A 2019 property transaction under then-Governor and now Vice Governor Hermilando Mandanas may have caused losses to the provincial government after a 29-hectare land was transferred to a private developer without public bidding in just 70 days, according to the Commission on Audit (COA).
In its Audit Observation Memorandum dated March 30, 2026, COA reported that the province purchased the land from the Privatization and Management Office in January 2019.
However, it was quickly transferred to the private sector through a “Development Contract” and “Deed of Absolute Assignment,” which auditors said effectively functioned as a sale.
COA noted that the arrangement “evaded the mandatory requirements of public bidding and prior approval of the Commission on Audit.”
The property eventually ended up with Libertad Logistics Integrated Zone Builders Development Corporation (LIBERTAD), later acquired by Abacore Capital Holdings Inc., a company linked to the Mandanas family.
Auditors flagged the transaction structure, pointing out that the province only received ₱87.5 million, while the private party assumed obligations worth ₱581.3 million.
COA also highlighted that nearby properties in the Batangas Port area were valued at around ₱6.5 billion, suggesting the province may have sold the land at a steep undervaluation.
“The total loss of the property’s intended public purpose… defeated the welfare objective,” the report stated.
The findings raise questions about compliance, valuation, and the protection of public interest in government property transactions.