Boy Scouts land deal controversy draws focus on Binay, Oreta ties

The ongoing Senate Blue Ribbon subcommittee investigation into the joint venture agreement between the Boy Scouts of the Philippines and Alphaland has triggered closer scrutiny not just of the transaction itself, but of the relationships of the main players of the deal as well.

 

Ernesto Mercado, former vice mayor of Makati and former senior vice president of the BSP, claimed that while he negotiated and closed the deal with Alphaland president Mario Oreta, it was Vice President Jejomar Binay, president of the Boy Scouts, who called the shots. 

 

“Ako na ang bahala diyan, basta kung ano ang gusto nina Attorney Oreta, iyan ang dapat mangyari dyan.” This was Binay’s marching orders to him, Mercado said in his testimony at the Senate.

 

Looking into the history between Oreta and Binay, GMA News Research found that the two have a long established personal and business relationship.

 

They even had their own business transactions aside from the BSP deal.

 

Family friend

 

When Mario and his wife Ma. Luz celebrated their 40th anniversary on Balesin Island in 2013, the couple sponsored a mass wedding for local couples. The vice president was principal wedding sponsor.

 

Tessa Prieto-Valdes, a guest at the event and writing for the Philippine Daily Inquirer, said the vice president came with his wife, former Makati Mayor Elenita Binay, and their children Makati Mayor Jejomar Erwin "Junjun" Binay and Senator Nancy Binay.

 

The Binay family was also among the special guests at the 100th birthday celebration of Mario Oreta’s mother, Marcelina “Nena” Alejo Oreta, that same year. The Philippine Star reported that Vice President Binay was there with his wife and son Junjun.

 

“He's a family friend, we can’t deny that,” Senator Binay said in an interview with GMA News’ Ruth Cabal.

 

“Nakakalungkot dito sa binabatong isyu sa amin, parang napakalaking kasalanan pag kaibigan namin,” she said. “Doon ako pinaka-nahihiya kasi just because kaibigan namin sila, kung anu-ano na binabato sa kanilang putik.”

 

In 2013, Mario Oreta contributed P2 million to her campaign.

 

Reacting to the Senate investigation on the BSP deal with Oreta’s Alphaland, the senator said, “It’s a known [corporation] di ba? Pero pilit nilang ginagawan ng isyu kasi nga its all about 2016. I guess this is their sublte way of saying, 'stay away from us (the Binays)'. Yung mga puwedeng tumulong sa'min, sumuporta sa'min magingat-ingat kayo kasi puwede namin kayo kasuhan, or puwede kami magimbento na ganito.”

 

GMA News has requested an interview with Atty. Oreta but has yet to receive a reply as of this post.

 

Ribbon cutting, foundations, donations

 

The relationship goes beyond birthdays and weddings. The Oretas and the Binays clearly support each other’s endeavours, be it business or advocacies.

 

In 2011, Vice President Binay led the ribbon-cutting ceremony at the opening of a new subdivision developed by Major Homes in Mabalacat, Pampanga. Mario was chairman and director of Major Homes up to September 2014.

 

Present at the inauguration were Mario and his son, Major Homes president Jose Francisco.

 

The event was covered and reported by Punto! Central Luzon.

 

If the vice president has given support to Oreta’s business, Alphaland, where Oreta is president, the businessman has likewise thrown his support behind two Binay foundations.

 

As posted on the Makati City website, proceeds from a fun run organized by Alphaland went to Serbisyong Tunay Foundation (STF).

 

Three of the five incorporators of STF are Binay siblings Senator Nancy, Mayor Junjun and Marita Angeline.

 

Its incorporation papers state that STF was established “to promote, enhance and foster the development of the quality of life of the residents of Makati.”

 

Alphaland also was a donor to the JCBinay Foundation Inc., a non-government organization founded by the vice president. In 2010, Alphaland donated P500,000 to the charity.

 

Vice President Binay’s daughters Makati Representative Mar-len Abigail Binay and Senator Binay, and Gerardo ‘Gerry’ Limlingan sit on the board of the foundation.

 

Mercado has alleged that Gerry was the “bagman” who received cash representing supposed kickbacks to Vice President Binay when he was still mayor of Makati.

 

Builder and buyer

 

Oreta and the vice president apparently had their own business transaction, separate from that between BSP and Alphaland.

 

Last year, the vice president’s legal counsel Martin Subido explained that Binay's Tagaytay property was sold to Constant Builders in 2012.

 

Based on the last information filed with the Securities and Exchange Commission in 2010, Mario Oreta is the chairman of Constant Builders and Development Corporation. His wife Ma. Luz is a director. Their son Jose Francisco is president of the company and daughter Maureen is treasurer.

 

The Tagaytay property became controversial when Mercado revealed before the Senate Blue Ribbon subcommittee a so-called Binay “Tagaytay Mansion” that was not declared in the vice president's Statement of Assets Liabilities and Net Worth (SALN.)

 

Constant Builders' papers also list Ireneo Sioson as director and Jay Sangalang as corporate secretary.

 

Both are also officers of Noble Care Management Corporation based on the information sheet the company submitted to the SEC in 2013. Sioson is the acting corporate secretary, treasurer and director while Sangalang is a director at Noble Care. Oreta also said in his testimony at the Senate that he is part owner of Noble Care.

 

At a Senate hearing last month, Mercado alleged that Oreta had used Noble Care to hide Binay's supposed five-percent kickback from the BSP-Alphaland deal.

 

Oreta denied this, maintaining that the five percent that went to Noble Care was an incentive given to him for agreeing to work for Alphaland.

 

Regina Capital Development Corp

 

The list of stockholders of Alphaland Corporation as of December 2014 is composed of private individuals, corporations, and stockbrokers.

 

Among the stockbrokers in the list is Regina Capital Development Corp. Regina Capital’s chairman, Victor Limlingan, contributed at least P4 million to the Binays' election campaigns.

 

Based on Statements of Campaign Contributions and Expenditures (SOCE), he gave P3 million to the vice president’s campaign in 2010, and P1 million to Senator Binay’s campaign in 2013.

 

Last year, Vice President Binay rang the trading bell at the Philippine Stocks Exchange during the unveiling of Regina Capital Development Corp's new online facility.

 

Gerry Limlingan is one of the incorporators of his brother Victor's Regina Capital. GMA News has been trying to reach Victor Limlingan for comment. — with reports from Ruth Cabal, GMA News and Agatha Nell Guidaben and Mary Anne Señir, GMA News Research