In a letter to employees of Okada Manila, resort founder Kazuo Okada denied bribery allegations and also denied reports that his team behaved badly in seizing control of the Philippines property.
In 2017, the Japanese billionaire was ousted from the company he founded, Tiger Resort and Leisure Inc. (TRAL), on charges that he embezzled $3 million in company funds. Recently, the Philippines Supreme Court ordered his reinstatement with a status quo ante order (SQAO).
In the letter, Okada also said he would file suit against Hajime Tokuda, a director of the TRAL-backed board of Okada Manila operator Tiger Resort, Leisure and Entertainment Inc (TRLEI). Tokuda claimed that a group led by representatives of Kazuo Okada manhandled him during a “violent invasion” and takeover of the property in late May.
Okada began his letter with the salutation, “Hello, this is ‘Daddy O’ Okada.”
He continued, “I am very sorry for the trouble and concern I have caused you. I would like to share with you the facts regarding this matter.” He explained that the SQAO basically rolled back ownership and control of the company to the time of his ouster, restoring him as a stockholder, director, chairman and CEO of TRAL and unseating the previous board.
“Pursuant to the SQAO, I have appointed Mr. Dindo Espeleta as vice chairman and Mr. Antonio O. Cojuangco as president of Okada Manila until my next visit to the Philippines,” Okada wrote.
He described the takeover as mostly seamless and uneventful, up to a point. “On May 31, 2022, my team, including Mr. Dindo, accompanied by court enforcement officers, (Philippine Amusement and Gaming Corp.) officials and police officers for security purposes, went to Okada Manila to enforce the SQAO. We negotiated with Mr. Hajime Tokuda, who was present there.
“During the negotiation process, there were no slanderous or violent acts, and we presented the Supreme Court’s decision and proceeded with peaceful discussions. Mr. Tokuda peacefully surrendered his ID and left the conference room. However, when Mr. Tokuda’s lawyers, led by Attorney Estrella Elamparo, arrived outside the conference room, they intentionally shouted and made it seem as if we were violent, intentionally making it seem as if there was a dispute.
Okada wrote that surveillance cameras “were installed in the Okada Manila office, and these cameras bear witness to the fact.” He called Tokuda’s allegations “repugnant” and said they violate the Supreme Court order.
“A few days later,” the letter continued, “I made a call for unity among the employees at the Okada Manila banquet hall to further revitalize Okada Manila. I would like to thank all the employees for their warm welcome.
“There are posts on the internet as if there were allegations of bribes, but please be assured that this is not the case at all. I will continue to make fair and honest claims and continue to do the right thing. I will continue to strive to make the property a premier tourist destination in the Philippines that attracts many customers.”
Elamparo, the attorney for the previous board, has alleged that Okada’s group authorized the payment of PHP2 billion ($3.6 million) to Transasia Construction Development Corp. (Transasia), a company said to be controlled by Dindo Espeleta, which reportedly owes Tiger Resort around PHP9 billion. The attorney said the Kazuo Okada-backed board filed a resolution to pay Transasia PHP 2 billion for expenses, which she says “is beyond absurd given the fact that TCDC (Transasia) actually owes TRLEI (Tiger Resort) PHP 9 billion. Before the violent takeover, (Tiger Resort) was actually preparing to file an arbitration case against (Transasia) for its outstanding obligations to (Tiger Resort),” Elamparo said.
The Okada Group insisted its current board has nothing to do with the alleged overpayments and will conduct a series of internal audit investigations on the matter. “(Kazuo Okada) is here to safeguard the interest of Okada Manila, and its employees and investors. We would like to assure the public that this commitment remains as steadfast as ever before,” the group said.
According to the Manila Times, the takeover is also opposed by Jason Ader, founder and CEO of SpringOwl Asset Management, whose 26 Capital SPAC is looking to list Okada Manila in the United States. The merger between TRLEI and 26 Capital has been delayed by three months, until the end of September, due to the transition. And the Philippine Daily Inquirer reports that the high court still must hand down a final decision on whether the 2017 status quo will be maintained.
