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Onion crop losses attributed to fungus, fall armyworm by DoST

BOC PHOTO

THE Department of Science and Technology (DoST) said fungal and worm diseases were largely behind losses in the onion crop of Nueva Ecija and other growing areas.

The DoST said the onion anthracnose fungal diseases caused “significant yield losses” in Nueva Ecija, a leading onion-producing province.

It said fall armyworm “continues to threaten corn and onion crops,” after it caused significant damage to sugarcane fields, particularly in Negros Occidental.

The DoST said the Philippine Council for Agriculture, Aquatic, and Natural Resources Research and Development (PCAARRD) is researching methods to combat pests and diseases affecting onion yields.

“These combined efforts aim to stabilize supply, support farmers’ productivity, and promote sustainable agricultural practices for long-term market resilience,” it said.

PCAARRD is funding a research project led by the College of Agriculture and Food Science’s National Crop Protection Center at the University of the Philippines Los Baños to develop sustainable chemical and biological management strategies for onion anthracnose.

“The project aims to assess current disease management practices, evaluate fungicides with different modes of action, identify biological control agents, and determine alternative hosts of anthracnose pathogens,” it said.

The project, set for completion in June 2026, will produce two fungicides and one biological control agent.

PCAARRD is also funding another research project under the Harnessing Adaptive Responses and Best Practices against Fall Armyworm using Science and Technology program to manage the fall armyworm in corn, onion, and sugarcane.

The project aims to train farmers in Nueva Ecija, Laguna, Batangas, and Negros Occidental and equip them with “science-based management approaches.” — Kyle Aristophere T. Atienza

OSAPIEA says pace of reforms picking up

Office of the Special Assistant to the President for Investment and Economic Affairs Secretary Frederick D. Go — PHILIPPINE STAR/KRIZ JOHN ROSALES

THE Office of the Special Assistant to the President for Investment and Economic Affairs (OSAPIEA) said the swift signing of the implementing rules and regulations (IRR) of the value-added tax (VAT) refund for foreign tourists highlights the speed of recent economic reforms.

“We were just here a month ago to finish up the IRR of the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act, so it’s great that we are moving at excellent speed,” according to Secretary Frederick D. Go, the head of the OSAPIEA at the signing of the IRR.

“Travelling Filipinos have experienced the VAT refund process when we go to many other countries, and I am so happy to see this become a reality,” he added.

On Monday, the Department of Finance, Bureau of Customs, and Bureau of Internal Revenue signed the IRR for Republic Act No. 12079, or the VAT Refund for Non-Resident Tourists.

The signing ceremony was also witnessed by Mr. Go and Tourism Secretary Ma. Christina Garcia-Frasco.

Under the IRR, foreign passport holders may apply for a VAT refund from accredited stores for locally purchased goods equivalent to at least P3,000.

It applies to clothing, apparel, electronics, gadgets, jewelry, accessories, souvenirs, food or non-food consumables, and other retail and tangible goods.

“This measure responds to the calls of tourism groups, further demonstrating our government’s commitment to listening to and addressing the needs of our stakeholders,” Mr. Go said.

“This will encourage more tourist spending, which means more revenue for stores, more jobs, and more growth for our economy, especially our artisans and businesses,” he added.

In January, revenue from tourism activities, products, and services hit P65.3 billion, up 78.8% year on year. — Justine Irish D. Tabile

Visiting UK firms express interest in PHL analytics, cybersecurity tie-ups

NATIONAL INNOVATION CENTRE FOR DATA

TWELVE BRITISH companies have visited the Philippines to explore collaborations in data analytics, the internet of things (IoT), cybersecurity, and artificial intelligence (AI), a British official said.

“The Philippines is not only a rising force in digital innovation but also a market of immense opportunities for UK companies,” UK Trade Commissioner for Asia-Pacific Martin Kent said at the UK-Southeast Asia Tech Week in Manila on Monday.

“This year, we are exceptionally proud to bring 12 cutting-edge UK AI companies and partners to Manila, each offering world-class expertise, groundbreaking solutions, and a commitment to forging strong partnerships here,” he added.

British Ambassador to the Philippines Laure Beaufils said that the Philippines’ rapidly growing digital economy presents immense opportunities for collaboration, citing fields like digital identity verification.

“Companies such as Wise, known for making cross-border transactions faster and more affordable, and NCC Group, a global leader in cyber risk management, have already opened offices in the Philippines, ready to support the Philippines’ financial inclusion story and help local enterprises in fortifying their digital infrastructure,” she said.

“For this year’s UK-SEA Tech Week, we’ve brought 12 incredible UK companies offering cutting-edge solutions in data analytics, IoT, cybersecurity, consulting, and AI for enterprise,” she added.

The 12 companies are Content Guru, CyberQ Group, Encompass, Intelligent AI Solutions, Kraken IM, National Innovation Centre for Data, Open Data Institute, Smart, Summatic, Sumsub, Synetics, and Veracity Trust Network.

On Monday, the British Embassy Manila and the UK Department of Business and Trade also signed a partnership agreement with Fintech Alliance, which aims to advance fintech collaboration between the UK and the Philippines.

The British Embassy said that the partnership reaffirms the parties’ shared vision to strengthen cross-border cooperation, drive innovation, and enhance financial inclusion. — Justine Irish D. Tabile

Peso edges up before key US data

COLLAGE OF BWORLD PHOTO AND FREEPIK

THE PESO inched higher against the dollar on Monday as market players preferred to stay on the sidelines before the release of key US economic data and as they await details on the Trump administration’s planned reciprocal tariffs.

The local unit closed at P57.32 per dollar on Monday, edging up by a centavo from its P57.33 finish on Friday, Bankers Association of the Philippines data showed.

The peso opened Monday’s session stronger at P57.30 against the dollar. Its worst showing was at P57.39, while its intraday best was at P57.285 versus the greenback.

Dollars exchanged went down to $1.098 billion from $1.37 billion on Friday.

“The dollar-peso closed almost flat as the market traded cautiously amid lingering geopolitical turmoil and while waiting for more data to provide more directional guidance,” a trader said in a phone interview.

US economic data to be released this week include the manufacturing purchasing managers’ index, the third and final estimate for fourth-quarter gross domestic product, as well as the February personal consumption expenditures price index report.

The dollar mostly moved sideways as markets digested recent comments from US Federal Reserve officials and amid uncertainty over US President Donald J. Trump’s policies.

For Tuesday, the trader expects the peso to move between P57.10 and P57.40 per dollar, while Mr. Ricafort sees it ranging from P57.20 to P57.40.

New York Federal Reserve President John Williams said on Friday the US central bank’s monetary policy is in the right place given the myriad of uncertainties facing the economy, noting that there’s no urgency to make any changes to interest rates, Reuters reported.

Chicago Fed President Austan Goolsbee echoed Williams’ monetary policy caution, telling CNBC on Friday that uncertainty argued for the Fed standing aside until more clarity emerged. Mr. Goolsbee said the economy was strong and that he’s waiting to see how President Donald J. Trump’s tariffs, which many economists expect to worsen a challenging inflation situation, play out.

Mr. Williams and Mr. Goolsbee weighed in two days after Fed policy makers left the central bank’s benchmark interest rate in the 4.25%-4.5% range and signaled they still expect to lower it at some point later this year.

At the same time, Fed officials acknowledged considerable uncertainty about the outlook amid the Trump administration’s dramatic and often chaotic policy changes, which they expect to help drive up inflation pressures, at least in the short term. — A.M.C. Sy with Reuters

PSEi slides as market awaits tariff developments

REUTERS

PHILIPPINE SHARES slid on Monday as market sentiment was weighed down by continued uncertainty over US President Donald J. Trump’s plan to impose reciprocal tariffs by next week and as the shortened trading session affected value turnover.

The benchmark Philippine Stock Exchange index (PSEi) dropped by 1.19% or 74.73 points to close at 6,192.02 on Monday, while the broader all shares index went down by 0.96% or 35.81 points to 3,691.31.

“The local market extended its drop as investors worried over the US government’s planned reciprocal tariffs on April 2 and its consequences on the global economy,” Japhet Louis O. Tantiangco, senior research analyst at Philstocks Financial, Inc., said in a Viber message.

“Stocks dropped today on low value turnover… after a shortened trading day, as investors remain cautious ahead of Trump’s April 2 deadline for the implementation of reciprocal tariffs on trade partners,” Alfred Benjamin R. Garcia, research head at AP Securities, Inc., said in a Viber message.

Value turnover dropped to P4.63 billion on Monday with 630.53 million shares exchanged from the P11.77 billion with P1.58 billion shares traded on Friday.

The market’s opening was delayed to past 11 a.m. on Monday, which the PSE attributed to a system connectivity issue.

Rastine Mackie D. Mercado, research director at China Bank Securities Corp., said foreign selling also pulled the market down.

“The PSEi headed lower in a shorter session following a delay in market opening. Foreign funds turned net sellers, breaking their streak of net inflows last week. Moreover, trading volumes also edged lower, likely driven by the lack of catalysts,” Mr. Mercado said in an e-mail.

Net foreign selling stood at P240.82 million on Monday, a reversal of the P1.04 billion in net buying recorded on Friday.

All sectoral indices closed lower on Monday. Services fell by 2.31% or 47.39 points to 1,997.55; property declined by 1.38% or 30.92 points to 2,199.71; financials shed 1.07% or 25.99 points to 2,402.25; industrials decreased by 0.58% or 52.07 points to 8,792.47; holding firms sank by 0.53% or 27.63 points to 5,128.87; and mining and oil went down by 0.52% or 49.53 points to 9,446.63.

“Emperador, Inc. was the day’s top index gainer, climbing 3.67% to P12.44. JG Summit Holdings, Inc. was the day’s worst index performer, plunging 4.57% to P16.72,” Philstocks Financial’s Mr. Tantiangco said.

Market breadth was negative as decliners outnumbered advancers, 123 to 61, while 50 names closed unchanged.

“For [Tuesday’s] session, we think that a test of the 6,150 level is in play, and if successful, could mean a continuation in the range trade bound by 6,150 and 6,350,” China Bank Securities’ Mr. Mercado said. — S.J. Talavera

Domestic-level profit-shifting: How it’s done and why it should be avoided

When we hear the term “profit shifting,” we often associate it with cross-border transactions between and among members of multinational companies (MNCs) aimed at reallocating profits across different countries or tax jurisdictions to minimize tax liabilities. Profit shifting enables businesses to move profits from high-tax jurisdictions to low-tax or no-tax areas to reduce the total tax liabilities of a conglomerate or a corporate group. While this strategy may be used to somehow avoid tax, it raises concerns about the fairness of tax computations and the revenue foregone by governments, resulting in the need for stricter regulations to ensure proper payment of taxes.

Although profit shifting often involves intercompany transactions among MNCs, it is not solely an international practice, as it can also occur within a single country. In some cases, businesses take advantage of tax incentives granted to certain industries or areas or engage in intercompany transactions among parent/holding companies, subsidiaries, and affiliates or entities under common ownership to unduly improve their tax positions.

The Bureau of Internal Revenue (BIR) acknowledged this risk and acknowledged that while transfer pricing issues typically occur in cross-border transactions, they can also occur in domestic transactions. The BIR illustrated how domestic transfer pricing issues may arise when income is shifted from a company subject to regular income tax to a related company enjoying special tax privileges from the Board of Investments (BoI) or the Philippine Economic Zone Authority (PEZA). Similarly, expenses from a tax-incentivized entity may be transferred to a related company subject to regular income taxes, or income and expenses may be strategically allocated among related parties to reduce a group’s tax liabilities.

This practice of domestic profit shifting can take many forms, often involving intercompany transactions that manipulate income and expenses to achieve tax avoidance. Businesses may engage in below-market or unreasonably high transfer pricing. These strategies allow companies to shift profits to entities enjoying lower tax rates or tax exemptions, which results in minimization or total elimination of tax liabilities.

COMMON WAYS OF DOMESTIC PROFIT SHIFTING
1. Transfer of goods and services among related parties

When a company sells goods or services to a related party at prices below market value or nothing is charged at all, particularly when the purchasing entity operates in a tax-incentivized zone, such as an economic zone, the selling party reports lower taxable income, while the purchasing party benefits from tax exemptions or reduced tax rates, resulting in a lower consolidated tax liability.

2. Management, consultancy, IT, finance, audit, and other back-office support

A tax-incentivized service provider may charge unreasonably high fees for management, consultancy, IT, finance, audit, and other back-office services to its related parties, which the latter recognize as deductible expenses. This reduces their taxable income while the service provider records a higher income, which may be tax-exempt or subject to a lower preferential tax rate, diminishing the total tax liability of the group.

3. Lease agreements between related parties

When a business rents real estate or equipment from an affiliated company at inflated rental rates, the leasing entity, if located in a tax-incentivized area, can report overpriced rental income, while the lessee claims the rent as a deductible expense, thereby lowering its taxable income.

4. Income and cost allocation within a corporate group

This normally occurs when a corporate group with multiple business units incurring shared expenses allocates a higher portion to entities subject to regular income tax rates while directing more revenue to entities enjoying tax incentives. With this practice, the company reduces taxable income where higher tax rates apply while increasing taxable income where lower tax rates apply.

5. Shifting income to entities with unutilized and expiring tax credits

Allocating more income to entities with unutilized and/or expiring tax credits, such as net operating loss carryovers (NOLCO), creditable withholding taxes, prior-year excess credits, excess minimum corporate income tax over regular corporate income tax, tax credit certificates, and other tax credits, allows businesses to utilize these tax benefits to lower the taxes due. By shifting income to a related company with available tax credits, the group ensures that these credits are fully utilized before they expire, which results in the offsetting of taxable income and lowering tax obligations. Meanwhile, the related entity incurring the corresponding expense reports understated taxable income, further diminishing its tax liability.

REGULATORY RESPONSE AND COMPLIANCE MEASURES
These examples are just some of the ways businesses engage in domestic profit shifting. Conglomerates or corporate groups engaged in different industries may take advantage of intercompany transactions to strategically minimize the tax obligations of the whole group.

Recognizing the impact of these practices on government revenues, the BIR has implemented regulations aimed at detecting and minimizing such activities. As a countermeasure, the BIR has begun closely examining transactions between related parties, particularly those involving significant expense allocations or income shifting. If an expense appears excessive or unwarranted, or does not meet the arm’s-length principle, meaning it was not incurred under fair market conditions between unrelated entities, the BIR has the authority to disallow the deduction.

Some companies may unknowingly engage in these practices and not fully understand their tax implications, or the potential risks involved. In many cases, intercompany transactions are structured based on business needs, with little consideration for how they might be viewed from a tax compliance perspective. Nevertheless, the BIR continues to strengthen and advance its monitoring and enforcement efforts to identify transactions that result in undue tax minimization, whether intentional or not. Failure to properly assess and document the rationale behind intercompany pricing and expense allocations can lead to tax deficiencies, penalties, and disallowed deductions, potentially causing significant financial losses for businesses.

PROPER TRANSFER PRICING DOCUMENTATION (TPD)
This is why maintaining proper TPD is crucial, even for companies that are not explicitly required by law to prepare such reports. Proper documentation serves as a safeguard, ensuring that all intercompany transactions are conducted at arm’s length and reflect fair market value. It provides transparency in pricing policies and helps justify the reasonableness of income and expense allocations, as well as the factors considered in setting prices between related entities. TPD assists in minimizing the risk of penalties, disallowed deductions, and tax adjustments that could arise from perceived profit shifting.

While profit shifting may offer short-term tax advantages, it comes with the risk of scrutiny, tax deficiencies, and penalties.

Let’s Talk TP is an offshoot of Let’s Talk Tax, a weekly newspaper column of P&A Grant Thornton that aims to keep the public informed of various developments in taxation. This article is not intended to be a substitute for competent professional advice.

 

Aaron Paul A. Santos is a manager from the Tax Advisory & Compliance division of P&A Grant Thornton, the Philippine member firm of Grant Thornton International Ltd.

pagrantthornton@ph.gt.com

Philippines, US launch three-week joint military drills with 5,000 army soldiers

PHILIPPINE STAR/JOHN RYAN BALDEMOR

By Kenneth Christiane L. Basilio and Adrian H. Halili, Reporters

PHILIPPINE and US army soldiers started three weeks of joint military exercises on Monday, with drills focused on territorial defense and commanding large-scale deployments of forces, the Philippine Army said.

About 5,000 soldiers from the Philippine Army and the US Army Pacific will take part in warfighting and exchange of expertise in the first phase of this year’s Exercise Salaknib. A second phase is scheduled for later this year.

The opening ceremony was held at Fort Magsaysay, Nueva Ecija in northern Philippines.

US Defense Secretary Pete Hegseth is expected to travel to Manila this week to meet Philippine leaders and forces, the Pentagon said last week.

The exercises would focus on enhancing combined operations between their armies, large-scale maneuvers, live-fire exercises and territorial defense, the Philippine Army said in a statement.

The Salaknib (Ilocano word for shield) exercises began in 2016 and are yearly engagements between the two treaty allies, part of the broader Balikatan (shoulder-to-shoulder) training drills.

The first phase of the Salaknib exercises will run from March 24 to April 11, ending a week before the start of the Balikatan combat drills on April 21 to May 9. The second phase of the Salaknib exercises will continue on May 19 to July 20.

The UK, Japan, Canada, Australia, South Korea and France have committed to join the Balikatan drills, Balikatan Combined Joint Information Bureau chief Lieutenant Colonel John Paul C. Salgado told BusinessWorld via Viber.

“The exercise (Salaknib), designed as a continuous operation, focuses on enhancing combined and joint all-domain operations, reinforcing warfighting capabilities, and showcasing a strong bilateral commitment to safeguarding the Philippines’ territorial integrity,” the Philippine Army said.

Manila has been at the forefront of efforts to contest Beijing’s expansive sea claim, deepening security ties with western countries and regional allies like Japan and Australia.

The war games between Manila and Washington’s forces have focused on enhancing the Southeast Asian nation’s ability to defend its territory from external threats, conducting past drills near potential flashpoints of the South China Sea and self-governed Taiwan, which Beijing considers a renegade state.

“Through joint exercises… the [Philippine] Army further solidifies its readiness to respond to evolving threats and upholds its vital role in the nation’s land defense as part of the Armed Forces of the Philippines’ broader mission in external security operations,” the Philippine Army added.

Security engagements between the two nations have soared under Philippine President Ferdinand R. Marcos, Jr., who has pivoted closer to the US.

Mr. Marcos has prioritized upholding the Philippines’ sovereign rights in the South China Sea and has locked horns repeatedly with China over its actions in the disputed waterway, including the constant presence of Beijing’s coast guard near disputed features within the Southeast Asian nation’s maritime zone.

Mr. Hegseth is the first Cabinet official to visit Manila since US President Donald J. Trump took office in January.

Lloyd Austin, who was Defense Secretary under President Joseph Biden, had said America’s alliance with the Philippines would transcend changes in administrations.

The Philippines secured an exemption from the 90-day funding freeze that Mr. Trump ordered in January so it could receive $336 million for the modernization of its security forces.

Meanwhile, AFP Chief of Staff General Romeo S. Brawner, Jr. met with India’s Chief of Defense Staff Anil Chauhan in New Delhi last week, discussing ways to forge stronger security ties between their countries, the Philippine military said in a separate statement.

Mr. Brawner also pushed deeper military relations between the Philippines and India by “enhancing military capabilities through collaboration” during the geopolitical forum Raisina Dialogue.

“The AFP chief of staff also emphasized the significance of ongoing cooperation, including training exchanges, the acquisition of advanced defense systems like the BrahMos missile system, and joint maritime exercises,” the AFP said.

TALKS WITH AUSTRALIA
Also on Monday, the Department of Foreign Affairs (DFA) said it is looking to bolster defense ties with Australia, particularly on maritime security, counter-terrorism, defense infrastructure and defense policies.

In a statement, the agency said Foreign Affairs Undersecretary Ma. Theresa Lazaro, alongside an envoy of the defense department, met with Australian Foreign Affairs and Trade Deputy Secretary Michelle Chan for the Philippines-Australia strategic dialogue in Canberra.

“The discussions focused on enhancing maritime cooperation, countering transnational crime, ASEAN chairmanship in 2026 and strategic alliances,” the DFA said.

It added that both envoys are exploring possible cooperation on cybersecurity, climate resilience and critical infrastructure, among other areas.

Australia, the US and Japan are among the countries that have visiting forces agreement with the Philippines, providing a legal basis for foreign armed forces to enter the country and setting how they will be treated.

“Australia emphasized its shared views with the Philippines on current challenges facing the South China Sea and the Indo-Pacific region,” the DFA said. “Australia also expressed continued support for the Philippines’ capacity-building requirements and supply of operational assets.”

Amid increasing tensions with Beijing in the South China Sea, the Philippines has been seeking more foreign defense deals with countries like Australia, the US, Japan and Canada.

Manila and Beijing have repeatedly clashed in the South China Sea, with both sides accusing each other of raising tensions.

A United Nations-backed tribunal based in The Hague in 2016 voided China’s claims to more than 80% of the waterway for being illegal.

The South China Sea is a vital waterway for more than $3 trillion of annual ship-borne commerce. Aside from China and Philippines, Brunei, Indonesia, Malaysia and Vietnam also claim parts of the sea. — with Reuters

BSP urges banks to protect system from vote-buying

PHILIPPINE STAR/JESSE BUSTOS

By Luisa Maria Jacinta C. Jocson, Reporter

THE Bangko Sentral ng Pilipinas (BSP) has urged banks to boost measures against vote-buying and other misuse of funds through digital platforms ahead of this year’s midterm elections.

In a memo dated March 23 and uploaded on the BSP website on Monday, the central bank warned banks of the possible proliferation of vote-buying, vote-selling and abuse of state resources in election schemes.

The memo seeks to “mitigate the heightened risk of the possible abuse or misuse of digital channels.” “The BSP strongly calls for the adoption of enhanced surveillance and monitoring measures to prevent the misuse of financial institutions as conduits for these illegal activities,” it added.

It also urged financial institutions to tighten controls in detecting or preventing the possible influx of fraudulent accounts and transactions as the election date approaches, it added.

“This is actually an instruction not only to the banks but to all platforms,” Commission on Elections (Comelec) Chairman George Erwin M. Garcia said in a speech at the signing ceremony where Comelec and BSP completed the escrow deposit of the final trusted build source codes for the automated elections on May 12.

“This will practically, if not eradicate, then mitigate the existence of vote-buying using these platforms,” he added.

Banks should have appropriate customer onboarding processes, effective fraud management and account and transaction monitoring capabilities to respond to fraudulent activities, the central bank said.

Financial institutions must calibrate these controls to account for possible scenarios such as an unusual volume or value in cash-in or cash-out transactions.

It also cited scenarios such as the concentration of account registrations in areas where abuse of state resources is rampant.

These also include large cash transactions or encashment of checks during the election period and unusual transaction flows between accounts or digital wallets.

Financial institutions must submit suspicious transaction reports to the Anti-Money Laundering Council, it added.

Meanwhile, central bank Deputy Governor Bernadette Romulo-Puyat said completing the escrow deposit of the final trusted build source codes is a key step to ensure that elections are transparent and credible.

“By taking custody of the source code in compliance with Republic Act No. 9369, the BSP reaffirms not only its legal obligation but also its steadfast commitment to supporting clean and transparent elections,” she said in a speech.

Under the law, Comelec must send the source codes to the BSP for safekeeping.

These include the source codes for the automated counting machines, consolidation and canvassing system, election management system, secure electronic transmission system and online voting and counting system.

“The source codes are stored in digital media storage devices after having undergone the full final trusted build international certification and local source code review,” the BSP said.

It also ensures election accuracy, credibility, transparency and auditability in several electronic processes.

These include the counting, consolidation and canvassing of votes; election returns and certificates of canvass; transmission of electronic election results; and management of the automated elections.

The source codes for national and local elections from 2010 to 2022 are also deposited inside the central bank’s vaults.

Transportation dep’t open to changes to jeepney modernization program

PHILIPPINE STAR/ MICHAEL VARCAS

By Chloe Mari A. Hufana and Ashley Erika O. Jose, Reporters

THE Department of Transportation (DoTr) is open to some changes to the government’s public transport modernization program to address the concerns of transport groups, its chief said amid a three-day jeepney strike that started on Monday.

“We are open to changes,” Transportation Secretary Vivencio B. Dizon told a news briefing. “Clearly, there are some issues that need to be resolved. It is important for us to identify these problems first and then we will address these.”

Malayang Alyansa ng Bus Employees at Laborers (Manibela) has announced a transport strike to protest what it said were the Land Transportation Franchising and Regulatory Board’s (LTFRB) inaccurate consolidation figures of public utility vehicle operators and drivers under the program.

The modernization program, which started in 2017, seeks to replace traditional jeepneys with units that have at least a Euro 4-compliant engine to cut pollution.

Mr. Dizon said his agency would present a solution in two weeks after it concludes dialogues with more stakeholders. The new transport chief said he plans to discuss the issue with the LTFRB and various transport groups.

He said about 86% of public utility vehicles (PUVs) have applied for consolidation under the initial phase of the modernization program. But only about 40% of these applications have been approved, he added.

Meanwhile, Metro Manila Development Authority (MMDA) Chairman Romando S. Artes said the first day of the transport strike had “minimal impact” on commuters as local governments deployed vehicles offering free rides to stranded commuters.

The MMDA also ruled out suspending the number coding scheme during the strike. Some local governments suspended classes because of the strike.

Mr. Dizon said Metro Rail Transit Line 3 (MRT-3) would extend night operations by an hour starting on Monday.

MRT-3 will also deploy additional trains during peak hours to accommodate more passengers. The new closing time for North Avenue station will be at 10:25 p.m., while Taft Avenue will close at 11:04 p.m.

Jeepney drivers and operators have decried the high price of a modern jeepney, which costs more than P2 million.

The initial phase of the modernization program involves consolidating individual PUV franchises into cooperatives or corporations. Units that remain unconsolidated will be considered illegal and subject to penalties.

Explain alleged fake recipients of confidential funds, VP told

VICE-PRESIDENT SARA DUTERTE-CARPIO — HOUSE OF REPRESENTATIVES OF THE PHILIPPINES FACEBOOK PAGE

THE PALACE on Monday urged Vice-President (VP) Sara Duterte-Carpio to address an alleged list of fake recipients of confidential funds to dispel accusations of corruption at her office and the Department of Education.

“We believe that VP Sara has the obligation to address this matter and provide clarification regarding these findings,” Presidential Communications Office (PCO) Undersecretary Clarissa A. Castro said at a news briefing in mixed English and Filipino.

“There have been numerous circulating claims about fake receipts allegedly issued by Vice President Sara’s office. She says we need more transparency, but it would be better for her to explain these to the public.”

House Deputy Leader and La Union Rep. Francisco Paolo P. Ortega V on Sunday said new strange names, such as “Joug de Asim” and “Fernan Amuy,” were found on receipts used to justify the DepEd’s use of confidential fund, under Ms. Duterte’s term. This is on top of other alleged made-up names, related to junk foods and fruits, that previously surfaced.

The Office of the Vice President told BusinessWorld in a Viber message that Ms. Castro’s statement has been relayed to her but has yet to issue a response.

Ms. Duterte was impeached by the House of Representatives in early February over alleged misuse of secret funds, unexplained wealth, and acts of destabilization and plotting the assassination of President Ferdinand R. Marcos, Jr. and his family. Ms. Duterte has denied any wrongdoing.

She is expected to be tried by the Senate, which will convene as an impeachment court in July.

Meanwhile, Ms. Castro also dispelled claims of the Duterte family being under threat amid former President Rodrigo R. Duterte’s trial before the International Criminal Court (ICC) over alleged crimes against humanity.

At a rally of Duterte supporters in the Netherlands, the Vice-President said her father could suffer the same fate as former Senator Benigno “Ninoy” S. Aquino, Jr., implying that he could get assassinated if he were to return to the Philippines.

“He really wants to come home. I told him, ‘Pa, if you go home, that will be the end of your life. You’ll be like Ninoy Aquino, Jr.,” Ms. Duterte said at the rally in Filipino.

Historians have cited Mr. Aquino’s death in 1983 as a turning point in the dictatorial rule of the late former President Ferdinand E. Marcos, Sr., leading to his ouster by a popular street uprising less than three years later. The elder Marcos was the father of the sitting president.

Mr. Aquino was assassinated moments after deplaning from Manila’s international airport after years of exile in the US.

“As a matter of fact, even the alleged threats against VP Sara have not yet been presented to the National Bureau of Investigation or the Philippine National Police, so where are these claims coming from?” Ms. Castro said.

“We need materials and evidence before making such statements. There is no truth to this.” — John Victor D. Ordoñez

Immigration bureau bans layovers in deporting POGO-linked fugitives

PHILSTAR FILE PHOTO

THE Bureau of Immigration (BI) banned layovers in deportation flights of international fugitives involved in illegal Philippine Offshore Gaming Operators (POGOs) activities, it reported on Monday.

The agency under Resolution No. 2025-002, dated March 21, said deported foreign nationals with POGO links can only board direct flights to their home countries, except in cases where there are no direct flights from Manila.

“The discussions during senate hearings allowed us to hear other perspectives that we have included in our discussions. This is a firm step in strengthening our deportation procedures,” Commissioner Joel Anthony M. Viado said in a statement.

He noted the directive aims to prevent deported individuals from exploiting layovers in neighboring countries to resume illicit operations.

“Removing [layovers] for POGO-related foreign nationals would lower opportunities of them expanding their operations in other countries in the Asian region,” he added.

The policy shift follows calls from Senators Ana Theresia N. Hontiveros and Sherwin T. Gatchalian, who advocated for stricter measures to prevent high-profile criminals from manipulating deportation protocols.

The BI, in coordination with the Department of Justice, is working closely with airlines and foreign embassies to facilitate seamless implementation of the new directive.

Mr. Viado said this only forms part of additional security measures the BI is considering to enhance deportation procedures.

These include heightened collaboration with international law enforcement agencies and stricter monitoring of deportees.

“We will continue reviewing and strengthening our deportation processes to prevent criminals from finding ways back into the country or evading justice,” he said.

“We will not allow foreign criminals to exploit our system. Our message is clear — those who violate the law will be removed from the Philippines without any chance of continuing their illicit activities.”

This followed a Senate hearing that revealed 21 deportees who were supposed to be transported back to China were diverted to Kuala Lumpur and eventually headed to Cambodia. — Chloe Mari A. Hufana

Balance law vs fake news, SP says

FREEPIK

SENATE PRESIDENT (SP) Francis G. Escudero on Monday said there needs to be a “good balance” in drafting a law against fake news to avoid infringing on the basic rights of free speech and expression, under the Constitution.

“The good balance or bridge in any law regarding fake news is that it should not cross over into violating the right of our countrymen to freely speak,” Mr. Escudero said in a news briefing, following a House joint committee hearing on disinformation.

House lawmakers are conducting a tri-committee hearing to tackle the rising threat of online disinformation and fake news, which seeks to hold accountable persons deliberately spreading disinformation.

“It is clearly stated in Article 3, Section 4 of the 1987 Constitution, that no law shall be passed abridging the freedom of speech, of expression, or of the press… In this regard, Congress should not pass a law that contradicts this,” the Senate chief added.

Mr. Escudero said that expressing one’s opinion differs from stating lies or disinformation.

“Anyone has the freedom to express their opinion freely and widely. But anyone who states something as truth should probably be looked at and studied,” he said in Filipino.

Earlier, the Presidential Communications Office called for the creation of a regulatory body to monitor fake news and to weed out troll armies that operate via dummy accounts.

About 62% of Filipinos get their news from social media, particularly on Facebook, according to a 2024 survey by political consultancy firm Publicus Asia. — Adrian H. Halili