MANILA, Philippines — The City Legal Department of the Makati Local Government confirmed that they will withdraw the alleged P8.96B midnight joint ventures for the Makati subway projects, which were signed on June 23, 2025.
During a press briefing in Makati City, it was stated that a motion will be filed with the Singapore International Arbitration Centre (SIAC) on July 11, 2025, to formally retract the settlement.
Simultaneously, the local government has formed a fact-finding commission to investigate alleged irregularities in the Subway Project and to conduct inquiries into other Public-Private Partnership (PPP) projects in the city.
Previously, the former Mayor of Makati assured that the city could cover the $160 million (approximately P8.96 billion) potential obligation to Philippine Infradev Holdings Inc. without affecting residents’ benefits.
According to the statement, this was based on the actual costs confirmed by PricewaterhouseCoopers (PwC), and the move was intended to avoid a larger $1.7 billion lawsuit against the city.
However, the new mayor opposed this, calling the settlement a “midnight settlement” signed seven days before the previous administration’s term ended.
The former mayor refuted this, stating that the agreement underwent thorough review to prevent greater losses and stabilize Makati’s finances.
It was further emphasized that the local government’s 2025 budget from July to December only amounts to P8.4B, making it impossible to cover the contract entered into by the previous administration.
The lawyer added that the P8.96B could instead be used for services that would benefit Makati City residents more directly.
