CA affirms decision allowing conversion of Army Navy Club

MANILA — The Court of Appeals (CA) upheld its ruling in favor of the conversion of the historic Army and Navy Club in Manila into a boutique hotel and casino.

In a two-page resolution dated Sept 7, 2017 penned by Associate Justice Ramon Ramon Garcia and concurred by Associate Justices Leoncia Dimagiba and Jhosep Lopez, the appellate court dismissed with finality the motion for reconsideration and petition for certiorari and prohibition filed by the Volunteers Against Crime and Corruption (VACC) seeking to stop the conversion of the facility on issues of technicality for violating the principle on hierarchy of courts.

“Wherefore, the Motion for Reconsideration is hereby denied,” it stated.

“Petitioner has not shown any cogent or compelling reason to warrant a reversal or even a modification of the aforesaid resolution. Hence, the dismissal of the petition for certiorari and prohibition must be sustained,” the CA ruled.

The CA ruled that “neither certiorari nor prohibition is the remedy in the present case. Wherefore, the instant petition for certiorari is hereby dismissed. Accordingly, this case is considered closed and terminated.”

In its recent ruling, the CA’s 15th Division dismissed VACC’s petition for certiorari and prohibition for violating the principle on hierarchy of courts as the Oceanville Hotel and Spa Corp. will continue the conversion of the former Army Navy Club in Manila into a boutique hotel and a casino and a casino gaming facility.

In a six-page resolution dated Feb. 28, 2017, the CA explained the petitioner’s violation of the principle on hierarchy of courts that while it has concurrent jurisdiction with the Regional Trial Court in issuing the writ of certiorari, direct resort is allowed only when there are special extraordinary or compelling reasons that justify the same.

“Unfortunately, the present petition for certiorari is bereft of any compelling reason or circumstance to warrant an exception to the rule,” CA explained.

The appellate court also noted that the decision of the Manila City government to enter into an agreement with private entities for the development of the Army Navy Club and the approval of the development by the National Historical Commission of the Philippines (NHCP) cannot be considered a judicial, quasi-judicial or ministerial action that can be a subject of a petition for certiorari.

“The City of Manila’s execution of the lease contract with Oceanville Hotel and Spa does not fall within the ambit of judicial, quasi-judicial or ministerial function as the same is within its prerogative, powers and authority in the exercise of its executive function. On this court alone, certiorari and prohibition will not lie,” the CA ruled.

VACC’s petition primarily seeks the nullification of the agreement among respondents Philippine Amusement and Gaming Corporation, the city government of Manila, National Historical Commission of the Philippines, Oceanville Hotel and Spa Corporation and Vanderwood Management Corporation for the development of the Army Navy Club and to enjoin them from converting the said property into a boutique hotel and casino game facility. The CA said VACC’s proper remedy is to file a civil action for annulment of contract which falls under the jurisdiction of the trial courts.

“Neither certiorari nor prohibition is the remedy in the present case. Wherefore, the instant petition for certiorari is hereby dismissed. Accordingly, this case is considered closed and terminated,” the CA decision read.

Last year, the VACC filed a PHP234-million plunder case against former PAGCOR chairman Celestino Naguiat, PAGCOR Directors Jose Tanjuatco, Enriquito Nuguid, and Eugene Manalastas, lawyer Jorge Sarmiento, Bids and Awards Committee member Milagros Pauline Visqui, Ramon Jose Jones, Romeo Cruz, Annalyn Zogimann, lawyer Kathlene Delantar, Manuel Sy, former government corporate counsel Raoul Creencia, and Jose Christopher Manalo IV, former chairman of PAGCOR’s technical working group for the award of the lease of space for a gaming facility in the Army and Navy Club to Vanderwood despite the latter’s non-submission of certain documents and non-compliance with some conditions indicated under the technical requirements of the bid.

The Army and Navy Club was founded in the year 1898 and was considered to be the first American social club in the Philippines. In year 1911, it was moved to its new location in the southeastern portion of the landfill that had extended the Luneta seaward, opposite the Manila Hotel. It was constructed based on the structural plan of architect Daniel Burnham.

During World War II, the club was occupied by the Japanese in 1942 and was heavily damaged. It was liberated by the Filipino soldiers and American troops in 1945.

On April 26, 1991, the National Historical Institute (NHI) declared the 12,705.30 square meter club as a national historical landmark because it is considered as a “living monument of Filipino-American friendship and cooperation”.