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Law firm says they did not receive P100M donation for CCMC

By: Niña Mae C. Oliverio - Multimedia Reporter - CDN Digital | November 12,2024 - 12:20 PM

Law firm says they did not receive P100M donation for CCMC

The facade of the Cebu City Medical Center taken on September 29. | CDN Digital File Photo by Niña Mae Oliverio

CEBU CITY, Philippines — The Rama Baena Tan and Ang Law Offices (RBTA Law) has clarified that they did not receive the P100 million donation for the Cebu City Medical Center (CCMC).

The RBTA Law, the law firm where Mikel Rama, the son of dismissed mayor Michael Rama, is part of, released their statement in response to the Facebook post of Cebu Updates on Monday, saying that the law firm received the P100 million of the “missing” P205 million donation for the CCMC.

Cebu Updates’ claim was based on the “Trust Agreement” document that they posted on their page. The document stated that it was executed last September 10.

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In their post, among the questions they raised were: Who was responsible for receiving the fund? Why did the RBTA Law receive the P100 million when it was for the CCMC? And what is the right of the RBTA to receive the donation?

According to the document, the RBTA Law was referred to as the “Trustor” and the Cebu Medical Society, Inc. (CMS) was the “Trustee.”

The document stated that the RBTA Law “conveys, transfers, and assigns the One Hundred Million Pesos (PHP 100,000,000.00) to the Trustee to be held in trust on such terms as are set out in this Trust Agreement.”

It also stated that the Trustor “chooses and declares” that the Trust Agreement established was “for the exclusive purpose of acquisition of pieces of equipment and benefit of the completion of the” CCMC Building based on the plans and its specifications.

Consequently, a few moments later, the law firm issued a statement to address the claims of Cebu Updates.

They said that the “accusations are completely unfounded and misleading.”

Cebu Medical Society

“To clarify, RBTA Law did not receive any of these funds. The donation is securely held by the Cebu Medical Society, a respected non-governmental organization. Our role as legal counsel is to represent the donor and ensure the funds are managed transparently and securely,” they said.

They said that the confusion was mainly related to the “Trust Agreement.”

“Contrary to the claims, a trust agreement is not a donation deed but a legal safeguard. It ensures that the funds are used appropriately, solely for the improvement of CCMC, and with full transparency,” they said.

They added that the “agreement was put in place at the donor’s request to protect the funds and prevent mismanagement.”

The law firm then urged the public to be cautious when they would encounter misleading information “particularly when it involves complex legal matters.”

“RBTA Law remains committed to ensuring the funds are used for its intended purpose: improving healthcare for the people of Cebu City,” they added.

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TAGS: CCMC, Cebu City Medical Center, RBTA
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