Duterte abolishes First Cavite Industrial Estate

PRESIDENT Rodrigo Duterte has ordered the abolition of government-run firm First Cavite Industrial Estate, Inc. (FCIEI) as "its original purpose is no longer relevant to the State".

The FCIEI, a 154.5-hectare industrial subdivision in Dasmariñas, Cavite, was built to service all basic needs of any manufacturing concern of the light-to-medium scale industry.

"Given that intention of FCIEI to undertake any project did not materialize, the abolition of the company was recommended, and was approved in principle in 2015," Duterte said in his Memorandum Order 62 signed on Wednesday.

The President said the Governance Commission for Government-Owned and -Controlled Corporations (GCG) recommended the abolition of the FCIEI because "its original purpose is no longer relevant to the State."

The GCG also cited how the FCIEI "is no longer achieving the objectives and purposes for which it was originally designed and implemented" and "is dormant and non-operational."

It also cited how the FCIEI "is involved in an activity best carried out by the private sector."

"The FCIEI is hereby abolished. The assets of the FCIEI shall be liquidated to settle the outstanding liabilities of the corporation, in accordance with applicable laws, rules and regulations," the President said.

The FCIEI was registered with the Securities and Exchange Commission on Dec. 14, 1990, and started as a joint venture project of the National Development Company (NDC), and its partners to acquire, own, lease, hold, subdivide, construct, develop, equip, operate, maintain and generally deal in industrial estates.

It was primarily formed to develop the NDC's property in Dasmariñas, Cavite into an industrial estate and economic zone, and sold all saleable lots within such estate to locators in 1995.

Source: TheManila Times