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Comelec seeks BSP help in anti-vote buying campaign

PHILIPPINE STAR/ RUSSELL PALMA

THE Commission on Elections (Comelec) is intensifying its crackdown on vote-buying ahead of the midterm elections in May by asking the Philippine central bank to order banks to flag and bar the exchange of large sums of money into smaller bills.

Comelec would meet with the Bangko Sentral ng Pilipinas (BSP) this week to discuss the proposal, Comelec Chairman George Erwin M. Garcia told BusinessWorld on the sidelines of a news briefing at the weekend.

“We will talk to the Philippine central bank so they could issue a circular to banks concerning massive exchanges of money two weeks before the election proper,” he said in an interview. “Why would you exchange P10 million or P20 million into P100 or P200 bills? Massive exchanges of money could be used for vote-buying, and that should not be allowed.”

Filipinos will pick a new set of congressmen and 12 of the 24-member Senate, along with other local officials on May 12. The Comelec has set the campaign period for Feb. 11 to May 10. 

Vote-buying remains a problem in the Philippines, where candidates woo voters with cash and other giveaways. Under the law, a political bet found guilty of vote-buying faces imprisonment of up to six years and will be barred from public office.

Mr. Garcia said they expect vote-buying activities to surge in the months leading to the elections. “It won’t start in February. The real spending begins in March and April.”

“Vote-buying can only be committed at least several days before the elections, and ultimately, a day before the election. That’s what we’re really monitoring,” he added.

The election body will launch a complaint desk against vote-buying this week, he said. — Kenneth Christiane L. Basilio

Friday protests reveal opposition remains weak, highlight need to unite — analysts

PHILIPPINE STAR/ WALTER BOLLOZOS

By Kyle Aristophere T. Atienza, Reporter

THE three separate rallies on Friday that called for the impeachment of Vice-President Sara Z. Duterte-Carpio revealed that opposition forces in the country remain weak, analysts said, noting the need to unite ahead of the midterm elections.

“The fact that the opposition are still able to mobilize means the oldest and most consolidated section of civil society is still not down and out despite every loss it incurred over the last nine years,” Hansley A. Juliano, who teaches political science at the Ateneo de Manila University, said in a Facebook Messenger chat.

“However, the fact that it came on the heel of recent mobilizations by the Iglesia ni Cristo (INC) and other evangelical groups in favor of incumbent politicians does point to an increasingly crowded, fragmented and differentiated civil society sector,” he added.

Three anti-corruption rallies were held on Friday, including two in EDSA (Epifanio de los Santos Avenue) and one at the Liwasang Bonifacio organized by groups under Bagong Alyansang Makabayan (Bayan).

One of the rallies in EDSA was led by Akbayan Party and Magdalo Party-list, which both focused on the calls for the impeachment of Ms. Duterte.

The Bayan-led rally in Manila and the EDSA protest concert organized by the Clergy for Good Governance and participated in by progressive groups such as Sanlakas and Partido Lakas ng Masa called for Ms. Duterte’s impeachment and heavily criticized President Ferdinand R. Marcos, Jr. and House Speaker Ferdinand Martin G. Romualdez for what they called as “corrupt” 2025 national budget.

The rallies organized by the opposition forces were held weeks after INC drew millions of people to the Quirino Grandstand in Manila on Jan. 13 in support of Ms. Duterte.

“The unity of the opposition forces — Liberal, Akbayan and Makabayan — in the 2025 senatorial slate would have been a genuine big force in previous years,” Mr. Juliano said.

“Now, however, in the face of still significant support for the Marcoses and Dutertes, it may ironically highlight their weakness and need to shore up each other’s numbers,” he said.

“There’s a way to reverse this if they can present a broader and more welcoming tent to potential market voters this May—not just on anti-corruption and moral political stances, but more so on development, economic and social welfare issues,” he added.

Mr. Juliano said they need a “serious and smart answer” to how their alternative options are more sustainable than the patronage politics that continue to dominate Philippine politics.

Anthony Lawrence Borja, a political science professor at De La Salle University likewise said with the INC rally at the backdrop, the Friday protests may be perceived as a “symptom of a weak opposition; a near insignificant nuisance.”

“The liberal and leftist opposition forces, especially the latter are too disparate to form a united front even if they are already bound together by common targets,” he said via Messenger chat.

The separate rallies on Friday will only reinforce pre-existing prejudices against the left — that it is “a disunited bunch of eternally disappointed actors.”

Meanwhile, Mr. Borja said Mr. Marcos reaction to these protests have generally been ambivalent, “with the President appearing in other events instead of reacting to it.”

“It is on brand though as this administration wants a supposedly depoliticized approach to such matters,” Mr. Borja said. “The lack of reaction from the chief will prompt his followers to make the same dismissal.

Mr. Juliano said the Marcos camp is still in a position of strength due to its incumbency.

“The real test is whether their endorsements/alliances to political dynasties hold in the local level and in the Lower House,” he said.

He noted that if the Marcos camp could retain its numbers in the House, it would be difficult to turn the President into a “lame duck,” but if they fail, it would be because of the Dutertes. This could prompt Ms. Duterte to reassert herself amid cases and allegations.

“Electoral victory does have the potential to wipe out the moral urgency of corruption cases, especially if it can be casted as pure partisan harassment.”

PhilSA chief up for CA approval

THE Commission on Appointments (CA) would deliberate the appointments of the Philippine Space Agency’s (PhilSA) chief alongside senior military officers and ambassadors before Congress adjourns next week, a congressman said on Sunday.

The constitutional panel would conduct its confirmation hearings on PhilSA Director-General Joel Joseph S. Marciano, Jr., together with 289 military officials and 10 ambassadors, said Surigao del Sur Rep. Johnny T. Pimentel.

“Besides Director-General Marciano, there are 318 other officials pending confirmation as of January 27,” Mr. Pimentel, CA assistant minority leader, said in a statement.

The CA is composed of 12 members each from the House of Representatives and the Senate. It has the sole authority to approve or reject presidential appointments.

Mr. Marciano served as the first director general of PhilSA after being appointed in January 2020. He was reappointed by President Ferdinand R. Marcos, Jr. in 2023. PhilSA was created in 2019 and is tasked with developing the country’s space program. — Kenneth Christiane L. Basilio

House panel invites FB, Google

REUTERS

A HOUSE of Representatives committee has invited representatives of social media platforms and 40 “personalities” to allow lawmakers to understand how disinformation spreads online.

The House panel invited representatives from Google, TikTok, Facebook, alongside officials from the National Bureau of Investigation, Department of Justice, and the national police to discuss challenges in regulating and enforcing mechanisms against online disinformation.

The invited social media personalities are known for engaging “in political discourse, news analysis and online commentary,” according to a statement by Sta. Rosa City Rep. Danilo Ramon S. Fernandez.

“We will not allow social media to be used to deceive our fellow citizens. It is time to implement stricter laws to combat fake news and disinformation,” said Mr. Fernandez.

He said the House joint panel on public safety, public information and communications technology seeks to “identify weaknesses” in existing regulations, while looking for ways to strengthen social media platform accountability and possibly impose penalties for persons deliberately spreading misinformation. — Kenneth Christiane L. Basilio

New MCIA runway to boost tourism

MEGAWIDE.COM.PH

THE Department of Tourism (DoT) is expecting the establishment of the first parallel runway at the Mactan-Cebu International Airport (MCIA) to boost tourism in Central Visayas.

DoT Secretary Ma. Esperanza Christina G. Frasco said that the expanded runway will not only strengthen Cebu’s position as a top tourist destination but also boost tourism in Central Visayas by improving accessibility for international and domestic visitors.

According to the DoT, the runway is meant to enhance aviation safety, allow the accommodation of larger aircraft, and improve airport operational efficiency.

“Increasing flight frequencies and passenger capacity up to 18 million at the Mactan-Cebu International Airport through the parallel runway benefits all stakeholders in the aviation and tourism sectors,” said Ms. Frasco.

“This influx would not only bolster the local economy but also promote cultural exchange and foster greater global connectivity,” she added.

She said that the runway will also help in growing the province’s dive tourism and meetings, incentives, conventions, and exhibitions (MICE).

“More importantly, this could support Cebu’s major tourism events and festivals, such as the Sinulog Festival,” she added.

In 2024, the MCIA admitted around 11.32 million passengers, representing a 13% increase from 2023. These comprise 8.51 million domestic passengers and 2.81 million international passengers. — Justine Irish D. Tabile

Probe sought on scam tech trade

BW FILE PHOTO

A PHILIPPINE senator has filed a resolution that seeks to look into the illegal trade of devices such as cell site simulators, used to steal and intercept calls and messages amid an influx of scam and hacking incidents in the country.

Senate Resolution No. 1294, filed by Senator Mark A. Villar, seeks a probe into the trade of International Mobile Subscriber Identity (IMSI) catchers which are used to track locations, intercept calls and messages, and leak sensitive financial information.

“The proliferation of these devices is directly linked to modern scams such as “smishing,” which involves text messages impersonating legitimate financial institutions to trick recipients into providing sensitive financial information such as account numbers and passwords,” according to a copy of the resolution.

He said smishing scams have resulted in about P460 billion in losses to Filipinos from 2023 to last year.

Citing a Jan. 21 arrest of a Malaysian national over the supply of these IMSI devices, the senator said it is crucial to nab individuals behind this illegal trade since these can be hard to detect and could lead to more criminals stealing data.

“While the arrest represents a crucial step in curbing the root causes 18 of scam-related activities, it highlights the need to review existing laws, the sufficiency of regulations on rogue technologies, and enhancement of law enforcement’s ability to detect and monitor these illicit activities devices,” Mr. Villar said.

Last year, Philippine President Ferdinand R. Marcos, Jr. signed into a law a bill that imposed tougher penalties on those using financial accounts to commit crimes. — John Victor D. Ordoñez

LGUs told to boost programs vs early pregnancies, HIV

POPCOM.GOV.PH

A PHILIPPINE senator called for local government units (LGUs) to double their efforts to curb rampant teenage pregnancy and the rise in cases of human immunodeficiency virus (HIV).

“We have to also focus on getting the parents more involved, not just by meeting them regularly but by really mobilizing them,” Senator Sherwin T. Gatchalian said in a statement.

“When we mobilize the parents, we make them aware of these issues and empower them by educating them on how to talk to their kids.”

Based on data from the local statistics agency, young mothers or very young Filipinos aged 10-14 doubled to 3,342 in 2023 from 1,629 a decade earlier.

The Department of Health said in December HIV cases in the Philippines would likely rise to 215,400 by the end of 2024, citing 4,595 confirmed cases from July to September 2024 alone.

Of the confirmed cases from July to September 2024, 1,301 or 28% had an advanced HIV infection at the time of diagnosis, based on Health department data.

The Senate is in the middle of scrutinizing the Department of Education’s implementation of sexual education amid concerns from conservative quarters. — John Victor D. Ordoñez

Architectural firm wins tax case vs Makati

CTA.JUDICIARY.GOV.PH

THE Court of Tax Appeals (CTA) has ordered the City of Makati to refund over P800,000 in local business taxes to a professional architectural partnership firm, ruling the city had erroneously collected taxes from the company.

The tax court en banc affirmed the ruling of the CTA Special Second Division, saying Casas+ Architects was entitled to a refund of erroneously paid local business taxes because the firm is engaged purely in the practice of architecture and related services.

It found that the firm’s activities fall under the definition of a professional partnership and therefore should not be taxed as a contractor.

“As the Court in Division already found that [Casas+ Architects] is engaged in interior design and landscaping, which are encompassed by the practice of architecture, it ruled that respondent is purely engaged in the practice of profession,” Justice Corazon G. Ferrer-Flores wrote in a 15-page ruling promulgated and publicized on Jan. 27.

In junking Makati’s petition, the tax court ruled the applicable provision for the case was Section 196 of the Local Government Code (LGC), which deals with claims for refunds of erroneously or illegally collected taxes.

The city had argued that Section 195 of the LGC applied, which requires a protest within 60 days of a notice of assessment.

However, the court determined that the city did not issue a formal “notice of assessment” for deficiency taxes but rather billing statements. Thus, Section 195 and its protest requirement did not apply.

The case stemmed from the assessment of Casas+ Architects as a contractor, requiring it to pay the Makati City government P2.5 million in local business taxes from the second quarter of 2014 to the fourth quarter of 2015.

Casas+ Architects filed an administrative claim for a refund on March 15, 2016, within two years of the payment of the local business taxes. The city denied this claim.

It filed a Petition for Review before the regional trial court (RTC), which initially ruled in favor of the architectural firm. However, the RTC later reversed its decision and denied the refund.

Casas+ Architects elevated the case to the CTA, which reversed the RTC decision and ordered a refund of P835,000, representing taxes paid for the third and fourth quarters of 2015.

Makati City then filed a Petition for Review with the CTA En Banc. — Chloe Mari A. Hufana

Gunmen in deadly Cotabato ambush identified

COTABATO CITY — The police now have the names of the gunmen behind the fatal ambush of a Moro farmer, his preschool son, and nephew in Carmen town in Cotabato on Saturday morning.

The victims, Norhan Alim Makulintang, his five-year-old son Norolan Balaitom Makulintang and nephew, Grade 3 pupil Umbra Guiamil Makulintang, were riding a motorcycle together when they were shot with pistols and M16 assault rifles by gunmen positioned along a stretch of a highway in Barangay General Luna in Carmen.

Mr. Makulintang and his son died at the scene while his nephew passed away in a hospital a few hours later.

The slain 29-year-old Mr. Makulintang, a member of the Moro Islamic Liberation Front (MILF), was first identified by his relatives as Norman Makasasa, which is his alias in the MILF.

Col. Gilbert B. Tuzon, Cotabato provincial police director, told reporters on Sunday that local officials and villagers in Barangay General Luna, an agricultural enclave in Carmen, have positively identified the gunmen who killed Makulintang and the two children.

Mr. Tuzon said local officials have assured to help them build airtight criminal cases against the culprits, whose names he declined to reveal pending the full documentation of the incident, a requisite in prosecuting them for their offense. — John Felix M. Unson

College teacher badly hurt in Basilan gun attack

COTABATO CITY — A college teacher was seriously wounded in another shooting incident in Lamitan City late Saturday, the second in the area in just three days, amid a nationwide election-related gun ban.

The 25-year-old Johnus Flores Lim, who sustained multiple bullet wounds from the attack, is a teacher in the Furigay College Incorporated in Lamitan City. He was immediately brought by barangay emergency responders to the Lamitan City District Hospital for treatment.

Lt. Col. Elmer P. Solon, Lamitan City police chief, told reporters on Sunday that Mr. Lim was seated on his motorcycle parked along a highway in Sitio Baroy in Barangay Sengal when one of two motorcycle-riding men that came close shot him repeatedly with a .45 caliber pistol.

The duo immediately drove away after Mr. Lim fell on the ground, according to witnesses.

City officials have assured the family of Mr. Lim to facilitate his transfer to a more modern hospital in Zamboanga City as recommended by the attending  physician Nurullaji A. Aguil.

Brig. Gen. Romeo J. Macapaz, director of the Police Regional Office-Bangsamoro Autonomous Region, said on Sunday that he had ordered police units in Basilan to intensify their enforcement throughout the province of the nationwide gun ban being imposed since Jan. 12 by the Commission on Elections, meant to ensure peaceful elections in May 2025.

Businessman Abduraza Saidde Madiza, was also killed in an ambush on Thursday night in Barangay Malinis in Lamitan City.

Mr. Madiza was riding his motorcycle, on his way home to Barangay Limook in the north of the city, when he was attacked by gunmen along the route, killing him instantly.

His attackers managed to escape using a getaway motorcycle before responding volunteer community watchmen and barangay officials could reach the scene. — John Felix M. Unson

Infrastructure spending up nearly 55% in Nov.

PHILIPPINE STAR/RUSSELL PALMA

INFRASTRUCTURE spending in November rose 54.6% year on year after flagship projects were expedited, the Department of Budget and Management (DBM) said.

In a disbursement report, the DBM said spending on infrastructure and other capital outlays rose by P31 billion in November to P87.6 billion.

Month on month, infrastructure spending fell 20.36% from P110.0 billion in October.

The DBM said the Department of Public Works and Highways (DPWH) drove spending with its take up of funding for flagship projects.

“Significant disbursements were also made by the DPWH for completed projects and ongoing contracts from the prior year’s budget,” it said.

The DBM also attributed the increased infrastructure spending in November to the capital outlay projects of state universities and colleges.

It also noted the P3.2-billion disbursement for DPWH’s counterpart funding to foreign-assisted projects, specifically for the Light Rail Transit (LRT) Line 1 South (Cavite) Extension Project and LRT Line 2 East Extension Project.

In the first 11 months, infrastructure spending rose 15.5% to P1.18 trillion.

The National Government is “optimistic” it will exceed the infrastructure target for 2024, which was set at P1.472 trillion, equivalent to 5.6% of gross domestic product, the DBM said.

“This should sustain the strong growth of the construction sector and related services or industries and consequently, helped buoy the economic performance last year,” the DBM said.

The National Economic and Development Authority (NEDA) has said that the government completed seven priority infrastructure projects in 2024.

For 2025, it expects 13 infrastructure flagship programs to be completed.

Terry L. Ridon, convenor of think tank InfraWatch, said the November spending increase was due to a more efficient disbursement process and cooperation between the DBM and infrastructure agencies.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the sharp year-on-year increase in infrastructure spending was influenced by the need to push spending before the midterm election spending freeze kicks in.

He said the series of typhoons in the last months of 2024 also unlocked repair or rehabilitation funding.

“In view of the election ban on some infrastructure spending (but there are those exempted) the voters would like to see results in terms of accomplishments of these infrastructure and other government projects,” Mr. Ricafort told BusinessWorld over the weekend.

Ahead of the May 12 elections, the Commission on Elections  will ban on public works spending starting March 28, with the freeze running for 45 days.

He said the “timely approval” of spending for more infrastructure projects in the next few months will help accelerate the economy, as will election-related spending by candidates.

Mr. Ridon urges the government to expedite the rollout of infrastructure projects to avoid them being disrupted by the election ban.

“Any delay in implementation means delayed road and bridge repairs and new projects pushed towards the middle or end of the year,” he said. — Aubrey Rose A. Inosante

Retailers see up to 15% revenue growth this year

PHILIPPINE STAR/RUSSELL A. PALMA

By Justine Irish D. Tabile, Reporter

RETAILERS are expected to book up to 15% in revenue growth this year to around P5.4 trillion, driven by healthy remittances and a growing population, the Philippine Retailers Association (PRA) said.

“We are forecasting a 10-15% increase for 2025 for the retail industry from both in-store and online retail transactions in the Philippines,” PRA President Roberto S. Claudio told reporters last week.

In 2024, the industry is estimated to have generated P4.7 trillion in revenue.

“People are out, shopping malls are full, and the traffic is back, which means people are shopping, so we are looking forward to 2025 to be a banner year,” he said.

“There are so many infrastructure projects that will be completed. Overseas Filipino worker (OFW) remittances continue to go up. Population continues to grow. So there are many factors that will contribute to the growth of retail, especially with the advent of online channels,” he added.

He said that the industry still wants the government to include goods sold online to be subject to value-added tax (VAT).

In October, President Ferdinand R. Marcos, Jr. signed into law Republic Act No. 12023, which amended the National Revenue Code of 1997 and imposed a 12% VAT on foreign digital service providers.

“In the implementing rules and regulations (IRR), there’s a provision that digital goods are not included but only intangible ones like Netflix and Disney (which are) services,” Mr. Claudio said.

“With the advent of e-commerce … you will not be subject to tax if the consignee is an individual and not a store. It is not covered by tax. That is what we are asking for because it is a big thing,” he added.

Sporting goods retailer Quorum International, Inc., which operates the Toby’s Sports chain, said it is budgeting P100 million to open four more stores this year.

“For Toby’s, we continue to grow. We now have 75 stores. We are planning to open three or four more stores before the end of 2025,” according to Mr. Claudio, founder and chairman of Quorum.

“Of the 75 stores, 24 are franchised. The rest are company-owned. So, we will continue with that. And then we’re growing online. Tobys.com is already contributing the equivalent of 10 stores,” he added.

The company has three formats: Toby’s Sports, Runnr, and Urban Athletics. The plan is to open three more Toby’s Sports and one Urban Athletics store.

“We don’t have locations yet… we’re planning to (open a store at) the airport. That will be our first store in an airport,” he said.

He said the plan to open an airport store is driven by the rehabilitation of the Manila International Airport and the recently signed law granting VAT refunds to non-resident tourists.

“We expect the tourist market to be a very big component, so we’re going to position ourselves then to tap the foreign tourists,” he added.

The P100-million budget “includes fit-out, inventory, and staffing. We are now focused on outside Metro Manila,” he added.

He said that the IRR for the VAT refund law is expected to be done by the end of February, with the implementation of the VAT refund scheme expected to be smooth.

“Part of the provision of the bill is to contract an international service provider that is used to giving refunds. So they already have a standard form, a standard system of collecting,” he said.

“Everything will be done electronically… So you get your refund either on a credit card or via an e-wallet. We are proposing not to issue cash refunds, which is hard and can be abused or subject to corruption,” he added.

He said the organization is proposing that services be included in the VAT refund scheme.

“We’re looking at it. We’re trying to recommend that it should be included. Because South Korea and Thailand are giving out VAT refunds for cosmetic procedures,” he added.