It was an extremely strange action at the time. It also seemed clear at the time that this would be the end result of this signing. I doubt there is anything legal or baseball/U.S./Latin American politics involved, as teams have walked away from commitments, with zero fault on the player side, because they chose to tie up more pre-16-year olds than they could afford to decide and then chose the ones they still wanted come signing time. These teams paid no penalty. Phillies take a strange approach to PR. Whose posterior was being covered at this multi-million cost. Yhoswar joins the pantheon of inexplicable international bonus deals and domestic draft issues.
In honoring the deal, the Phillies looked like chumps. That can't possibly increase future success. In dealing with sharks, you need to look credibly strong, not like a push-over. Incompetence and focus on the PR side of things is a bad look for an organization which always says it has a burning desire to win.