[G. L. No . 122156. В В February 3, 1997]
MANILA PRINCE HOTEL, В petitioner, В vs. FEDERAL GOVERNMENT SERVICE INSURANCE SYSTEM, MANILA HOTEL ORGANIZATION, COMMITTEE ON PRIVATIZATION and OFFICE OF THE GOVERNMENT CORPORATE AND BUSINESS COUNSEL, В respondents. D Elizabeth C I actually S We O N BELLOSILLO, В J.:
TheВ Filipino 1st PolicyВ enshrined in the 1987 Constitution, В i. electronic., В in the grant of rights, liberties, and credits covering the countrywide economy and patrimony, the state of hawaii shall give preference to qualified Filipinos, HYPERLINK " http://sc.judiciary.gov.ph/jurisprudence/1997/feb1997/122156.htm" \l " _edn1" \o " " В is invoked by simply petitioner in its bid to get 51% in the shares from the Manila Hotel Corporation (MHC) which owns the ancient Manila Lodge. В В Opposing, participants maintain the provision can be not self-executing but needs an employing legislation due to its enforcement. В В Corollarily, they question whether the 51% shares form part of the countrywide economy and patrimony have the defensive mantle of the Constitution. The controversy came about when surveys takers Government Support Insurance System (GSIS), pursuant to the privatization program with the Philippine Govt under Declaration No . 40 dated 8 December 1986, decided to sell through open public bidding 30% to 51% of the issued and excellent shares of respondent MHC. В В The earning bidder, and also the eventual " strategic partner, вЂќ isВ to provide supervision expertise and/or an international marketing/reservation system, and financial support to strengthen the profitability and performance in the Manila Resort. HYPERLINK " http://sc.judiciary.gov.ph/jurisprudence/1997/feb1997/122156.htm" \l " _edn2" \o " " В In a close putting in a bid held about 18 Sept. 2010 1995 only two (2) bidders took part: petitioner Manila Prince Motel Corporation, a Filipino organization, which agreed to buy 51% of the MHC or 15, 300, 1000 shares atВ P41. 58 every share, and Renong Berhad, a Malaysian firm, with ITT-Sheraton as its hotel user, which wager for the same volume of shares atВ P44. 00 every share, orВ P2. 42 more than the bid of petitioner. Important provisions with the bidding guidelines prepared by respondent GSIS express - I. В В EXECUTION OF THE NECESSARY CONTRACTS WITH GSIS/MHC -
1 . В В The Greatest Bidder need to comply with the conditions set forth under by Oct 23, 95 (reset to November a few, 1995) or maybe the Highest Bidder will lose the right to purchase the Stop of Stocks and GSIS will rather offer the Obstruct of Stocks and shares to the other Qualified Buyers: a. В В The Highest Bidder must make a deal and execute with the GSIS/MHC the Administration Contract, Worldwide Marketing/Reservation System Contract or perhaps other kind of contract particular by the Highest Bidder in its strategic cover the Manila HotelВ В x back button x xb. В В The Maximum Bidder must execute the Stock Purchase and Sale Agreement with GSISВ В x x by xK. В В DECLARATION OF THE SUCCESSFUL BIDDER/STRATEGIC SPOUSE - The best Bidder will be declared the Winning Bidder/Strategic Partner following the following circumstances are achieved: a. В В Execution of the necessary contracts with GSIS/MHC not really later than October 23, 1995 (reset to The fall of 3, 1995); and w. В В Requisite approvals from the GSIS/MHC and POLICE OFFICER (Committee in Privatization)/ OGCC (Office of the Government Company Counsel) are obtained. вЂќ HYPERLINK " http://sc.judiciary.gov.ph/jurisprudence/1997/feb1997/122156.htm" \l " _edn3" \o " " Pending the assertion of Renong Berhard as the successful bidder/strategic partner and the setup of the important contracts, petitioner in a letter to surveys takers GSIS old 28 September 1995 coordinated the bid selling price ofВ P44. 00 per share tendered simply by Renong Berhad. HYPERLINK " http://sc.judiciary.gov.ph/jurisprudence/1997/feb1997/122156.htm" \l " _edn4" \o " " В In a subsequent letter old 10 Oct 1995 petitioner sent a manager's verify issued by Philtrust Financial institution for Thirty-three Million Pesos (P33, 500, 000. 00)В as Bid Secureness to match the bid of the Malaysian Group, Messrs. Renong BerhadВ x x back button x LINK...