

The inquiry was sought by House Speaker Pantaleon Alvarez, who recently figured in a well publicized falling-out with Davao del Norte Rep. Antonio “Tonyboy” Floreindo Jr., the biggest donor to Duterte’s presidential campaign kitty, whose family owns TADECO.

In a resolution, Alvarez questioned the joint venture between BuCor and TADECO, one of the biggest banana plantations in the world, saying it was “grossly disadvantageous” to the government.

He also raised concerns about the alleged “ill” treatment of TADECO’s plantation workers.

First signed in July 1969, the joint venture allowed TADECO to lease from BuCor 5,212.46 hectares of land inside the Davao Penal Colony for a banana plantation.

Alvarez questioned why the lease period was extended to 25 years, with amendments introduced to the agreement “to escalate rates in land rentals, royalties and profit shares.”

The joint venture was renewed in May 2003, stating that BuCor “shall receive a guaranteed annual production share” of P26,541,809, with an automatic increase every five years.

“While this agreement, at first glance, may appear beneficial, an examination of the surrounding circumstances, as well as the prevailing industry practices would show otherwise,” Alvarez said.

He noted that under the agreement the government “is prejudiced, at the very least, by as much as P106,167,191” and gets a very small share from banana exports.

Alvarez vs. Floirendo

Alvarez also filed a graft complaint against Floirendo, alleging that the latter had “financial and pecuniary interest” because of his links to TADECO and the Anflo Management and Investment Corporation (ANFLOCOR).
Both lawmakers represent the province of Davao del Norte, and were known to be friends.

The rift supposedly stemmed from two issues, including speculations that Floirendo was leading a plot to unseat Alvarez and clear the speakership for ex-President and now Pampanga Rep. Gloria Macapagal Arroyo.

Floirendo has denied such allegations, saying he considers Alvarez a friend. Arroyo, meanwhile, said she was “not interested” in the speakership.

Alvarez said he was ready to lose the top post “anytime” and denied that the rumored plot led him to file the complaints.

Also, the falling-out was supposedly triggered by a fight between Floirendo’s partner and Alvarez’ girlfriend who confirmed the quarrel.

The issue has led Alvarez to admit that he has had children and relationships with other women. — VDS, GMA News