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  • SC to hear suit vs ZTE mining accord
     
    By Joel San Juan
    Reporter

    THE Supreme Court (SC) has set for deliberation on Wednesday in Baguio City a motion filed by the local company Southeast Mindanao Gold Mining Corp. (SMGMC) seeking to reconsider its 2006 ruling that canceled all mining rights and operations of Filipino firms within the Mount Diwalwal gold-rush area.

    The Court’s Special Third Division has decided to include on its agenda the urgent manifestation and motion filed by SMGMC seeking to elevate its case to the Court en banc.

    Earlier, SMGMC claimed that the 2006 decision of the Court’s First Division has paved the way for the government’s agreement with ZTE International Investments Ltd., the investment arm of the ZTE Corp. of China, to explore, develop and operate mining areas within the 8,100-hectare Mount Diwalwal gold-rush area in Mindanao.

    The agreement, the SMGMC said, is questionable, considering that the status of the mining areas on Mount Diwalwal remains unsettled.

    It noted that the government executed the memorandum of understanding (MOU) with ZTE International on July 12, 2006, or just less than three weeks after the SC’s First Division issued the decision.

    It said the signing of the memorandum with ZTE was made even before the June 23, 2006, decision had attained finality. The first motion to reconsider the decision was filed in August 2006, or almost a month after the signing of the ZTE agreement.

    SEMGMC’s motion for reconsideration is still pending resolution before the SC. The mining company’s motion has been referred to the Special Third Division following the retirement of two members of the First Division.

    Included as supporting document to SEMGMC’s urgent motion to elevate its case to the full court was a copy of the Senate’s transcript on the March 11, 2008, testimony of Trade Secretary Peter Favila, where he confirmed that on July 12, 2006, he signed in behalf of the Philippine government an MOU with ZTE International Investments, Ltd. involving the establishment of an information-technology school; operating of mining in Davao; exploration, development and operation of mining areas in Diwalwal; and the establishment of an economic zone in Davao area. 

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