Daneco-CDA suffers new blow in CA’s denial of motion to quash

aug 16, 2014

In another deadening setback, the Davao del Norte Electric Cooperative- Cooperative Development Authority (Daneco-CDA) group failed to get a nod from the Court of Appeals in their motion to quash its seven earlier resolutions and the writ of preliminary injunction (WPI) favoring Daneco-NEA group. 
Associate Justice Edgardo Camello of the Court of Appeals (Special) 22nd Division based in Cagayan de Oro City denied the group’s motion to quash the resolutions and the WPI in 7-page decision promulgated last July 31, 2014.
 
The court’s decision was received by Daneco-NEA legal counsel Jeorge Rapista just last Tuesday.
 
The CA’s WPI issued last Aug. 29, 2012, prohibited Daneco-CDA’s respondents from “further exercising powers as members of the Board of Directors, or as responsible officers”, necessarily also their agents and representatives.
 
In the latest decision, the CA particularly denied to Daneco-CDA’s consolidated motion for reconsideration to certiorari suit filed by NEA Administrator Editha Bueno relating to cases that included issues on the legality of subsequent board of directors and management officials of the Daneco-CDA and on the issue on the temporary restraining order issued by RTC 3 Nabunturan Judge Hilarion Clapis stemming from NEA’s administrative case that dismissed members of the board of directors in 2011. 
 
In the two protagonists’ lengthy legal battle on who is legitimate between them to operate and control the management of the billionaire electric cooperative servicing Davao del Norte and Compostela Valley, Daneco-CDA appeared to be the party in the seven CA cases that appealed, motioned for reconsideration and sought to quash adverse court rulings against them one after another.
 
Even then, Daneco-CDA group ignored the WPI and continued operating and collecting payments for electricity bills from member-consumers, citing their CDA registration is not revoked yet and that cases where they lost are still on appeal at the Supreme Court.
 
Earlier, Daneco-CDA media consultant Nilo Lariosa said they have “secured a status quo anti order from a Court of  Appeals in Manila prohibiting Daneco-NEA, NEA and other parties from making detrimental actions against (them).”
 
In an interview, Atty. Rapista said that Daneco-CDA’s motion to quash, which was denied already, “is an admission on their part that there is really a WPI issued against them, which prohibited them from performing functions and from operating.”
 
Already, Daneco-CDA group’s main office in Tagum City and all its collection centers dispersed in various sites in the two provinces have been closed in the recent weeks by the National Electrification Electrification implementing its Cease and Desist Order (CDO) issued last Dec. 13, 2013. NEA enforcement officers were backed up by a dozen of provincial policemen.
 
NEA premised its CDO on the CA’s standing WPI and its quasi-judicial power to issue CDO on Republic Act. No. 10531, the revised NEA Charter Law, which provides that all electric cooperatives should be under its supervisory and disciplinary powers. 
 
Rapista said that they are constantly monitoring whether Daneco-CDA group would try to open up collection centers amid a continuing implementation of NEA’s CDO.(Rural Urban News/Cha Monforte)
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