Court stops Osmeña from closing BDO branches in Cebu

By: Nestle L. Semilla March 29,2017 - 10:46 PM
BDO PARKMALL (CDN FILE PHOTO)

BDO PARKMALL (CDN FILE PHOTO)

A Cebu Regional Trial Court (RTC) has prohibited Cebu City Mayor Tomas Osmeña from closing any BDO branch in the city.

Judge Gilbert Moises of Branch 18 of the RTC in Cebu City also directed Osmeña to refrain from issuing any statement to the media against the bank.

“With this Injunction Order, BDO looks forward to having its pending business permit applications in Cebu City be acted upon by the City Mayor, considering that BDO has submitted all the required documents needed by the City Government,” the bank said in a statement released on Wednesday afternoon.

“BDO assures its Cebu City branch personnel and clients that it has complied with legal requirements in ensuring continuing business and uninterrupted service in Cebu City, and this Injunction Order is an affirmation of its compliance,” their statement added.

Moises issued the Writ of Preliminary Injunction on March 28, enjoining Osmeña “from performing any act that leads to and/or causes the closure of BDO’s branches in Cebu City, including requiring information or document not prescribed by existing law and regulations, as well as making statements similar to those made in the newspapers,” said the BDO statement.

Lawyer Joseph Bernaldez, Cebu City’s legal officer, confirmed receipt of the copy of the court-issued injunction yesterday afternoon.

He said they will seek reconsideration of the court order.

He said that he immediately informed Osmeña of the injunction after receiving the order.

“I informed him (Osmeña) that we will be filing a motion for reconsideration. That’s it,” Bernaldez said in a text message to Cebu Daily News last night.

Osmeña has threatened to close BDO branches in the city after accusing them of tax fraud, an allegation denied by the bank.

The bank in turn went to court to seek injunction against the mayor’s threat.

Earlier, Moises also issued a status quo order which prevented Osmeña from ordering the closure of any of the 26 BDO branches in the city within a period of two weeks. The order lapsed on March 6.

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TAGS: Banco de Oro, bank, BDO, case, Cebu, Cebu City, Cebu City Mayor Tomas Osmeña, charge, city government, court, judge, mayor Tomas Osmeña, tax evasion

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