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Hold off on Japan deals, Palace urged.

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| March 01, 2004 | COPYRIGHT 2004 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

(From Philippine Daily Inquirer)

Byline: Jerome Aning

THE DEPARTMENT of Foreign Affairs has urged Malacanang to defer the awarding of 50-year lease contracts to two Japanese firms which had won the bidding to develop real estate belonging to the Philippine government in Tokyo and Kobe, Japan.

Foreign affairs undersecretary for administration Franklin Ebdalin said the DFA "took cognizance" of the criticism of several senators who had called the bid awards a midnight deal and a virtual sale of the national patrimony.

"We have recommended to the Office of the President that the awarding of the contracts be deferred because we don't like the award to be perceived, especially during this election season, as a midnight deal. We can continue (the project) after elections," Ebdalin told reporters.

The DFA is a member of an inter-agency committee chaired by the finance department that awarded Japanese firms Urban Corp. and Berg Corp. P948 million worth of contracts to develop the Philippines' Nampedai property in Tokyo and two lots in Kobe under a build-lease-transfer (B-L-T) scheme.

Ebdalin said the Nampedai property, which used to house the Philippine ambassador's residence, had deteriorated and become an eyesore. The Kobe lots were turned into parking lots after the Philippine ...

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