Mark Lapid told to explain sale of Paskuhan Village

The House committee on good governance and public accountability has summoned former Pampanga Gov. Mark Lapid to explain the 2016 sale of the 10-hectare Paskuhan Village during his term as general manager of the Tourism Infrastructure and Enterprise Zone Authority (Tieza).

The committee on Tuesday ordered the transmittal of a subpoena in light of a Commission on Audit (COA) recommendation that the Paskuhan Village be rehabilitated and then leased or turned over to the Pampanga capital, City of San Fernando.

The committee, chaired by Surigao del Sur Rep. Johnny Ty Pimentel, ordered Lapid to attend the next hearing, after he missed three previous hearings, including the session on May 23.

Lapid, who served as Pampanga governor from 2004 to 2007, did not respond to the Inquirer’s request for a statement.

The investigation of the sale was initiated by Pampanga Rep. Aurelio Gonzales through House Resolution No. 654.
Gonzales said he wanted to recover Paskuhan, arguing that it was part of the cultural heritage of the province known for producing giant lanterns.

During Tuesday’s hearing, COA supervising auditor, Teresita Guevarra, confirmed that her agency had urged Tieza to rehabilitate Paskuhan and put it under a long-term lease or devolve its operation to the local government.

Selling the two lots of Paskuhan was against COA’s advice, Guevarra said. The lots used to be owned by the late businessman Jesus Lazatin, who agreed to sell them for cultural purposes.

Last year, Tieza sold the lots to Premiere Central, part of a shopping mall conglomerate.

Pocholo Paragas, Lapid’s replacement as Tieza general manager and chief operating officer, intended to seek an opinion of the Department of Justice (DOJ) regarding the sale.

But he withdrew the agency’s request after Cebu Rep. Gwendolyn Garcia pointed out that the local government had the right of first refusal regarding tourism properties as prescribed by Republic Act No. 9593 or the Tourism Act of 2009. That detail was not included in Paragas’ letter to the DOJ.

Garcia also said Tieza has the mandate to operate and maintain its properties with cultural heritage value.

City of San Fernando Mayor Edwin Santiago said Tieza did not inform the city about the planned sale.

Former Mayor Oscar Rodriguez had asked then Tourism Secretary Ace Durano to allow the city government to run Paskuhan as an economic enterprise.

Santiago and Pampanga Gov. Lilia Pineda recently filed affidavits of adverse claims over the Paskuhan lots.

Gonzales asked the new Tieza officials to nullify the contract of sale on account of the supposed violations of COA recommendations and the adverse claims.

COA Chair Michael Aguinaldo said Guevarra should be able to complete an audit observation memorandum over the Paskuhan Village on June 30.

But the committee will still ask the DOJ for a legal opinion on the issues surrounding the Paskuhan sale, according to Sagip party-list Rep. Rodante Marcoleta.