STI to foreclose Benitez family’s Davao property
MANILA, Philippines – STI Education Holdings Incorporated of businessman Eusebio Tanco is set to foreclose another property owned by the Benitez family in Davao.
The dispute began when the Benitez family, owners of PWU, and its sister company UNLAD, failed to settle its obligation worth around P1 billion.
“The Davao petition is the last petition initiated by STI Holdings, on its own or together with Attenborough Holdings Corporation (AHC), for the satisfaction of UNLAD’s obligations to STI Holdings and AHC in the aggregate amount of P294,073,466.68 ($ 6,645,836.85), and PWU’s obligations to STI Holdings in the aggregate amount of P702,446,308.08 ($15,874,752.70),” STI said.
STI said it filed a petition with the Office of the Clerk of Court and Ex-Officio Sheriff of the Regional Trial Court of Davao City, for the extra-judicial foreclosure of a parcel of land under the name of Unlad Resources Development Corporation, owned by the Benitez group, located in Davao City, and all improvements located therein.
According to STI, the said properties were mortgaged in favor of STI Holdings and AHC to serve as security under the Omnibus Agreement dated June 8, 2012, executed noting Unlad, as debtor, and STI Holdings and AHC, as creditors.
STI earlier filed a petition with the Manila Regional Trial Court to foreclose Unlad’s property, the site of PWU, located along Taft Avenue in Manila.
It also made similar filing with the Quezon City RTC to foreclose Unlad’s property in Quezon City.
In December 2014, STI issued notices of default to PWU and Unlad after the Benitez Group failed to meet all its obligations, demanding a combined total of P996 million ($22.5 million) covering interest, penalties, lawyers' fees, and value added taxes within 7 days.
The Benitez group, countering with its own figures, argued that STI’s demand – for the family to pay P923 million ($20.83 million) for obligations of P448 million ($10.11 million) – is exorbitant.
The Benitezes will honor its commitment to Eusebio Tanco and STI but stressed that it would only be under “fair and just terms,” PWU media director Lydia Benitez-Brown said previously.
STI bailed out PWU in 2011. It bought the debt paper from BDO Unibank and provided additional funds to pay for salaries and wages, utilities, repair leaks, retirement pay, upgrade of laboratory facilities and learning, and other operational expenses. – Rappler.com