MikeLigalig.com

By MARVYN N. BENANING
Manila Bulletin

MANILA, Philippines — Baggerwerken Decloedt en Zoon (BDC), the Belgian company that proposed the P18.7-billion Laguna Lake Rehabilitation Project (LLRP), is shutting down its Philippine operations while other companies from member-countries of the European Union (EU) are reported to be on the verge of following BDC’s lead.

A top BDC official said he is packing his bags and flying out, weeks after the company filed a P4-billion damage suit against the Aquino government before the International Center for the Settlement of Investment Disputes (ICSID).

The company is also seeking payment of P500 million for its work on the Pasig River Rehabilitation Project (PRRP), which was finished in September, 2010, two months ahead of schedule.

Speaking on condition of anonymity, the Belgian executive said the top management of the Brussels-based, 150-year-old company came to the conclusion that “it would be impossible to do business in the Philippines since it is ranged against the government before ICSID.”

ICSID, which is based in Washington D.C., ruled thrice against the Philippine government, mostly in cases involving foreign investments in the power sector.

The Belgian executive said his company actually did not believe the Aquino government would be harsh on LLRP and thought a review of the contract, thrice upheld by the Department of Justice (DoJ), was not coming.

BDC established its office here 10 years ago, after the country signed an investment and trade treaty with the Belgo-Luxembourg Economic Union.

It terminated 250 personnel and a total of about 550 contractors late last year after President Aquino slammed LLRP twice in major policy speeches and argued that the dredging project was littered with irregularities.

However, the Belgian executive said he was pleasantly surprised why some parties were calling up their office, including the principal owner of a diversifying food and beverage company, several businessmen and companies apparently interested in reclaiming more than 600 hectares of Manila Bay.

He explained that BDC is a dredging company and is not really keen on reclaiming land from the sea, which some Chinese corporations are intent on doing.

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