Megaworld exec: Price of Corona's condo unit lowered due to damage

(Updated 5:12 p.m.) A marketing executive from Megaworld Corporation on Tuesday said the firm lowered the price of the condominium unit it sold to Chief Justice Renato Corona in 2008 due to the damage caused to it by a typhoon.   Noli Hernandez said Megaworld, on its own, decided to reduce the price of a penthouse unit at the Bellagio Tower I, originally priced at P24 million, by P5 million because of some damage and leakages the structure sustained following a typhoon.   “We decided that it will cost us more if we will repair. It made more sense to us to give a steep discount,” he said during the continuation of Corona’s impeachment trial on Tuesday. Hernandez reiterated what Giovanni Ng, Megaworld’s finance director, said during Monday’s hearing — that Corona was given a discount because of the unit’s “technical and finishing issues.” Paid almost in cash   Hernandez said the company also further slashed the condominium unit’s price by P3 million because Corona paid “almost in cash” and on a “shorter term.”   “We have added discounts to contract price. The client paid us in less than a year,” he added.   The prosecution on Monday cast doubts on the P10-million discount Corona secured during the purchase of the condominium unit, saying it might have affected the chief magistrate’s independence in cases involving the firm.  First-come, first-served   During the cross-examination by lead defense counsel Serafin Cuevas, Hernandez also said that Megaworld could have given the same price reduction to any customer.   “Honestly, at that time, we did not know it was Chief Justice Corona [who bought the property],” he said.   Later in the trial, he further said that Corona’s wife, Cristina, managed to purchase the condominium unit among all other customers interested in the property because she was the one who first inquired about the penthouse.   “We usually sell on a first-come, first-served basis. Nagkataon po na siya [Mrs. Corona] ang mas in-entertain namin dito,” he said.   What’s the connection?   After the direct and cross examinations on Hernandez, some senators questioned the relevance of the 40-percent price reduction secured by Corona for the purchase of the condominium unit to Article II of the impeachment complaint.   Sen. Ferdinand Marcos Jr. raised a point of order to clarify the connection of Hernandez’s testimony to Article II, which alleges Corona of nondisclosure of some properties in his Statements of Assets, Liabilities and Net Worth (SALNs).   “I am perplexed as to why we are listening to this testimony. As far as I understand, we are tackling about Article II. I cannot make the connection between this testimony and how this will affect how we will decide on this article,” he said.   Sen. Pia Cayetano also stood up and questioned the materiality of the marketing director’s testimony to Article II of the impeachment complaint.   Senate President Juan Ponce Enrile, who was presiding over the trial, said he only allowed the prosecution to present Hernandez as witness “out of liberality.”   Cavite Rep. Elpidio Barzaga Jr., one of the public prosecutors, meanwhile explained that Hernandez’s testimony is still relevant to Article II, since the witness still deals with the valuation of the property.   “Ang selling price P14.5 million. Iyon ang sinasabi ng testigo. Dapat ang value ng property na inilagay sa SALN ay P14.5 million, plus P5 million na gagamitin sa pagpapaaayos ng penthouse,” he said.   In his 2010 SALN, Corona said the current fair market value of the Bellagio condominium unit was P6.8 million. He did not declare its acquisition cost, particularly the price of the building and the amount needed for its improvements.   Proof of damage   Sen. Sergio Osmeña III, meanwhile, asked Hernandez to produce proof of the damage obtained by Corona’s condominium unit during the typhoon.   He particularly asked a price list of all condominium units at the Bellagio Tower I, and photos of the damaged portions of the penthouse. He also asked Hernandez to verify if Megaworld filed complaints against the firm who constructed the damaged condominium unit.   Sen. Francis Pangilinan, for his part, told the marketing executive to voluntarily submit to the Senate the building engineer’s report on the damage to sustained by the penthouse during the typhoon.  - KBK, GMA News