$2b Manila casino deal in peril

..Manila (Philippine Daily Inquirer/ANN) - The license issued to Universal Entertainment Corp. of Japanese billionaire Kazuo Okada to operate a casino in Manila will be canceled if it is found to have been obtained through bribery, the Palace said yesterday. However, the Palace and gaming regulator Philippine Gaming Corp. (Pagcor) said due process must be observed in probing the alleged bribery. US regulators are investigating a US$5-million payment two years ago by affiliates of Universal to Rodolfo Soriano, then a Pagcor consultant, in exchange for concessions at a $2-billion casino on Manila Bay. Soriano allegedly served as bagman of then Pagcor chairman Efraim Genuino. Related story: Miriam seeks probe on alleged Pagcor bribery President Benigno Aquino III's spokesperson, Edwin Lacierda, said Pagcor officials had referred the allegation of bribery involving Universal and Soriano to the Department of Justice (DOJ) for investigation. "If there's proof that the license was obtained through bribery, then there may be reason to consider canceling the contract," Lacierda said in a briefing. Universal won a provisional license to operate a casino in the Philippines when it paid about $300 million for land as part of the project on Manila Bay. It began building the casino in January, promoting it as a VIP destination resort for China's new rich. Universal acquired reclaimed land in 2008 and announced plans to build Asia's largest aquarium, a Ferris wheel and a 2,050-room hotel and casino. Reuters reported on Friday that the $5 million was part of the $40-million fund transfers by Universal's Aruze USA in the first half of 2010 while Universal was seeking tax and ownership-related concessions in the final months of the Arroyo administration. Reuters based its report on bank records, corporate filings, court documents and records prepared by Universal's staff. In other news: NBI uncovers 4th investment scam; 'operator' arrested in Taguig Lacierda said the executive branch would not "countenance" any finding of bribery in the grant of a license to Universal. "If there are allegations and proof that the award was granted through some form of bribery, then certainly we will not countenance that," he said. Like Lacierda, Pagcor said the license granted to Universal for the operation of a casino hotel complex in Entertainment City could be canceled should it be found that Okada had bribed former officials of the state gaming agency. "While a license for the operation of a casino facility in Entertainment City has already been issued in favor of [Okada-owned] Tiger Resorts Leisure and Entertainment Inc., the state-owned gaming agency can still cancel the license if it is proven that they have indeed resorted to bribery in order to secure the said license," Pagcor said in a statement. Coordinate with FBI Pagcor said it would ask the DOJ and the National Bureau of Investigation to get help from the US Federal Bureau of Investigation (FBI), which had first uncovered the alleged cases of bribery, in verifying the alleged payment to Soriano. Lacierda, however, said that the allegations of bribery should go through the regular process of investigation by the justice department. Soriano, Genuino and 16 other former Pagcor officials are facing plunder charges for alleged malversation of public funds and goods amounting to more than P100 million. Soriano contract Pagcor chairman Cristino Naguiat Jr. confirmed to the Philippine Daily Inquirer that Soriano had indeed been briefly employed by the agency as a consultant a few years ago. "Rodolfo Soriano Jr. was hired as a consultant by the office of the CEO for the contract period of Aug. 30, 2006 to Feb. 28, 2007," he said. "His contract was preterminated on Nov. 28, 2006." It was unclear why Soriano had dealings with Pagcor, including receiving the alleged bribe in May 2010, after his official engagement with the agency ended. Soriano and Genuino could not be reached for comment. Also read: Higher taxes on tobacco, alcohol OK'd in Senate In its statement, Pagcor said it was unaware of the "serious" bribery allegations involving Okada's group and Soriano until the Reuters report came out. "Pagcor is willing to cooperate with both local and international authorities on this," it said. The gaming regulator and operator added that the report bolstered its plunder case against Genuino, whom it sued last year for allegedly misappropriating P186 million in agency funds for a foundation he controlled from 2003 to 2010. "Pagcor assures the public that its management's decision on the issues at hand will be based on what is sanctioned by law and the conditions prescribed in the provisional license given to the group of Mr. Okada for their casino project in Entertainment City," it said. 'Deep ties' In a phone interview, Pagcor legal counsel Jay Santiago said the bribery charges would help further establish the "deep ties" between Genuino and Soriano. In their reply to charges of malversation of public funds filed by the current Pagcor management, Genuino and Soriano said they were mere acquaintances. Santiago said the current Pagcor management was equally surprised by the new bribery allegation in the running legal battle between erstwhile partners Okada and Las Vegas casino magnate Steve Wynn. Wynn Resorts suit Naguiat and Genuino were identified earlier this year in a lawsuit filed by Wynn Resorts in a district court in Las Vegas as the two Pagcor executives for whom Okada had spent $110,000 to curry favor with them. Wynn Resorts chief executive Steve Wynn accused Okada of violating the US Foreign Corrupt Practices Act through alleged payoffs made to the two gaming officials. Okada, a director at Wynn Resorts, was alleged to have gone behind the back of the company to develop a business for his own Universal Entertainment Group in the Philippines. In other news: Escudero, Villar oppose IMF chief's proposal to tax SMS The lawsuit said that Naguiat, his wife, three children and nanny received free accommodations at a luxury suite in Wynn Macau, that they were assigned the casino's best butler and that he requested and received a $1,878 Chanel designer bag for his wife. Naguiat said he returned the bag. In reaction, Naguiat explained that it was an industry practice among casino operators to extend courtesies to each other. The suit also claimed that Okada spent $50,000 on Naguiat's visit in September 2010, including $20,000 in cash given to the Filipino delegation for shopping and gaming. Okada told Wynn investigators that he had paid for Genuino's trip to Beijing for the 2008 Olympics. Congressional probe In the wake of the Reuters report, Sen. Miriam Defensor-Santiago wants to curtail the power of consultants of government officials in facilitating state-sanctioned deals. In Senate Resolution No. 901 seeking a probe of the $5 million given a month before Soriano and Genuino stepped down, Defensor-Santiago also called for "greater penalties on government officials who give a blanket authority to consultants to transact on behalf of their agency or the Philippine government." The senator said she was "aghast" that a reported bagman like Soriano was tasked with negotiating in behalf of Pagcor. She said the disclosure of the bribe money should spur a "broader review Pagcor's charter, and provide for stricter guidelines on granting franchises to foreign entities. Senator Santiago said the Senate probe of the bribery charges against Okada was needed to determine whether "certain Pagcor officials and employees received millions of dollars in bribes" and recommend the filing of charges in the Office of the Ombudsman. Check out: Sotto unfazed by plagiarism complaints Both Genuino and Soriano would be summoned in the Senate probe to explain and account for the alleged millions of dollars they received from Universal. Bayan Muna Rep. Teodoro Casino urged President Aquino to cancel Universal's license to operate a casino and pressed Congress to initiate hearings on the deal to uncover possible additional anomalies surrounding it. Casino, who filed a resolution in October to investigate the Las Vegas-style casino project because of constitutional questions, said the most recent allegations of bribery could hint of more shenanigans concerning the lucrative project. "I think this is still the tip of the iceberg," Casino said in a phone interview Monday. "If they can spend millions of dollars during the time of Genuino, given what happened in Macau, I'm sure Okada could have tried to buy people under the new Pagcor administration. Genuino was involved in these [activities] because he was in a position to do so then, and now Okada could have been looking for a new patron," he said. With reports from Leila B. Salaverria and Dechen Tshering, trainee ..

NBI nabs investment firm boss in Marawi

..MANILA, Philippines - Combined elements of the National Bureau of Investigation (NBI), Philippine Army and police arrested yesterday Jachob “Coco” Rasuman, head of a trading firm involved in another massive investment scam in Mindanao, in Marawi City. Justice Secretary Leila de Lima confirmed that Rasuman was arrested at around 2 p.m. in his safehouse in Barangay Panggao Saduc where he was staying while under military protective custody. The arrest was ordered by Cagayan de Oro City Regional Trial Court (RTC) Branch 20 Judge Bonifacio Macabaya immediately after receiving the syndicated estafa complaint filed by the Department of Justice (DOJ) against Rasuman and 10 others. Also ordered arrested were Rasuman’s father and former Department of Public Works and Highways undersecretary Bashir Rasuman, and their relatives identified as Emma Rasuman, Jeremiah Amer Rasuman, Jamirie Amer Rasuman, Jerome Amer Rasuman, Bashir Rasuman Jr., Jamila Rasuman Tomawis, Jalaima Rasuman Mangarun, Amer Tomawis, and Princess Aliah Tomawis Rasuman. Authorities were still tracing the whereabouts of the other accused and the former undersecretary, who was said to be in his house in Metro Manila. “We expect the other accused to voluntarily surrender,” De Lima said. NBI Director Nonnatus Caesar Roxas said Rasuman would be brought to the NBI regional office in Cagayan de Oro before being turned over to Manila. NBI deputy director Virgilio Mendez said during a television interview in Mindanao that Rasuman may have collected around P7 billion, almost as much as that of Aman Futures Group Phil. Inc. Mendez said that Rasuman was with his lawyers and authorities were not able to talk to him yesterday afternoon. “There are several complainants but I could not give an estimate as to how many they are. We do not know the average investments but some were reportedly as much as P5 million. The investors were from all walks of life. There are a lot of investors. Some were even prominent people,” he said. A tale of lies and schemes The special panel of prosecutors chaired by Senior Assistant State Prosecutor Edna Valenzuela filed the case in court after finding probable cause in the initial complaint of 25 victims who lost some P120 million in investments to the Ponzi-type scheme employed by Rasuman’s Nad 21 Auto Option Corp. The fiscals recommended to the court not to allow the accused to post bail. In a consolidated complaint filed before the Cagayan de Oro City fiscal’s office and forwarded to the DOJ panel recently, the victims led by Abumar Sambitory said Rasuman and the other officers of Nad duped them by promising return of investment of as much as 50 to 100 percent in just two months. Records showed that the complainants personally handed their investment to Rasuman and expected to receive as much as P274 million, but the primary accused failed to deliver. Rasuman had initially asked the investors to give him until last August to pay them, but he again failed to do so. Rasuman and the other officers of Nad then ceased business operations and could no longer be located. Upon verification with the Securities and Exchange Commission (SEC), the complainants found that Nad 21 Auto Option was not a registered corporation or partnership, and neither was BDR group of companies, which was supposedly its mother company. “Thereafter, other investors who were also lured by the respondents proceeded to the residence of respondent Coco at Xavier Estate, Cagayan de Oro City in an attempt to demand and recover their investments, which proved unsuccessful. This led them to rally outside of the subdivision of respondent Coco to prevent him from escaping and evading his obligations,” the complainants said. In the preliminary investigation, Rasuman vehemently denied the accusations that he and his family own and operate an investment scheme, but admitted that there exists a NAD 21 Auto Option Trading, which he solely owned. He claimed that his business was primarily engaged in petroleum sale, and dealing with the trading of cars, second-hand and brand new, for some three years. Coco said that complainant Abu-Amar approached him because the latter was interested in infusing some capital to his business. Rasuman claimed he cannot be held liable for syndicated estafa because he never enticed the complainants to give their money and even pointed out that it was the complainants who begged him to put their money in his business. Since he is operating as a sole proprietor, he stressed that he cannot be charged with syndicated estafa. “For syndicated estafa to exist, it must be committed by a syndicate of five or more persons formed with the intention of carrying out the unlawful or illegal act, transaction, enterprise or scheme,” he said. But the DOJ junked his defense, saying all the elements of syndicated estafa were present in the case. “By their modus, respondents, who are closely related to each other, showed unity of design and purpose in defrauding the public,” read the DOJ resolution. The DOJ panel is investigating four other complaints filed against Rasuman and the others, while the initial case will be heard by the Cagayan de Oro regional trial court. No way out Meanwhile, Immigration Commissioner Ricardo David Jr. announced that they have included Pagadian Mayor Samuel Co and Rasuman’s co-accused in a lookout bulletin, with the express instruction that they should be barred from leaving the country. De Lima last week directed the Bureau of Immigration (BI) to include in its lookout list 40 individuals linked to Aman Futures. David has also directed their immigration officers to detain the suspects the moment warrants for their arrest are issued by the courts. – Sandy Araneta, Evelyn Macairan - By Edu Punay (Philstar News Service, www.philstar.com) ..

Israeli envoy wants Manila worker ban lifted, following end of Israeli-Hamas fighting

MANILA (AP) - Israel's envoy to the Philippines said on Tuesday that he will ask the government to lift a ban on the deployment of Filipino workers to Israel following the end of heavy fighting between Israeli and Hamas forces. Ambassador Menashe Bar-on said that the Philippines' ban is unnecessary because the situation in Israel was returning to normal after a ceasefire agreement last week. "We are confident that foreigners will feel safe" in Israel, he said. He said he was scheduled to meet with foreign affairs officials on Wednesday. "We hope that this ban will be lifted," he said

Hundreds of Philippine police 'cheated in exams'

MANILA (AFP) - Thirteen Philippine policemen have been sacked and more than 350 others placed under investigation for allegedly cheating in written examinations, the police governing body said on Sunday. The National Police Commission said it had invalidated the results of the exams taken last year by 386 people in the southern city of Zamboanga as so many had put exactly the same wrong answers. The exams were being taken by would-be officers applying to enter the force as well as serving officers seeking promotion. The cheating was only uncovered recently, and those who sat for the exams had already been commissioned into the force.

Philippines says 146 Marcos paintings missing

MANILA (AFP) - More than 140 paintings by Picasso, Van Gogh and other masters which were bought with stolen funds by former Philippine dictator Ferdinand Marcos remain missing, the government said on Tuesday. Mr Marcos distributed his priceless collection of at least 300 artworks to cronies when his regime crumbled in 1986. Only about half have been recovered by Manila, said Mr Andres Bautista, head of the Presidential Commission on Good Government. "The Marcoses were art aficionados and they spent millions of dollars buying up these paintings," Mr Bautista told AFP. The 146 paintings by Picasso, Van Gogh and other masters like Renoir, Rembrandt and Cezanne "could be anywhere," he added.

Philippines creates body to look into rights cases

MANILA (AP) - Officials say the Philippine president has created an inter-agency body to investigate and monitor high-profile human rights cases, including a 2009 massacre that left 58 civilians and journalists dead. Executive Secretary Paquito Ochoa Jr. said on Tuesday that the inter-agency committee on human rights would be led by Justice Secretary Leila de Lima and include the country's defense secretary, along with the military and national police chiefs, among its members. The rights body's creation came amid criticism that violations have continued under reformist President Benigno Aquino III's rule. Mr Ochoa says the committee will undertake an inventory of all human rights cases pending in courts and investigate new ones and take steps to rapidly resolve the crimes.

Investments boost peso to four-year high, reaches P40.87:$1 mark

Boosted by remittances from overseas Filipinos and strong portfolio investments by foreign fund managers, the peso breached the 41:$1 mark to end the trading session at 40.87 to a dollar – a four-and-a-half-year high. Intra-day, the Philippine unit reached 40.85:$1 on the Philippine Dealing and Exchange Corp., where foreign currencies are traded. Tuesday’s turnover totaled $899.52 million, PDEx records showed. The peso last traded below 41 to a dollar on March 10, 2008 when it closed at 40.81, according to Central Bank data. “The peso has indeed appreciated faster than regional currencies have, but the volatility of the peso has been maintained at the middle of the range [compared with those of key currencies in the region],” Bangko Sentral Gov. Amando Tetangco Jr. told reporters Tuesday. Apart from remittances, Tetangco noted that investor confidence remains buoyant especially on news that debt-riddled Greece is about to get another bailout package from the European Union. Remittances reached $17.3 billion as of end-September, up 5.7 percent year-on-year, according to the Central Bank. In September alone, remittances totaled $2 billion. Meanwhile, hot money or foreign portfolio investments plunged to $40 million in October from $402 million posted in September. There was a lot of profit-taking in the stock market, the bank noted, with the main index reaching its 30th all-time high this year on Tuesday largely on the strength of foreign funds. Tetangco said the Bangko Sentral will closely monitor the forex market and step in if the exchange rate movement needs policy action. Dealers, who asked not to be named as they were not allowed to talk to the media, noted the peso would have been stronger if not for Bangko Sentral intervention. The Bangko Sentral policy largely allows market forces to determine the peso rate of exchange against the dollar, but the central bank can also exercise the option to buy or sell currencies in the market to avoid potentially destabilizing movements of the peso. Extreme volatility in the currency exchange rates can have a detrimental impact on the economy, according to the Bangko Sentral. The BSP is continuously intervening in the market in a moderate way, dealers noted. — With Rouchelle Dinglasan/VS/YA

Malaysia hunting for Philippines' scam brains

Manila (Philippine Daily Inquirer/ANN) - Malaysian police are now looking for Manuel Amalilio, the alleged brains behind the Aman Futures investment scam who has been reported to be hiding in Kota Kinabalu, National Bureau of Investigation Director Nonnatus Rojas said on Friday. "The (Malaysian) embassy promised the NBI that any feedback on the location of Amalilio will be conveyed to [us] once received from the relevant Malaysian authorities," Rojas said, adding that the embassy had expressed concern for the victims of the multibillion-peso scam that duped some 15,000 investors in the Visayas and Mindanao. Philippine Ambassador to Malaysia, J. Eduardo Malaya earlier said the government "will work with Malaysian authorities to bring [Amalilio] back soonest to the Philippines, to the fullest extent allowable under international cooperation mechanisms." Related story: Over 15,000 Filipinos gypped in multimillion-dollar scam Senior Supt. Charlo Collado, police attache of the Philippine Embassy in Malaysia, however, said "a warrant of arrest [was needed to] expedite the return of the suspect to answer the charges against him." But a month after the NBI filed a case against officials of Aman Futures in the Pagadian City's Prosecutor's Office, NBI deputy director for regional services Virgilio Mendez said they were "still waiting for the resolution of the fiscal." Lookout bulletin The Bureau of Immigration (BI), meanwhile, issued a lookout bulletin against 38 persons said to be behind the Aman Futures scam, although Immigration Commissioner Ricardo David Jr. said that in the absence of an arrest warrant or hold-departure order (HDO) from the courts, immigration officers "can only report their departure to the Department of Justice (DOJ) for monitoring purposes, but cannot prevent them from leaving." The suspects included in the BI lookout bulletin are Manuel Amalilio, Fernando "Nonoy" Luna, Lelian Lim Gan, Eduard L. Lim, Wilanie L. Fuentes, Naezelle M. Rodriguez, Lurix Lopez, Prescilla Ann F. Co, Nimfa Luna, Rico Medina, Dhurwin Wenceslao, Reggie Luna, Araceli Pasco, Marilou Caballero, Shiela Luna Lasaca, Alfredo Aspira, P02 Ariel Real, Ernesto Luna, P03 Rey "Tata" Chang, Edward Amao, Maria Donna Coyme, Araceli Pasco Julian, Darwin Luna, Toto Caballero, Amay Caballero, Eric Lasaca, Judy Amarao, Edna Dalena, Dickens Dalena, Eva Dalena, Isojo K. Casil, Edna Caballero, Patrick V. Cenisa , Diosdado M. Mag-aso, Frederick M. Mag-aso, Leonita Duhaylungsod, Angelo Duhaylungsod and Roger Tenajeros. David said only a judge could issue an arrest warrant or HDO against the suspects but that prosecutors have yet to charge them in court. Special panel Meanwhile, the DOJ's 14-member special panel of prosecutors convened for the first time yesterday to begin its preliminary investigation of the P12-billion investment scam allegedly perpetrated by Amalilio and Koko Rasuman. Rasuman, a Marawi City trader and son of former Public Works Undersecretary Bashir Rasuman, was allegedly behind a P300-million Ponzi scheme in Cagayan de Oro (CDO). The panel, headed by Senior Assistant State Prosecutor Edna Valenzuela, was given an update on the 29 cases filed in CDO involving Rasuman. In other news: DOJ eyes link between get-rich-quick operators Aman Futures and Rasuman group CDO prosecutor Fidel Macauyag, who attended the meeting, said five cases against 17 respondents, including Rasuman and several subordinates, were set to be resolved within this month, and that the special panel would continue its preliminary investigation. He added, however, that they have yet to establish a link between the Rasuman scheme and that of Amalilio's Aman Futures. "Our information is that the groups are the same, but based on the evidence submitted to us, we have not yet seen a link. But the scheme is the same, a Ponzi scheme providing a 50-per cent to 100-per cent return on investment," Macauyag told reporters. The special panel was tasked by Justice Secretary Leila de Lima to prosecute the scam perpetrators and file syndicated estafa cases against the operators of Aman Futures before the end of the year. State witness In Iligan City, an alleged insider in Aman Futures on Friday surrendered to the NBI and offered to turn state witness against officials of the investment firm. Maria Donna Coyme, who claimed she was also a victim of the Aman scam, turned over documents that could be used as evidence against Aman Futures. Coyme, a chemical engineering graduate, said she started as a tutor to the two children of Fernando Luna, an official of Aman Futures, but later helped set up the firm's financial management system. She said she helped raise P50 million among her contacts for them to be able to invest in the company. Related story: Philippine authorities on manhunt for scam masterminds Some of the company's board directors have also sent surrender feelers to the NBI, its deputy director for regional services Virgilio Mendez said. "We had initial talks with some of the officials for them to come in, but they suddenly stopped [communicating with us] and went into hiding," the NBI official added. Kidnapped In Lanao del Norte province, Brig. Gen. Daniel Lucero, commander of the 103rd Infantry Brigade, said four persons were kidnapped on Nov. 11 in connection with the investment scam. Lucero identified the victims as Abdul Muhaimen Lucman, Muhammad Dresa Lucman, Amer Deca and Camlon Deca, reportedly relatives of an Aman Futures agent. The kidnappers wanted to force the agent to give back their investments in the firm, Lucero added. He said the military had launched operations to secure the victims who were on their way to Marawi City when armed men led by a certain Aslahi Montilla flagged their vehicle along the national highway of Saguiran, Lanao del Sur province. SEC blamed In Legazpi City, Albay Gov. Joey Salceda blamed the investment scam on the Securities and Exchange Commission (SEC) which, he said, failed to check investment companies that were registered with the commission but engaged in pyramid schemes. In an e-mailed statement, Salceda, an economist, criticised the SEC for its "passive directive" telling the public to be cautious about "get-rich schemes." SEC official Gerard Lukban issued the directive earlier. Salceda said the SEC should have learned from other scams that caused the downfall of College Assurance Plan, Pacific and Prudential Life. "In the wake of these financial investment scams, we must ask the SEC what [it has] done to protect investors," he added. With reports by Richel V. Umel and Julie S. Alipala, Inquirer Mindanao, and Mar S. Arguelles, Inquirer Southern Luzon

4 groups eye Phl version of Las Vegas strip

MANILA, Philippines - At least four foreign groups are waiting in the wings to bid for the right to operate a casino at the Entertainment City along Roxas Blvd. as the government and the lower house start their probe into allegations bribes were paid in relation to the $2-billion integrated casino resort being developed by Japanese billionaire Kazuo Okada. Manila Rep. and chairman of the House Committee on Games and Amusements Amado Bagatsing said some four foreign groups have expressed interest to take part in the development of a world-class gaming complex in Manila, which the government wants to turn into the country’s version of the Las Vegas strip. Related story: $2b Manila casino deal in peril “There’s a long line waiting should Okada’s group lose its provisional license to operate a casino. More foreign players want to take part in the action,” Bagatsing said. The Department of Justice was directed by the Office of the President to investigate the alleged $5-million bribe given by Okada’s Universal Entertainment to Rodolfo Soriano, a close associate of the former head of the Philippine Amusement and Gaming Corp. The payment was made via a shell company in Hong Kong and was part of $40 million in transfers made by Universal’s US affiliate Aruze that are now subject of various investigations by law enforcement and regulators in the US and Asia. It was made at a time when Universal was lobbying to win concessions for its casino from ex-President Arroyo’s administration. In other news: CBCP warns pro-RH bets of Catholic vote The government last week said it would revoke Okada’s casino license if this was obtained through bribery. Okada’s Tiger Resort Leisure and Entertainment is one of four groups issued a license to operate a casino in Pagcor’s Entertainment City. Its goal was to lure high-limit, VIP gamblers from China allegedly to compete head on with Wynn Macau. - By Zinnia B. Dela Peña

Catholic vote is for RH' Lawmakers hit threat by CBCP

MANILA, Philippines - If there is a solid Catholic vote, it is not for derailing the Reproductive Health (RH) bill but for its approval by Congress, the measure’s principal author in the House said yesterday. “The Catholic vote is for the enactment of the RH bill. This is consistently validated and documented in all nationwide surveys for many years now,” Albay Rep. Edcel Lagman said. He was responding to the statement of Lipa Archbishop Ramon Arguelles urging Catholics not to vote for pro-RH candidates in the May 2013 elections. “RH advocates should not fear a negative Catholic vote because the alleged backlash has no empirical basis,” Lagman said. “Fear is bankrupt of reason and should not be allowed to deter legislation and policy making.” Related story: House adopts new RH bill version targeting poorest families Sen. Miriam Defensor-Santiago, meanwhile, yesterday warned the Catholic clergy against issuing more threats against the proponents of the RH bill in Congress, which she said could constitute a violation of the Constitution. In a statement, Santiago said that the Constitution clearly provides for separation of church and state and the threats being issued by the clergy against the RH bill proponents constitute “borderline violation” of this provision. “The separation principle includes what is called the establishment clause, as well as the free exercise clause. The general guide is that the government should observe neutrality,” Santiago said. Santiago lamented that only the Catholic church, among all of the major churches in the Philippines, is against the RH bill. She claimed that the following churches are pro-RH: the Iglesia ni Cristo, Philippine Council of Evangelical Churches, National Council of Churches in the Philippines, Interfaith Partnership for the Promotion of Responsible Parenthood, and the Assembly of Darul-Iftah of the Autonomous Region in Muslim Mindanao. Background: CBCP warns pro-RH bets of Catholic vote In any case, Santiago reiterated that she does not believe in the existence of a Catholic vote. “In the past, the Catholic church campaigned against Sen. Juan Flavier because as health secretary, he freely distributed condoms. But Flavier won the elections. Thus, the so-called Catholic vote is a political myth,” Santiago said. Santiago is co-author and sponsor of the RH bill in the Senate alongside Sen. Pia Cayetano. The two women senators have been pushing for a vote to be taken on the RH bill already. Not binding For his part, Arguelles yesterday said the argument on the separation of church and state is only binding to the state and not the church. “The law on the separation of church and state is a law that is addressed to the state and not to the church. That is a state law. In the separation of church and state, the state should not favor any particular religion or denomination. This does not mean that the church cannot comment or speak on moral issues... The Reproductive Health bill is a moral issue,” Arguelles said. It also does not mean that local church leaders and laity are no longer Filipino citizens, he said. When asked if there were other bishops who support his sentiments, he admitted that he is not certain. “But what I am sure of is that there is a few who believe in this (Catholic vote) and that it should be implemented. I just don’t know if there would be others who would openly say they are in favor of this.” Arguelles said Catholics “should never sacrifice their faith. So if there is a politician who wants to vote against our Catholic faith, it is our sublime duty not to vote for them.” The faithful should even take a step further and not campaign for candidates who support the RH bill “because their policy is not good for the country,” he said. Lawmakers changing minds Cagayan de Oro City Rep. Rufus Rodriguez, one of the most vocal critics of the RH bill, believes the measure is losing support not because his colleagues are afraid of the Catholic vote “but because many moderate pro-RH congressmen are changing their mind.” “They now realize that it violates the Constitution, is coercive in nature, is morally incorrect, it assaults the Catholic religion, is medically unsafe, and is an unsound policy for a developing economy,” he said. “The bill will likewise waste billions of pesos for condoms and contraceptives, funds that could be used for educational and health facilities,” he said. Lagman said surveys conducted by Social Weather Stations show that 71 percent of Catholics favor the enactment of the RH bill. “The percentage of those in favor of the bill is even higher among weekly church-going Catholics at 73 percent, which means that the pulpit as a platform for anti-RH homilies is a failure,” he said. He said among registered voters surveyed, 38 percent would vote for candidates supporting the proposed RH law, while only a small six percent would not vote for them. Also read: Bishop: Instead Of Toys, Give Books To Children For Christmas “In predominantly Catholic communities like Cebu, Manila and Parañaque, respondents in various surveys are overwhelmingly pro-RH. A huge number of Cebuanos at 76 percent support the passage of the RH bill; in Parañaque, 84 percent of the respondents are in favor of the bill; and in Manila, a whopping 86 percent of those surveyed support the enactment of the bill into law,” he stressed. He added that in the Catholic province of Bohol, a majority of respondents (53 percent) are in favor of the RH bill, compared to only 17 percent against it, based on a survey conducted by Holy Name University, a leading Bohol Catholic university. Quoting Pulse Asia, Lagman said 93 percent of Filipinos consider it important to have the ability to plan their families and 82 percent believe government should inform couples about all methods of family planning. “Faculty members of leading Catholic universities like Ateneo and De La Salle support the passage of the RH bill. Priests at the local parishes do not articulate with the same ferocity anti-RH tirades of some bishops because they are more aware of the ill-effects of the population problem on their parishioners,” he said. “The parish priest and the political leader are natural and logical partners in addressing the population problem because they witness on the ground grinding poverty, maternal and infant mortality and the inadequacy of pre-natal and post-natal care and facilities, all of which are addressed by the RH bill,” he said. Threat unfair The executive branch, meanwhile, asked Congress yesterday to put an end to the RH issue as it branded as unfair the threat of Arguelles that the Catholic vote would be used against lawmakers who vote for the RH bill. In a press briefing in Malacañang, Budget Secretary Florencio Abad, also Liberal Party stalwart, said, “First of all, if the position taken by any politician, any candidate is based on his own appreciation of his conscience, I think that has to be respected by anybody including the Church.” “Because, you know, Congress is a legislative assembly and Congress succeeds when there is an interplay or competition of ideas. And if you try to suppress contrary ideas, then you will not get the best policy out of a deliberative assembly like Congress,” Abad said. “So I don’t think that’s fair to do because in a democracy it’s the competition in a marketplace of ideas that brings out the best,” he said. Asked if LP candidates would not be changing positions just because of this warning from Arguelles, Abad said it would depend also on “conscience.” “As I said, every policymaker should examine his conscience... not threats, not rewards but ultimately I think what is best for which this policy has been introduced, which is really to address the very poor who have no means – information as well as resources – to be able to plan in a responsible way the size of his family,” Abad said. Asked what guidance the LP could give to the House, Abad said it was the obligation of the legislators, regardless of whether they are pro- or anti-RH, to put closure to this issue because it has become divisive. – With Marvin Sy, Aurea Calica, Evelyn Macairan - By Jess Diaz

Group warns of toxic chemicals in toys

Majority of toys sold in public markets in the country contain “elevated levels of lead,” an environmental watchdog claimed. The Eco Waste Coalition also warned parents that high amount of toxic chemicals in toys pose danger to the children’s health. "In Divisoria, the percentage of toys positive on lead content is higher than 50 to 70 percent of lead-containing toys in public markets," the group's "Project Protect" coordinator Thony Dizon said. "High amount of lead is usually used on very glossy and colorful toys," he explained. Dizon reminded parents to look out for such items and avoid buying toys with high lead content when shopping for the holidays. Aside from lead, heavy metals above "allowable limits" have also been found in almost half of a sample of 150 toys from Divisoria retailers. The group in July also detected toxic metals above levels of concern in 32 percent of 171 toy samples bought from stores outside 18 public elementary schools in Metro Manila. It also revealed 60 percent of 100 sample toys bought in Baclaran public market and nearby areas contained lead and other toxic metals "above levels of concern" last month. Manufacturer information, particularly license to operate numbers, are also absent in 148 of 150 toy samples in Divisoria, the group said. Commenting on the group's findings, Senator Manuel "Manny" Villar stressed the importance of ramping up policies on toy labels. This, as he vowed to schedule an act providing for toy safety labeling in the bicameral conference starting next week. A Toy Labeling Safety Act can soon provide protection to children by informing consumers of risks when purchasing toys in markets and malls, Villar said. "This is important because every Christmas, many people buy toys without knowing if such items are safe for their children or not," he added after inspecting toys sold in SM Mall of Asia on Tuesday. "There have been many incidents in the past of toys coming from various countries, some made in the country that have high lead content that parents are not aware of," Villar said.

Kopi Talk My Dream In A Shoebox

.. It's said that great blessings come in small packages. Each year, the Business Processing Association of the Philippines (BPAP) and TeamAsia organize - with partners Children's Hour and the Armed Forces of the Philippines (AFP) - an annual Christmastime effort to deliver small packages to thousands of children across the Philippines. Starting from humble beginnings four years ago in the aftermath of Typhoon ''Ondoy'' (international call sign Ketsana), it has grown to many times its original size, and reach. Conceived by BPAP former executive director Jonathan de Luzuriaga and TeamAsia president Monette Hamlin, ''My Dream in a Shoebox'' is championed by the Philippine IT-BPO industry, and has become a beloved Christmas tradition of collecting and distributing shoeboxes filled with school supplies to Filipino children whose families struggle to keep them in school. But today it does much more than distribute school supplies. (Disclosure: BPAP is a client and my firm, TeamAsia.) Thanks to increasingly broad support both within and without the IT-BPO industry and the generosity of individual knowledge workers, from 2010 to 2011 the initiative more than doubled the number of shoeboxes collected from 3,450 to 7,867. The shoeboxes were donated to public schools in Luzon, Visayas and Mindanao under the nurturing care of Children's Hour. The AFP provided logistics. While a shoebox full of school supplies is indeed a small package, for the children beneficiaries and their families, they clearly matter. But for the first time last year, the donations also included more than 100 computers and laptops, and over two million in cash for DepEd's Bayanihang Pampaaralan program. Donations were also used to assist Typhoon Sendong victims in Iligan City and other remote areas. Today the program is jointly administered by BPAP executive director for industry affairs Raymond Lacdao and TeamAsia marketing manager Jan Baybay. Their coordinated - and tireless - efforts have dramatically expanded the scope of the annual project. Like any worthwhile undertaking, BPAP and TeamAsia and our partners believe the program should continue to grow and provide relief and support for an increasing number of children each year. The goal for 2012 is to provide 10,000 shoeboxes, 500 computers and laptops, and another P2 million for the Bayanihang Pampaaralan program. Based on the enthusiastic momentum the program enjoys, BPAP and TeamAsia are confident of reaching this stretch goal. There are several different ways to participate in the program. First, naturally, has to do with filling shoeboxes with school supplies, wrapping them, and delivering them to the BPAP or TeamAsia offices. Many companies take ownership of the program internally, and invite their teams to create original shoebox designs and drop the stuffed shoeboxes at internal collection sites. When notified, BPAP and TeamAsia will arrange pickup of the boxes. Often, companies drop the shoeboxes themselves off at the BPAP or TeamAsia offices. As Ms. Baybay says, ''Fill shoeboxes with school supplies such as notebooks, pad paper, pens and pencils, crayons, rulers, scissors, and bottles of glue. Make your shoeboxes special by separately wrapping the lid and box with colorful recycled paper or Christmas wrappers. But for safety and security purposes, please don't glue or permanently seal your shoeboxes.'' There are no limits on the number of supplies included in each shoebox. Organizations participating in the program are requested to complete a ''Santa Form'' when dropping off shoeboxes to document their gift, and to ensure that they receive acknowledgement of their generosity. These details and more are available on the project website, http://www.teamasia.com/shoeboxcampaign/index.htm. Contact information for Mr. Lacdao and Ms. Baybay is available on the website, as are social media links. Many organizations decommission desktop computers after two years of use, and wind up wondering what to do with them, other than sell them for salvage - an environmentally perilous alternative - or keeping them locked up in a warehouse gathering dust. While the Philippines is making good progress in building classrooms, it needs a staggering number of computers for labs. My Dream in a Shoebox will take those used computers - desktops, laptops alike - and put them to work educating the next generation. Finally, last year BPAP and TeamAsia saw a wide range of organizations contribute enough cash to build two classrooms for Bayanihang Pampaaralan. Enough cash was left over to assist victims of calamity as well. This year, the organizations hope to do even more. For those of us who have had the pleasure of being onsite when these gifts are delivered, well, there's nothing like it. BPAP and TeamAsia are anxious to share that experience with organizations and individuals regardless of industry. Let's work together to deliver great blessings in small packages again this year. *** (Michael Alan Hamlin is the managing director of TeamAsia and a Manila-based author and commentator. Write him at mahamlin@teamasia.com, follow him on Twitter, @asianpundit, friend him on Facebook, michaelalanhamlin, or link on LinkedIn, michaelalanhamlin.) Copyright © 2012 Michael Alan Hamlin. All Rights Reserved. ..

Light to moderate rains expected over NE Luzon, Palawan, Mindanao

Light to moderate rain may be expected in parts of Palawan and Mindanao, as well as in Northeastern Luzon, due to prevalent weather systems. "The Intertropical Convergence Zone (ITCZ) will still bring light to moderate rainshowers or thunderstorms over Palawan and Mindanao today, while over the northeastern section of Luzon —particularly Cagayan Valley, Aurora and Quezon— light rains will be felt due to the northeast monsoon. The rest of the country will continue to enjoy partly cloudy skies with brief rain showers or thunderstorms in the afternoon or evening," said GMA resident meteorologist Nathaniel "Mang Tani" Cruz. "In Metro Manila, there will be few clouds with little chance of rain —just about 10%— in the morning, becoming partly cloudy in the afternoon and with a 40% possibility of rain showers in the late afternoon or early evening. The highest temperature expected in the metro is 32C," he added. Positive PAGASA outlook PAGASA also acknowledged that the ITCZ is still affecting Mindanao, while the northeast monsoon or "Amihan" is still affecting Northern Luzon. "Ang pag-ulan magkakaroon pa rin ... pero hindi ganoon kalakas," PAGASA forecaster Samuel Duran said in an interview on dzBB radio. He also said there is still no low-pressure area or potential cyclone near the Philippine Area of Responsibility (PAR) at this time. Duran added that while there will be strong winds in parts of Northern Luzon, these are not enough to warrant a gale warning. Rain showers, thunderstorms PAGASA's 5 a.m. bulletin said Palawan and Mindanao will be cloudy with occasional light to moderate rain showers or thunderstorms. Cagayan Valley and the provinces of Aurora and Quezon will have light rain, it added. Metro Manila and the rest of the country will be partly cloudy with isolated brief rain showers or thunderstorms mostly in the afternoon or evening. Meanwhile, moderate to strong winds blowing from the northeast to east will prevail over Luzon and Eastern Visayas and coming from the northeast and east over Eastern Mindanao and the coastal waters along these areas will be moderate to rough. Elsewhere, winds will be light to moderate coming from the northeast and east with slight to moderate seas. —TJD

26 mil Pinoys have no access to toilets, UN claims

Around 26 million people still have no access to sanitary toilets in the Philippines, data from two United Nations agencies show. The UN Children’s Fund (UNICEF) and World Health Organization said 7.4 million of these Filipinos still poop behind bushes, fields, plastic bags, ditches or along highway tracks. “In the Philippines, there’s still about 30 percent of the population that don’t have access to sanitary toilets. That is approximately 26 million people,” UNICEF water, sanitation and hygiene expert Mike Gnilo said during the observance of World Toilet Day in Manila on Monday. Households without proper toilets are mostly found in Masbate, Northern Samar, and provinces in the Autonomous Region of Muslim Mindanao, Gnilo said, citing studies. He then urged the government to improve access to sanitary toilet in the country, which the doctor claimed is crucial to the attainment of UN's Millennium Development Goals. Gnilo said lack of sanitation leaves people, especially children, particularly vulnerable to diseases. Children practicing open defecation are exposed to risks of diarrhea mortality as well as cholera, dysentery, worms, trachoma, pneumonia, and malnutrition, Gnilo said. UNICEF data show that 5,000 children in the world die everyday due to diseases because of open defecation practices and lack of sanitary toilets. Other than exposure to diseases, Gnilo lamented the Philippines' sanitation problem as a deprivation of “basic human right of access to a sanitary toilet” are more vulnerable to verbal, physical and sexual abuse. “For the poorest 20 percent, the proportion of people who practice open defecation has increased 12 percent in the last 10 years,” Gnilo said. “For these people, sanitation is about dignity, equity, and safety,” he underscored. This, as he lamented how progress on access to sanitation in the Philippines slowed in the past five years. He explained the lack of sanitation in toilet facilities and the practice of open defecation worsens in the rural areas compared to 2 percent increase in the cities. The use of innovative or makeshift toilet facilities aside from typical toilet bowls may also contribute to improved sanitation in the Philippines, Gnilo said. “A sanitary toilet is a facility that should provide separation between human contacts and the feces so it does not contaminate the water supply,” he explained. “It does not have to be the white toilet bowl as long as it does not physically touch and does not smell,” he added. ..

7-year T-bonds plunge to record low of 3.875%

..MANILA, Philippines - Yield of the seven-year Treasury bond (T-bond) plunged to a record low during yesterday’s auction on the back of strong demand. The paper, which will mature on 2019, fetched a coupon rate of 3.875 percent, down from 4.75 percent in its last auction on Aug. 28. Tenders amounted to P35.430 billion, almost four times the P9-billion offer. “There is high liquidity in the market. Investors were also attracted to our strong fundamentals after the successful debt buyback,” National Treasurer Rosalia de Leon told reporters after the auction. A total of $1.5 billion worth of expensive foreign debts were retired earlier than scheduled in a debt buyback which concluded last Saturday. De Leon said the “significant improvement in the government’s finances” have lured investors to yesterday’s offering. Debt watcher Moody’s Investors Service, in a note released on Monday, also hailed exercise as a “reflection of improving government finances.” “The Philippines is exploiting favorable financing conditions to accelerate its ongoing debt liability management program,” it said. The buyback was funded by the $750 million raised through a 10.5-year global peso bond offering earlier this month. “Healthy demand for Philippine government paper reflects improved perceptions of risk, the absence of liquidity pressures, and low inflation,” Moody’s said. There are only three remaining local borrowing auctions this year to be held on Nov. 26, Dec. 4 and Dec. 10. Aside from the regular auction however, the government is set to issue dollar bonds to local investors on Nov. 28. A total of $500-million worth of 10-year dollar bonds will be issued, De Leon said, adding that she hopes to have “a good reception from the issue.” Asked if it could be possible to offer dollar bonds onshore every year, De Leon answered “it could be an alternative source of funding” for the government. Meanwhile, the planned debt exchange— which will see short-term debts swapped with long-term notes— has been pushed back to January, she added. “It will be early next year, around January. I am still looking at the structure (of the issue),” De Leon said, declining to elaborate. Liabilities maturing in one to two years will be exchanged for bonds with terms of seven to 25 years, she said, as part of efforts to free up more resources from interest payments. - By Prinz P. Magtulis

Stop gold tax, Philippine authorities urged

..Manila (Philippine Daily Inquirer/ANN) - Four Philippine lawmakers are urging the Bureau of Internal Revenue (BIR) to suspend the tax on gold as it has drastically reduced the volume of the metal sold by small-scale producers to the Bangko Sentral ng Pilipinas (central bank or BSP). Officials and traders said the gold tax-made up of a 5-per cent withholding tax and a 2-per cent excise tax that the BIR started to enforce last year-was the biggest factor behind the spike in gold smuggling. The 7-per cent tax, usually borne by the traders, is imposed on gold sales to the BSP. Gold smuggled out of the country, much of it going to China via Hong Kong, has resulted in a 95-per cent drop in gold purchases by the central bank. Under the law, small miners should sell their gold to the central bank. Cagayan de Oro Representative Rufus Rodriguez said Internal Revenue Commissioner Kim Henares should immediately scrap the tax, while Senator Gregorio Honasan Jr. suggested that the tax be suspended until the BIR had plugged all the loopholes in the tax system. "The gold tax is a glaring case of bad taxation. It is doing more harm than good because it is a big flop in raising government revenue and it is hurting our financial stability," Rodriguez said. He noted that the biggest victims of the excise tax were small miners from Mount Diwalwal in Mindanao. Honasan, a member of the Senate ways and means committee, said: "I don't think we should continue with something that is clearly not working as expected. I agree that gold should be taxed, but I don't think it should be done this way. The BIR must come up with a better strategy on how to tax gold sales but until then, it should put this to a stop." Production down The Mines and Geosciences Bureau (MGB) reported that gold production fell 26 per cent to 51.21 billion pesos (US$126 million) in the first half largely due to the 95-per cent drop in gold purchases of the BSP with the imposition of a tax (initially pegged at 12 per cent in October last year and reduced to 5 per cent in April this year). The MGB estimated that the central bank purchased only a little over 9 per cent of all the gold produced in the country, down from 74 per cent a year ago. Two vice chairs of the House ways and means committee, Isabela Rep. Giorgidi Aggabao and Nueva Ecija Rep. Rodolfo Antonino, were also alarmed by the country's shrinking gold reserves. "Obviously, smuggling accounts for the low gold inventory. But the trouble with lifting the tax is it will benefit equally the big-time gold mining companies and not just the community miners who eke out [a living by producing] a few ounces every day and who are most prone to avoid taxes," Aggabao said. Stricter oversight Aggabao said that while he believed that the tax should stay, the BIR should get its act together. "True, the tax fosters a lucrative parallel grey market, but the solution is stricter oversight, especially on small mining activities," he said. Antonino said the BIR should explain in a hearing the result of the implementation of the gold tax in the last 12 months to enable members of the House ways and means committee to act on the troubling decline in gold reserves. Patrick Caoile, treasurer of the Philippine Mine Safety and Environment Association, said the BIR clearly "miscalculated" the gold tax as it not only failed to deliver the targeted increase in revenue, but also put at risk the country's gold reserves. "The BSP needs to replenish its gold reserves. The BSP normally gets its gold from small miners but since the gold tax forced them to ship out their haul outside the country, the BSP will be forced to buy gold from other countries and at a premium. It is possible that we might be buying the same gold that came from our small miners," Caoile said. He said the tax would work if the government forced all miners to sell all their gold to the government. "It's been more than a year since it sapped the gold tax, and I doubt if the BIR has seen the pot of gold it has been looking for. The least the BIR should do is to take long, hard look at its gold tax policy. There is nothing bad in saying mea culpa," Caoile said in a phone interview. Prices to go up Caoile warned the BIR against taking a hardline stance on the gold tax in the face of expectations that gold prices would shoot up from $1,700 to $3,000 per ounce amid a further weakening of the US and European economies. "Many investors believe that the [reelection of US President] Barack Obama will lead American planners to double the money supply and increase inflation, an excellent scenario for higher gold prices. If our gold continues to go out due to the gold tax, our central bank will be forced to buy gold at higher prices," Caoile said. The Philippines, the world's 18th largest gold miner, produced just over 1 million troy ounces of gold in 2011, worth $1.6 billion at current prices, said a Reuters special report titled "Philippines' black market is China's golden connection." The report, which came out in August, said about 56 per cent of that came from small-scale miners. Foreigners on tourist visa Leo Jasareno, MGB head, told Reuters that the government was aware that gold from small-scale mines either passed through traders on the black market or was sold directly from mines to foreigners coming in on a tourist visa. "We have heard a lot of rumours about that-that it is being sold in Binondo (Chinatown)," he said. Traders and officials say it looks like much of the gold is going to Hong Kong, the main conduit for gold flows into China. Hong Kong's top source of gold imports from 2005 to 2010 was the Philippines, official data from the Chinese territory shows. Philippine gold shipments to Hong Kong hit a peak of 81,471 kilogrammes in 2010, way above imports of just 11 kg nine years earlier, and were steady at 81,192 kg in 2011, according to Reuters. Hong Kong customs regulations require that all trade or business related to gold shipments be registered with authorities, but they do not put restrictions on gold carried by passengers. Official statistics in the Philippines, reflecting legal exports, show gold exports to Hong Kong in 2010 and 2011 at just around 3 per cent of the total volume recorded by Hong Kong authorities. The Philippine data represent only shipments by big mining firms with supply contracts, as exports of gold from small-scale mines are banned. Officials from the statistics office could not explain the discrepancy, saying the data were based on records of the Bureau of Customs. The strong demand for gold in the Philippines is also shown by foreign groups placing regular ads in newspapers announcing "buying events" for gold jewellery at swanky hotels in Metro Manila. The announcements, usually full-page ads, have been going on for months. ..

Smugglers control 95% of Philippine gold trade

Manila (Philippine Daily Inquirer/ANN) - The local gold trade is now almost completely in the hands of black market operators and the Philippines' central bank-the agency tasked with buying the precious metal from miners-is completely powerless to stop it. This was disclosed by an official of the Bangko Sentral ng Pilipinas (central bank) in a recent talk with reporters, who pointed out that the central monetary authority has neither the necessary resources nor the mandate to prevent gold smuggling. "We can't stop smuggling," BSP Assistant Governor Manuel Torres said in a forum in Quezon City. "The BSP has no police powers to stop such illegal activities." The official, who oversees the operations of the central bank's mint, refinery and printing operations in Quezon City, said that as much as 95 per cent of gold trade in the Philippines is now made through the black market. The amount corresponds to the drop in the volume of gold sold by traders and small-scale miners to the central bank after authorities started collecting a 7-per cent tax on gold sales-consisting of a 2-per cent excise tax and a 5-per cent creditable withholding tax-since last year. Under the law, the BSP is required to buy all the gold from local producers. Since the BIR imposed the tax at the point of sale, however, gold traders have shied away from the BSP, with most choosing to sell their precious metals to smugglers who do not impose excise taxes.

Gov't assures Aman staff of protection

MANILA, Philippines - Malacañang yesterday assured the personnel of Aman Futures Group Philippines Inc. of protection from “rampaging” victims to prevent the situation from getting out of hand. The Aman Futures office in Kawit, Pagadian City was ransacked by scam victims, who took away furniture and office equipment, after the company was shuttered on Sept. 26. One of the firm’s brokers, Anwar Zainal, was also reported to have been abducted in Pagadian City and his body found in the nearby town of Tambulig in Zamboanga del Sur province. “First, the law enforcement authorities are aware of that (situation) which is why (Interior) Secretary (Manuel) Roxas did... order the relief of police officials to avoid any untoward incidents,” deputy presidential spokesperson Abigail Valte said. “And we reiterate our appeal to the investors not to take the law into their own hands. The authorities are moving quickly on this. They are doing everything they can to give justice to the investors who were duped, according also, of course, to the instruction of the President,” Valte added. Valte said security measures had been in place and authorities were ensuring the safety of Aman officials who decided to surface “because they are in fear of their lives.” “So we are giving them the appropriate security if they need it,” Valte said. She said law enforcement agencies were told to proceed as quickly as possible as far as the investigation was concerned and arrest the suspects. The Department of Justice (DOJ), on the other hand, said it will not consolidate the cases involving the pyramiding scams by the groups of Manuel Amalilio of Aman Futures and Jachob “Coco” Rasuman despite reported links between them. Prosecutor General Claro Arellano said the two cases are undergoing separate preliminary investigation by the same special panel of prosecutors created last week. Amalilio and Rasuman used the Ponzi scheme in duping thousands of people. Rasuman was a top agent of Amalilio’s Aman Futures Group, which allegedly took millions from some 15,000 people in Visayas and Mindanao. “We won’t consolidate them. We will treat them separately,” Arellano said. This move of the DOJ is expected to further expedite resolution of the complaints against Amalilio and Rasuman and the filing of cases in court. Evaluations Arellano, chief of DOJ’s national prosecution service, vowed to try their best to meet President Aquino’s one-week deadline for the filing of cases in court to secure arrest warrant against Amalilio, who reportedly fled to Kota Kinabalu in Malaysia. Arellano revealed the panel already received last Friday afternoon records of five complaints against Rasuman from Cagayan de Oro City prosecutors’ office and the initial sets of complaints against Amalilio. “The records were transmitted to us just last Friday afternoon. We are still evaluating them,” he said. Cagayan de Oro City Prosecutor Fidel Macauyag personally delivered the records of the Rasuman case to Arellano’s office. Macauyag said their investigation took a little longer to be completed because of the voluminous records and documents involved. It was alleged that Rasuman’s firms, NAD 21 Auto Option and BRD Group of Companies, duped their victims - mostly businessmen - through the same Ponzi scheme allegedly used by Aman. Macauyag found both firms were not registered with the Securities and Exchange Commission (SEC), adding that NADS 21 was registered with the Department of Trade and Industry but under single proprietorship only. Rasuman, son of a former public works official who was reportedly taken into custody by authorities last week, had already denied the charges in a counter-affidavit filed through his lawyers. Macauyag admitted receiving information that Rasuman’s operations had links to Aman, but explained this issue was not explored because it was irrelevant insofar as complaints involving some P300 million from 29 complainants in CDO are concerned. Macauyag said the complaints were set to be resolved on Nov. 22 before they were transferred to the DOJ. As for the Aman case, Arellano said the preliminary investigation of some complaints had already started in Pagadian City fiscal’s office before transfer to the DOJ. Under DOJ rules, the investigating fiscals will first require the respondents to answer the allegations. Once reply and rejoinder of parties are filed, it will be submitted for resolution. Amalilio, a 32-year-old Filipino of Malaysian descent, reportedly owned three private planes and two units at Upper McKinley Hills Garden Villas in Taguig City. He also owns a house in Cebu City and Dapitan City. A report from the National Bureau of Investigation (NBI) showed Aman had lured investors by encouraging them to invest in a double-your-money investment scheme. The victims - mostly low-income earners - were promised a return of the entire sum of their investment in the form of postdated checks, plus investment profit ranging from 30 to 40 percent in less than a month. Aman representatives claimed the profit from the investments would come from a Malaysian brokerage firm, Okachi, supposedly engaged in futures trading of commodities such as oil and minerals. About 80 percent of the scam victims reside in Pagadian, and the rest in the cities of Marawi, Iligan, Ozamiz and Cebu. The SEC earlier confirmed Aman had been registered on July 22, 2012 with the following incorporators and board of directors: Amalilio, Fernando Luna, Lelian Lim Gan, Eduard Lim, William Fuentes, Naezelle Rodriguez and Lurix Lopez. However, SEC issued a cease and desist order against the firm’s operations last Oct. 8. Publicity Among the thousands that fell victims to the scam, several policemen and a local official were known to have been involved. Pagadian Mayor Samuel Co was among those investigated in the scam. Reports said Co allegedly invested about P30 million in Aman, distributed checks from Amalilio and referred investors to the company. Co said the allegations were a grand scheme of his political nemesis to pin him and his political plans down. Co asserted that he was more of a victim, just like the thousands who were defrauded by the investment scam, who wants to help the other victims recover millions of pesos in Pagadian City and nearby provinces. Maria Dona Coyme, who described herself variously as finance manager, teller and office facilitator of Aman, with another employee surfaced at the NBI in Iligan City reportedly detailed in her affidavit the involvement of Co. But Co claimed the accusations were politically motivated, pointing to his opponents in the May 2013 elections as behind the allegations. Meanwhile, Sen. Edgardo Angara said Justice Secretary Leila de Lima should take over investigation of the Aman Futures scam. Angara has expressed displeasure that the NBI under the Department of Justice has been telegraphing its actions against the masterminds and suspects behind the multimillion-peso scam. “This is affecting our financial system,” Angara said, noting that many local officials, farmers, teachers, and other professionals have been victimized in the scam. Angara recommended that DOJ create a special task force composed financial experts from the Department of Finance (DOF) and the Bangko Sentral Pilipinas (BSP), “because this is more than police work, this requires financial expertise.” He added that someone should be on top of the investigation. “I ask Justice Secretary De Lima to be personally in charge of this, of this scam probe.” At the same time, Angara suggested that concerned agencies, including the BSP and the Department of Trade and Industry (DTI) should expand their information campaign to warn the public to be wary of get-rich-quick schemes. Angara said the DOJ task force should also include DTI’s consumer protection office, special prosecutors and special investigators. Angara said the immediate arrest of the suspects led by Amalilio has been foiled due to the announcements in the media even before the crack teams were deployed. “Our police agencies and investigators must work for the immediate arrest and prosecution of the suspects instead of resorting to press releases and publicity,” he added. - Edu Punay, Christina Mendez, Roel Pareño - By Aurea Calica

IMF chief says SMS tax could help Philippines

..International Monetary Fund chief Christine Lagarde urged the Philippines on Friday to tax mobile phone messages to shore up state funds in a country sometimes called the world's text message capital. Such a tax could boost proceeds from revised "sin taxes" set to be passed by the country's parliament, she told a news conference during an overnight visit to Manila. Lagarde said Vice-President Jejomar Binay told her telephone coverage in the country of nearly 100 million people has reached to 112 percent, thanks to the popularity of mobile phones for sending short messages cheaply. "(This) clearly satisfies one of the two criteria for what we call a good taxation... a very broad base," she told reporters. However she said the government must be the one to decide what kind of taxes it imposes. Surveys have credited the Philippines as being the most prolific country in sending SMS messages with the average mobile phone user sending 600 messages a month. Each message now costs just a peso (2.40 US cents). A hugely unpopular bill to levy a five-centavo tax on SMS messages has already been defeated in parliament in 2009. The government, which hopes to balance the national budget in 2016, instead turned to proposing higher taxes on alcohol and tobacco, which would have the added benefit of combating the health hazards of smoking. The government says this "sin tax" could be passed next week despite opposition stalling ahead of the May 2013 elections. ..

Trimble urges Philippine Muslims to work for peace

Nobel laureate Lord David Trimble urged Muslim rebels on Saturday to strive to overcome remaining hurdles to peace after they signed a landmark deal with the Philippine government. Lord Trimble held up the example of the 1998 Belfast Good Friday agreement that ended the 30-year conflict in Northern Ireland as a template during a visit to the Moro Islamic Liberation Front camp in the southern Philippines. "Our experience was it was difficult... to get an agreement. And when we did get an agreement, we found the implementation of the agreement challenging," he told reporters accompanying him on the visit. "And sometimes the challenges were not the ones we anticipated before." He said he discussed with MILF vice chairman for political affairs Ghazali Jaafar the potential roadblocks to the successful implementation of the deal the group signed with President Benigno Aquino's government last month. The 12,000-strong MILF agreed in the pact to give up its quest for an independent homeland in the south in return for significant power and wealth-sharing in a new autonomous region there to be known as Bangsamoro. The pact aims to achieve a final peace by 2016, ending an insurgency that has claimed an estimated 150,000 lives since the 1970s. "I am delighted with the framework agreement," Trimble said. There'll still be a problem in the future, but I think the problem will be on a different order," he added. He urged the Muslim leadership to now shun violence and devote their efforts to improving the lives of the mainly Catholic nation's large Islamic minority that the government says has been left impoverished by the MILF rebellion. The two sides should work at creating opportunities as well as providing skills for the people whose lives had been disrupted by the 40-year conflict, to allow them to uplift their economic well-being, he added. Trimble and Social Democratic and Labour Party leader John Hume were jointly awarded the Nobel Peace Prize in 1998 for their efforts at finding a peaceful solution to the conflict in Northern Ireland

MILF to translate framework pact into different dialects

MANILA -- The Moro Islamic Liberation Front (MILF) said Sunday that it is seriously considering the translation of the Framework Agreement on the Bangsamoro into several dialects. Jun Mantawil, head of the MILF peace panel secretariat, said that translating the historic document, which the Government of the Philippines and the MILF signed last month, into the tongues of those who are the direct beneficiaries of the peace pact is very important. The framework deal, which is a roadmap to a final peace settlement that is expected by 2016, grants minority Muslims in southern Philippines broad autonomy in exchange for ending more than 40 years of violence that has killed tens of thousands of people and crippled development. Mantawil said the main problem in the initiative of translating the document is still the "logistical side not the technical requirements," especially the need to mass produce these translations in order for every individual or at least every household to have a copy. He said that so far, the MILF had already translated the Agreement into Arabic and Maguindanao dialects, and very soon, in Tausug, Maranao, and Tagalog. Mantawil said the MILF aimed at reaching every man and woman in Mindanao and they should understand the Agreement in their own language. Meanwhile, the members of the MILF peace panel had met more than 30 former Moro National Liberation Front (MNLF) leaders, who all hailed from Sulu, Basilan, and Tawi-Tawi, in Cotabato City, last November 3, he said. One of the leaders of the group was the son of former MNLF commander Maas Bawang, who figured prominently during the early days of fighting in Sulu. The other leader is currently a town mayor in Tawi-Tawi, who with four others joined the MILF delegation during the signing of the Agreement in Malacañang last October 15. The question-and-answer session lasted for almost two hours, Mantawil said. "The group also pledged to translate the Agreement into the Sama and Tausog dialects. They also committed to use their own funds for the printing of these materials," he added. The MNLF is a former Muslim secessionist group, which signed a final peace pact with the government to end their decades of armed struggle in September 1996. Recently, the MILF also organized six groups to undertake a massive information campaign to explain to its constituents the framework agreement. (SDR/Sunnex)