The Subic Free Port, showcased as a glittering jewel of success for Chairman Dick Gordon, former mayor of Olongapo, and now presidential aspirant is in reality an investors nightmare. Investors claim that after investing billions they are being milked, harassed and forced to close in favor of rivals with the connivance of SBMA officials. Some have pulled out others are staying to fight. Another scandal of corruption and skullduggery is the last thing that President Ramos needs now as the carefully knitted image of Gordon the 'Savior of Subic' begins to unravel.
Gordon placed himself above the law when he defied a court order last week and called out twenty heavily armed guards who threatened to shoot the court sheriff, Jet Vitug, and local police. The latest incident occurred last 3 October when they tried for a second time to serve a court injunction issued by Judge Alicia L. Santos against Gordon and SBMA executive officers, Ferdinand Aristorenas, Manuel Quijano and Raymond Ventura and several others.
"We will give them a gun battle if they provoke us" said SBMA security Chief Bada according to local police who were barred from serving the court order since last October 3. In a wild west scene reminiscent of the tension prior to the shoot out at the OK Corral the sheriff and local police did not draw their weapons but left prevented by armed force from serving the injunction.
The injunction ordered Gordon and his SBMA officers to restore to a Taiwanese investor property rights over the Golf course and Club house, a two billion pesos investment. Gordon ordered the property seized and access denied because the golf course was not up to what he called World Class standard. Susan Ho, owner of the Universal International Group of Taiwan and Subic Bay Golf and Country Club was ordered to vacate the entire project within 72 hours or it would be taken over by force. Ho claimed in a Civil case No. 312--0-97 that Gordon was trying to move in on the project and cancel the lease agreement in order to re-award it to a business crony. The investor, has also claimed in court, that they have been continually harassed by Gordon and his men, by cutting off their water and electricity supplies to force them to quit. A notice to close and padlock the premises was issued by Gordon last 12 September, " Vacate and clear the golf course premises ", it ordered.
The SBMA also tried to bar Judge Santos from ruling on the case claiming that her court had no jurisdiction over the case because only the Supreme Court could issue an injunction that would prevent the implementation of the conversion of Subic. The judge, not one to be intimidated by Gordon, ruled that such was not the case. The injunction was to restore the rights of the investor over the property not to prevent the implementation of any conversion plan. President Fidel Ramos is among the first to suffer from the eviction orders and high handed close out because he was due to play golf at Subic last October 3, according to the court documents. Gordon and the SBMA is being sued for 17 million pesos as damages for the cancelled golf tournaments.
Behind the election smile of chairman Gordon there is an iron fist of determination to get his way. Other investors have filed similar court cases against the SBMA others have actually pulled out. The claims of Gordon that Subic is a economic miracle is, according to some investors, a media myth based on false information and gross exaggeration.
Unreported by the media in a news blackout was the withdrawal of Subic Star, the Korean sub-contractor of Reebock shoes resulting in the loss of 4000 jobs. Employees who failed to join a Sunday election rally at the SBMA held by his Wife Mayor Kate Gordon and brother Congressman James Gordon last year, had their passes confiscated for almost a week. Sustaining heavy losses and expecting the same again, Subic Star relocated to Marivelles export zone in nearby Bataan. Two other companies are said to have pulled out for the same reason. Gordon denies all allegations.
Many companies located in the Subic Free Port now live under the constant fear of their leases of being cancelled when a rival courts certain officials. Other investors who claim they are victims of harassment and pressure say they will fight.
Kenneth Glass, president of K.O.G holdings, a long time SBMA investor has gone to court with similar and equally damaging allegations that Gordon is trying to close out his company in favor of a rival. More about that next time. The accumulating evidence in the courts of alleged skullduggery, intimidation and harassment are shattering revelations for those who believed the media hype and idolized Gordon as the "American dream".
That dream is turning to a terrible nightmare for Subic investors and workers alike.