Roxas and Company Inc. (RCI) is facing more financial challenges as the municipality of Nasugbu, Batangas announced that it is seeking the collection of unpaid real property taxes and may foreclose Haciendas Palico, Banilad, and Kaylaway (the Roxas Haciendas) if these are not paid.

The announcement comes amid increasing tensions in the longstanding land dispute between RCI and an estimated 50,000 residents and agrarian reform beneficiaries.

On May 13, 2024, Nasugbu Mayor Antonio Barcelon served a notice to RCI for the revocation of its business permit should RCI continue to fail to settle its real property taxes which have become due and demandable to date. 
While the municipality is still finalizing the tax assessment to be sent to RCI, initial estimates could reach over P1 billion.

“This serves as a formal notice to your company of the possible revocation of your business permit by this office should you continue to fail to settle your RPT which have become due and demandable,” Barcelon wrote.

To protect the interest of Nasugbu, Mayor Barcelon also sent a letter to the Bank of the Philippine Islands (BPI), which stressed the need to exert all measures and means resolve the issues concerning the unpaid taxes and longstanding land dispute covering 8 barangays with a total population of 38,523. 

He asked BPI to assist in whatever legal and appropriate action to resolve these issues. “Please be informed that Roxas y Cia has not been paying the RPT on the properties mortgaged with your bank,” Barcelon wrote.

In a resolution dated May 6, 2024, the Municipal Council of Nasugbu, Batangas also appealed to the national government to help protect the interests of the Nasugbu residents whose lands are threatened to be seized by RCI. 

The resolution called on the Department of Agrarian Reform to uphold the Certificate of Land Ownership Award (CLOA) granted to the farmers as part of the Comprehensive Agrarian Reform Program (CARP), and to resist the efforts by RCI to retake the Roxas Haciendas through means such as CARP exemption, land conversion, and CLOA cancellation.

Nasugbu Vice Mayor Mildred Sanchez cited the necessity of this resolution to protect Nasugbu’s agrarian reform beneficiaries, who are demanding a more equitable settlement over the Roxas Haciendas, as well as increase tax collections that may be used for the benefit of Nasugbu.

According to RCI’s latest available financial statements, RCI had a total of approximately P4.2 billion of bank loans outstanding and unpaid interest, with approximately half of this amount owed to the BPI, and with approximately P1 billion of RCI’s loans classified as current liabilities and past due for payment.

Properties forming part of the Roxas Haciendas are mortgaged and used as collateral to secure the loan obligations of RCI with local banks.