liepublic of the PhiliPpine s DEPARI}IE},TOF ECONCD4IC EBOMINATION l{anil_a 0ctober 5' r.95O Hon. Fernando Lopez Vfce-President of the Philippines As Chaiman, Board of Direciors Natj-onal DeveloPu.ent ConPanY M a n i I a S i r : After a study by this Department of the pa5rers of the llani-Ia Gas Corporation more Particular\r (a) fne contract executed betr"reen the Island Gas and 61ectrical Cornpanyard the Nat 1onal Development Conrpany on March 2' TglE t (U) Resr;md of the negotiaticns between the. Manila Gas Corporat ion and the National- DevelolNrent CotrLpany,prePared bY an officer of the NDC; and for the General }danager of memorandurn (c) A confidential the Nat ional- Developnent Company, by Engineer H" S' Angele s, thisDepartrneniw.ishestoca}lattentiontothefactthe,tthePhi}ip. Finance corporation did not ,:ine Go'wrnnent and the Rehabilitation '"ig" Conpany, and are and Electrical Gas Isl-and the wi""h lnu contract "of lo'*a to give to ttre l'{anila Gas Corporation the proposed- loan of
?9,200r0uo.0o. In vj-eu of the commltments nade by the National- DeveloprLent Corpany under the aforesairl conilect, this Office wil-l not interlose an;w 'olj!"tio" ic the inpler:en+.at ion oi the connritnent s of the NDCunder stoek* ',hL said co.tract, so that the llDC may becone the controlling holder cf ttre }'[ani]-a Gas Corporati-on, ald the l-atter lay be in a lcsiticn +.o collect its uar damage claim. r', tha+- it would be a 'nlsteke to Thls Departnent be,l-ieves, ho','re-.re j:r fianila e"nc 1ts surroundiru; mi:nit'y +.o :ehabil_ita+_e the xas servi,ce and that any asset thich the l4anila Oas Corporation may cipalities, nave, including the war danage claim, should be anvested i-n another in* dust rir which may havr: a greaier chanc e c'f success i han the rehabi].i-t'ation of the gas sefiice in the CiS of Manila"