Facebook Instagram Linkedin X Youtube
Home Blog Page 10479

Peso drops on risk-off sentiment after attack on Saudi oil facilities

THE PESO weakened against the dollar as investors flocked to safe havens after an attack on Saudi Arabia’s oil facilities drove up crude prices and worsened tensions between the United States and Iran.

On Monday, the local unit returned to the P52-per-dollar level as it closed at P52.28, down, crashing by 37 centavos from its P51.91 finish on Friday.

The peso started the trading session at sharply weaker P52.15 against the dollar. It failed to gain any ground against the greenback, with its intraday high at just P52.13. Meanwhile, it sank to as low as P52.36 versus the dollar.

Dollars traded on Monday jumped to $1.325 billion versus the $1.172 billion recorded on Friday.

One trader attributed the peso’s weaker performance for the day to better-than-expected US data released over the weekend, coupled with geopolitical tensions in the Middle East.

“The black swan event in the attack towards the oil facility in Saudi Arabia triggered a risk-off tone all throughout the day,” the trader said.

A black swan event refers to an event that comes as a surprise which triggers a major effect in markets.

A second trader shared the same sentiment, saying the attack on the Saudi Arabia oil facility dragged the peso’s performance for the day.

“Emerging market currencies are sensitive to risk appetite of investors. Investors would want to opt for safe haven currencies such as the yen and swiss [at times like this],” the second trader explained.

Oil prices soared with Brent crude posting its biggest intraday percentage gain since the Gulf War in 1991, after an attack on Saudi Aramco’s crude processing sites on Saturday shut about 5% of global supply.

Saudi Aramco has assured some clients that vessel loading has resumed following disruptions caused by the weekend’s attacks on Saudi oil facilities, two sources who received the notice told Reuters.

“Emerging Asian currencies most at risk to higher oil prices belong to countries with the largest oil trade deficits. They are the South Korean won, the Thai baht and the Indian rupee,” a DBS note said.

The Indian rupee was the worst hit by the surge in oil prices, weakening 0.9%, while the Indonesian rupiah shed 0.6%, its biggest intraday percentage drop since Aug. 6.

Investors now await the US Federal Reserve rate decision expected later this week with the market expecting a rate cut for the second meeting in a row.

The first trader said the result of the Fed meeting will guide sentiment moving forward and sees the local unit to moving around the P52.10-P52.50 band versus the dollar today.

Meanwhile, the second trader expects the peso to play within the P52.10-P52.40 range. — L.W.T. Noble with Reuters

Lorenzana kept in dark about China-linked deal

DEFENSE Secretary Delfin N. Lorenzana was kept in the dark about a deal that would allow a Chinese-linked telecommunication company to build towers inside Philippine military camps.

The government of President Rodrigo R. Duterte will cancel the agreement with Dito Telecommunity Corp. if it risks national security, presidential spokesman Salvador S. Panelo said at a briefing yesterday.

“Certainly, if it involves national security then the government can do something about it,” he said. “I’m sure the Defense secretary and Hermogenes Esperon will be undertaking measures to respond to that concern,” he added, referring to Mr. Duterte’s national security adviser.

Mr. Lorenzana will investigate the memorandum of agreement between the Armed Forces of the Philippines and Dito Telecommunity, Mr. Panelo said. “We will wait for his findings.”

Opposition Senator Francis Pangilinan on Monday raised a “national security concern” over the agreement, noting that two Chinese laws require companies there to “cooperate in gathering of intelligence information by the state.”

Formerly Mislatel, Dito is a consortium of Davao businessman Dennis Uy’s Udenna Corp. and its unit Chelsea Logistics Corp., and state-owned China Telecommunications Corp., a parent company of China Telecom, the lawmaker said.

Mr. Pangilinan said the Duterte administration had laid the “red carpet” for Dito inside military camps. “This Chinese telco’s involvement in our military camps is no joke.”

GLOBE, SMART DEALS
The agreement is not yet final and needs to be approved by the Defense chief, Adel Tamano, chief administrative officer of Dito, said in a mobile phone message. “As a Filipino company, Dito Telecommunity will of course comply with all government requirements,” he added.

Mr. Tamano said the deal is similar to the ones the Armed Forces had signed with Globe Telecom Inc. and Smart Communications Inc. “We want to assure the public that Dito has a cybersecurity plan approved by the National Telecommunications Commission,” Mr. Tamano said. “The company will always protect the national and cybersecurity interests of the Philippines.”

“This partnership gives Mislatel a fair chance to compete with the other networks, given that the AFP also has similar partnership with Globe and Smart,” AFP Chief of Staff General Benjamin Madrigal Jr. said in a statement.

Under the deal, the military will determine specific locations that may be used without undermining the operations of its units, he said.

“Our MOA with other telcos significantly improved the ICT infrastructure of the AFP and we are optimistic that this opportunity will also bring great benefits to the Armed Forces,” Mr. Madrigal said.

Muntinlupa Rep. Rufino B. Biazon also defended the deal, saying Mr. Lorenzana probably had not been briefed about it because it was still at the level of the AFP chief of staff.

“There is no one who could be more jealous of security than the Armed Forces,” he said during plenary debates on the Defense department’s 2020 budget.

But Mr. Pangilinan said the installation of electronic communications inside Philippine military camps raises fears of electronic espionage and interference given the record of some Chinese companies in this illegal activity.

“This fear is especially acute given that China’s National Intelligence Law from 2017 requires Chinese companies to “support, assist and cooperate with the state intelligence work.”

Mr. Pangilinan said countries such as Australia, the United States, Japan and New Zealand have banned Chinese telecommunication giant Huawei due to security concerns. — Arjay L. Balinbin and V.A.C Ferreras

Prices of petroleum products to go up starting Tuesday

OIL COMPANIES yesterday announced increases in fuel prices starting today, with gasoline and kerosene prices rising by more than a peso.

The announcement came despite assurances from the government that the drone attack on Saudi Arabia’s oil production sites had yet to be reflected on local prices.

Gasoline prices will increase by P1.35 a liter, while diesel prices will go up by 85 centavos a liter. Prices of kerosene will increase by P1 a liter.

“These reflect the movements in the international market,” Petron Corp. said in a statement.

Last week, oil companies cut gasoline prices by 50 centavos a liter, by 10 centavos for diesel and by 25 centavos for kerosene. — Victor V. Saulon

New rules disqualify murderers, rapists from parole grants

AUTHORITIES signed revised rules on the release of convicts for good conduct after illegally freeing about 2,000 felons convicted of heinous crimes.

Under the new rules, all recidivists, escapees, habitual delinquents and convicts of heinous crimes are excluded from parole, Justice Secretary Menardo I. Guevarra said at a briefing yesterday.

Heinous crimes include murder, rape, destructive arson, parricide, kidnapping and serious illegal detention, and violations of certain provisions of the Dangerous Drugs Act.

Mr. Guevarra said while those convicted of heinous crimes are disqualified, they may still avail themselves of parole but with lower time credits.

While time allowances are credited monthly, its grant will take effect on the second, fifth, tenth, and eleventh year of imprisonment, according to the implementing rules drafted by the Department of Justice and Department of Interior and Local Government.

Meanwhile, more than 600 of about 2,000 convicts who got illegally released for good conduct have surrendered after President Rodrigo R. Duterte threatened to hunt them down “dead or alive,” the Justice department said.

Justice Undersecretary Markk L. Perete said the 612 heinous crime convicts were now in the custody of jail officials. The rest of the convicts have until Sept. 19 to yield, he added.

President Duterte has fired Nicanor E. Faeldon, head of the Bureau of Corrections, after he allowed the illegal release of the felons convicted of heinous crimes for good conduct.

He also ordered his and other prison officials’ probe by the Ombudsman for corruption.

The Ombudsman has ordered the suspension of about 30 jail officials in connection with the botched release of ineligible prisoners.

Mr. Faeldon headed the Bureau of Customs but was forced to resign at the height of a controversy involving the shipment of billions of pesos worth of crystal meth from China. He was reappointed to the Office of Civil Defense before heading the BuCor in 2018.

Opposition Senator Franklin M. Drilon earlier said Mr. Faeldon was not only incompetent but also lied under oath to evade accountability for the planned early release of ex-Calauan Mayor Antonio L. Sanchez.

The release of the former politician, who was sentenced to seven life terms in 1995 for the rape and murder of two University of the Philippines students in 1993, was suspended after a public outcry and a Senate investigation of the plan.

Justice Secretary Menardo I. Guevarra has ordered the National Bureau of Investigation to probe the reported sale of hospital passes to inmates at the Bureau of Corrections.

GMA News earlier reported that prisoners inside the maximum security compound of the national jail in Muntinlupa City had been allowed to transfer to less crowded jails after illegally paying for hospital passes.

Mr. Guevarra earlier ordered a review of the rules on early release as well as a separate probe of corruption at the bureau after reports that parole grants have become for sale.

During a Senate hearing early this month, a witness accused some prison officials of selling parole to families of convicts. — Vann Marlo M. Villegas

House lawmaker seeks private car ban on EDSA

AUTHORITIES should ban all private vehicles on the main EDSA highway during rush hours to ease traffic in the capital, a congressman said yesterday.

This would make room for buses and other public utility vehicles that ordinary citizens can use, Caloocan Rep. Edgar R. Erice told reporters.

“We need to prioritize the welfare of ordinary workers, the poor and the lower middle class who don’t have cars,” he said in Filipino.

About 300,00 private vehicles pass through EDSA daily, compared with 8,000 buses, Mr. Erice said. Banning private cars would cut the travel time of ordinary commuters, he added.

He said private car owners may use side streets as alternate routes if his proposal is enforced.

The congressman said the plan is just temporary and may end once major road projects are completed including the North Luzon and South Luzon expressway connector road, the rehabilitation of the Metro Rail Transit 3 and the Metro Subway.

Jose Arturo S. Garcia Jr., general manager of the Metropolitan Manila Development Authority (MMDA), said Mr. Erice’s suggestion makes sense.

The Metro Manila Council will meet next month to study all proposals to ease traffic on EDSA and other main roads, he told reporters yesterday.

Transportation Secretary Arthur P. Tugade has renewed his call for presidential emergency powers to solve the traffic gridlock on EDSA. During a House of Representatives hearing on his agency’s budget, Mr. Tugade said it was possible to solve the traffic problem but it would take longer without giving special powers to the president.

President Rodrigo R. Duterte earlier said he would not beg for emergency powers from Congress to solve the traffic problem.

Mr. Duterte said he asked his officials not to pursue it anymore after a lady senator had said they couldn’t be trusted with more powers.

Senator Grace Poe-Llamanzares, who heads the public service committee, earlier said the body was not inclined to grant the Transportation department’s renewed plea for emergency powers to solve traffic congestion in the capital.

The senator, who opposed a similar proposal in the past Congress, said Mr. Duterte could ease traffic in Metro Manila without emergency powers from Congress.

Several bills were filed in the previous Congress seeking emergency powers for Mr. Duterte to ease traffic congestion. The measures sought to give the Transportation chief “full power” to manage traffic on EDSA and control road use.

The House approved the bill but the Senate version did not progress. The bills have been re-filed in both Houses. — Vince Angelo C. Ferreras

Judge inhibits from case of Korean businessman

AN ANGELES City regional trial court judge has inhibited herself from the murder case of Korean businessman Jee Ick-Joo.

In an order dated Sept. 2, Judge Irin Zenaida S. Buan granted separate pleas of the Department of Justice and accused policemen Ricky M. Sta. Isabel and Jerry A. Omlang.

“To insist on trying these cases despite the continuing call for recusal will already conjure an erroneous image of a judge holding on to a case under a continuous cloud of doubt,” according to the order.

The case will be re-raffled to another branch of the Angeles City court.

Prosecutors earlier said the judge had been partial to Police Lieutenant Colonel Rafael P. Dumlao III, the alleged mastermind of the killing.

Messrs. Dumlao, Sta. Isabel and Omlang, are charged with kidnapping for ransom with homicide, kidnapping and serious illegal detention, and car theft in connection with the slay of Mr. Jee.

The court on April 24 only allowed Mr. Dumlao to post bail of P300,000 but denied the petitions of the other accused.

The Korean businessman, along with his housekeeper was abducted from his house in Angeles City on Oct. 18, 2016 in an alleged drug-operation. Ms. Morquicho was released but Mr. Jee was killed at the headquarters of the Philippine National Police and his cremated remains were reportedly flushed in a toilet.

Nationwide round-up

Senator says ‘drug recycling’ shows Duterte campaign is failing

Franklin M. Drilon Corporation Code
PHILSTAR

OPPOSITION Senator Franklin M. Drilon, a former justice secretary, expressed alarm and disappointment over the admission of Director General Aaron Aquino, chief of the Philippine Drug Enforcement Agency (PDEA), that recycling of illegal drugs is still rampant despite the administration’s bloody war on illegal drugs that has killed thousands.

The lawmaker said Mr. Aquino’s admission that confiscated drugs were being recycled with the assistance of law enforcers is a sign that the campaign against illegal drugs, the cornerstone of the Duterte administration, is failing.

“I am disgusted and dismayed by the report of the PDEA that recycling of shabu is rampant,” he said.

“This is worrisome. This is a decades-old case of bantay-salakay, wherein the people who are given the task of enforcing the law insofar as drug trafficking is concerned are the ones who lead the anomalous practices,” he added.

“Given that admission, I am not very optimistic about the success of the anti-drug campaign, in general,” Mr. Drilon said.

Mr. Aquino told senators during his agency’s budget hearing yesterday that one way to prevent the recycling of illegal drugs is to conduct joint police, PDEA and Armed Forces operations for better accountability.

PDEA has seized P10 billion worth of illegal drugs from January to August this year and still has illegal drugs worth P22 billion in their inventory, P20 billion of which is crystal meth, Mr. Aquino said.

Village, youth elections to proceed

NEXT year’s village and youth elections will proceed in the absence of a law deferring these, the Commission on Elections (Comelec) told senators.

“Until Congress passes a law on the postponement, we are proceeding with our elections,” Comelec Commissioner Antonio T. Kho told senator during a hearing on the agency’s 2020 budget.

Preparations for the 2020 elections have begun starting with voter registrations, which will run from Aug. 1 to Sept. 30. While the Comelec had not spent on anything yet, it is in the process of procuring materials for the polls, Mr. Kho said.

Comelec Chairman Sheriff A. Abas told lawmakers Congress should hasten the passage of a measure postponing the elections because the agency can’t cancel orders due to legal issues.

The Comelec’s approved budget for 2020 is P9.8 billion but officials have sought an additional P2.2 billion for other programs. — G.M. Cortez

Ex-NYC chief withdraws as youth representative

FORMER National Youth Commission (NYC) Chairman Ronald Carlo L. Cardema wants to withdraw his nomination as Duterte Youth Partylist’s first nominee after the Commission on Elections (Comelec) dismissed him for being ineligible.

Comelec Commissioner Rowena Amelia V. Guanzon noted back in June that the partylist still had a pending case over the eligibility of 34-year-old Mr. Cardema as a youth representative.

Under the law, only those who are 25 to 30 years old are allowed to run for the position.

Last month, the Comelec dismissed Mr. Cardema’s nomination for committing “material misinterpretation” in his qualification as a nominee. Mr. Cardema filed to substitute his wife Ducielle who was the initial first nominee of the partylist prior to her withdrawal to make way for Mr. Cardema. — Gillian M. Cortez

Nation at a Glance — (09/17/19)

News stories from across the nation. Visit www.bworldonline.com (section: The Nation) to read more national and regional news from the Philippines.

Nation at a Glance — (09/17/19)

Filipino corn farmers encourage to use climate change resilient varieties

The Philippine Statistics Authority (PSA) is anticipating another drop in the productivity of corn in the country for the second quarter of 2019.

According to the update released by the government agency last July 15, corn production from April to June 2019 may decline to 1.15 million metric tons or by 1.5% from the 1.17 million metric tons estimated for April. Compared with corn production this time last year which stood at 1.28 million metric tons, this year’s corn production is also lower by 10.2%. The area used to harvest corn is also anticipated decrease from 392.36 thousand hectares in 2018 to 374.84 thousand hectares this year.

NK6410 BtGT has shorter maturity, can be harvested in 105 days and is easy to de-husk.

One of the biggest contributors in the decline of various crops is climate change, as farmers struggle to cope with increases in temperature, stronger rainfall and changing weather patterns.

A study by Arnold R. Salvacion published by the International Journal of Sciences in 2015 revealed that corn is the second most important cereal crop in the Philippines, but is also among the field crops that will be directly hit by the climate change phenomena. The situation now leaves corn farmers in different regions coping with the unpredictable weather extremes. Just last April 2019, corn fields in the eastern and southern region were reported to have dried up due to the El Niño phenomenon that hit the country earlier this year.

In response, the Department of Agriculture is urging corn farmers to resort to varieties that are more resilient against adverse weather conditions.

More climate change resistant varieties would be those that are resilient against lodging, easy to de-husk and have shorter maturity so they can be harvested early, resulting in higher yield. Recommended varieties are also resistant to Diplodia ear rot and other foliar diseases. They can perform in both dry and wet weather, in low to high elevation, in normal to medium plant populations and even in poor soil conditions. Resilient varieties also have good husk cover, short plant height and low ear placement. Among such varieties available in the market now are the NK306 BtGT which is ideal for the high elevation (500 meters Above Sea Level) Mindanao planting environment and the NK6410 BtGT   for the Luzon, Visayas and low elevation Mindanao planting environments. Both NK306 BtGT  and NK6410  BtGT have class A heavy grains, are easy to harvest, and are produced by Syngenta, a leading global agricultural company which equips farmers with the knowledge and the products they need to overcome the various challenges faced by the agricultural industry.

 

Rosemarie Domingo, a corn farmer in Bukidnon, attests that by making use of these resilient corn varieties, she was able to greatly increase her crop yield and her income, resulting to savings with enough set aside for the next harvest season. A farmer and financier in Misamis Oriental, Ysmael Marcelo Alugar, also claims that by using better varieties, he was able to increase his production and his capital, allowing him to help fellow farmers in the area.

Climate change and its effects, first, on individual corn farmers and their families and, second, on the agricultural industry as a whole, poses a great threat to the national food security. By making use of agricultural innovations and learning more about them, farmers can increase their productivity, grow their income and strengthen their position against climate change.

 

LANDBANK launches P10-billion program for LGUs to buy local palay

The Land Bank of the Philippines (LANDBANK), together with the Department Agriculture (DA), is rolling-out a new lending program that would assist local government units (LGUs) purchase palay produced by local farmers to help cushion the effects of the drop in the price of palay in some regions, which the DA said may also be caused by hoarding or stockpiling by some rice traders.

In a media briefing held at the Bank’s head office in Malate, Manila Friday (September 13), LANDBANK announced the launching of the “PAlay aLAY sa Magsasaka ng Lalawigan (PALAY ng Lalawigan) Program.”

The Bank has earmarked P10 billion to fund the Program to assist provincial, municipal and city governments of rice-producing areas nationwide to procure palay from small farmers, with a low interest rate of two per cent (2%) per annum. The Bank is considering aligning its pricing with the recent announcement of the Agricultural Credit Policy Council (ACPC) Governing Board that pegged the price of wet palay at P16.00 per kilo and dry palay at P19.00 per kilo.

“This is a direct response of the Bank, together with the Department of Agriculture, to the call of the national government for a concerted effort of government agencies serving the agriculture sector to firm up its support for our palay farmers in the wake of the impact of lower palay prices,” said LANDBANK President and CEO Cecilia C. Borromeo.

Last September 3, 2019, DA Acting Secretary William D. Dar and LANDBANK President Borromeo met with members of the League of Provinces of the Philippines (LPP) where the attending 19 governors agreed to participate in the Program. Under this Program, the Provincial Government will buy local palay and may operate a socio-economic enterprise to assist the farmers whose incomes were adversely affected by the drop in the farmgate prices of palay.

The PALAY ng Lalawigan Program complements the Memorandum of Agreement (MOA) signed by DA and LANDBANK last August 28, 2019 for the implementation of the Expanded Survival and Recovery Assistance Program for Rice Farmers (SURE Aid) Program where rice farmers who are tilling one hectare of rice farm and below may avail of a one-time, zero-interest, no collateral loan of P15,000 payable in eight years.

The SURE Aid Program, with an initial allocation of P1.5-billion from ACPC, was launched by DA and LANDBANK last September 2, 2019 in Zaragoza, Nueva Ecija where more than 1,000 rice farmers from Nueva Ecija and Tarlac received their SURE Aid LANDBANK Cash Cards containing the assistance.

How’s life after retirement for top-ranking executives

By Mark Louis F. Ferrolino, Special Features Writer

Retirement is a life-changing decision. It is the point of life when one’s old day-to-day routine officially ends. For most retirees, this stage of life is the perfect time to just rest and enjoy the fruits of their labor. However, for those who took their work seriously, retirement is the best chance to catch up on the precious moments they missed in the past and discover new purposes in life.

Some of these individuals are former top business executives who dedicated most of their time driving their companies to success, while having little time for their families, and even for themselves.

Few days after Jose P. Magsaysay, Jr., former president and chief executive officer (CEO) of Potato Corner, retired last July, nothing has changed much. He still used to have a normal routine of doing some work, but in the comfort of his home. Even after some weeks, when he sat with BusinessWorld for an interview, he shared he was still in a turnover process, ensuring a smooth transition at Potato Corner.

Also called “JoMag” by some of his peers, Mr. Magsaysay became instrumental to the worldwide success of Potato Corner. It was in 1992 when he, together with other partners, started the french fries business and began franchising the year after. Although he left the company in 1997 to pursue a different interest, his comeback in 2001 brought a new wave of growth to the business. With unwavering dedication and smart business strategies, Mr. Magsaysay was able to turn Potato Corner into a well-loved brand, now boasting of over 1,300 branches across the world.

STUCK AT THE CROSSROADS

Mr. Magsaysay’s retirement was actually long overdue. He wanted to step down at Potato Corner as early as 2014, when he had a major surgery.

“That time, I told myself: Maybe, it’s time to retire already. Time naman (It’s about time) to spend time with my family and do something for myself, because my focus all these years was work,” he said. “People don’t realize how difficult it is to become an entrepreneur. It’s really hard work and sacrifice; time with family is not there, time with my children.”

Despite his strong desire to spend more time with his family, Mr. Magsaysay was not able to leave the corporate world. He said that Potato Corner was not yet ready to run on its own, not until this year. “The team was able to level up. Kaya na (Now, they can), especially with new partners, younger partners, younger franchisees… I think the company is more than capable of moving forward without me anymore,” he said.

Mr. Magsaysay’s decision to retire from Potato Corner has never been easy. In fact, he consulted for many years a psychotherapist to discuss about this new phase of his life, when to retire, and how to accept it. As he pointed out, “Thinking about retirement was the difficult part, and when to retire.”

Similar to Mr. Magsaysay, Vicente R. Ayllón, former chairman of the board and CEO of The Insular Life Assurance Company, Ltd., also felt the need to retire from work to enjoy the following years with his family, as well as associates and close friends.

Before his retirement in 2016, Mr. Ayllón steered Insular Life into a better market position. Under his leadership, the company became a mutual insurance firm, which made its policyholders as its owners. The mutualization process drove Insular Life’s assets, net worth, net income, and premium income to grow even more. Mr. Ayllón also led the efforts to diversify Insular Life into allied financial services, which gave birth to its various subsidiaries.

It was also under his watch when the company partnered with UnionBank of the Philippines and MAPFRE of Spain to create the MAPFRE INSULAR Insurance Corporation. With Mr. Ayllón’s leadership, Insular Life continued to be a bedrock of stability, surviving the 1997 Asian financial crisis and the more recent 2008 world financial crisis.

If there is something that Mr. Ayllón misses about working at Insular Life, it is his former colleagues, associates, and fellow employees. “I love meeting with and talking to them. It keeps my energy up and sends my spirits soaring,” he said.

Meanwhile, in terms of work, what Mr. Ayllón misses the most is knowing his schedule for the whole day as soon as he would wake up. As he noted, his schedule was completely planned [by his staff].

ENJOYING THE NEW RIDE OF LIFE

Contrary to the usual setup after retirement, Mr. Ayllón’s life after retirement has become spontaneous. He now enjoys the freedom of doing things and splurging in the company of his family, colleagues, and close friends.

“When I wake up at around 9 [a.m.], I exercise, I do some brisk walking for exercise. I even do it in my lap pool. It’s a good place to exercise… I really like meeting with friends. I usually have dinner with my Tuesday Group where we meet at different restaurants every Tuesday,” Mr. Ayllón shared in an e-mail to BusinessWorld.

Retirement for Mr. Ayllón also means reading his collection of books. “I have plenty of books about the war. I have a small four-passenger elevator installed in my house so when I come home, I take the elevator. It opens to my library located at the third floor. That’s where I keep all my books,” he said.

Despite his age, Mr. Ayllón is still a frequent traveler. Very recently, he came back from a trip to Europe with his wife, Annie Ayllón. They toured the Netherlands, Italy, Spain, and Portugal. His favorite places to visit are Honolulu, San Francisco, Madrid, Barcelona, and Rome; while Hong Kong, Osaka, Tokyo, and Bangkok are his favorites in Asia.

Meanwhile, although Mr. Magsaysay of Potato Corner had just about two months since he retired, he is now able to have a great time with his family, doing some activities such as dirt biking and motorcycling, watching movies, and traveling out of town.

LIVING AT NEW HORIZONS

For Aurelio R. Montinola III, former president and CEO of the Bank of the Philippine Islands (BPI), his retirement in 2013 from the bank led him — aside from enjoying the usual perks of a retiree — to get involved in different fields, particularly in education and environment.

Mr. Montinola worked at BPI for 31 years. He ran the bank in a very forward-looking way, while fostering a customer-centric culture and better relationship management. As a testament to Mr. Montinola’s exceptional stewardship, he was named the Management Association of the Philippines (MAP) Management Man of the Year in 2012. He was also awarded with the Asian Banker Leadership Achievement Award for the Philippines twice. In 2011, however, Mr. Montinola needed to step down as the head of the bank as part of its normal retirement and succession plan. His term was then extended for two years to help find his successor.

The moment he stepped down from BPI, he was asked by his mother to take the chairmanship role in the board of directors of Far Eastern University (FEU), working primarily on its strategy, networking, talent management, and expansion. In the same year, the top-ranked banker joined the World Wide Fund for Nature (WWF) Philippines as member of the board, and chairman in 2016. Among others, Mr. Montinola is currently the chairman of BPI Philam Life Assurance Corporation, vice-chairman of Philippine Business for Education, member of MAP, and trustee of Makati Business Club and Ramon Magsaysay Award Foundation.

“My favorite statement is ‘I’m semi-retired’,” Mr. Montinola told BusinessWorld in an interview. “Even my kids, they tell me: ‘You haven’t retired, you’re still very busy.’ But from my point of view, I’m very focused on what I like, I’m busy physically up to a certain time.”

Despite being actively engaged in different things, Mr. Montinola still prioritizes his time with his family. They usually travel abroad and visit some “exotic” places, as he described.

What makes Mr. Montinola’s life significantly different since he has “semi-retired” is the chance to make his own schedule. “Because when I was working, I used to make a joke: I don’t have a schedule, I get scheduled,” he said.

Indeed, retirement is the chapter of life when new pages begin. It is a time of shifting priorities, finding new purpose, and creating new memories. Although the mentioned industry leaders already left their office responsibilities behind, their missions in life definitely continue. — With Erika F. Mioten and Francis A.T. Valentin

Gov’t tightens screws on erring POGOs

THE FINANCE DEPARTMENT (DoF) is turning up the heat on Philippine Offshore Gaming Operators (POGOs) found evading taxes due their foreign workers in the country by threatening to shut them down and sue them in court.

A DoF press statement on Sunday said Finance Secretary Carlos G. Dominguez III gave this order after a meeting with Bureau of Internal Revenue (BIR) brass on Friday wherein taxmen reported “the slow pace of collection of withholding income taxes from POGOs despite the issuance of 130 letter-notices to these firms” with P21.62 billion in cumulative tax liabilities.

“Why don’t we start closing them down so they will answer these assessments… Those who don’t pay or respond to your assessments, clamp them down,” Mr. Dominguez told officials of the task force monitoring the entry of POGO foreign workers at the meeting.

He told reporters in a mobile phone message over the weekend that the government will start this phase of its crackdown “as soon as possible.”

“What was discussed last Friday afternoon was essentially what Sec. Dominguez shared via SMS. He said the closing down of errant operators will start ASAP,” Finance Assistant Secretary Antonio Joselito G. Lambino II said in a mobile phone message on Sunday.

Field teams will consist of representatives of the BIR, the Department of Labor and Employment (DoLE), the Bureau of Immigration and the Philippine Amusement and Gaming Corp. (PAGCOR).

BIR Deputy Commissioner Arnel S.D. Guballa reported that from January to August, the government collected P1.4 billion in withholding taxes from POGOs, already more than double the P579 million collected last year and the P175 million in 2017.

Mr. Dominguez also told BIR top officials to reject offers of “lump sum” or any negotiations for settlement with erring POGOs.

“The collection should be per individual,” he told BIR Commissioner Caesar R. Dulay and Mr. Guballa in that meeting.

“You force the issue and bring them to court,” Mr. Dominguez said.

“I mean, close them down.”

The BIR and DoLE in April formed a task force to consolidate data on foreign workers employed by POGOs.

BIR started collecting taxes from POGO workers last July and ordered erring companies to remit withholding taxes from the workers by Aug. 10.

DoF had estimated that the government loses P24 billion annually in foregone personal income taxes for every 100,000 unregistered POGO workers.

In an Aug. 19 press briefing, PAGCOR announced that it will stop accepting new applications for offshore gaming licenses. PAGCOR Chairperson Andrea D. Domingo told reporters then that the moratorium could last until the end of the year. POGOs in the country now number 61, if the current three pending applications were to be approved.

The DoF said in a separate press release on Sunday that Mr. Dominguez met with former top economic officials of the Executive branch of government as well as Ways and Means committee chairpersons Senator Pia S. Cayetano and Albay 2nd District Rep. Joey S. Salceda of the Senate and the House of Representatives over lunch on Friday to discuss the current government’s plans for making overall economic growth pick up from last semester’s disappointing 5.5% average.

The government has a 6-7% gross domestic product growth target for this year, and Socioeconomic Planning Secretary Ernesto M. Pernia has said it will take a 6.4% average pace this semester to hit the lower end of that goal, which Mr. Dominguez described as a “fighting target.”

The Finance chief said that in order to avoid a recurrence of late national budget enactment that led to the growth slowdown last semester from 6.3% a year ago, leaders of both chambers of Congress have been meeting every month to monitor progress of action on the proposed P4.1-trillion national budget for 2020 and the 25 priority measures President Rodrigo R. Duterte had enumerated in his July 22 fourth State of the Nation Address. — Beatrice M. Laforga

1...10,47810,47910,480...14,238Page 10,479 of 14,238
ADVERTISEMENT
ADVERTISEMENT
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube