THE Court of Appeals (CA) granted the petition of IPM Construction and Development Corp. (IPM), allowing it to continue its waste management services to Taguig City.
In a Jan. 16 decision, the CA’s former special 13th division has ordered to set aside the June 13, 2018 Cease and Desist Order (CDO) issued by the Laguna Lake Development Authority (LLDA) against IPM to stop its operations, finding that LLDA committed grave abuse of discretion.
It also made permanent the writ of mandatory injunction and writ of preliminary injunction it issued on Aug. 29, 2018 against the implementation of the CDO.
The Court said that although LLDA has the authority to stop operations and activities that violate environmental laws, it “went further thereby exceeding the authority vested in it by law” by seizing control of the property and ordered the closure of the premises.
“(T)he use of the property is not limited to the operation of a transfer station. IPM was not using the entire area for the sole purpose of managing and maintaining a Materials Recovery Facility for the local government of Taguig. The lot also served as an office and a staging and storage area for IPM. If it were true that the CDO is aimed only at putting a stop to the illegal activities therein, it should not have ordered the complete stoppage of IPM’s operations and the closure of the entire establishment,” it added.
The Court noted that LLDA Resolution No. 41, Series of 1997 said the closure order, if necessary for the implementation of the CDO, could only be resorted to only after imposition of a fine against a company and its failure to settle it. There was no order from LLDA directing IPM to pay a fine.
The CA also questioned the indefinite period of effectivity of the CDO, “to the detriment of IPM.” According to LLDA Resolution No. 192, Series of 2004, an Ex-Parte CDO should remain in effect unless the erring company prevents or abates the pollution.
“Apparently, LLDA ordered the stoppage of the alleged illegal activities of IPM in the area and padlocked the gate. As a result, IPM cannot conduct its other business activities as LLDA took control of the area,” the court ruled.
“Obviously, the subject CDO still remains effective and in force in violation of IPM’s right to use the property,” it added.
It also disputed the claim of the LLDA that only the Supreme Court can issue a preliminary injunction against government agencies pursuing environmental laws, saying that the case involved “excessive exercise” of authority.
LLDA on June 13, 2018 issued the CDO against IPM for illegal dumping and reclamation activities. Along with members of the Philippine National Police, Philippine Army and SWAT, LLDA padlocked the gate of the property and prohibited employees from entering it.
The decision was penned by Associate Justice Priscilla J. Baltazar-Padilla and was concurred by Associate Justices Victoria Isabel A. Paredes, and Germano Francisco D. Legaspi. — Vann Marlo M. Villegas

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