The Cebu City government can save over P2 million if it decides to settle with the owner of a private lot which the city government expropriated in 2001.

The heirs of Matilde Palicte filed with the Regional Trial Court (RTC) a motion to allow the city government to pay only P12 of the P14.6 million that they originally demanded through the court.

The Palictes, however, requested the city government to pay the P12 million on or before Dec. 15, 2009.

Sheriff Antonio Bellones of RTC?s Branch 9 in Cebu City told Cebu Daily News that Palicte?s heirs need the money ?for a cause.?

The family did not specify their exact need for the money.

Last August, Bellones sent a final demand letter to City Hall, asking the city government to pay its full dues to the Palictes.

Bellones, however, decided to cancel the deadline he gave to the city.

In 2008, the court ordered the Cebu City government to pay the family P20,307,542.80 for the lot that the city expropriated in 2001 for a socialized housing project.

The city paid the principal amount but has yet to settle the the interest.

Lot 1049 was expropriated for the benefit of the sitio Ipil-Ipil Homeowners Association Inc.

The city government paid over over P8 million to Palicte as soon as the 5,285-square-meter-lot was expropriated.

Only P14 million is left unsettled by the city for the lot in barangay Capitol Site, Cebu City.