The Regional Trial Court (RTC) in Baybay City, Leyte has granted the petition of a large poultry farm for the issuance of a writ of attachment against the properties of a former mayor and an ex-municipal planning and development director of Palompon town, also in Leyte.
In his six-page order issued last 14 February, Judge Carlos Arguelles of the RTC's 8th Judicial Region Branch 14, upheld as meritorious the arguments raised of DBSN Agriventures based in Palompon to seek the issuance of a writ of attachment against erstwhile mayor Georgina Arevalo and Jerome Pastor, former municipal planning and development director of the same town.
The ruling stated, "That evidently, defendants' unlawful and evident bad faith and malice in refusing issuance of business permit, revoking locational clearance and eventual blocking of the passage of eggs from the breeder farm to hatchery has caused damage to plaintiff as a result of which plaintiff suffered actual damage in the principal amount of P195,252,970.913."
DBSN, a multi-billion-peso project reputedly the largest of its kind in the Visayas and Mindanao, was directed however, to post a P30-million bond to cover "whatever damage the defendants may sustain in the event it is adjudged that plaintiff is not entitled to the issuance of the writ."
The court directed the sheriff to implement the writ after summons have been served to the defendants.
DBSN counsel Gerentstain Banzon noted that his client has a "good cause of action" against defendants Arevalo and Pastor for the recovery of actual damages.
The petition for writ of attachment stemmed from Arevalo's denial of DBSN's renewal of business permit in 2021, citing alleged environmental violations.
Arevalo also issued a cease-and-desist order against DBSN operations on 19 February 2021 despite the poultry farm's compliance with all the government requirements.
Arevalo and Pastor were charged earlier for alleged illegal issuance of a cease-and-desist order against DBSN.
The case was filed by DBSN before the RTC Branch 14 in Baybay stemming from her denial to sign the renewal of the business permit of the breeder farm in Barangay San Joaquin on 25 January 2021, after having paid all the fees.
She likewise issued a cease-and-desist order on its operation on 19 February 2021, despite allegedly complying with all the statutory requirements.
The DBSN charged that the closure made by Arevalo was "designed merely to harass the company for purely personal and political motives as she had singled out DBSN."
Atty. Gerentstein Banzon, DBSN counsel, asserted that Arevalo's actions resulted in the failure of his client to deliver fertilized eggs for hatching to other facilities owned by San Miguel Corp.
"Based on the contract of San Miguel and DBSN, DBSN was obliged to pay and has in fact paid P110 million in terms of penalties. DBSN has also suffered a loss of income in the amount of P84 million with total damage of P195,252,970.913," Banzon said.
A temporary restraining order and preliminary injunction were subsequently issued by the Palompon RTC which affirmed DBSN's right to continue the chicken breeder farm operations.
It further claimed that the actions of the respondents caused irreversible deprivation of a major food source of over 33,600 tons of chicken meat in the region.
"Chicken meat is the preferred meat source in Region 8. The actions of Arevalo and Pastor caused irreversible deprivation of a major food source of over 33,600 metric tons of chicken meat in the region," it said.
