23 charged with plunder over tax credit scam

MANILA, Philippines - The Ombudsman on Thursday ordered the filing of plunder charges against 23 people, including several Finance Department officials, over a P73.76-million tax credit mess. In an 81-page joint resolution, the Office of the Ombudsman said the defrauding of tax credits took place between 1994 and 1996. Ordered charged with plunder before the Sandiganbayan were: * Antonio Belicena, then DOF Assistant Secretary and Executive Director/Administrator of the One-Stop Shop Inter-Agency Tax Credit and Duty Drawback Center (Center); * Uldarico Andutan Jr., then Deputy Executive Director of the Center, DOF; * Asuncion Magdaet, Reviewer, Center, DOF; * Rowena Malonzo, Tax Specialist 1, Center, DOF; * Faustino and Gloria “Eng Eng" Chingkoe, Owners of Filstar Textile Industrial Corporation (FILSTAR); * Grace Chingkoe, Corporate Secretary, FILSTAR; and * Catalina Aranas Bautista, FILSTAR representative. The Office of the Ombudsman also ordered the filing of 28 counts of graft and estafa through falsification of public documents charges against Belicena and the Chingkoes. Also charged with graft and falsification were Andutan; Magdaet; Jane Aranas, Cherry Gomez, Emelita Tizon, Charmelle Recoter, Annabelle Dino, Merose Tordesillas, Gemma Ortiz, Gregoria Cuento-Evangelio, all Evaluators of the Center; Maximiano Acilo, Bautista, Amante Ares, Representatives, and Rodel Rodriguez, General Manager, all of FILSTAR; Pacifico Cruz, Gen. Manager, Treasury and Taxation, Pilipinas Shell Petroleum Corp.; Celso Legarda, Vice President and Gen. Mgr., Petron Corp.; and Leonardo Tanseco, Vice Pres., Logistics, Duracon Mobile Power Corp. The Ombudsman ordered the filing of an Information for Obstruction of Apprehension and Prosecution of Criminal Offenders before the Manila Regional Trial Court against Dyna Simonette Dolor, Senior Tax Analyst, Center, DOF; and the Chingkoe spouses. Investigation showed the officials, in conspiracy with the private respondents, caused the issuance of the Tax Credit Certificates (TCCs) in favor of FILSTAR even if it is not qualified to receive tax credit incentives under Executive Order No. 226. Under EO 226, an importer, exporter, or manufacturer registered with the Board of Investments (BOI) can avail itself of tax credit incentives on raw materials and on domestic capital equipment. A tax credit is a rebate of refund of import taxes and duties which a BOI registered enterprise, firm or manufacturer has paid beforehand to the Government on the raw materials, supplies and semi manufactured products it has earlier imported to the country that will be used in the manufacture, processing or production of its finished product which will be exported later abroad. Under the tax credit incentive program, the government gives back to the exporter or manufacturer the import duties and taxes it has earlier paid, not in cash, but in the form of a TCC, which the Government guarantees to honor and accept also as payment for taxes and duties and other obligations due to the National Government. - GMANews.TV