Foundation hit by housing loan complaints from urban poor beneficiaries
A nongovernment organization (NGO) that filed a civil suit against Cebu City Mayor Michael Rama and three other officials will soon be on the receiving end of criminal and administrative charges.
The Division for the Welfare of the Urban Poor (DWUP) yesterday said it will file these charges against the foundation headed by former city administrator Francisco Fernandez, who said the charges smack of political retaliation and harassment.
DWUP chief Collin Rosell said their inquiry drew complaints from beneficiaries that the foundation required them to secure a housing loan from their office before they can own the Cebu City government bought lots in barangay Canduman, Mandaue City.
He said they were also told to pay their mortgage even if the foundation had yet to secure permits in the city-owned lots.
Rosell said they are verifying complaints by the residents of Naba, barangay Mambaling, that their houses built by Pagtambayayong in the site had structural problems.
“Definitely we are going to file criminal and administrative cases against Pagtambayayong, because it is very clear that there is something wrong,” Rosell told Cebu Daily News.
Rosell said he already consulted with City Legal Officer Joseph Bernaldez on this.
He said Mayor Michael Rama told him not to focus on the Pagtambayayong case too much but focus instead on improving Cebu City’s housing programs.
Reprisal
But the mayor said charges should be filed if there is probable reason to do so, Rosell said.
The mayor is scheduled to return to Cebu City from Israel where he attended an international mayors conference.
“Requiring them to avail of the lots before residents can avail of the city-owned lots is pure oppression of the poor,” Rosell said.
Last month, the Kamagayan Neighborhood and Homeowners Association Inc. (KNHAI) sent a complaint letter to Cebu City Hall claiming that Pagtambayayong allegedly collected a monthly fee of their housing materials and their mortgage.
The residents provided the city government receipts from Pagtambayayong’s collection worth P2 million.
Rosell said the amount may be bigger since there are residents who lost their receipts.
Fernandez said the cases are in retaliation for the civil case the foundation filed on behalf of the displaced settlers, who lost their homes in clearing operations done by City Hall in Mahiga Creek.
The foundation said the mayor failed to provide a suitable relocation site and financial aid to the settlers.
Snubbed
Fernandez said his office tried to have a dialogue with KNHAI members but the group snubbed their meeting last month.
“We are willing to meet the group but they’re not showing up,” he said.
In an earlier interview, Fernandez said they are only collecting the housing loan payments from the beneficiaries.
He also denied that they forced the members to avail of the housing loan before becoming a beneficiary.
“Our conscience is clear. I don’t have a problem if they make it personal. We’re being charged because we are helping the poor,” Fernandez said.
He said this isn’t the first time the foundation faced a suit and he’s confident they will be cleared.
Fernandez said it was Rama, then vice mayor, who asked Pagtambayayong to build houses for the members who were fire victims.
‘Not one peso’
He said they built a fire wall in the area and constructed 200 houses for the fire victims for free.
“We didn’t receive a peso from the Naba residents,” Fernandez said.
He admitted that the foundation didn’t apply for permits for the city-owned lots because it is an additional cost to the beneficiaries.
“We have to pay P5,000 for each of the permits. It would be a big help to residents if they were spared from such cost,” the foundation head said.
During his sting as city administrator, Fernandez was the chairman of Pagtambayayong’s board of directors.
On leaving City Hall, Fernandez became the organization’s president.
Pagtambayayong was established on 1983 to help urban poor families build houses and acquire lots of their own.
