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Ninjas in our midst

I grew up on ninja films featuring those secretive, stealthy and skillful operatives that hide their faces. They are also killers and assassins. The Japanese characters actually mean the “one who perseveres,” probably because they train hard and long to be who they are. They honor a code unto themselves and to their principals.

It is easy to relate this to the urban terminology used in the country today — the specter of “ninja cops.” Old school as we are, cops are policemen, sworn to protect the citizenry and uphold the rule of law, drawing from state funds and armed with authority and guns. It is a simple task but a challenging vocation.

But “ninja cops” are not only a bastardization of whatever is romanticized in ninja the warrior. It is a corruption of the heart and soul of the police force, the men and women who serve the community with honor and pride.

“Ninja cops” lead double lives — in the day they are be-medaled officers in uniform but at night or in the cover of the dark, they are the worst form of criminals. They are the worst because they violate institutional regulations, ethical norms, and the laws of the land using their positions to commit their crimes. They are the worst because drugs that are meant to be destroyed are trafficked multiple times. They are the worst because the drug criminals become the prey to a more powerful syndicate.

There are many ways to analyze this evil. The underlying legal problem lies in the Comprehensive Dangerous Drugs Act of 2002. It created the Philippine Drug Enforcement Agency or the PDEA patterned as usual after the American’s Drug Enforcement Agency by adding the letter “P” to the acronym. The PDEA through the years has seen its share of controversies. But a major issue is that while the PDEA is now the law enforcement agency that is responsible for the implementation of the law, there are other narcotics units out there that operate against drugs. These may be the “ninja narcotic units.”

In Section 86 of the law, it mandated the “transfer, absorption, and integration of all operating units on illegal drugs into the PDEA” and directed that the Narcotics Group of the PNP, the Narcotics Division of the NBI, and the Customs Narcotics Interdiction Unit all be abolished.

Almost two decades after the clear directive of the law, what is the reality on the ground? If the PDEA is the lead and sole agency for anti-drug enforcement, why are there cops tagged as ninjas?

Recycling confiscated dangerous drugs is highly rewarding because it counts as a successful operation for the raiders, and is very lucrative because they can then profit themselves from the easy access to the drugs that are on paper destroyed and obliterated.

As a reaction to this problem, Section 21 of the law outlines a strict eight-step procedure on the “Custody and Disposition of Confiscated, Seized, and/or Surrendered Dangerous Drugs, Plant Sources of Dangerous Drugs, Controlled Precursors and Essential Chemicals, Instruments/Paraphernalia and/or Laboratory Equipment.” In law, this is part of the “chain of custody” whose links must remain unbroken for the evidence to be admissible in court.

There are two issues that follow. One, the non-observance of the chain of custody is among the most frequent causes for the technical dismissal of drug cases. This means that even with the perpetrators caught red-handed with the drugs, drugs paraphernalia, dirty money, and other sorts of evidence, in the eyes of the law — that is the judge who is not a ninja — there is no evidence to speak of because the contraband cannot be traced back to the accused. It is, of course, a different story if it is a ninja court.

Second, the procedure is cumbersome and impractical. We know by experience and common sense that just by making rules tight does not make the rules work. On the contrary, it results in a system full of holes. It frustrates the good police officers who may not be fully trained in the intricacies of evidence custodianship and who may not be adequately resourced in the tagging, bagging, transport, and testing of drugs. This becomes acute when the amount seized is in the hundreds of kilos, or when there is a host of ninja defense lawyers that question each and every turn of evidence keeping.

And the PDEA and its governing body, the 12-person Dangerous Drugs Board (DDB) are tied up and down with the procedure that is enshrined in law. It is a bad practice to ordain operational details that require legislative amendments for every change to improve the implementation of the law. The better way is to set the principles and the parameters to guide the agency in the formulation of the technical documents. Then it is for legislature to exercise oversight to ensure faithful compliance. The courts can act as the regular check in the way our criminal justice system is designed to work.

“Investigations in aid of legislation” can truly mean what it is and acquire the proactive nature of law-making instead of the endless cycle of media fanfare, the waste of scare resources, with no utility at the end. “Ninja cops” will be gone in a few episodes but they will still be among us.

Hazing and impunity

Last year he did sign into law Republic Act 11053, which criminalizes all forms of hazing. But when asked to comment on the death of Philippine Military Academy (PMA) cadet Darwin Dormitorio, President Rodrigo Duterte nevertheless said that hazing is impossible to stop.

Hazing is the practice of imposing humiliating and even dangerous tasks on an individual as part of his or her initiation into an organization. Being verbally abused, forced to dress in outlandish clothes, or to do something embarrassing in public, eating foul substances and imbibing huge amounts of alcoholic drinks are among the more common types of hazing. But it can also include beatings and other forms of physical violence that cause temporary or permanent injury and even death, as in the Dormitorio case.

Most Filipinos have come to associate hazing with Greek-letter societies because of past hazing incidents involving those groups. But not only college fraternities and sororities use it as part of their initiation rites. Other student organizations, even honor societies, criminal gangs, the military — and, as the entire country learned, or was reminded some two weeks ago, institutions such as the PMA, where the future members of the officer corps are trained, practice it as well. The police also haze new members of the force. So does the Philippine National Police Academy (PNPA) haze those who’re in training to be policemen.

Hazing is a practice that goes back thousands of years and has been observed as occurring in some form or the other in many cultures. It was apparently practiced in ancient Greece (Plato condemned it), and in the rest of Europe during the Middle Ages. Studies by social psychologists say hazing was introduced into the New World from Europe. Hazing deaths have also occurred in American college campuses as well as in the branches of the United States armed services. The practice was arguably introduced into the Philippines when the country was a US colony from 1900 to 1946.

Despite a hazing death in the University of the Philippines (UP) in the 1950s, the practice has continued in some student organizations in that institution, among them sororities and fraternities. It has even spread to other schools. Neither the 1995 Anti-Hazing Law (RA 8049) nor last year’s expanded version of it has prevented its use in various forms, the most common being the infliction of pain through paddles, clubs, fists, kicks, and other means. Baseball bats, even shovels have also been used in hazing, the only limit to the kind of implements used being the imagination of those doing it.

One key reason why its practice persists is its own victims’ conviction that hazing is a necessary step in assuring the loyalty and fidelity to the group of its incoming members. Despite the prospect of being hurt or even killed during the hazing process, some students also join fraternities for prestige and bragging rights — and for access to the doors of opportunity their influential alumni can open for them after graduation. In the police and military, going through it is supposed to be incontrovertible proof of manliness. As former Philippine National Police (PNP) Director General, now Senator Ronald “Bato” De la Rosa said in defense of the practice, he became the man he is today — a “warrior” — because of hazing.

Mr. Duterte may in fact be right. Hazing may indeed be impossible to stop altogether. But it can and should at least be discouraged. University presidents can warn fraternities and other student organizations of the dire consequences of hazing their fellow students. Laws that can more effectively penalize hazing can be passed and rigorously implemented. And the President of the Republic can stop saying that it’s an unavoidable hazard when joining a fraternity.

Hazing should be discouraged not just because it has cost the lives of a number of young men (including Dormitorio, at least 44 since the 1950s) who could have contributed something of value to the making of a better country had they lived. It is also because it contributes to and helps preserve the culture of violence and impunity metastasizing in much of Philippine society.

This is specially evident in its impact on the values of the police and military as coercive instruments of government. The hazing death of PMA cadet Darwin Dormitorio is specially instructive. What he experienced suggests that the use of arbitrary power against the powerless is unchecked and even tolerated in that institution — and that, therefore, its disciples are likely to use that same power against others once they’ve graduated and assumed command of the country’s soldiery.

Hazing in the country’s colleges and universities is condemnable. But the practice is even more appalling in the police and military, institutions whose core function is the use of violence for social control. Just like the police, the military is also an internal pacification force whose legal monopoly over the use of violence is easily abused.

Some individuals have tried to downplay the PMA incident by arguing that hazing happens as well in the country’s colleges and universities. But a fraternity man who has been both hazed and hazer, who graduates with a degree in, say, economics, law or engineering, is unlikely to have the occasion or opportunity to torture anyone into confessing to a crime, or to shoot an unarmed farmer to death on the suspicion that he’s a member of a rebel group. It’s quite simply because his discipline has little to do with the use of force.

There have been deaths in fraternity hazing as in the PMA. But what makes the most recent hazing death in the latter specially disturbing is Dormitorio’s having been targeted for long-term abuse.

Fraternity hazing is usually limited to a particular “season” — at the beginning of the school year when those of its members who have graduated need to be replaced with new recruits to keep the organization alive. There is also a space as well as a time limit to it. But this was not true of the torture to which Dormitorio was subjected at nearly every turn. Fraternity tormentors don’t live with their victims, but Dormitorio’s did, and were inflicting harm on him at every excuse and opportunity.

Equally troubling though unremarked was one of his alleged tormentor’s describing his victims as “crying like girls” from the pain he was inflicting on them and as “faggots.” Because used to justify the use of violence that led to the death of one victim, these expletives qualify as hate speech. It suggests that Dormitorio and others were singled out because they were perceived as somehow different, and that, therefore, the hazing they underwent which led to Dormitorio’s death was also a hate crime.

What should concern everyone is how the PMA brand of hazing has encouraged the kind of military mind-set that regards as legitimate the use of violence against the powerless and the “different” — in appearance, sexual orientation, politics, religion, social status, or ethnic origin. Together with that mistaken assumption is the consequent conviction among some in the officer corps that because they got away with it during their cadet days, they can do anything with impunity once they’re out there making the Philippines safe for the dynasties and the oligarchy by protecting them from farmers, workers, indigenous peoples, political and social activists, and others who think the government should serve them too rather than just those who control it.

 

Luis V. Teodoro is on Facebook and Twitter (@luisteodoro).

www.luisteodoro.com

Newcomer, newsmaker

When someone suddenly zooms to power and fame, the newcomer becomes a newsmaker. The instant celebrity assumes an unmistakable aura of importance.

His sentences are quotable — whether or not they are profound, humorous, clairvoyant, cynical, or sarcastic. Everything he does is photographed, reported or hyped in media. He is photogenic and telegenic (even if he is not classically handsome, lean, or attractive).

The rapid ascent to a high altitude on the business scene and the social scale is quite a heady experience. Literally and figuratively.

At sea level, the body is accustomed to an abundant amount of oxygen and some stale air. The instant rise from zero ground level to a 100-point atmospheric level causes physical discomfort and ailments — vertigo, dizziness, giddiness, and shortness of breath.

The ego suddenly gets a lot of massage. Instant fame and power can produce weird, adverse, or unpredictable reactions.

From relative obscurity or mediocrity, an individual who had struck gold or done something impressive takes center stage in a new, unfamiliar and intimidating arena.

These side effects, however, can be minimized or tempered if the ascent is gradual. The adjustment mechanism of the body allows adaptation to changes in environment and altitude.

If the person is basically shy or introverted, he may attempt to overcompensate. Or he may shield himself and his privacy through buffers.

Being in the magnifying, distorting effects of the intense limelight heightens the eerie sensations of fame. Not everyone can cope with ease or adapt gracefully.

The downside of fame is — everything gets blown out of proportion. A well-known writer once said, “Fame is a double-edged sword.”

Proximity to power. Some people enjoy the vicarious thrills of being near famous and powerful people. It is an irresistible magnet to be in orbit around the star of the moment.

The new circle of associates and “friends” expands. Popularity is directly proportional to the perception of star wattage and aura of power. Old friends are sometimes left out and blocked by the recently installed cordon sanitaire. Butterflies, bees, birds (the fair weather variety) and all kinds of groupies flutter around to flatter. The new entourage has assorted satellites — sycophants, fans, social climbers, predators, and opportunists.

VECTORPOCKET

The lifestyle change is dramatic and drastic. The newcomer is now upscale and high-end, high maintenance. He develops a penchant for expensive status symbols but he does not necessarily have good taste. He struts around in luxury hotels and posh clubs with security aides. He rides a flashy SUV or limousines and European sports cars. For impact, he flies around in a his own or chartered helicopter or private plane for inspection tours. He wants to avoid traffic and flying high is his trip.

The travel bug bites. Junkets to inaugurations, awards ceremonies are excuses to travel to distant countries — free of charge or on an expense account. This could be courtesy of a bottomless budget. Spend now. Explain later — or no explanation needed.

The buying binges and spending sprees follow. Office renovation includes a new location with a sunset view, new furniture, Persian carpets and fancy electronic gadgets, a Jacuzzi and expensive artworks.

The temptation to show off and to surpass the Joneses is so great. New homes and matching wardrobes and accessories are acquired in the city and plush resort areas.

Few people in high places can remain simple, unassuming, low-key and humble. The lofty attitude and atmosphere cause personality disorders and deterioration.

Flaws appear and distort one’s sense of balance and propriety. He becomes self-centered, pompous, arrogant, and extravagant.

He begins to believe the chanting that he is irreplaceable and indispensable. He believes that he is superior — above the law and ordinary people. To the point of megalomania.

In the corporate setting, climbing the ladder elicits a different type of reaction. Transformation can be subtle. There may not be major external disruptive signs, Well-grounded and well-rounded; the fast-track hardworking executive makes a smooth transition. His attitude, demeanor and lifestyle remain the same. Secure in his capabilities and talent, he continues to work, to achieve, and to receive recognition and awards. Without the need to aggrandize himself to impress others.

On the other side of the coin, the insecure executive undergoes an upheaval in attitude and manner. He starts acting like a hot shot, assumes snooty airs in the rarefied atmosphere of the top floor. His inflated ego demands all the visible perks — a new car, the key to the executive lift, membership at the most exclusive clubs.

A new image is cultivated to fit the new position. Somewhere along the way, he steps on other people. Just to get to the new office with the shiny title on the brass plate.

One effect of being in a high place is a major memory lapse. One has convenient amnesia and selective recall. Until a jolt brings him crashing down to earth.

Racing to the top is like riding a high-speed scenic elevator.

At the summit, the air is different. The view is magnificent. One feels grand, omnipotent and invulnerable. People, things, and issues on ground level seem so tiny, inconsequential and irrelevant.

The power trip of the newcomer is an incomparable ride — a roman candle to blaze in the sky. Awesome, gravity-defying, ego-inflating, illusory, ephemeral. And transitory.

 

Maria Victoria Rufino is an artist, writer and businesswoman. She is president and executive producer of Maverick Productions.

mavrufino@gmail.com

The Philippines gets its independent economic policy

The bicycle theory of trade dictates that international trade keep moving lest it topple and fall. This unfortunately resulted in some sectors increasing the drama at every economic development, from each new WTO Ministerial meeting or media’s gleefully grim reporting of the US-China trade war.

The truth, as always, is a bit media shy.

Something is happening or may happen that could affect international trade but whether international trade drives it is another matter.

“The ‘trade war’ is only a symptom of the disease,” business expert John Mangun recently wrote. Citing Mark Carney, the governor of the Bank of England: “Past instances of very low rates have tended to coincide with high risk events, such as wars, financial crises, and breaks in the monetary regime,” Mangun insightfully points out that “global average interest rates are at a 5,000-year low.”

However, the culture wars, particularly the effect on the family and sexuality worldwide, is another profound, if not equally ominous, harbinger.

Which leads to doubts about China’s supposed importance as far as the Philippines goes. At least, if the supposed experts are to be believed.

And yet consider, at least as far as international trade is concerned, that China does not even make our Top 3. The US remains the biggest (and interestingly, fastest growing in recent years with its upswing of 9.1%) at $10.6 billion (representing 15.6% of total Filipino exports). Hong Kong (currently testing China’s will) follows at $9.6 billion, then Japan at $9.5 billion.

China’s receives $8.7 billion of our exports but rams us with imports of around $22 billion, posting the Philippines highest trade deficit at $13.9 billion.

Interestingly, we have a surplus with Hong Kong: $6.4 billion, followed by the US at $2.2 billion.

One number that is interesting is that when the trade of Germany, the Netherlands, and France are combined, they approximate $6.4 billion, roughly making the EU our 5th biggest trading partner. Combine that with the fact that we have surpluses with Netherlands ($1.8 billion), Germany ($301.7 million), Hungary ($157.3 million), the Czech Republic ($142.9 million), and Poland ($141.7 million).

Another significant fact is the health of our trade portfolio: our biggest trading partner, the US, merely constitutes around 16% of our exports, with a substantially equitable distribution amongst Hong Kong (14.2%), Japan (14%), China (12.9%), and Germany/Netherlands and France at 9.6%.

China, on the other hand, is fairly locked in with its trade war adversary the US, the latter representing 19.2% of its exports (with a surplus of $323.7 billion). The remaining Top 4 look fairly small in comparison, with its estranged Hong Kong leading at 12.1%, then Japan 5.9%, South Korea 4.4%, and Vietnam 3.4%.

Investment-wise, China is touted as 2018’s biggest investor but (as Santander reports) such is “mainly due to the construction of an iron and steel plant by the Chinese Hesteel Group (HBIS) in southern Philippines.” Otherwise, that much needed FDI still flows reliably from Singapore, the US, Japan, the Netherlands, and Malaysia.

Thus, the added significance of President Duterte’s recently concluded and apparently successful Russia trip, which BusinessWorld reported resulted in “business deals worth about $12.57 million,” ranging from nuclear power, tuna, sardines, coconut products, wristwatches, vehicles, and medical technology.

Also, “total trade between the Philippines and Russia last year grew 42% from a year earlier to $1.36 billion. Philippine exports to Russia rose to $86 million last year from almost $70 million in 2017.”

More intriguingly, was Duterte’s invitation for Russia “to participate in the massive ‘Build, Build, Build’ infrastructure program especially in transport and railway construction where Russia has high expertise.”

The infra invite is intriguing because it comes almost simultaneously with Japan and the EU’s infrastructure agreement, which (as Deutsche Welle reports) is envisioned to “build infrastructure in sectors such as transportation, energy and digital services to improve connectivity between Europe and Asia. The agreement is part of a broader EU plan to strengthen economic and cultural ties between the two regions.”

The agreement is widely perceived as a counterbalance to China’s “Silk Road” ambitions, with both Japanese Prime Minister Shinzo Abe and European Commission President Jean-Claude Juncker stressing the need for the projects to “financially sustainable, provide ‘rules-based connectivity,’ foster ‘free and open’ trade and a ‘mutually-beneficial’ relationship.” This directly addresses criticism hurled at China for “creating mountains of debt” and “of strong-arming poor countries through predatory lending as part of its BRI (Belt and Road Initiative),” as well as “concerns about the Chinese-backed projects falling short on environmental standards.”

Or as Juncker puts it: to have economic development without reliance “on a single country.”

The Philippines should get in on this agreement. Because, despite the machinations by some Filipinos to have the country placed in the pocket of China on top of its attempts to grab our territories, the Philippines under Duterte suddenly found itself in a favorably independent economic and trade policy position.

We should build on that and hopefully translate it to an independent foreign security policy position.

 

Jemy Gatdula is a Senior Fellow of the Philippine Council for Foreign Relations and a Philippine Judicial Academy law lecturer for constitutional philosophy and jurisprudence.

https://www.facebook.com/jigatdula/

Twitter @jemygatdula

NCAA: Previously denied, Lyceum Pirates make another go at top two vs JRU Heavy Bombers

HAD their outright bid to collar the second seed in the playoffs of Season 95 of the National Collegiate Athletic Association denied in their last game, the Lyceum Pirates make another go at it when they take on the Jose Rizal University Heavy Bombers at 2 p.m. today at the FilOil Flying V Centre in San Juan City.

At solo second entering the game, the Pirates (12-4) shoot for their 13th victory in the tournament that would effectively shut the door on their closest pursuers for the second seed in the Letran Knights (10-6) and San Sebastian Stags (9-6).

Already assured of the top seed are the defending champions San Beda Red Lions (16-0).

The Pirates had a chance to barge into the top two heading into the Final Four in their previous game but saw the rug pulled from under them by the Stags, 73-71.

Lyceum had control of their match against San Sebastian on Oct. 8 only for it to falter in the end to fall to its first loss in seven games.

Jaycee Marcelino and Mike Nzeusseu had solid outings for the Pirates but saw them go for naught with the Stags coming from behind for the two-point win.

Marcelino finished with 21 points and six rebounds with Nzeusseu tallying a double-double of 16 points and 12 rebounds.

Standing between the Pirates and the second seed are the Bombers (4-11), who despite already out of the running are looking to finish their campaign in their remaining games on a high note.

JRU has lost four straight entering the contest, the last one at the hands of the Perpetual Help Altas.

Agem Miranda is the top scorer for the Louie Gonzalez-coached Bombers with 13.8 points per game, followed by John Amores (9.7 ppg) and Marvin Dionisio (9.2 ppg).

Also playing today are Letran against Perpetual Help (5-10) at 12 noon and the season hosts Arellano Chiefs (4-11) versus the Emilio Aguinaldo College Generals (3-12). — Michael Angelo S. Murillo

Mintah scores 4 as Kaya FC–Iloilo dismantles Mendiola FC 1991, 5-1

KAYA FC–Iloilo made sure there was no repeat of last week’s stalemate against Mendiola FC 1991, putting in an assured performance en route to a 5-1 victory in Philippines Football League action at the Aboitiz Pitch on Wednesday. Jordan Mintah put in another outstanding shift for the hosts as he bagged four goals in the contest.

It took 15 minutes for Kaya to find the breakthrough. With a clever first touch, Shirmar Felongco cut inside from the right flank and fed Mr. Mintah, who was able to turn and fire into the net. He doubled the lead in similar fashion, but this time the assist came from the opposite flank through Jalsor Soriano.

Iloilo seemed set for smooth sailing but Ricardo Sendra pulled one back for the visitors with a low drive from the edge of the box. Mr. Mintah clipped the crossbar with a long-range chip as Kaya pushed for a third, but the score remained at 2-1 when the halftime whistle blew.

The Ghanaian forward, however, needed little time to pick up where he left off. Just seven minutes after the break, he rose highest to head in Jayson Panhay’s corner to complete his hat trick. Masanari Omura then headed in an almost identical Panhay corner to make it 4-1.

Kaya found a fifth goal roughly 10 minutes later. Substitute Yannick Tuason latched on to a ball over the top of the Mendiola defense and was brought down by the keeper. The resulting penalty was smashed in by Mr. Mintah to cap off the 5-1 victory.

Astros determined to crack Tampa Bay Rays’ pitching in series decider

HOUSTON — Rays right-hander Tyler Glasnow has been granted the clearance to work deep into Game 5 of this American League Division Series on Thursday.

But considering the success Tampa Bay has enjoyed throwing multiple arms at the favored Houston Astros, maintaining a committee approach might serve as the best course of action.

On the heels of a franchise-record 107 wins in the regular season, the Astros will face elimination in the decisive contest largely due to their inability to solve Rays pitching. After leading the majors in batting (.274), on-base (.352) and slugging percentage (.495) during the season, the Astros have slashed .241/.294/.391 in the ALDS, with their .685 OPS a whopping 163 points below their regular-season mark of .848.

Central to the Rays’ success has been their reliance upon bullpen depth. When Glasnow, who took the loss in Game 1, toes the rubber opposite Astros right-hander Gerrit Cole, he will do so knowing he has ample support at the ready.

The Astros are fully aware of this as well.

“They made it perfectly clear they weren’t going to let guys see a guy multiple times,” Astros manager AJ Hinch said of the Rays.

“And statistically, and from a competitive standpoint, that’s the way to go. If you really want to be the most effective, that’s the approach to go with. It’s hard to do that over 162, but in a five-game set, you’re seeing them play out their script about as well as they possibly could.

“It’s up to us to make the adjustments. We’ve seen these guys now. You can’t have it both ways. You can’t say it’s difficult on one guy seeing a guy over and over again, and on the flip side when you see a guy over and over again, you’ve got to find a way to put up good at-bats.”

Eight different pitchers have worked at least three innings for the Rays in the ALDS, four out of the bullpen. Right-handed relievers Chaz Roe (six outs recorded) and Emilio Pagan (five) also have logged more than an inning each, with the Rays outpacing Houston in the battle of individual matchups.

When Rays manager Kevin Cash opted for an opener in Game 4, his gambit paid dividends.

“I think it’s a combination (of stuff and talent),” Cash said of his relief corps. “Their stuff is really, really good. Now, saying that, I don’t know if you’re going to see two bigger contrasts from Diego Castillo to Ryan Yarbrough, and then you bring in Nick Anderson. There’s a lot of opposites in there.

“So it’s a combination of both. But (Game 4), probably that’s where the contrast really played a role. And you’ve probably got to have a little bit of that contrast to be fortunate enough to do what they did against as good as the Astros lineup is.”

Given the calamitous prospect of losing in the ALDS despite being favored to win the World Series, the Astros are under pressure to unlock the mystery of Rays pitching.

Having Cole, unbeaten over his last 23 starts, on the mound helps, and the Astros should be emboldened by playing at Minute Maid Park, where they set a franchise record for home wins (60) this season.

“We’re fine,” Astros second baseman Jose Altuve said. “The energy is up, the confidence, the chemistry is still really good. We’re talking about how good it’s going to be (in Game 5). We believe in ourself. We have great hitters. Like I always say, this is a team full of good players.

“And so we’re going to go out there and prove it (Thursday).”

Cole set a club postseason record with 15 strikeouts across 7 2/3 scoreless innings in a Game 2 victory. Entering the series, he had been 0-2 with a 3.51 ERA in four career starts against the Rays.

Glasnow allowed two runs on four hits across 4 1/3 innings in the Game 1 defeat. He won his only previous start against Houston, allowing one run on six hits over five innings on March 30. — Reuters

Humdinger

It didn’t take long for A.J. Hinch to publicly announce that Justin Verlander would be his Game Four starter. The body that was Game Three of the American League Division Series hadn’t even turned cold yet, but he felt he couldn’t take any chances. Not with the Rays, supposedly overmatched against aces, instead blitzing Zack Greinke for six runs on five hits in just three and two-thirds innings. The extension of the future Hall of Famer’s playoff woes forced the Astros manager to tap Justin Verlander in hopes of a repeat of their dominant win in the opener.

Again, Hinch didn’t want to take any chances. Yet, taking a chance is precisely what sending Verlander to the mound meant. For all the latter’s accomplishments, pitching on short rest after a full effort wasn’t one of them. In other words, it was a risk that looked to pay off spectacularly, or put the Astros in a bind if it didn’t. And, unfortunately, the worst-case scenario was precisely what unfolded; the 36-year-old right hander lasted just as long as Greinke before him, and when he was pulled from the mound, he had already allowed four runs off seven hits.

Before and after the loss, Verlander insisted that he felt great, and that blaming his woes on the quick turnaround time was “low-hanging fruit.” Yet, it was clear from the outset that he struggled with placement; half the four-seamers he threw were called for balls, and his lack of location accuracy compelled him to turn to his off-speed stuff. Which, as things developed, proved even more errant; the Rays got six hits from the 12 that were delivered. As he himself noted, his downfall was due to “bad slider, inconsistent control … The slider was the worst it’s been all year.”

True, the Astros remain favored to claim the series. For one thing, they have Gerrit Cole, who hasn’t lost a start in 23 outings. If there’s anything the annals of Major League Baseball have shown, however, it’s that anything can happen in a winner-take-all affair. And even if they do prevail, their rotation for the AL Championship Series is shot. Because Greinke underperformed anew. Because Hinch went for it. Because Verlander couldn’t pull off a first. And because the Rays capitalized on opportunities. The stage is set. A humdinger awaits.

 

Anthony L. Cuaycong has been writing Courtside since BusinessWorld introduced a Sports section in 1994. He is a consultant on strategic planning, operations and Human Resources management, corporate communications, and business development.

Shares rebound as US, China start negotiations

SHARES recovered in yesterday’s trading amid optimism on the results of the trade negotiations between United States and China.

The bellwether Philippine Stock Exchange index (PSEi) saw an increase of 1.09% or 83.78 points to close at 7,765.03 on Thursday, while the all shares index climbed 0.77% or 35.91 points to 4,691.90.

“Philippine shares rose on hopes of progress in US-China trade talks, though stocks pared some gains after Chinese officials said Beijing had lowered expectations for negotiations this week,” Luis A. Limlingan, head of sales at Regina Capital Development Corp., said in a mobile message.

“The strong rally tailed off towards the last 15 minutes of trade after preliminary talks on the deputy level yielded no result on the trade talk,” he added. “A limited agreement and no additional tariffs would be a modestly positive development for risk assets.”

Eagle Equities, Inc. Research Head Christopher John Mangun shared this sentiment, saying in an e-mail on Thursday: “They are set to meet later tonight to try and avoid a scheduled Oct. 15 tariff rate increase on $250 billion worth of Chinese goods. Beijing offered to increase soybean purchases as a peace offering ahead of the high-level trade talks which also gave investors some relief.”

The United States’ and China’s top trade negotiators were set to meet on Thursday for the first time since late July to try to find a way out of a 15-month trade war as new irritants between the world’s two largest economies threatened hopes for progress.

Chinese Vice Premier Liu He, US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin will seek to narrow differences enough to avoid a scheduled Oct. 15 tariff rate increase on $250 billion worth of Chinese goods.

Most Southeast Asian markets held steady on Thursday, as investors remained cautious as neither Washington nor Beijing had shown signs of giving ground at the trade negotiations.

US S&P 500 mini futures tumbled after media reports cited that no progress was made in the deputy-level trade talks, and that the Chinese delegation was planning to leave Washington on Thursday after just one day of high-level talks, instead of Friday as originally planned.

Back home, all sectoral indices ended in the green, led by financials which climbed 1.75% or 31.22 points to 1,812.05 and property which moved up 1.34% or 54.03 points to 4,073.45. Services rose 0.87% or 13.15 points to 1,512.11; industrials which improved 0.6% or 63.23 points to 10,586.56; holding firms added 0.49% or 37.31 points to 7,576.45; and mining and oil jumped 0.4% or 36.72 points to 9,109.74.

Value turnover ballooned to P14.46 billion yesterday from the P4.80 billion logged on Wednesday, as 1.36 billion issues changed hands.

Advancers outnumbered decliners, 93 to 78, while 53 names closed unchanged.

Foreign investors were net buyers on Thursday with net inflows totaling P5.07 billion versus the previous session’s net sales worth P1.87 billion. — Denise A. Valdez with Reuters

Peso up on trade talks

THE PESO climbed versus the dollar on Thursday as the United States and China restart trade talks and following positive local data.

The local unit ended at P51.64 against the greenback on Thursday, gaining 15 centavos from its P51.79-per-dollar finish on Wednesday.

The peso opened the session at P51.80 versus the dollar, which was its worst showing for the day. Meanwhile, its closing level was its intraday best.

Dollars traded on Thursday slipped to $1.158 billion against the $1.234 billion seen on Wednesday.

“Optimism with regard to the trade talks resulted in risk-on sentiment in the markets, benefitting the peso,” a trader said in a phone call.

UnionBank of the Philippines, Inc. chief economist Ruben Carlo O. Asuncion also attributed the peso’s strength to local trade figures released on Thursday.

“Some positivity around a potential trade agreement between the US and China is helping the peso. A narrower trade deficit for August 2019 is also supporting the local currency,” Mr. Asuncion said in a text message.

The United States’ and China’s top trade negotiators were set to meet on Thursday for the first time since late July to try to find a way out of a 15-month trade war as new irritants between the world’s two largest economies threatened hopes for progress.

Chinese Vice Premier Liu He, US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin will seek to narrow differences enough to avoid a scheduled Oct. 15 tariff rate increase on $250 billion worth of Chinese goods.

But the atmosphere surrounding the talks was soured by the US Commerce Department’s decision on Monday to blacklist 28 Chinese public security bureaus, technology and surveillance firms, citing human rights violations of Muslim minority groups in China’s Xinjiang province. A day later, the US State Department imposed visa restrictions on Chinese officials related to the Xinjiang issue.

If negotiations break down again, by Dec. 15, nearly all Chinese goods imports into the United States — more than $500 billion — could be subject to punitive tariffs in the dispute that erupted during US President Donald Trump’s time in office.

Meanwhile, the Philippines’ trade deficit thinned to $2.41 billion in August from $3.6 billion in the same period a year ago, according to data from the Philippine Statistics Authority.

For today, the trader sees the peso moving around the P51.50-51.75 band against the dollar, while UnionBank’s Mr. Asuncion predicts a range of P51.50-51.80. — L.W.T. Noble with Reuters

SC: Meralco’s unbundled rates for review

THE SUPREME Court (SC) has ordered the Energy Regulatory Commission (ERC) to review the unbundled rates of Manila Electric Co. (Meralco) to ensure that consumers pay “in the least cost manner.”

In a statement on Thursday, the SC Public Information Office (PIO) said the country’s highest court ruled on Oct. 8 that ERC’s 2011 affirmation of its 2003 approval of Meralco’s unbundled rates “was in violation of its statutory mandate to approve rates that will provide electricity to consumers in the least cost manner.”

The ERC has been directed in particular to determine “a reasonable and fair valuation of the regulatory asset base” of Meralco.

Further, the ERC must review the parameters for determining expenses that are directly related to the distribution company’s operations and can be passed on fully or partially to consumers.

The case stems from the petition filed by consumer group National Association of Electricity Consumers for Reforms, Inc. (NASECORE) questioning the 2016 decision and resolution of the Court of Appeals (CA), which upheld the ERC orders in 2011 and 2013 declaring Meralco’s unbundled rates as final.

Meralco filed in 2001 its application for its unbundled rates, appraisal of properties, and proposed rate increase of P1.1228 per kilowatt-hour pursuant to the Electric Power Industry Reform Act (EPIRA) of 2001.

It was approved by the ERC in an order on May 30, 2003.

The ERC approval was nullified by the appellate court in 2004 on the ground that the Commission on Audit (CoA) should first conduct an audit of Meralco before the ERC sets the rates.

The SC reversed the CA decision in 2006 but still directed the ERC to request CoA to complete the audit of Meralco.

CoA submitted its report to the ERC in 2009, and ERC ruled in June 2011 the finality of Meralco’s unbundled rates.

NASECORE elevated this to the CA, saying the ERC erred in disregarding the findings of CoA.

Among the CoA’s findings was the inclusion by Meralco of its employee’s pension and benefits amounting to P3.479 billion in 2004 and P2.916 billion in 2007 under its operating expenses.

The CoA report also cited that certain properties and equipment worth P3.701 billion in 2004 and P3.586 billion in 2007 “should not be considered as part of the rate base as they were not used and useful in the distribution operation.”

The CA dismissed the petition and the following motion for reconsideration in 2016, prompting NASECORE to raise the case before the high court.

The SC PIO said the court found that ERC failed to “properly consider” CoA’s findings.

Under the Government Auditing Code of the Philippines and the Administrative Code of 1987, CoA is authorized to examine the accounts of public utilities in connection with fixing of rates.

The ruling was penned by Associate Justice Antonio T. Carpio but an official copy of the decision has yet to be released.

ERC Chairman and Chief Executive Officer Agnes VST Devanadera said the commission has not been served yet with a copy of the decision.

Ang kailangan natin, mabasa muna natin ‘yung full text ng decision (What we need is to read the full text of the decision). We cannot be picking up portions of whatever in news releases. We have to come up with a legal decision and we have to consult our statutory counsel, the Office of the Solicitor General,” she told reporters.

Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT, Inc. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has interest in BusinessWorld through the Philippine Star Group, which it controls. — Vann Marlo M. Villegas with Victor V. Saulon

Lawmakers commit to find budget for UHC implementation

LAWMAKERS ON Thursday assured that they will find adequate funding for health workers as the government prepares to roll out the Universal Health Care (UHC) Act and despite cuts in the Department of Health’s (DoH) proposed 2020 budget.

Quezon 1st District Rep. Angelina D.L. Tan said they are working on reinstating the needed fund for the UHC program, particularly the salary for human resources.

Under the 2020 national expenditure program, currently pending before Congress, the DoH’s proposed budget has been trimmed, which could result to retrenchments among its 26,000 health workers next year.

“We asked the DBM how we can manage the expectation of people if they will decrease the employees. With 26,000, it’s actually not enough. We want them to maintain that and increase that ratio of population to health workers but we are behind that,” Ms. Tan said during a briefing following the signing of the UHC’s implementing rules and regulations (IRR).

“I’m helping the DoH so we can restore the cuts in the budget,” she added, noting that they are also studying what item in the proposed DoH budget could be realigned for human resources.

Ms. Tan, author of the UHC, also said, “It’s not just human resources but also health facilities is important in implementing primary care. We are appealing to the DBM to study this well.”

The proposed 2020 budget of the DoH is P160.1 billion, over P9 billion lower than its 2019 allocation. Senate President Pro Tempore Ralph G. Recto said this could force a mass retrenchment of over 7,000 workers in 2020.

Senator Risa Hontiveros-Baraquel, co-author and co-sponsor of the UHC’s Senate version, said this was not the first time that lawmakers have appealed to reinstate the budgetary needs of DoH.

“Like the House, we are fighting in the Senate to reinstate the cuts for the DoH, especially with this timing when we’re going to implement the Universal Health Care,” Ms. Hontiveros said in the same briefing.

Meanwhile, DoH Secretary Francisco T. Duque III said completing the UHC’s IRR “is indeed a cause for celebration, but the IRR is the first step in the long and tedious journey in creating a health system that truly works for every Juan and Juana.”

The UHC Law provides that all Filipinos are automatically registered under the PhilHealth Insurance Corp. and are eligible to the “No Balance Billing” when availing basic or ward accommodation in hospitals.

The IRR also provides that all health facilities will have the following prescribed ratio of basic and private beds: 90:10 for public health facilities, 70:30 for public specialty health facilities, and a minimum of 10:90 for private health facilities.

DoH Undersecretary Mario C. Villaverde said, “There are so many policy guidelines that is needed to implement some provisions in the law and in the IRR. That is the next phase that we will do here. We need to operationalize what is written in the Act and what is written in the rules and regulations… We are already mapping out the specific operational guidelines.” — Gillian M. Cortez

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