Globe Asiatique owner admits having 500 bad loan accounts


Posted at Oct 07 2010 04:56 PM | Updated as of Oct 08 2010 12:56 AM

MANILA, Philippines - The owner of property developer Globe Asiatique Realty Holdings Corp. on Thursday denied there was irregularity in their transactions with the Pag-IBIG Fund, but said about 500 of their loan accounts have gone sour.

In the first hearing of the Senate Committee on Banks, Financial Institutions and Currencies on the housing loan controversy, Globe Asiatique's owner and president, Delfin Lee, said all their transactions with Pag-IBIG were legitimate.

"We have never received any favored treatment or special arrangement from Pag-IBIG Fund. Before we can even start the process, the applicant must be a bona fide member of Pag-IBIG, and only Pag-IBIG can qualify them as members," he explained.

"But despite the rigorous checks and cross-checks, all developers, even businesses in other industries such as banking, they always have bad accounts."

Pag-IBIG records showed 9,145 of its members applied for loans worth P6.7 billion to acquire homes in Globe Asiatique's Xevera projects in Pampanga.

However, 944 have denied borrowing from the housing agency and 1,021 others could not be located, according to John Cosico, Pag-IBIG legal counsel.

Some borrowers also claimed they were asked to sign loan documents in exchange for cash amounting to up to P5,000.

Pag-IBIG is set to file charges against Globe Asiatique. It is also readying charges against some of its officers in cahoots with the property developer in securing fraudulent loans. - Michelle Ong, ANC