Rappler claims it was misled on status of tax cases

News website Rappler on Friday claimed that the Department of Justice misled the company on the status of the tax evasion complaint filed against it, but said it was nevertheless not surprised by the decision "considering how the Duterte administration has been treating Rappler for its independent and fearless reporting."

"Our lawyers went to the DOJ shortly past 10 a.m. on Friday to check on the status of the complaint," Rappler explained in a statement posted on its website. "They were told by the docket office of the department's National Prosecution Service that no resolution had been forwarded to them."

However, the DOJ's Friday statement on the matter, which said that there was probable cause to charge Rappler Holdings Corporation in court for tax evasion, revealed that the resolution on the tax case was signed on October 2, 2018.

Regardless, Rappler denied any wrongdoing and characterized the charges against the company as an attempt at intimidation and harassment geared towards silencing journalists.

Furthermore, Rappler's legal counsel Francis Lim warned that the DOJ's resolution would have a chilling effect on those who had raised and would raise capital through the issuance of Philippine Depositary Receipts (PDRs) and was a blow to the development of  already laggard capital markets.

"Let me reiterate that Rappler Holdings has not evaded the payment of any tax obligations in relation to its sale of Philippine Depositary Receipts (PDRs) to two foreign entities in 2015," Lim added. "Clearly, this case has no legal leg to stand on because it presumes – wrongly – that Rappler is a dealer in securities that profited from a sale."

Rappler would thus pursue all legal remedies, and the company is "optimistic that we will prevail in the end." — DVM/KG, GMA News