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Gov’t mortgage finance co. backs tax exemption for securitization activities

STATE-OWNED National Home Mortgage Finance Corp. (NHMFC) told Congress on Thursday that it supports a proposal to exempt from income tax its securitization of low-cost housing mortgages.

“All NHMFC issuances, all transactions and documents involving the sale and transfer/re-transfer of assets, collateral and security interests related thereto (to and from it or its special purpose entity), all other securities related to such securitization transactions, and all secondary trades and subsequent transfers of asset-backed securities… (are requested to be eligible for) all the tax and other exemptions and incentives/benefits under the Securitization Act,” the NHMFC President Renato L. Tobias said in a position paper submitted to the House committee on housing and urban development.

The committee is evaluating House Bill No. 2766, which seeks to establish a single housing development fund.

The measure aims to promote the securitization of mortgages and housing-related receivables of government housing agencies and private entities, as well as encourage more investment — especially from the private sector — in housing finance.

The bill also seeks to allow the use of housing bonds and other instruments issued by the NHMFC as payment for taxes.

Scranton Orcullo of the legal and legislative division of the Bureau of Internal Revenue (BIR) countered however that paying for taxes in cash would help provide the government with immediate funds.

“Accepting taxes in cash is vital for the government (to) readily access funds to cover its expenses and programs,” he told the panel.

The committee is also considering bills seeking to create a National Housing Development, Production and Financing Program, as well as measures seeking to institutionalize the government’s Pambansang Pabahay Para sa Pilipino Program. — Beatriz Marie D. Cruz

Separate fisheries dep’t seen arresting decline in yields

PHILIPPINE COAST GUARD PHOTO

FISHERIES advocates said they support the creation of a separate department for fisheries to help improve yields and develop other fishing grounds in light of the Chinese denial of access to the West Philippine Sea.

“The West Philippine Sea, by my estimate, has close to 400 to 1,000 vessels from Vietnam, China and Taiwan operating in that area catching small pelagic (fish)… because our fishers are not fishing in that area,” Asis G. Perez, convenor of food security group Tugon Kabuhayan, told the House committees on government reorganization and aquaculture and fisheries production on Wednesday.

Mr. Perez, a former director of the Bureau of Fisheries and Aquatic Resources (BFAR), said creating a Fisheries and Aquatic Resources department would help rationalize and identify fishing spots within Philippine territory, and aid fisherfolk in acquiring fishing technology.

Fisheries output in the Philippine section of the South China Sea declined 7% in 2022 to 275,872 metric tons (MT), according to the Philippine Statistics Authority (PSA).

Fisheries output from the disputed waters made up 6.36% of the Philippines’ total production in 2022.

Rosanna Bernadette B. Contreras, executive director of the Soccsksargen Federation of Fishing and Allied Industries, Inc. said the proposed department will sharpen the focus on issues specific to the sector.

“The Department of Agriculture, as it is, has so much on its plate especially nowadays where crops and livestock production are seriously challenged,” Ms. Contreras told the panel.

“A separate department for fisheries will provide focus and more resources. It is our opinion that Philippines has not maximized the potential of the fishing industry,” she added.

Daniel Ocampo, senior campaign manager of marine conservation group Oceana, called the creation of the department “timely, (at) this stage when climate change is affecting our oceans and our fisherfolk are continuously suffering from economic losses from illegal, unreported and unregulated fishing.”

The Philippines losses about P62 billion a year due to illegal, unreported, and unregulated fishing, according to a 2021 report by the US Agency for International Development (USAID) and BFAR.

Mr. Ocampo noted that the proposed department should ensure law enforcement, port inspections, quarantine, and the development of fishing grounds. It must also conduct fleet operations, and intelligence-gathering, investigation and detection.

The department should also ensure inter-agency collaboration with local government units (LGUs). “It has always been an issue (on) who actually should implement the Fisheries Code because some of our maritime domain is under the jurisdiction of LGUs,” Mr. Ocampo said.

The Philippine maritime domain is estimated to be seven times larger than its land area, according to Mr. Ocampo.

Fisheries production declined 6.1% in the third quarter of the year, amounting to P58.72 billion, the PSA reported. It accounted for 14.2% of agricultural production.

Jaydrick Johnson A. Yap, president of the Southern Philippines Fishing Association in Zamboanga City, called for an amendment to allow small- and medium-sized commercial fishing vessels to operate within 15 kilometers of the shore.

“Before the pandemic, we usually explored two or three fishing grounds per night, but due to the high fuel cost, we are now limited to one fishing ground. It really affects our production,” Mr. Yap told the committee.

Palawan Rep. Jose C. Alvarez objected to the amendment, noting that it will be disadvantageous to small fisherfolk.

Ana Lourdes Cosme, senior legal associate at the UP Law Center-Institute for Maritime Affairs and Law of the Sea, said removing the zone would be unconstitutional.

“Under the Constitution, there is preferential treatment for artisanal fisherfolk,” Ms. Cosme told the panel.

The joint committee created a technical working group to fine-tune the bill creating the new department. — Beatriz Marie D. Cruz

35 Filipinos, 1 Palestinian spouse to arrive in Manila from Egypt — DFA

People sit inside a car as Palestinians, including foreign passport holders, wait at Rafah border crossing after evacuations were suspended following an Israeli strike on an ambulance, in Rafah in the southern Gaza Strip, November 5, 2023. — REUTERS

By John Victor D. Ordoñez, Reporter

THIRTY-FIVE Filipinos and one Palestinian spouse who crossed to Egypt from Gaza on Wednesday are expected to arrive in the Philippines on Friday, according to the Department of Foreign Affairs (DFA).

Three of the 40 Filipinos who entered Egypt through the Rafah Border Crossing decided to stay in Egypt with their spouses, while one Filipina who is 38 weeks pregnant and a relative also stayed behind, Foreign Affairs Undersecretary Jose Eduardo A. de Vega said in a WhatsApp message on Thursday.

DFA on Tuesday said the Israel Ministry of Foreign Affairs had agreed to let Filipinos cross with their Palestinian spouses. Mr. De Vega earlier said some Filipinos were hesitant to leave their Palestinian spouses.

Attacks had delayed the evacuation of Filipinos to Egypt via the Rafah Border Crossing, which opened for the first time last week since Israel’s war with the Islamist Hamas group, DFA said on Sunday.

The Philippines earlier placed Gaza under Alert Level 4, forcing Filipinos to return to the country. Israel is under Alert Level 2.

In a Facebook post late Wednesday, the Department of Migrant Workers (DMW) said 19 overseas Filipino Workers (OFWs) have returned to the Philippines from Lebanon amid the hostilities between Israel forces and Iran-backed Islamist group Hezbollah. Nine OFWs from Lebanon arrived on Wednesday evening, it added.

A total of 184 OFWs based in Israel have returned to the Philippines, the agency said on Tuesday.

President Ferdinand R. Marcos, Jr. earlier said Israel Foreign Minister Eli Cohen had committed to ensure the immediate evacuation of Filipinos trapped in the conflict.

Israel launched a barrage of airstrikes in Gaza after Hamas militants backed by waves of rockets stormed from the blockaded Gaza Strip into nearby Israeli towns on Oct. 7, killing about 1,400 Israelis.

Israel has deployed tens of thousands of its troops for a ground assault on the Palestinian enclave and has enforced a blockade.

More than 10,000 Palestinians have died since the war started last month, according to Gaza health authorities. At least four Filipinos have died in the war.

The Israel Defense Forces said they have destroyed 130 tunnel shafts belonging to Hamas in the Gaza Strip.

“Combat engineers fighting in Gaza are destroying the enemy’s weapons and are locating, exposing and detonating tunnel shafts,” it said in a statement.

Israel has said Hamas has a vast network of underground tunnels in Gaza.

Meanwhile, four Filipino seamen were injured after a Russian missile hit a civilian vessel entering a Black Sea port in the Odesa region in Ukraine on Wednesday, DMW said in a statement.

A Filipino captain, an able seaman, deck cadet and an electrician on board suffered minor injuries. The electrician fractured his left hand and had been treated at a hospital in Odesa.

The ship’s harbor pilot died after the Liberian-flagged vessel docked at the port of Pivdennyi near Odesa, DMW said.

“As soon as we received the report of the incident, we instructed their manning agency and ship owner to provide all the necessary assistance to the injured crew,” DMW officer-in-charge Hans Leo J. Cacdac said.

“Thankfully, they were far enough from the point of impact and suffered nonfatal injuries.”

Russia has been attacking Ukrainian ports after the former pulled out of a United Nations deal that guaranteed safe shipments of Ukrainian grain through the Black Sea, Reuters reported on Wednesday.

NEDA Board approves Swiss challenge for TPLEX extension

Aerial drone view of Tarlac-Pangasinan-La Union Expressway segment between Sison, Pangasinan and Rosario, La Union, northward past the Bued River bridge — COMMONS.WIKIMEDIA.ORG

THE NATIONAL Economic and Development Authority (NEDA) Board has given the Public Works department the greenlight to proceed with the Swiss challenge for the P23.4-billion Tarlac-Pangasinan-La Union Expressway (TPLEX) extension project, the Public-Private Partnership (PPP) Center said on Thursday.

Under the plan, the department will invite third parties to offer better deals on the project. The original proponent, San Miguel Holdings Corp., can then match the offers, it said in an e-mailed statement.

The project is expected to be awarded by May 2024 if there will be challengers, otherwise it will be awarded to the original proponent two months earlier, PPP Center said.

Construction is expected to be completed in five years.

The TPLEX extension project, which will be implemented through a public-private partnership, is a 59.4-kilometer, four-lane toll road that will start from the TPLEX in Rosario, La Union in northern Philippines and will end in San Juan, La Union.

It seeks to boost the economy by providing an additional expressway that will link the Ilocos Region, Central Luzon and Metro Manila.

The NEDA Board, which is headed by President Ferdinand R. Marcos, Jr., also approved the negotiated terms of the project between state negotiators and San Miguel Holdings, NEDA Secretary Arsenio M. Balisacan told a Palace briefing after the board meeting on Thursday.

The Board also approved the third phase of the Philippine Coast Guard’s (PCG) maritime safety capability project, Mr. Balisacan said.

The P29.3-billion project involves the design, construction and delivery of five units of 97-meter multi-role response vessels for the PCG. The project also includes a five-year integrated logistics support.

Mr. Balisacan said the project would boost the coast guard’s “capability to respond to threats and incidents within the country’s maritime jurisdiction.”

“The project will enable the Coast Guard to secure important sea lines of communication in the West Philippine Sea, Sulu-Celebes Seas and the Philippine Sea,” he said. “It will also help the PCG combat illegal activities and enforce maritime laws in Philippine waters.”

The PCG project will be financed through an Official Development Assistance loan from Japan.

The deal was among the highlights of the recent two-day state visit to the Philippines of Japanese Prime Minister Fumio Kishida, who has vowed to promote an open and free Indo-Pacific region.

Mr. Kishida, in his address to the Philippine Congress, said the last pillar of Tokyo’s New Free and Open Indo-Pacific Plan seeks to extend “efforts for security and safe use of the sea to the air.”

“Japan has hitherto provided 12 ships to the Coast Guard to play a part in improving the Philippines’ maritime security capability,” he said at the weekend.

Mr. Balisacan said the NEDA Board had also approved a P28.2-billion agrarian reform bridge project. The government will build 350 modular steel bridges with an estimated total length of 10,500 linear meters to “enhance access and connectivity for agrarian reform communities.”

The bridges project will also boost the productivity and income of about 350,000 households, Mr. Balisacan said. “The ease of mobility and access to and from the agrarian reform communities will generate more employment and address the communities’ need for better access to social services and market outlets for their agricultural products.”

At the same briefing, Mr. Balisacan said the Public Works department’s Samar Pacific Coastal Road project, one of the 197 flagship infrastructure projects of the Marcos administration, has been completed.

The road, which links the towns of Laoang, Catubig and Palapag through a circumferential road around the entire Samar Island, is expected to “enhance economic activity in the region by improving the delivery and movement of essential goods and services and creating more job opportunities.” — K.A.T. Atienza

Marcos names special envoy to boost trade with S. Korea

PRESIDENT FERDINAND R. MARCOS, JR.

PHILIPPINE President Ferdinand R. Marcos, Jr. has appointed his special envoy to boost trade ties with South Korea, months after the two countries entered into a free trade deal.

Bryan C. Lim, vice president for business development at Suyen Corp., was named special presidential envoy to Korea for trade and investments, the Presidential Communications Office said in a Facebook post.

Suyen, the Philippine company behind the clothing brand Bench, has interests in fashion, food, furniture and real estate.

Mr. Lim donated P20 million in cash to the 2022 presidential campaign of Mr. Marcos, the Philippine Center for Investigative Journalism (PCIJ) said in a report last year.  

To expand its real estate business, the company signed a deal with Global Gateway Development Corp., a unit of Dennis Uy’s Udenna Group, for the sublease of the latter’s 177-hectare leasehold in the Clark Freeport Zone in Pampanga, according to Property Asia.

Mr. Marcos, 66, earlier this month appointed another campaign donor to the Department of Agriculture, which he headed for almost a year.

The PCIJ earlier this month reported that at least six of Mr. Marcos’ campaign donors have been given government posts, including Agriculture Secretary Francisco Tiu Laurel, Jr., Special Assistant to the President Antonio Ernesto “Anton” Floirendo Lagdameo, Jr., National Housing Authority General Manager Joeben Ang Tai and Philippine Charity Sweepstakes Office (PCSO) chief Melquiades A. Robles. 

South Korea was the Philippines’ fourth-largest trade partner last year, with total trade hitting $15.45 billion. They signed a free trade deal on the sidelines of the 43rd Association of Southeast Asian Nations Summit in Jakarta in September.

Meanwhile, Mr. Marcos also appointed Julius Neri, Jr., former president of SunStar Publishing, Inc., general manager and chief executive officer of the Mactan-Cebu International Airport Authority.

Aboitiz InfraCapital is set to take full control of Mactan Cebu International Airport next year after a P25-billion share subscription and transfer deal in 2022 with its operator, Megawide Construction Corp.

The palace also announced the appointment of Angelito Vergel de Dios as commissioner of the Presidential Commission on Good Government (PCGG).

The late President Corazon C. Aquino created the PCGG in 1986 to go after the ill-gotten assets of Marcos, Jr.’s father, the late dictator Ferdinand E. Marcos, his family and their cronies.

Meanwhile, Senator Juan Edgardo M. Angara during debates on the Office of the President’s 2024 budget said filmmaker Paul D. Soriano is no longer the President’s creative communications adviser.

Mr. Soriano, a godson of Mr. Marcos, was named presidential adviser on creative communications in October last year. The palace said in July he had been on leave due to personal matters.

Mr. Soriano directed political advertisements promoting Mr. Marcos during the presidential campaign. — Kyle Aristophere T. Atienza

Vice President gives up pursuit of confidential funds next year

VICE-President and Education Secretary Sara Duterte-Carpio attended Senate floor debates on the 2024 proposed budgets for her offices. On Thursday, Senator Juan Edgardo ‘Sonny’ M. Angara, Jr. told the plenary she was no longer pursuing the Office of the Vice President’s proposed P500-million confidential fund. — PHILIPPINE STAR/JESSE BUSTOS

By John Victor D. Ordoñez

THE OFFICE of the Vice President (OVP) will not pursue its request for P500 million in confidential funds next year “because it is seen to be divisive,” the Senate Finance Committee chief told the plenary on Thursday.

“The Vice President… she swore an oath to keep the country peaceful and strong,” Senator Juan Edgardo “Sonny” M. Angara said, citing a statement from Vice President and Education Secretary Sara Z. Duterte-Carpio, who sat a few feet away from him during the plenary session.

“According to her (Ms. Duterte-Carpio), the OVP can only propose a budget to support the safe implementation of its programs to alleviate poverty and promote [the] general welfare of Filipino families,” he added.

The Vice President had originally sought the confidential and intelligence funds (CIF) for the “safe, secure and successful implementation” of her office’s socioeconomic projects, intelligence gathering projects and other programs supporting the OVP.

Likewise, the Department of Education (DepEd) will forgo its request for P150 million in confidential funds next year, Senator Pia S. Cayetano, who sponsored the DepEd’s budget for next year, said during plenary debates, citing a statement from Ms. Duterte-Carpio.

Ms. Cayetano said the Education Secretary requested for the funds to be realigned to the country’s learning recovery program, which includes capacity training programs for teachers among others.

Senators ended plenary debates on the P10.4 billion budget of Office of the President and the P1.874-billion budget of OVP, pending amendments.

“Given this manifestation of the Vice President, I commend her for now categorically stating to this House, that it is not a deferral to our wisdom,” Senator Aquilino “Koko” D. Pimentel III said.

Reacting to developments at the Senate, Terry L. Ridon, a public investment analyst and convenor of think tank InfraWatch PH, said it was good that Ms. Carpio-Duterte did not insist on pursuing the allocation of secret funds for her offices.

The move, he said, “saved her from the same embarrassment she experienced in the House,” which earlier voted to strip CIFs for 2024.

“More importantly, there is a clear consensus that her offices and other civilian agencies do not require confidential funds as their activities do not involve national security concerns,” Mr. Ridon said in a Facebook Messenger chat.

At Thursday’s plenary session, Senator Ana Theresia N. Hontiveros-Baraquel said she would propose amendments to the OVP’s budget at another time.

Earlier, she questioned how Ms. Duterte-Carpio had spent P125 million in confidential funds last year in just 11 days, citing the same state audit report raised in the House by Marikina Rep. Stella Luz A. Quimbo.

A group of lawyers on Tuesday asked the Supreme Court (SC) to void the P125 million transfer of confidential funds to the OVP last year for being illegal.

Meanwhile, Mr. Pimentel raised the need to test the legality of granting intelligence funds to civilian agencies such as the Office of the President.

“Maybe in due time, a case can be filed with the Supreme Court to test the legality of the grant of intel funds to the Office of the President, being a civilian agency,” he said.

“The President himself… and his office are consumers of intelligence already gathered and organized by the intel practitioners under which are the agencies, some agencies in the Executive Branch,” he added.

The President’s office is asking for a P2.3-billion intelligence fund for next year.

Group insists on Smartmatic ban

PHILIPPINE STAR/EDD GUMBAN

A GROUP led by the country’s former information and communications technology chief, Eliseo M. Rio, Jr., has renewed its call to bar automated election systems provider, Smartmatic Philippines, from the 2025 midterm polls while pushing for an inquiry into its part in alleged irregularities during the 2022 presidential elections.

In a press briefing on Thursday, the September Twenty One Reform Movement (STORM) released a statement urging the government to conduct a probe “with the specific purpose of disqualification” of Smartmatic.

The group has raised suspicion of a rigged 2022 polls because of election returns from different vote-counting machines (VCMs) of Smartmatic that were allegedly transmitted from the same IP address.

Smartmatic did not immediately reply to an e-mail seeking comment, but in a Viber message, Commission on Elections (Comelec) Chairman George Erwin M. Garcia said the poll body had offered Rio’s group to do a manual recount. STORM, he said, declined the offer.  

“I offered to them to choose ballot boxes of whatever precincts in the entire country and manually recount the ballots and let’s see if the results will tally with the printed Election returns and the results as transmitted,” said Mr. Garcia. “I even said that the entire process if accepted will be at the expense of the Commission.”

Together with Mr. Rio, former Comelec commissioner Augusto C. Lagman, Franklin Ysaac, and Leonardo O. Odoño filed the petition to ban Smartmatic from bidding on June 16.

Mr. Rio insisted: “It does not concern us who wins because of that. What we campaign for is to prevent that from happening in the next election.” — Jomel R. Paguian

Half-cup rice policy pushed

FARIS MOHAMMED-UNSPLASH

THE PHILIPPINE Rice Research Institute (PhilRice) at the Department of Agriculture (DA) is pushing for policies that would require food establishments to offer half-cup of rice in their menus, noting rice wastages that could feed more than two million Filipinos.

The institute will push for the revival of an old bill that sought to penalize restaurants for refusing to serve half a cup of rice, DA-PhilRice Deputy Executive Director Karen Eloisa Barroga told a Palace briefing Thursday.

The bill was filed by President Ferdinand “Bongbong” R. Marcos, Jr. in 2013 when he was still a senator. “We will try to revive that and maybe have another senate bill for that half-cup rice,” Ms. Barroga said in Filipino.

More than 40 local government units have ordinances requiring food establishments to offer half-cup of rice, Hazel Antonio, DA-PhilRice’s development communications head, said at the same briefing.

Thˆese cities include Quezon City, Manila City, Davao City, Cebu, and Puerto Princesa, among others.

Under the 2013 Senate bill, restaurants, hotel inns, and other similar institutions will be slapped with a fine of P20,000 for their first offense, and P100,000 for the third and following offenses.

Ms. Barroga said each Filipino wastes two tablespoons or 10 grams of rice every day on average. “That would be costing P7 million for a year, which could feed 2.5 million Filipinos.”

Combined, the daily wastage is equivalent to 384,000 metric tons per year, Ms. Antonio said.

PhilRice has launched an awareness campaign that advocates for the consumption of healthy rice and the avoidance of rice wastage.

Ms. Barroga cited the need to create data that would guide businesses on how they can prevent rice wastage. — Kyle Aristophere T. Atienza

Lawmaker seeks EV regulation

PHILSTAR FILE PHOTO

THE NEED to regulate the use of electric vehicles (EVs) to ensure road safety and traffic management was raised anew on Thursday by one of the co-authors of House Bill No. 8974.

The bill, co-authored by Davao City Rep. Paolo Z. Duterte, Benguet Rep. Eric G. Yap, and Party-list Rep. Edvic G. Yap, seeks to create guidelines in the classification, registration, and operation of EVs.

It would also require all manufacturers, assemblers and/or importers of electric vehicles to submit to the Land Transportation Office (LTO) specifications of new e-vehicle models three months before they are sold to the market.

“Ensuring the safety of all motorists and commuters necessitate the passage of a law that would regulate the use of these vehicles,” Mr. Duterte said in a statement, citing proposed penalties for various violations ranging from not carrying a certificate of registration (P1,000) to not being registered at all (P10,000).

The measure also mandates the LTO to set the rate of motor vehicle user’s charge for EVs.

In August, the Energy department said it expects that EV registrations would rise by 30% yearly. — Beatriz Marie D. Cruz

Firm’s P10-M tax deficit voided

THE COURT of Tax Appeals (CTA) has ruled to cancel the P10.87-million delinquent tax of Star Sports Corporation for the fiscal year 2014 because the company did not receive proper notice regarding its tax obligation.

In an 18-page decision dated Nov. 6, 2023 and penned by Associate Justice Maria Rowena Modesto-San Pedro, the CTA Second Division also nullified the warrant of distraint and levy (WDL) — which enforces the seizure of a taxpayer’s property to satisfy a tax debt — issued against the company since the tax assessment has been voided.

Star Sports has denied receipt of the preliminary assessment notice (PAN) and final assessment notice (FAN), which the Bureau of Internal Revenue (BIR) allegedly issued on Dec. 6, 2017 and Jan. 9, 2018, respectively.

In its ruling, the CTA noted that the BIR failed to present any registry receipts to prove that the PAN and FAN had been served to the company.

The appellate court stated that a lack of notice is enough to void an assessment based on a taxpayer’s right to due process, as cited in the National Internal Revenue Code, adding that in this case, “the burden of proof falls on the CIR (Commissioner of Internal Revenue) to prove such receipt.” — Jomel R. Paguian

Islam to be celebrated in 2030

PHILIPPINE STAR/EDD GUMBAN

PRESIDENT Ferdinand R. Marcos, Jr. has created a steering committee that will coordinate plans for the commemoration of the 650th anniversary of Islamic presence in the Philippines, which will be as early as next year through 2030.

Under an administrative order, the Situmiayat Wakhamsun Aldhikraa National Committee would facilitate the planning and implementation of projects and activities for the Muslim celebration, which Mr. Marcos said will promote local and national tourism and “reignite nationalism in every Filipino.”

It has been ordered to craft a comprehensive plan for the 650th Anniversary of the Philippine Muslim History and Heritage.

The committee will be chaired by the National Historical Commission of the Philippines and will be co-chaired by both the National Commission on Muslim Filipinos and the Bangsamoro Commission for the Preservation of Cultural Heritage.

There will be members from the Department of Budget and Management, Department of Education, Department of Foreign Affairs, Department of the Interior and Local government, Department of National Defense, Department of Tourism, and the Office of the Presidential Adviser on Peace, Reconciliation, and Unity. — Kyle Aristophere T. Atienza

BIR shuts 103 stores using dubious POS machines

PHILSTAR FILE PHOTO

A TOTAL of 103 stores were closed down by the Bureau of Internal Revenue (BIR) for either tampering with or not registering point of sales (PoS) machines used in their respective trades.

The BIR said the stores were from a chain of shopping centers and “found to be using unregistered PoS machines, some of which with sales suppression devices while others were using a software different from that approved by the BIR.”

In its investigation, the BIR found that the machines were reporting only 25% of store sales.

Meanwhile, in a separate statement, the Bureau of Customs (BoC) said it seized smuggled cigarettes valued at P13.75 million in Maasin, Zamboanga City.

The contraband was found in a motorized wooden watercraft which came from Jolo, Sulu while being unloading in Zamboanga. — Luisa Maria Jacinta C. Jocson