What happened to the case of Tabuk City's P1.9B loan?

Tabuk City, Kalinga – After both parties presented their arguments concerning legal issues against and for the Tabuk City Local Government’s P1.9B loan during the hearing on Wednesday, March 09, 2022, the court ordered the petitioners and the respondents to submit their respective memorandum as a basis for the court to issue a Writ of Preliminary Injunction or not.

Both parties were given 10 days to submit the said requirement.

As recalled, on January 13, 2022, Jerome B. Tabanganay, Jamillah S. Dalilis, Casan M. Calil, Sunshine S. Busaing, and Daniel C. Peckley Jr. filed a petition against DBP, Tabuk CLGU represented by Mayor Darwin C. Estrañero, Acting Vice-Mayor, Atty. Zorayda Mia M. Wacnang, and members of Sangguniang Panlungsod-Tabuk City.

Petitioners argued that the ordinances, resolutions, and the loan agreement are illegal, unconstitutional, and ineffective due to alleged violations in the procurement and bidding processes by the local chief executive and members of the Tabuk City Sangguniang Panlungsod, of which the petitioners cited that the use of the loan proceeds for the proposed projects without a signed agreement will constitute an illegal disbursement.

On January 21, the Regional Trial Court Branch 25 granted the temporary restraining order (TRO) prayed for by the five petitioners after finding factual and legal issues that need to be threshed out during an appropriate adversarial meeting.

The TRO temporarily prevents DBP from releasing the proceeds of the said loan.

However, the TRO already lapsed after 20 days from its issuance, which means that the temporary prohibition automatically ceased to be effective until a court resolution is issued.

A hearing was initially scheduled on February 9 but was moved to March 9 due to the absence of the judge.

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