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DoF bats for simpler 5% mining royalty scheme

THE Department of Finance (DoF) said its proposal to charge a uniform 5% royalty for all mining operations will generate about P7.2 billion worth of revenue in the initial year of implementation.
In a statement sent to reporters on Tuesday, the DoF said it made a last-minute proposal to the Senate to pass its proposed uniform rate for all mining operations, whether located inside or outside mineral reservations.
Finance Assistant Secretary Ma. Teresa S. Habitan told senators before the adjournment of the congressional session last month that its proposal would earn a P7.2 billion in incremental revenue, almost double the P3.7-billion estimated earnings the government will collect from the fee structure outlined in the House of Representatives version approved in November.
“In the House, there was considerable discussion about how the royalty was going to be calculated… What finally was approved by the House can be considered a compromise position. The DoF always wanted a simpler manner of computing the royalty,” Ms. Habitan said during the Senate hearing on the proposed new fiscal regime for the mining industry last month.
Senate Bill No. 1979, written by Senate President Vicente C. Sotto which has yet to be approved at the committee level, will impose a 5% royalty based on gross output on both large-scale or small-scale miners in mineral reserves; and an initial 3% royalty based on gross output on mining outside mineral reserves for the first three years of implementation, increasing to 5% in the fourth year and to 5% in the fifth year.
Its counterpart measure, House Bill No. 8400, proposed to reduce the royalty on large-scale mining within mineral reserves to 3% of gross output from 5% currently, and introduce a 1-5% margin-based royalty on miners operating outside mineral reserves.
The House version was approved on third and final reading on Nov. 12.
In September, the DoF said the proposed fiscal regime for the mining industry will bring in P11.3 billion in incremental revenue within five years of implementation.
Ms. Habitan said the Finance department prefers a “rationalized and single fiscal regime for the mining industry” to simplify the tax system.
She added that most mines in the country operate outside mineral reservations and do not pay royalties.
“[I]n 2017, data from the Mines and Geosciences Bureau (MGB) and the Bureau of Internal Revenue (BIR) showed that the government collected P1.1 billion in royalties and P1.9 billion in excise taxes from mining operations. The royalties were collected only from operations inside mineral reservations,” Ms. Habitan said.
On top of the proposed fiscal regime, the DoF said it wants the existing taxes paid by mining contractors such as corporate income tax, excise tax, indigenous people’s royalty, local business tax and value-tax among others to be retained to “level the playing field among all other sectors.”
Ms. Habitan added a rationalized fiscal regime for the mining sector is in line with the “overriding” goal of the Comprehensive Tax Reform Program (CTRP). — Karl Angelo N. Vidal

Agriculture department rules out palay imports

THE Department of Agriculture (DA) rejected proposals to import unmilled rice, or palay, noting that rice in that form poses a greater risk for the entry of pests and disease.
The announcement follows plans by San Miguel Corp. (SMC) to import palay once rice imports are liberalized under the Rice Tariffication Act.
Domestically-grown rice is typically milled near its growing area, while the international rice trade typically deals in the milled form of the staple.
“We will not allow the importation of palay. Rice, yes, but unhusked rice, we will not allow it because it will pose danger to our rice industry,” Agriculture Secretary Emmanuel F. Piñol said at a briefing in Quezon City Tuesday.
“We will not allow it because it could bring in pests and disease,” he said, noting that rice husks are likely to contain such elements.
Mr. Piñol said the DA has the authority to impose such restrictions via the sanitary and phytosanitary permit process administered by the Bureau of Plant Industry.
“We still hold the power to determine whether it is safe for Philippine agriculture or not. Nobody can assure that unhusked rice entering the country poses no such danger,” Mr. Piñol added.
Rice import liberalization came into force on March 5 but the law is awaiting the approval of its Implementing Rules and Regulations. — Reicelene Joy N. Ignacio

PPA willing to review weighbridge fees for Ro-Ro users

THE Philippine Ports Authority (PPA) said it is open to reviewing the practice of collecting weighbridge fees for inter-island cargo and passenger vehicles after Speaker Gloria Macapagal-Arroyo proposed to eliminate the fees, but added that it needs some way to fund its investments in port facilities.
“In so far as the weighbridge fees are concerned, we are willing to revisit and re-evaluate the current system being implemented in the ports. PPA is willing to shoulder the cost of the weighbridge and PPA is willing to not collect weighbridge fees,” PPA General Manager Jay Daniel R. Santiago said during a House Transportation Committee technical working group hearing on Tuesday.
“However there must be some cost recovery mechanism by which PPA should be able to recover the cost of that facility.”
The TWG, chaired by Bukidnon-3rd district Representative Manuel F. Zubiri, was hearing testimony on the improvement of the Roll On-Roll Off (Ro-Ro) System, particularly addressing high shipping costs. The Speaker had proposed in a hearing conducted in Leyte on March 5 to stop charging weighbridge fees to ease the burden on users, who include bus passengers traveling inter-island on the Ro-Ro system.
Mr. Santiago argued the PPA, as a “self revenue generating agency,” does not receive allocations from the annual General Appropriations Act.
“If we take out the charges being assessed by the PPA against all the port users we will have no source of revenue to be able to develop or continue developing, repairing or maintaining all of these ports, which will be more detrimental to the riding public,” he told the panel.
He added that the PPA charge only constitutes about 2% of the total shipping cost.
“Even if we remove the 2%, we will still be left with 98% of the current charges.”
The panel will also look into truck cargo rates for possible adjustment with the overall intent of reducing shipping costs, after learning that the PPA charges only P516 for type 4 vehicles, including 10-wheeler trucks and buses and the like.
“The trucking rate… from Leyte to Manila ranges from P100,000 to P150,000, one-way,” Alberto Suansing of the Confederation of Truckers Association of the Philippines 9 (CTAP) said.
“The PPA and shipping charges are minor. The really big cost is trucking. But we don’t know how to unbundle the trucking charge. Of course you have to consider (the trucking company’s) fuel and labor costs,” Transportation Committee chair Cesar V. Sarmiento, the Representative for Catanduanes, said. He asked CTAP to submit a report on current truck cargo rates. — Charmaine A. Tadalan

FEF calls for faster land conversion, efficient farming

THE Foundation for Economic Freedom (FEF) said the government needs to do more to speed up the land conversion process, while also calling for agriculture to become more efficient as marginal land is converted to nonfarm use.
“We realize land is needed for agriculture but the better approach to food security is to improve productivity with better inputs, farming methods, and support services. The answer is not hectarage but efficiency. In most industrialized nations, less than 5% of its people are in farming, yet they supply abundant food for domestic consumption with surpluses for export,” the FEF said in a statement.
FEF, whose members include leading former technocrats, added, “We urge the government to free up land, particularly marginally productive and unirrigated land for commercial, residential and industrial purposes.”
“Land must be devoted to its best use, one which will provide a higher yield and multiplier effect on the economy. Urbanization requires land for housing. Commercial and industrial pursuits require land as well. To deny land for these purposes will create social and economic distortions, stunt growth and adversely affect the quality of life of our people,” FEF said.
In February, the Department of Agrarian Reform (DAR) said that a joint memorandum circular concerning applications for land conversion will be submitted to the Cabinet by March.
The interagency task force involved in the joint memorandum circular are: DAR, the Department of Interior and Local Government, the Department of Agriculture, the Housing and Land Use Regulatory Board, the National Housing Authority, and the Housing and Urban Development Coordinating Council. — Reicelene Joy N. Ignacio

Dairy cattle procurement to spend up to ₱350-M

THE National Dairy Authority (NDA) said it has between P250 million and P350 million in funding to spend in an April auction for the import of 1,500 dairy cattle, to be distributed across various farms by October.
NDA Administrator Marilyn B. Mabale told reporters in Quezon City on Tuesday that the government-to-private cattle auction failed last year, and will be rebid this year.
“Unfortunately the 2018 auction failed, so we are going to rebid the purchase after consulting the farmers and complying the technical requirements of the board of directors… We hope the animals (can) be distributed in October… The funding of P250 million to P350 million includes semen purchases (for further breeding),” Ms. Mabale said on the sidelines of the NDA’s 24th Anniversary Celebration.
The Department of Agriculture (DA) hopes to achieve 10% milk sufficiency by 2022.
Ms. Mabale added that NDA will import 2,500 goats annually for three years starting 2020, tapping US government funding worth about P1.56 billion.
“It will be a special funding from the US government. It is a P1.56 billion project to run for five years starting this year, but there will be no imports yet. This year will be for organizing farmers, capacitating farmers, hiring technicians because we want to be ready when the animals arrive,” Ms. Mabale said.
Ms. Mabale said the dairy sector’s milk output rose 4% in 2018, and was up 11% in terms of value.
According to Ms. Mabale, the goat imports will be targeted at farmers with limited land. She added that the US government’s PL480 project is targeted at the poorest provinces, led by Samar province. The program will also assist farmers with marketing.
The NDA’s approved budget for 2019 is P251 million, down 52.6%.
Funding for cattle procurement this year come from the 2018 budget, Ms. Mabale said.
Asked it is possible for the Philippines to achieve a 10% milk sufficiency by 2022, Ms. Mabale replied in the affirmative.
“In a very rough estimate, very conservative estimate, nakita namin agad na 7% na ‘yung increase (we immediately saw a 7% increase) in the next two years, so ‘yung 10% very achievable iyon ‘pag dumami ‘yung base herd or increasing productivity ng existing animals (the 10% is very achievable if the base herd will increase or there will be increasing productivity of the existing animals),” Ms. Mabale said. — Reicelene Joy N. Ignacio

PHL wheat imports seen rising 8.62% in 2019 — USDA

PHILIPPINE wheat imports are expected to rise 8.62% to 6.3 million metric tons in 2019, the United States Department of Agriculture (USDA) said.
The USDA said in its Grain: World Market and Trade report that Philippine demand for wheat will rise due to “higher prices for rice and corn.”
The USDA said it continues to see strong, steady demand from traditional buyers like Japan, South Korea and the Philippines.
In a briefing on Tuesday, Agriculture Secretary Emmanuel F. Piñol said that the USDA estimate “is an indication of a growing livestock and poultry industry.”
Mr. Piñol said the Department of Agriculture is hoping to develop a national sorghum program to help the domestic livestock and poultry industries and reduce the need for imports.
“The focus of our grains program for 2020 is really to make sure that we are able to provide feed materials to our livestock and poultry industry. Also next year, we will be implementing village-level feed mills to help the backyard hog raisers and poultry raisers,” Mr. Piñol said. — Reicelene Joy N. Ignacio

Corrosive Foreign Direct Investments: The case of Offshore Gaming

President Duterte may have flip-flopped on his stance on several issues, but he has been consistent in his accommodation of Chinese investments and loans. And understandably so. Chinese money has filled the gap vacated by Westerners and has covered the funding requirements of developing nations. Critics, however, argue that China may use its economic foothold to gain political influence in its host country.
For the Philippines, Duterte’s overtures towards China have resulted in a surge in Chinese investments. While the Philippines counts the US, Japan, and the four Asian tigers as traditional sources of foreign direct investments (FDI), a new narrative emerged when Duterte stepped into office. In 2016, FDI from China only amounted to USD 10.77 million, with almost 80% amassed during the second half of the year. By 2018, Chinese investments have ballooned to USD 195.25 million, accounting for almost 10% of total foreign investments.
For the duration of Duterte’s presidency, Chinese FDI already amounted to USD 232.24 million, surpassing the inflows in the last two administrations combined. This figure does not even include FDI from Hong Kong, through which a significant share of funds from the mainland is also coursed.
Nowhere has the effects of the rapid inflow of Chinese capital been more visible than in metropolitan areas. Unfortunately, most Filipinos do not share Duterte’s affinity for China. According to a Pulse Asia survey conducted at the end of 2018, Filipinos remain wary of China, with our northern neighbor earning the highest distrust rating among the countries included in the list.
On February 21, 2019, Stratbase ADR Institute hosted non-resident fellow, Mr. Alvin Camba, as he presented his research exploring whether Chinese capital, particularly foreign direct investments, is corrosive to the Philippines during the current administration. Mr. Camba defines FDI as corrosive if it “bypasses and transforms preexisting procedures, concentrates profits in specific groups, and strengthens existing and generates new patronage networks.”
Rapidly expanding Chinese capital in Duterte’s Philippines, Mr. Camba argues, fits this definition.
The emergence of the offshore gaming industry, in particular, exemplifies his central thesis.
cards chips dice
The online gaming industry’s rise was driven by both push and pull factors. Xi Jinping’s crackdown on corruption and state centralization of capital hurt the gambling industry in Macau. This coincided with the current administration’s efforts to strengthen the fight against illegal gambling. President Duterte signed Executive Order 13 in 2016, which effectively transferred the regulation of gambling and online gaming facilities to the Philippine Amusement and Gaming Corporation (PAGCOR). Before this, offshore gaming operations were largely limited to special economic zones. In that same year, PAGCOR issued 35 licenses, allowing these firms to operate more openly. To date, there are already 57 licensed operators.
The first corrosive effect is the migration of illegal workers, with operator groups preying on innocent recruits and promising them thousands of dollars.
Responding to concerns over the deluge of Chinese workers in the country, the Senate launched an inquiry on the issue. During the hearing, it was revealed that half of alien employment permits issued in 2016 and 2017 were given to Chinese nationals, of which a significant share comprised of those involved in offshore gambling. The hearings also unearthed how these workers were able to skirt local laws, initially coming in as tourists before obtaining work permits. Many others have also overstayed or do not have work permits altogether.
The influx of workers has also pushed real estate prices upwards. In several instances, floors and even entire condominium buildings have been rented out to Chinese nationals. While a win for the real estate industry, the average working Filipino has been priced out of prime real estate, and forced to look for more affordable options elsewhere.
Another corrosive effect is that these offshore gaming companies are not taxable. According to Mr. Camba, these companies are supposedly domiciled in another country — a technicality that allows these firms to be exempt from taxes on goods and services, a 5% franchise tax, among others.
Moreover, the Finance Secretary estimated that the country loses roughly Php 3 billion in revenues each month from workers employed in the offshore gaming industry.
Other corrosive impacts of Chinese FDI include kidnapping, sex work, and money laundering.
Mr. Camba concludes that the government is moving in the right direction, particularly in increasing taxation, clarifying juridical boundaries, and bringing Chinese workers under the Philippine law. He contends, however, that the Philippines’ lack of a coherent and sustainable development strategy for its economic growth provided the opening for offshore gambling to thrive in the first place. It is clear then that more efforts should be expended to diversify and strengthen the economy.
 
Weslene Uy is an economic fellow at the Stratbase ADR Institute.

A peek into the Revised Corporation Code of the Philippines

On 20 February 2019, President Rodrigo Duterte signed into law Republic Act No. 11232, otherwise known as the Revised Corporation Code of the Philippines (the “New Code”), which may be considered as a landmark legislation updating the 38-year-old Corporation Code of the Philippines (the “Old Code”) to adjust to modern times.
The New Code aims to improve ease of doing business and modernize procedures to improve and elevate the standards in the country’s corporate setting in line with existing international best practices. According to Senator Franklin M. Drilon, the principal sponsor and author of the Code, the amendments are focused on “removing barriers hindering the entry of both small and large enterprises into the Philippine market” as it aims to foster smoother transactions in pursuing business in the Philippines.
Some notable amendments under the Code are: (1) One Person Corporation; (2) Perpetual Existence; (3) Minimum Capital Stock; (4) Incorporators, Directors, Trustees, and Officers; and (5) Remote Communication and In-Absentia Voting.
ONE PERSON CORPORATION
The Old Code required at least five (5) stockholders to form a corporation.
Under the New Code, a one person corporation (“OPC”) may now be formed by a single stockholder, who may be a natural person, trust or an estate. However, banks and quasi-banks, pre-need, trust, insurance, public and publicly listed companies, and non-chartered government-owned and controlled corporations may not incorporate as OPC. Further, as defined, it appears that a juridical entity, such as a corporation, may not be the stockholder in an OPC.
Similar to all other corporations, as provided by the New Code (unless a special law requires otherwise), an OPC is not required to have a minimum capital stock. It does not need to adopt corporate by-laws unlike an ordinary corporation. In lieu of the meetings, an OPC may simply prepare written resolutions, signed and dated by the single stockholder.
The single stockholder will act as the president and sole director of the OPC. He may also act as its treasurer, upon submission of a bond to the Securities and Exchange Commission (“SEC”) and a written undertaking to faithfully administer its funds, disburse and invest the same according to its registration. However, he may not act as its corporate secretary.
It is important to note though that the New Code requires the single stockholder to prove that the OPC is sufficiently financed, and its assets are independent from his personal property, in order to claim limited liability. Otherwise, he shall be jointly and severally liable for the liabilities of the OPC.
PERPETUAL EXISTENCE
Under the Old Code, a corporation has a term limit of 50 years, unless extended. Its existence is deemed dissolved upon expiration of the term.
Under the New Code, the default rule is that a corporation shall have perpetual existence, unless otherwise specified in the Articles of Incorporation. As transition, corporations existing prior to the effectivity of the New Code shall have a perpetual term unless the corporation, upon the required vote of its stockholders, notifies the SEC that it elects to retain its specified term.
In this connection, the New Code incorporates a “Lazarus” provision which allows the revival of a corporation whose term has expired by filing an application with the SEC. Upon approval, the corporation shall be deemed revived together with all the rights and privileges under its certificate of incorporation and subject to all of its duties, debts, and liabilities existing prior to its revival, giving it perpetual existence unless otherwise specified.
MINIMUM CAPITAL STOCK
The Old Code required that at least 25% of the authorized capital stock must be subscribed, and at least 25% of the total subscription must be paid by the stockholders, provided that the minimum paid-up capital shall not be lower than Php5,000.00.
The New Code removed the aforementioned 25% subscription, payment and minimum paid-up capital requirements. The New Code states that “stock corporations shall not be required to have a minimum capital stock, except as otherwise specifically provided by special law.”
INCORPORATORS, DIRECTORS, TRUSTEES, AND OFFICERS
The New Code removed the minimum number of incorporators, directors and trustees, which stood as five (5) under the Old Code.
Section 10 of the New Code states that “any person, partnership, association or corporation, singly or jointly with others but not more than fifteen (15) in number, may organize a corporation for any lawful purpose or purposes.” It appears that the New Code allows juridical persons to act as incorporators unlike the Old Code which limits incorporators to natural persons.
Moreover, the New Code reiterated the requirement to elect independent directors in corporations vested with public interest such as: (a) public companies, (b) banks and quasi-banks, non-stock savings loan associations, etc., and (c) other corporations as may be determined by the SEC. The independent directors shall constitute at least 20% of the entire board membership.
The New Code also allows the creation of an “emergency board” when the vacancy in the board prevents the remaining directors from constituting a quorum and emergency action is required to prevent grave, substantial, and irreparable loss or damage to the corporation. During an emergency, the remaining directors or trustees may fill the vacancy temporarily from among the officers of the corporation to pass the necessary emergency action.
Section 24 of the New Code retained the officers and its qualifications under the Old Code, except for the treasurer, who is now required to be a resident of the Philippines. In addition, corporations vested with public interest are now obliged to appoint a compliance officer.
REMOTE COMMUNICATION AND IN ABSENTIA VOTING
Following the concept of allowing board meetings by way of videoconferencing, teleconferencing, or other alternative modes of communication which have been made explicit under the New Code, the New Code took a step further by allowing stockholders or members to exercise their right to vote through remote communication or in absentia when authorized under the by-laws, subject to the rules and regulations to be issued by the SEC. With this amendment, it appears that the stockholders and members need not be physically present or represented by proxies in meetings, as required in the past.
Existing corporations affected by certain provisions of the New Code are given a period of two (2) years from its effectivity within which to comply with the requirements thereon.
With the aforementioned significant changes introduced under the New Code, we anticipate that the SEC will issue supplemental regulation specifying the requirements and detailed procedure to comply with its provisions.
The views and opinions expressed in this article are those of the author. This article is for general informational and educational purposes, and not offered as, and does not constitute, legal advice or legal opinion.
 
Renz J. Pagayanan is a Senior Associate of the Corporate and Special Projects Department of the Angara Abello Concepcion Regala & Cruz Law Offices (ACCRALAW).
rjpagayanan@accralaw.com
(632) 830-8000

Blurring right versus wrong

To be fair, the Duterte administration will leave some positive legacies, perhaps on the economics side, because the President has made a few creditable appointments to govern this sector. To name a few, Finance Secretary Carlos Dominguez, NEDA Secretary General Ernesto Pernia, and the late Nestor Espenilla of the Bangko Sentral ng Pilipinas. I guess because he expressly values utang ng loob as a high value, he basically gives Dominguez, the leader of this group, a lot of leeway, and basic policy autonomy. Dominguez, after all, is from Davao, and was one of his early campaign supporters. Besides, Dominguez did not accept the job right away; and reports indicate that President Duterte practically begged him to take the job.
However, aside from the virtually treasonous surrender of our sovereignty over the West Philippine Sea despite our UN-accredited victory in The Hague, the incredible extrajudicial killings in the obsessive “drug war,” the brute force applied against the human rights of outstanding women (e.g., Leila de Lima, Patricia Fox, et al) and public and ungentlemanly insults against other women including the duly elected Vice-President, perhaps the greatest harm that the Duterte administration will leave as a legacy is the blurring of lines between right and wrong. This is truly a serious crime because its potential impact can last for generations.
The sin of lying is being denigrated publicly by the President and his daughter who it is said, is being groomed to succeed him. To make matters worse, honesty is being downgraded as a value in defense of brazen lies perpetrated on her website by the campaign of senatorial candidate Imee Marcos. My mother often told me that lying and stealing are cousins, and that they often go together. What gall, to claim college degrees earned from the University of the Philippines and the Ivy League Princeton University, and what greater gall, to claim fictitious honors! It sounds like the 27 heroic medals fable claimed by her father Ferdinand Marcos. Or, perhaps, by extension, the claim of Bongbong Marcos that he was cheated in the 2016 vice-presidential race.
Sara Duterte publicly stated that lying should not be a campaign issue in the coming elections because, according to reports, she says all politicians lie anyway. OMG, if that is true, why hold elections anyway? Is she saying that whoever we choose, they lie (and steal) anyway? These are words from our potential next president? And her own father, our current elected leader actually said that there is no evidence that the Marcoses have illegally acquired wealth?
Thank God international civil servant Ruben Carranza, former deputy of the late Haydee Yorac in the PCGG, who actually did most of the work to recover over US$700 million of hidden Marcos money in Swiss banks (now worth over a billion dollars which hopefully is in process of being distributed to human rights victims of the Marcos government) took the trouble on international cable television to refute Duterte’s wild statement. There is enough evidence, Carranza firmly asserted; and that has been acknowledged by the Swiss depository Banks for aliases William Saunders and Jane Ryan, et al. It makes one wonder what it is that motivates the Dutertes to go this far to defend lies, with more lies. Is it the much vaunted value of utang ng loob? What is the utang ng loob of the Dutertes to the Marcoses? Can it possibly be great enough to supersede honesty as a value?
We as citizens, and even more, as parents need to be more mindful in the midst of social and traditional media tsunamis that can blur our vision. Shall we bear with downgrade of our moral values for the sake of higher GNP and Build Build Build, if it does happen, and at reasonable cost? (Never mind honesty, because everyone cheats, anyway?)
What kind of people shall we and our descendants become? Are we to be led by liars and cheats, because everyone lies and cheats, anyway? OMG, I have never yearned to live overseas; but now I am glad that my son and his children are living in America as honest “legals”. Well, Trump and his people are at least being investigated by a special prosecutor.
Shall we continue to accept his apologists’ explanations that our President is only joking when he makes his wild statements, or tells lies, or makes crude remarks unbecoming of a national leader? How did we get here? Remember his campaign promise to ride a jetski and plant the Philippine flag in the West Philippine Sea? So, he was only joking? He was not lying, or he was lying but doesn’t everyone anyway?
The business community, as usual, being happy with the economic numbers and Build, Build, Build opportunities has hardly issued any public objections to the downgrading of long-held Filipino family values of honesty. Are they acquiescing to this, or just not mindful of what harm this is doing to our culture and civilization? The culture and civilization in which our descendants will live?
What about our educational institutions? Are they going to tolerate the erosion of basic moral values without clarifying the issues for the sake of the generations of Filipinos they are helping to develop? How about parents and grandparents? Are they just going to sit by and turn a deaf ear?
Alas, are we going to just go mindlessly downhill as a people?
 
Teresa S. Abesamis is a former professor at the Asian Institute of Management and an independent development management consultant.
tsabesamis0114@yahoo.com

Anyone can be president

The late great comedian Dolphy had the most sensible response to the question, why he wasn’t considering running for president. Was it because he was afraid that he might lose?
“No,” Dolphy reportedly replied. “It’s because I’m afraid I might win and I won’t know what to do.”
Sadly, not everyone is as pragmatic as Dolphy. Rumors are rife that Davao City Mayor Sara Duterte wants to succeed her father as president. And the other rumor is that Senator-boxer Manny Pacquiao plans to contest that and run for the highest office himself.
And why not?
Qualifications for a job in a private firm are more stringent than those for president. Article VII, Section 2 of the 1987 Philippine Constitution merely requires the following: (a) Must be a natural-born citizen of the Philippines; (b) must be a registered voter; (c) must be able to read and write; (d) must be a least 40 years old on the day of the election; and (e) must have been a resident of the Philippines for at least 10 years.
Just to clarify: being born cesarean does not disqualify you. You are still considered natural-born under the Constitution.
Of course, there are other requirements that the Constitution has prudently not listed such as having a private army, having billions in the bank, and having a battalion of online trolls.
There are other presumed qualifications such as honesty and integrity but Sara Duterte recently declared those irrelevant.
In a media interview, President Rodrigo Duterte’s daughter defended her earlier assertion that all politicians lie (she was telling the truth). She insisted that there is no provision in the Constitution that prohibits liars from running for president.
Sara (and, perhaps, her father) may not have heard about “moral turpitude,” defined in Bouviers Law Dictionary as “everything which is done contrary to justice, honesty, modesty, or good morals.” The term, according to Google, was first introduced in 1901 in Act 190, otherwise known as the Code of Civil Actions and Special proceedings. It has been applied to cases involving the disqualification of members of the bar and those running for any elective position.
In other words, moral turpitude is the opposite of good manners and right conduct. The trouble is, in the Duterte administration, good manners and right conduct have been redefined. Thus, maybe Sara is right. In the current moral environment, liars can run for president or any elective office. So can thieves, plunderers, convicted felons and killers.
In any case, Pacquiao won’t be the only pugilist to want to throw his hat in the presidential ring. Oscar de la Joya, whom Pacquiao TKO’d some years ago, believes he can KO President Donald Trump in 2020 – assuming that Trump does not finally get the wall he deserves. Meaning a prison wall.
According to De la Joya, if Arnold Schwarzenegger could be elected governor of California and a reality TV show host like Trump could become president, why not an Olympic gold medalist like him?
In Ukraine, former heavyweight champion Vitali Klitschko also seriously considered running for president but decided instead to support the candidacy of businessman Petro Poroshenko. Klitschko was a member of Parliament.
If Dolphy had decided to run for president, he would not have been the first comedian to do so. In the U.S., Gracie Allen, wife and comic foil of George Burns, ran as a nominee of the Surprise Party which had a kangaroo as mascot and the slogan, “It’s in the bag.” This was at the time of Franklin D. Roosevelt’s presidential run.
Unlike then President Fidel Ramos who had Erap Estrada as his vice-president, Allen reportedly refused to have a vice-presidential running mate because she did not want to tolerate any vice in her administration.
In the 2012 U.S. election, TV comic Roseanne Barr actually filed her candidacy for president with the Federal Election Commission as candidate of the Green Tea Party, As part of her platform, she vowed to send the bankers of Wall Street to re-education camps or have them executed by beheading.
Another American comedian, Pat Paulsen, who made a name in the Smothers Brothers TV series, filed his candidacy for president in 1968 because “the job has a good pension plan and I’ll get a lot of money when I retire.”
At least, Paulsen was honest about his motivation, which may be why he came in second to Bill Clinton in the New Hampshire Democratic Primary. Most candidates claim to want to rid the country of corruption and promote national progress and development and all that motherhood stuff. The truth, they just want to provide for their children and grandchildren and great grandchildren and….
But there is one qualification that only one presidential candidate proudly claimed to have: an official clearance from the Philippine Mental Hospital. Pascual Racuyal.
About Racuyal, historian Ambeth Ocampo wrote:
“Racuyal made history by vainly challenging all presidents from Manuel L. Quezon in the Commonwealth elections of 1935 to Ferdinand Marcos and Corazon Aquino in the 1986 snap election. He was declared a nuisance candidate only in the 1986 election even if he signed his certificate of candidacy with a quill, using his own blood as ink. One of his campaign promises in 1969 and 1986 was that he would govern via remote control or satellite, whatever that meant.
“In 1969 the Manila Times reported on Racuyal challenging President Marcos and Sen. Sergio Osmeña to a 12-hour debate in Plaza Miranda. Ignored, he then threatened to deliver a six-hour speech in Plaza Miranda, which promised to be the longest in modern Philippine history! It was also reported that when the election returns from Rizal province came in, Racuyal actually placed third after Marcos and Osmeña with ‘79 solid votes.’
“In 1952 he invited Ramon Magsaysay, Arsenio Lacson, Lorenzo Tañada and Trinidad Legarda to be his running mate as vice president. Naturally, all of them refused…”
There is only one other perennial presidential candidate that I know of and that is former San Francisco lawyer Ely Velez Pamatong. Pamatong once pursued an appealing cause, which was for the right to US citizenship of Filipinos born while the Philippines was under US rule, just like Puerto Rico. He ran for president in the 2004 and 2010 presidential elections, although the Commission on Elections declared him a nuisance candidate. But Pamatong has already gone ahead and proclaimed himself president of the Philippines.
Indeed, it takes all kinds of characters to run for president. There used to be really qualified candidates vying for the highest post in the Philippines. But ever since the dismantling of the two-party system, the field has been left wide open for anyone who meets the minimum qualifications.
In fact, our former house help, Ping, could qualify. After we enrolled her in adult education, she learned how to read and write. She now has all the other qualifications mandated by the Constitution.
All she needs are a few billions, a private army and a battalion of social media trolls.
 
Greg B. Macabenta is an advertising and communications man shuttling between San Francisco and Manila and providing unique insights on issues from both perspectives.
gregmacabenta@hotmail.com

Columbian, Magnolia in key PHL Cup match

By Michael Angelo S. Murillo
Senior Reporter
WITH their spots in the playoffs of the PBA Philippine Cup still anything but assured, the Columbian Dyip and Magnolia Hotshots Pambansang Manok enter their 4:30 p.m. encounter today at the Smart Araneta Coliseum with much urgency.
Currently sporting middling cards of 4-5 and 2-4, respectively, Columbian and Magnolia try to go for that important win against one another that would give their push in the season-opening Philippine Basketball Association tournament a huge boost.
The Dyip, at seventh place as of this writing, were victorious in their last game, defeating the Rain or Shine Elasto Painters, 85-82, on March 6.
Columbian got balanced contributions from the rest of the team in said contest allowing it to get the better of the Elasto Painters while also boosting their playoff hopes.
Guard Rashawn McCarthy paced Columbian with 22 points with Jackson Corpuz adding 12 of his own.
Top rookie CJ Perez, for his part, had a double-double of 11 points and 11 rebounds.
“This win was an important one in our hopes of making it to the quarterfinals. We are happy with the four wins we have right now as they are an improvement from our showing in the previous seasons in the All-Filipino. But we want to enter the quarterfinals,” said Columbian coach John Cardel in the vernacular following their last game.
Also coming off a win is Magnolia, a 103-86 winner over the Alaska Aces on March 9.
Cranking things up in the second quarter, the Hotshots were just too much to handle for the Aces the rest of the way as they cruised to the dominant victory.
Ian Sangalang stood tall in the win, finishing with 24 points, 14 rebounds, six assists and three blocks.
Paul Lee came off the bench to score 20 points and grab eight boards while Mark Barroca had 19 points and five steals.
Jio Jalalon and Rodney Brondial also wound up in double-digits scoring for the Hotshots with 12 points apiece. Mr. Brondial also grabbed 10 boards.
“We talked about treating each of our remaining games as do-or-die matches. With the kind of record we have, it’s already the playoffs for us,” said Mr. Sangalang after their win over Alaska.
“This will be our mindset moving forward and we now on focus on Columbian,” he added.
Playing in the second game today at 7 p.m. are the Alaska Aces (3-3) and NLEX Road Warriors (2-5).
Meanwhile, June Mar Fajardo of San Miguel is the latest recipient of the PBA player of the week honors after showing the way for the streaking Beermen.
Averaging 33.5 points, 16 rebounds and 2.5 assists in their last two victories against NLEX and Northport Batang Pier, in that order, “The Kraken” was a hands-down winner of the weekly plum, beating out Columbian’s Perez and McCarthy, Meralco’s Baser Amer, TNT’s Roger Pogoy and Barangay Ginebra’s LA Tenorio and Aljon Mariano.

Ateneo tries to extend lead on the leader board

By Michael Angelo S. Murillo
Senior Reporter
CURRENTLY in solo lead in the standings in Season 81 of the University Athletic Association of the Philippines women’s volleyball tournament, the Ateneo Lady Eagles try to create further separation from the chasing pack when they suit up for action today at the FilOil Flying V Arena in San Juan City.
Soared to their fourth straight win on March 10 with a commanding straight-sets victory over the University of the Philippines Lady Maroons, 25-21, 25-15 and 28-26, the Lady Eagles (4-1) go for win number five for the season in their matchup today at 2 p.m. against the Adamson Lady Falcons (1-4) in the UAAP’s “avian war.”
Ateneo was steadier over UP in their last game, banking on a balanced attack and taking every opportunity presented to it.
It took the first two sets clinically before hanging tough in the third frame to complete the shutout win.
Veteran Maddie Madayag led the Lady Eagles with 14 points, six off blocks, with Kat Tolentino adding 12.
Ponggay Gaston finished with 10 points and Jules Samonte eight points.
The win was the fourth in a row for Ateneo, which opened its UAAP Season 81 campaign with a loss to defending champions De La Salle Lady Spikers.
“We just have to continue trusting the system of coach [Oliver Almandro] and play our game,” said Madayag after their win of the mindset that they should have moving forward.
On the other hand, Adamson seeks to build on its fine play of late.
While they lost in their last game, the Lady Falcons have been playing far better following a coaching change that saw erstwhile deputy Onyok Getigan take over from American Air Padda.
They stretched the Far Eastern University Lady Tamaraws last time around but just fell short in five sets, 25-18, 17-25, 25-14, 22-25 and 15-8.
Veterans Eli Soyud, Joy Dacoron and Bern Flora are leading the “not going down without a fight” mentality of the Lady Falcons, making them a tough customer each time.
In the second game at 4 p.m. of the double-header in women’s play, UP (3-2) plays the National University Lady Bulldogs (1-4).
In separate news, rookie Eya Laure of the University of Santo Tomas Golden Tigresses was named UAAP player of the week.
Laure normed 17.5 points in their twin wins over La Salle and NU last week to merit the award given by media covering the league.
The UST rookie sensation won over teammate Sisi Rondina, Ateneo’s Tolentino and FEU’s Lycha Ebon and Heather Guino-o.

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