a corporation organized for the purpose of bidding for the contract to manage all the piers.

was awarded
in 1966, renewable for another five years. In 1977 and early 1978, petitioner initiated negotiations with
respondent but respondent did not act on the request, due to the unconcealed desire of close to then
President, to take over ERI.

On February 26, 1986, petitioner took active control, supervision and management of after the
administration of then President. On July 18, 1986, some truckers staged a demonstration to complain
about management of the. Respondent informed thru a letter that it was canceling the management
contract. On July 21, 1986, respondent as interim operator of the service. On July 21, 1986, filed a
complaint before the. contend that they were their right to due process when respondent cancelled the
Contract without prior hearing and. Hence, this petition.

the transfer of the shares of stock equity to fronting for was null and void. The invalidity springs not from
consent nor want of monetary consideration, but for its had an unlawful cause — that of a government
law. the general rule is that the must not be confused with the motives of the squarely fits into the may be
as the of the contract. On the part of, the to be able to contract with the which he was then by law doing,
and on petitioner part, to be able to renew his management tract. Thus, it came to pass that by transferring
of the shares in his company to, petitioner was able to secure an contract with respondent and for six years
before its cancellation benefit from the proceeds thereof.