General Santos City Mayor Lorelie Pacquiao, along with several city officials, is now facing graft charges filed with the Office of the Ombudsman and the Commission on Audit. The case stems from allegations of irregularities in the P2.3 billion redevelopment project of the city’s central public market, transforming it into a hybrid mall-market concept dubbed “mallengke.”
City Councilor Jose Edmar Yumang, who filed the complaint, claims that the project violated Republic Act 3019, also known as the Anti-Graft and Corrupt Practices Act. Yumang questioned the unsolicited proposal by Robinsons Land Corporation (RLC), particularly its terms of agreement, which he described as “deceptive.”
Under the agreement, RLC is set to lease and develop the 19,000-square-meter public market property for an annual fee of P8 million over 28 years. However, Yumang pointed out that after deducting the P14 million allocated for relocation costs, the annual rental per square meter effectively amounts to a mere P13–14. He argued that this is grossly undervalued, especially when compared to the area’s latest appraisal value of P40,000 per square meter.
Controversial Terms Spark Public Scrutiny
During a city council session on July 16, Yumang elaborated on the financial implications of the agreement, emphasizing the significant disparity between the lease rate and the property’s appraised value. He further asserted that such terms unfairly benefit the private developer at the expense of the city government and its residents.
The councilor also expressed concerns over the lack of transparency and due diligence in approving the unsolicited proposal, raising suspicions of favoritism and possible financial losses for the city.
Broader Implications
The case has ignited debates among local stakeholders, with critics arguing that the “mallengke” project prioritizes commercial interests over the welfare of small-scale vendors and market-goers. Advocacy groups are calling for a thorough investigation and a review of the project’s terms to ensure accountability and fairness.
As of now, Mayor Pacquiao has not released an official statement addressing the allegations. The city government and the implicated officials are expected to respond in the coming weeks as investigations proceed.
This case highlights the challenges faced by local governments in balancing development initiatives with transparency, public accountability, and the protection of public assets.