Putting the city in bad light

The Cebu City government and the Universal Hotels and Resorts Inc. have finally sealed an agreement in the multi-billion development of what used to be known as Kawit Island at the South Road Properties despite some opposition.

Mayor Tomas Osmeña, on behalf of the city government, signed the joint venture agreement with an official of UHRI last Friday, which aims to develop the nine-hectare Kawit Island into a resort and casino hub.

Before the agreement was consummated, there was a petition filed before the court asking it to stop the city from entering into the agreement. Busay barangay councilman Amilo Lopez told the court the City Council did not give Osmeña the authority to enter into the agreement considering the irregularity of its session.

Since there was no word from the court, Osmeña and his allies at the council pushed through with the signing of the agreement with the developer in Manila, hoping for the P18-billion project to start soon.

Whether the signing of the agreement was legal remains to be seen. And as to whether Osmeña really had the authority to sign it has yet to be known pending a ruling from the court. However, barring any legal impediment, the project seems to be pushing through.

The city, it seems, is courting disaster over the project. That is because Lopez’s petition will certainly not be the last. Opposition councilors are said to be filing a case and a known whistleblower was reported to be taking legal action against Osmeña and other city officials over the matter.

The legal actions, for sure, will only put the city in bad light. Prospective investors might find the city not friendly for business given its unhealthy political climate. Neighboring cities Mandaue and Lapu-Lapu are more welcoming to investors, as they begin to give Cebu City a run for its money in attracting businesses.