MANILA – The Manila Regional Trial Court Branch 46 has placed Philippine Women’s University (PWU) under corporate rehabilitation.
PWU said the effect of a Commencement Order issued by the court is to invalidate the auction of PWU properties which was won by sole bidder STI Holdings after it filed for foreclosure of the PWU campuses in Taft Avenue and Indiana Street in Manila.
STI had also sought the foreclosure of the Jose Abad Santos Memorial School campus in EDSA Quezon City and a Benitez family property in Davao City.
According to PWU media director Lydia Benitez Brown, it is now up to the courts to determine a reasonable amount for settlement to all of PWU’s creditors.
Creditors should file claims within five days while comments and opposition must be filed in 15 days.
The court appointed P. Miguel Hernandez as the rehabilitation receiver.
The Benitez family of PWU welcomed the court order, saying the decision ensures the continued operations of the university and its schools.
PWU owes STI P448 million from loans given since 2011. The Benitez family offered to settle the loan for P644 million, but STI rejected the offer and moved to foreclose PWU’s properties.
PWU chairperson Dr. Helena Benitez, a longtime creditor of the university, then filed for rehabilitation in a bid to preserve the school’s operations.
STI president Monico Jacob, meanwhile, said the firm will seek legal remedies to oppose the court order.