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Cordova unfazed by refusal of two firms to pay damages

By: Peter L. Romanillos February 24,2014 - 09:55 AM

SITOY

Cordova Mayor Adelino Sitoy is unfazed by the refusal of two shipping companies to recompense Cordova for the oil spill that affected his town.
He said the  municipal government will pursue its demand for P126.8 million in damages.

Sitoy said the continued refusal of 2GO Group Inc. and Philippine Span Asia Carrier Corp. (PSACC) to pay doesn’t matter since they are not liable for the compensation in the first place.

He said it is the responsibility of Pioneer Insurance Corp., the marine insurance provider of the two vessels to grant the compensation, he said.

Sitoy said he sent demand letters to 2GO and Span Asia to inform them of the town’s intent.

“Wala man sila’y labot. Ang insurance company lang ang manubag niini (They are not included in the matter. The insurance company will have to answer for this),” Sitoy told Cebu Daily News.

No right

“They do not have the right to deny us of the insurance because that is already provided for by the law,” he added.
Sitoy said they have yet to receive a reply from Pioneer after he sent the demand letter to the company’s corporate head two weeks ago.

He said the two vessels are insured by Pioneer including compulsory coverage in the instance of environmental damage.
Sitoy warned that the town will proceed  with filing the case in court if Pioneer continues to ignore their demand.

“If they won’t answer us, we will take this to court. Their 30 days is almost over,” he said.
Last week, Span Asia said it will not pay compensation to the town since the oil that caused the spill did not leak from their vessel.

2GO owns the MV St. Thomas Aquinas which capsized off Lauis Ledge in Talisay City while Span Asia owns the MV Sulpicio Express Siete which collided with the ferry.

Last week, Sitoy sent demand letters to the corporate heads of 2GO, Span Asia and Pioneer and gave the three firms 30 days to comply or they take their case to court.

The oil slick which spread to a number of barangays in Cordova around August last year damaged hundreds of hectares of mangroves situated along the town’s shores.

Fisherfolk families and local vendors were the main casualties of the spill since it crippled the trade of marine products in the town, one of Cordova residents’ major sources of income.

The Department of Environment and Natural Resources (DENR) said the cost of damages could go higher depending on a joint survey between them and personnel of the 2G0 shipping firm.

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TAGS: Department of Environment and Natural Resources, Philippine Span Asia Carrier Corp.
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