AI ‘hallucinations’ in court papers spell trouble for lawyers

February 20, 2025 | 12:01 am

computer-laptop-computer — DILOKASTUDIO-FREEPIK

US PERSONAL injury law firm Morgan & Morgan sent an urgent e-mail this month to its more than 1,000 lawyers: Artificial intelligence (AI) can invent fake case law, and using made-up information in a court filing could get you fired.

A federal judge in Wyoming had just threatened to sanction two lawyers at the firm who included fictitious case citations in a lawsuit against Walmart. One of the lawyers admitted in court filings last week that he used an AI program that “hallucinated” the cases and apologized for what he called an inadvertent mistake.

AI’s penchant for generating legal fiction in case filings has led courts around the country to question or discipline lawyers in at least seven cases over the last two years, and created a new high-tech headache for litigants and judges, Reuters found.

The Walmart case stands out because it involves a well-known law firm and a big corporate defendant. But examples like it have cropped up in all kinds of lawsuits since chatbots like ChatGPT ushered in the AI era, highlighting a new litigation risk.

A Morgan & Morgan spokesperson did not respond to a request for comment. Walmart declined to comment. The judge has not yet ruled whether to discipline the lawyers in the Walmart case, which involved an allegedly defective hoverboard toy.

Advances in generative AI are helping reduce the time lawyers need to research and draft legal briefs, leading many law firms to contract with AI vendors or build their own AI tools. Sixty-three percent of lawyers surveyed by Reuters’ parent company Thomson Reuters last year said they have used AI for work, and 12% said they use it regularly.

Generative AI, however, is known to confidently make up facts, and lawyers who use it must take caution, legal experts said. AI sometimes produces false information, known as “hallucinations” in the industry, because the models generate responses based on statistical patterns learned from large datasets rather than by verifying facts in those datasets.

Attorney ethics rules require lawyers to vet and stand by their court filings or risk being disciplined. The American Bar Association told its 400,000 members last year that those obligations extend to “even an unintentional misstatement” produced through AI.

The consequences have not changed just because legal research tools have evolved, said Andrew Perlman, dean of Suffolk University’s law school and an advocate of using AI to enhance legal work.

“When lawyers are caught using ChatGPT or any generative AI tool to create citations without checking them, that’s incompetence, just pure and simple,” Mr. Perlman said.

‘LACK OF AI LITERACY’
In one of the earliest court rebukes over attorneys’ use of AI, a federal judge in Manhattan in June 2023 fined two New York lawyers $5,000 for citing cases that were invented by AI in a personal injury case against an airline.

A different New York federal judge last year considered imposing sanctions in a case involving Michael Cohen, the former lawyer and fixer for Donald J. Trump, who said he mistakenly gave his own attorney fake case citations that the attorney submitted in Mr. Cohen’s criminal tax and campaign finance case.

Mr. Cohen, who used Google’s AI chatbot Bard, and his lawyer were not sanctioned, but the judge called the episode “embarrassing.”

In November, a Texas federal judge ordered a lawyer who cited nonexistent cases and quotations in a wrongful termination lawsuit to pay a $2,000 penalty and attend a course about generative AI in the legal field.

A federal judge in Minnesota last month said a misinformation expert had destroyed his credibility with the court after he admitted to unintentionally citing fake, AI-generated citations in a case involving a “deepfake” parody of Vice-President Kamala Harris.

Harry Surden, a law professor at the University of Colorado’s law school who studies AI and the law, said he recommends lawyers spend time learning “the strengths and weaknesses of the tools.” He said the mounting examples show a “lack of AI literacy” in the profession, but the technology itself is not the problem.

“Lawyers have always made mistakes in their filings before AI,” he said. “This is not new.” — Reuters

Central bank revises framework for selection of external auditors

February 20, 2025 | 12:01 am

THE BANGKO SENTRAL ng Pilipinas (BSP) has approved the revised framework on the selection of external auditors for its supervised financial institutions (BSFIs).

“The Bangko Sentral considers the external auditing profession as partner in promoting the safety and soundness of BSFIs,” it said in a circular letter. “Through their audits and opinions rendered on Audited Financial Statements (AFS), external auditors contribute to enhancing corporate governance and empowering the public and investors to make informed financial decisions.”

BSFIs may only engage the services of those included in the list of selected external auditors, the BSP said.

“A BSFI shall only appoint an external auditor belonging to the same category or from categories higher than the category of the BSFI concerned,” it said. “The external auditor appointed by the BSFI shall likewise audit the BSFI’s trust department and its subsidiaries and affiliates engaged in allied activities.”

The external auditors will be classified into three categories, namely Groups A, B and C. They can only extend their services to BSFIs from the same category they belong to and those in lower groups.

“The external auditors’ classification shall be determined based on their track record and the results of the Bangko Sentral’s assessment of their continuing eligibility,” the BSP added.

Group A is made up of universal and commercial banks, foreign banks and branches or subsidiaries of foreign banks, trust departments and trust corporations, and digital banks.

Meanwhile, Group B consists of thrift banks, nonbanking financial institutions with quasi-banking licenses, virtual asset service providers and credit card issuers/acquirers.

Rural and cooperative banks, non-stock savings and loans associations, pawnshops, remittance and transfer companies, money changers, and foreign exchange dealers fall under Group C.

Inclusion in the list of selected external auditors for BSFIs is valid for five years or one year, as determined by the central bank.

The circular also details guidelines on audit engagement and reportorial requirements.

“The BSFI’s audit committee/board of directors/board of trustees shall ensure that the scope of external auditor work appropriately covers areas relevant to the BSFI’s operations and risk exposures,” it said.

These include the review of the adoption of the reporting framework and the assessment of the accuracy, adequacy and reliability of account records and financial reports including the review of accompanying reports to the audited financial statements submitted to the BSP.

“The Bangko Sentral, through the appropriate supervising departments, may conduct meetings with the audit committee of the BSFIs and or the external auditors as part of its supervisory activities on BSFI or annual assessment of the continuing qualification of the external auditors to be included in the list of selected external auditors,” it said.

The central bank may also “deploy its range of supervisory enforcement actions to promote adherence to the requirements outlined in this section and bring about timely corrective actions.”

The BSP may issue directives or impose sanctions on BSFIs that appoint external auditors that are not on its list.

It can also downgrade an external auditor’s category or exclude it from the list. The grounds for removal from the list include failure to comply with provisions and refusal, for no valid reason, to submit requested documents concerning an ongoing investigation, among others.

“External auditors in good standing whose validity for inclusion has expired after the audit of 2023 financial statements will be allowed to engage in the audit of the 2024 financial statements. For this purpose. external auditors in good standing refers to external auditors who are not suspended or delisted as of the date of effectivity of this circular,” the BSP added. — Luisa Maria Jacinta C. Jocson

Arts & Culture (02/20/25)

February 20, 2025 | 12:01 am

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Earthbound at MO_Space

TO SEE if ecological art is impactful and practical, Geraldine Javier, Marionne Contreras, and Steffi Cua are presenting their attempts to connect with the earth using natural materials in the exhibit Earthbound. Ms. Javier continues her research and documentation on the dyeing properties of Philippine plants, with the urgency of seasonal timelines already beginning to morph and shift. Ms. Contreras investigates themes of displacement and existential crises through her explorations of invasive species and plant families. Ms. Cua advocates for slow fashion by using eco-printed fabrics to make clothing designed with minimal waste and longevity. Together, their works are a call for responsible cultural expression. The exhibit is now on view at the Main Gallery and Gallery 2 of MO_Space, on the third floor of the MOS Design Building on 9^th Avenue, Bonifacio Global City. It runs until March 16.

Greenhills Young Artists Festival runs this February

FROM the minds behind Ortigas Art Festival comes a fresh creative and interactive experience: the Greenhills (GH) Young Artists Festival at GH Mall. Now on view until Feb. 25 at the mall’s East Wing Atrium are emerging young artists from different parts of the Philippines, presented in partnership with Agos Studio. The theme, “Art For[ward]: Art that transcends borders” reflects the festival’s goal to amplify underrepresented voices that push art forward and shape the future. There are paintings, sculptures, and interactive art pieces by creative minds from Agos Studio, Thombayan Art Space, Thrive Art Projects, Fu Bear and Friends, University of the Philippines Diliman’s collective of student artists, and many more. Works by award-winning Filipino artists Marge Chavez, Kira Uygongco, and Rachel Anne Lacaba are also on display.

Come From Away is GMG’s first Pinoy-led show

GMG PRODUCTIONS and Stages have confirmed that they will be staging their own take on the multi-award-winning hit musical Come From Away. It will be staged at the Samsung Performing Arts Theater at Circuit Makati from June 6 to 29. Set in the aftermath of Sept. 11, Come From Away tells the true story of 7,000 airline passengers unexpectedly grounded in Gander, Newfoundland. It premiered on Broadway in 2017. The Philippine production will bring together an all-star cast: Cathy Azanza-Dy, Caisa Borromeo, Garrett Bolden, Mikkie Bradshaw-Volante, Becca Coates, Steven Cadd, Mayen Cadd, Rycharde Everley, Topper Fabregas, Sheila Francisco, Carla Guevara Laforteza, Menchu Lauchengco-Yulo, Gian Magdangal, George Schulze, and Chino Veguillas. Michael Williams is set to direct, with Rony Fortich will be the musical director. Tickets will officially be available on Feb. 22 through TicketWorld, starting at P900.

CAST PH stages Othello rerun in March

CAST PH will have a rerun of its production of Othello in March. Back by popular demand, the show will return for a limited engagement with eight performances only. There will be performances on March 7, 8, 14, and 15 at 8 p.m.; and 2:30 p.m. and 8 p.m. shows on March 9 and 16. Othello will enjoy an intimate set-up at The Mirror Theatre Studio along Kalayaan St. in Makati, costing P1,000 per seat. It is a free seating event, with only a hundred audience members allowed per show. For ticket purchases, visit the link https://bit.ly/OthelloTixForm.

BenCab tapestries, sculptures, photos on view

THERE are two shows running at the BenCab Museum in Baguio this month. First is Artistproof, a combination of tapestries and metal sculptures by National Artist Benedicto “BenCab” Cabrera, on display at Gallery Indigo. It is a collaboration with Abitare Internazionale, renowned for its contemporary European designer furniture and home furnishings. In the exhibit, BenCab’s existing works are printed using digital technology with high-definition precision on polyamide acrylic. Meanwhile, the metal sculptures are reinterpretations of BenCab’s paintings, made from brass and stainless steel and produced in Italy. The second exhibit is at the museum’s Sepia Gallery. It is Skywatcher, presenting his photos of the sky which he took over the course of the pandemic. Both shows run until April. The BenCab Museum is at -Km 6 Asin Road, Tuba, Metro Baguio.

PPO embarks on nine-city UK Tour in May

THE Philippine Philharmonic Orchestra (PPO) is set to make history with a nine-city tour across the United Kingdom this May. Under the baton of maestro Grzegorz Nowak, it will perform in some of the UK’s most renowned concert halls in London, Birmingham, Manchester, Sheffield, and Scotland, among others. The PPO will be joined by soloists including cellist Wen-Sinn Yang, violinist Diomedes Saraza, Jr., pianist Mark Bebbington, and composer Jeffrey Ching. Audiences can expect performances of classical pieces such as Mendelssohn’s Symphony No. 4 “Italian”, Tchaikovsky’s Swan Lake Suite, Beethoven’s Symphony No. 5, among others.

CCP Thirteen Artists Awards exhibit opens

THE Cultural Center of the Philippines (CCP) presents Creative Continuum 1970-2024, featuring archival materials, exhibition catalogs, videos, artist-designed trophies, and artworks that present selections from the history and evolution of the Thirteen Artists Awards on Philippine contemporary art. It marks the first exhibit of the year for the CCP Visual Arts and Museum Division. It will run until May 18 at the Bulwagang Roberto Chabet, in the Tanghalang Ignacio Gimenez, CCP Complex, Pasay City. Public programs will be held throughout the exhibit duration to allow guests to learn more about the Thirteen Artists Awards, which is now on its 54^th year.

Imahica Art unveils its Backrooms Collection

THIS month, Imahica Art Gallery is featuring select works from its Backrooms Collection. The main piece is Jean Marie Syjuco’s limited edition archival pigment print on canvas From the Series “Hokusai’s Window.” Also featured are Nina Libatique’s Potential Energy, an interactive art piece that invites viewer engagement; Cid Reyes’ Woman with Guitar, Series 2, a vibrant exploration of music; and Ma. Victoria Ortega-Pollisco’s Golden Roses and Vintage Spirits, which reflects on the passage of time. Nestor Olarte Vinluan’s On Blue Sienna and Umber (A) completes the collection with its abstract study of color and texture.

Ticket prices for Into the Woods announced

THEATRE GROUP ASIA (TGA) has announced that tickets to its production of Into the Woods will range in price from P1,500 to P6,000. They will be available soon via Ticketworld. Meanwhile, more members of the cast have been announced. Onstage and online performer Joreen Bautista will be Rapunzel while singer-actor Mark Bautista takes on the role of Rapunzel’s Prince. Theater, TV, and film actor Teetin Villanueva will be playing Little Red Riding Hood. Into The Woods is coming this August at the Samsung Performing Arts Theater.

Marvel VFX specialist joins iACADEMY

TECH and design school iACADEMY has announced that Oliver Kirchhoff, a visual effects (VFX) artist, has joined its faculty. With his portfolio including works in Marvel Studios and other globally recognized productions, Mr. Kirchhoff will be teaching 3D animation and VFX. He has worked on Avengers: Endgame, Iron Man 3, Star Wars: Episode IX – The Rise of Skywalker, and The Mandalorian.

A matter of remembrance

February 20, 2025 | 12:01 am

EVEN APPS have features that pop up to remind the subscriber to greet someone on her birthday. Social groups have a birthday beagle tasked with unleashing a tide of greetings for the celebrant.

It’s considered a social slight to forget the birthday of someone close to you, or who considers herself so, say, a spouse. It is, after all, a matter of putting an alert on the phone to remind you on a marked day to send a two-worded text that can further be abbreviated to HB. Is that so hard to do, the offended one may well ask? Even bank clients and school alumni automatically get some kind of greeting on their special day. Sure, it looks like something spewed out by a computer app — may the sun shine on your back not on your face; but there it is.

Complicated relationships can make this simple social nicety fraught.

An undefined yet intimate entanglement that is fraying at the edges and punctuated with weekly banging of doors and huffy exits without finishing a drink may cross into that red-letter day before the meetings for coffee and shared showers are officially ended. What is one party, having loudly declared a vow of silence to do when the day arrives for sending the obligatory greeting? Does he send a self-pitying message — greetings on your natal day from someone whose love for you has long been unrequited? This is, after all, about the birthday girl and not the melodramatic and soon-to-be ex-mate. (Why is it always about you?) The better route here may be to just refrain from anything more than HB. Or simply let the day slide as a number on the calendar.

What about someone whose name appears with a birthday cake on the phone calendar but whose role in one’s life is very much over, even forgotten? Did he survive his last stroke?

There is no problem with Masters of the Universe (MOTU) types. They’re in everybody’s greet list and get inundated with long proverbs and excerpts from the Old Testament (the serpent’s head will be crushed by a woman). Do they even bother to acknowledge the greeting? They’re too busy for that, unless it is to inquire what the allusion is supposed to mean.

As a recipient of a greeting, never mind if routine, the birthday celebrant may be touched even by the thoughtfulness of an unknown number. Is it acceptable to inquire “who’s this”? Isn’t that insensitivity avoidable for one who should have registered in the sender ID? It’s best to just reply — thanks for remembering. The return message may surprise — so, when do you plan to pay me?

Social rituals like congratulations for some accomplishment, condolences for the bereaved, or birthday greetings tend to be couched in well-worn phrases, trite in their delivery. But the simple gesture of being remembered is a comfort in its simplicity and grace. It is a connection that preserves a friendship. Never mind if the greeter is not invited to the birthday party — I hope you got the invitation we sent out.

Still, forgetting a birthday, or, worse, remembering it and not sending out even a short text message, can unravel a fabric that binds two individuals.

Remembering birthdays entails more than a greeting. There is too the expected gift that comes with the day. But here the unwritten rule is that if there is no celebration one is invited to, the greeting will suffice.

Is it really such a big deal to mark birthdays and reap some social costs for ignoring them? There perhaps comes a time when birthdays become less of a milestone (another year of life) and more of a nasty reminder of a dreaded boarding announcement. At the age when the senior citizen discount card is disintegrating, a greeting may be viewed as a form of mocking.

Still, another year of celebration can only be a gift, with or without a greeting to accompany it. Having no birthdays to remember can only mean there are fewer alerts on the phone, maybe because many have been deleted for reasons of estrangement or the absence of the celebrant in this world.

When in doubt on the exact day or the possible reaction of the celebrant, it’s best to simply send a greeting and find out if the party will reply with a note of thanks or an irritated rejoinder — missent message?

Tony Samson is chairman and CEO of TOUCH xda

ar.samson@yahoo.com

NLEX Corp. investing nearly P1.4B in toll network tech upgrades

February 20, 2025 | 12:01 am

NLEX-toll-gate — PHILIPPINE STAR/MICHAEL VARCAS

NLEX Corp., a unit of Metro Pacific Tollways Corp. (MPTC), said it is investing approximately P1.4 billion to modernize and enhance technology across its expressway network in preparation for full cashless toll transactions.

“By benchmarking its technologies against those used in other countries, we aim to provide greater accessibility and convenience to all motorists at NLEX, SCTEX, and NLEX Connector,” NLEX Corp. Officer-in-Charge and Chief Finance Officer Maria Theresa Wells said in a statement on Wednesday.

The investment will fund the installation of automatic license plate recognition (ALPR) cameras across 315 toll lanes, NLEX said.

Currently, only 77 lanes are equipped with ALPR technology, which captures license plate data at barrierless plazas and tracks vehicles without radio-frequency identification (RFID) tags or those with insufficient balance.

This initiative follows the Toll Regulatory Board’s (TRB) announcement that cashless toll collection will be implemented starting March 15.

The TRB said motorists without RFID tags will still be allowed to enter toll plazas, where RFID tags will be installed upon entry.

Additionally, NLEX said its investment will finance the upgrade of 127 RFID antennas to high-frequency antennas, ensuring more efficient readability of RFID stickers.

“These antennas will extend the read range of RFID stickers and detect up to three vehicles in advance, expediting toll lane transactions,” NLEX said.

The toll operator aims to achieve a 98% RFID readability rate, ensuring accurate vehicle detection at toll lanes.

MPTC is the tollways unit of Metro Pacific Investments Corp. (MPIC), one of the three key Philippine subsidiaries of Hong Kong-based First Pacific Co. Ltd., alongside Philex Mining Corp. and PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., holds a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose

How PSEi member stocks performed — February 19, 2025

February 20, 2025 | 12:00 am

Here’s a quick glance at how PSEi stocks fared on Wednesday, February 19, 2025.

Philippines falls to 23^rd in 2025 Agility Emerging Markets Logistics Index

February 20, 2025 | 12:00 am

The Philippines fell ﬁve places to 23rd out of 50 emerging markets with an overall score of 4.91 in the 2025 edition of the Agility Emerging Markets Logistics Index. Its score was lower compared to the 5.06 overall score a year earlier. The index provides a snapshot of each country’s current performance and future potential as a globally signiﬁcant logistics market and investment destination.

Dengue vaccines safe, doctors say

February 19, 2025 | 10:18 pm

Dengue-mosquito — Public Health Image Library/US Centers Disease for Control and Prevention

by Patricia B. Mirasol, Producer

Dengue vaccines are safe, and they are one way of combatting the viral infection spread by mosquitoes, according to doctors at the February 18 launch of Empowering Networks to Defeat (E.N.D.) Dengue coalition.

E.N.D. Dengue, founded by the Philippine Medical Association (PMA), is the largest coalition of doctors dedicated to combating dengue. It aims to strengthen public awareness, prevention, and response efforts across the country.

That the vaccine is ”nakakamatay (can kill) is the number one misinformation,” said Dr. Mildred Manalac-Mariano, secretary general of the PMA, at the launch.

In a letter to President Ferdinand R. Marcos, Jr. dated February 12, PMA “urges the government to grant access to the new-generation dengue vaccines and allow Filipinos the right to protect themselves from this dreadful the disease.”

“With recent advances in vaccine technology,” the letter read, “there are new generation dengue vaccines in the market or in Phase 3 clinical trial which showed promise in terms of vaccine effectiveness and safety.”

“Sa sampung taon na pag-aaral namin ng Qdenga, wala po kaming nakitang masama (In the ten years we’ve studied Qdenga, we have yet to see any ill effects from it),” said Dr. Lulu C. Bravo, head of the vaccine study group of the National Institutes of Health – University of the Philippines Manila.

Qdenga is the biopharamceutical company Takeda’s dengue vaccine. It is undergoing approval with the Philippine Food and Drug Administration.

“Puwede pong mas mahina ang efficacy doon sa mga hindi pa nagkakaroon ng dengue (The vaccine could have a lower efficacy for those who havent’ had dengue yet),” she said at the event.

“Sa bakuna, ang importante hindi kayo ma-ospital at hindi kayo mamatay (When it comes to vaccines, what’s important is that you don’t get hospitalized and you don’t die),” she said, adding that no vaccine can give a 100% assurance that an individual will not fall ill from a disease.

The Department of Health (DoH), in a February 17 statement, says it sees a concerning rise in the number of dengue cases in nine local government units, including Quezon City.

The DoH uses the 5S strategy to prevent dengue:

search and destroy mosquito breeding sites;

Self-protection measures (such as the use of insect repellents);

Seek early consultation

Support fogging, and

Sustain hydration.

It reminds the public to practice proper hygiene and self-protection against W.I.L.D diseases (Water and food-borne diseases, Influenza-like illnesses, Leptospirosis, and Dengue) as the country experiences increased rainfall and thunderstorms due to the Shear Line, Intertropical Convergence Zone, and Easterlies increasing the risk of weather-induced diseases.

PSEi rises further as Wall Street ekes out gains

February 19, 2025 | 9:00 pm

THE MAIN INDEX ended higher on Wednesday to track Wall Street’s climb and amid market optimism over corporate results.

The Philippine Stock Exchange index (PSEi) rose by 0.4% or 24.92 points to end at 6,119.88. On the other hand, the broader all shares index inched down by 0.1% or 3.94 points to 3,675.

“The local bourse extended its rise backed by optimistic expectations towards fourth quarter and full-year 2024 corporate results. The positive cues from Wall Street also helped in Wednesday’s session,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a Viber message.

“Momentum was further sustained when US equities rallied Tuesday as investors shrugged off global trade and inflation concerns, with tariff developments in Washington remaining a wildcard,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message that the PSEi extended its climb as US shares gained slightly overnight, boosting most global markets.

Global stocks were steady on Wednesday, with European and US shares at record highs, as traders cautiously shrugged off US President Donald J. Trump’s latest tariff threats on auto, semiconductor and pharmaceutical imports, Reuters reported.

Mr. Trump told reporters on Tuesday that sectoral tariffs on pharmaceuticals and semiconductor chips would start at “25% or higher,” rising substantially over the course of a year. He intends to impose similar tariffs on autos as soon as April 2.

Overnight, the US benchmark S&P 500 squeaked past its previous record closing high as all three Wall Street indexes seesawed between gains and losses for much of the session before rising in the closing minutes.

The Dow Jones Industrial Average increased by 0.02% or 10.26 points to 44,556.34; the S&P 500 gained by 0.24% or 14.95 points to 6,129.58; and the Nasdaq Composite went up by 0.07% or 14.49 points to 20,041.26.

Majority of sectoral indices closed higher on Wednesday. Mining and oil surged by 4.73% or 375.93 points to 8,315.87; property went up by 1.83% or 40.64 points to 2,257.32; industrials climbed by 1.16% or 101.53 points to 8,854.93; and holding firms increased by 0.98% or 49.86 points to 5,126.65.

Meanwhile, financials dropped by 1.05% or 24.06 points to close at 2,259.86, and services went down by 0.46% or 9.35 points to 1,983.47.

Value turnover went down to P5.18 billion on Wednesday with 1.41 billion shares traded from the P6.30 billion with 1.06 billion issues exchanged on Tuesday.

Advancers beat decliners, 98 versus 89, while 59 names were unchanged.

Net foreign selling went up to P515.39 million on Wednesday from P199.76 million on Tuesday. — Revin Mikhael D. Ochave with Reuters

Peso rebounds as markets eye Russia-Ukraine talks

February 19, 2025 | 9:00 pm

THE PESO went up versus the dollar on Wednesday as sentiment improved amid the start of bilateral talks between the United States and Russia on the war in Ukraine.

The local unit closed at P58.088 per dollar on Wednesday, strengthening by 6.20 centavos from its P58.15 finish on Tuesday, Bankers Association of the Philippines data showed.

The peso opened Wednesday’s trading session weaker at P58.20 against the dollar, which was also its intraday low. Meanwhile, it climbed to as high as P58.07 versus the greenback.

Dollars exchanged went down to $1.25 billion on Wednesday from $1.67 billion on Tuesday.

The peso inched up against the dollar on Wednesday after the start of talks between the US and Russia, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

“The peso recovered slightly amid increasing optimism from the ongoing peace talks concerning the Russia-Ukraine war,” a trader likewise said in an e-mail.

For Thursday, the trader said the peso could weaken due to potentially hawkish signals from the minutes of the US Federal Reserve’s policy meeting set to be released overnight.

The trader expects the peso to move between P58 and P58.25 per dollar, while Mr. Ricafort said it could range from P57.95 to P58.15.

US President Donald J. Trump’s administration said on Tuesday it had agreed to hold more talks with Russia on ending the war in Ukraine after an initial meeting that excluded Kyiv, a departure from Washington’s previous approach that rallied US allies to isolate Russian President Vladimir Putin, Reuters reported.

As the 4-1/2-hour meeting in the Saudi capital was underway, Russia hardened its demands, notably insisting it would not tolerate the NATO alliance granting membership to Ukraine.

Later on Tuesday, Mr. Trump said he was more confident after the talks and he would probably meet with Mr. Putin before the end of the month.

“Russia wants to do something,” Mr. Trump told reporters in Palm Beach, Florida. He brushed aside Ukraine’s concern about being left out of the meeting and said Kyiv should have entered talks much earlier.

“I think I have the power to end this war,” said Mr. Trump.

The talks in Riyadh were the first time US and Russian officials met to discuss ways to halt the deadliest conflict in Europe since World War II. Ukraine has said it will not accept any deal imposed without its consent, and German Chancellor Olaf Scholz reiterated “there must be no decision over the heads of Ukraine.”

Even before the talks took place, some European politicians accused Trump’s administration of handing free concessions to Moscow last week by ruling out NATO membership for Ukraine and saying it was an illusion for Kyiv to believe it could win back the 20% of its territory now under Russian control.

US National Security Adviser Mike Waltz told reporters in Riyadh that the war must come to a permanent end, and this would involve negotiations over territory.

“Just a practical reality is that there is going to be some discussion of territory and there’s going to be discussion of security guarantees,” he said.

High-level teams would begin talks on ending the conflict and would separately work to restore the countries’ respective diplomatic missions in Washington and Moscow to ease the talks going forward, US Secretary of State Marco Rubio said.

Mr. Rubio said he came away from the initial talks convinced that Russia was “willing to begin to engage in a serious process” but that reaching peace would involve concessions from all sides.

Russian officials did not mention offering any concessions and US officials did not claim to have scored any in Tuesday’s meeting, leading observers to doubt whether the talks would turn into serious peace negotiations.

Addressing Ukrainian and European concerns, Mr. Rubio said no one was being sidelined and any solution must be acceptable to all parties.

Mr. Rubio later spoke to the top diplomats of France, Germany, Italy, Britain and the EU to brief them on the talks, State Department spokesperson Tammy Bruce said.

Ukrainian President Volodymyr Zelensky said he had postponed a visit to Saudi Arabia planned for Wednesday until next month. Sources familiar with the matter said the decision was made to avoid giving “legitimacy” to the US-Russia talks.

Kyiv says talks on how to end the war should not be held behind Ukraine’s back. — A.M.C. Sy with Reuters

Vice-President Duterte asks tribunal to stop her trial, void impeachment

February 19, 2025 | 8:52 pm

VP-Sara — VICE-PRESIDENT SARA DUTERTE-CARPIO — FACEBOOK.COM/MAYORINDAYSARADUTERTEOFFICIAL

PHILIPPINE Vice-President Sara Duterte-Carpio has asked the Supreme Court to stop the Senate from trying her after her impeachment by the House of Representatives, making her first legal move to fight the case that could lead to her removal and a lifetime ban from public office.

In a 36-page petition, the daughter of the country’s firebrand former leader also asked the tribunal to nullify her impeachment, accusing congressmen of gravely abusing their discretion by “circumventing and violating” a constitutional safeguard against more than one impeachment proceeding against the same official in a year.

“Unless restrained, the continuation of these proceedings will continue to harm the petitioner and subject her to public scrutiny, despite it being known that the impeachment proceedings against her are purely motivated by politics and personal interests,” Ms. Duterte said.

Named respondents were the House, represented by Speaker Martin G. Romualdez, and the Senate, represented by its chief Senator Francis G. Escudero.

The House impeached Ms. Duterte, who is seen as a strong candidate for the 2028 presidential election, on Feb. 5 for alleged misuse of her budget, unexplained wealth and threatening the lives of Philippine President Ferdinand R. Marcos Jr, the first lady and the Speaker.

More than 200 congressmen filed and signed a fourth impeachment complaint against Ms. Duterte, more than the one-third vote required by the Constitution for her to be impeached.

The House delivered a quick and stunning blow against the estranged vice-president, allowing it to send the ouster charges immediately to the Senate without further hearings, on the last session before a four-month break for midterm elections in May.

The ouster charges consisted of seven articles of impeachment, including allegations of plotting the assassination of the President, misusing secret funds, amassing unexplained wealth and committing acts of destabilization.

She has denied wrongdoing, saying the charges were politically motivated, amid a rift with Mr. Marcos.

The 24 senators will serve as jurors in the impeachment trial that could lead to Ms. Duterte’s removal from office and a lifetime ban from public posts, which would kill off any hope of becoming President.

Administration congressmen in a statement on Wednesday said Ms. Duterte’s “desperate” move was aimed at evading accountability.

Ms. Duterte in her lawsuit said congressmen violated the law by sitting on the first three complaints filed by certain groups in December, practically dismissing these. They are thus barred by law from starting another impeachment complaint within a year.

Ms. Duterte’s supporters earlier filed a separate lawsuit seeking the same reliefs from the High Court. They accused the House of violating her right to due process during the impeachment proceedings.

A separate lawsuit has also been filed asking the court to compel the Senate to start Ms. Duterte’s trial. The tribunal has given the chamber 10 days to comment on the petition.

Her impeachment is a major setback for the influential Duterte family, whose popularity grew rapidly after Rodrigo R. Duterte was swept to power in 2016 as a maverick, crime-busting mayor. As President, he upended Philippine foreign policy and launched a drug war that killed thousands.

The Senate president has said they could not start the impeachment trial until July since the law bars them from doing so while on recess.

Ms. Duterte is one of few Philippine officials who were impeached, among them ex-President Joseph E. Estrada in 2000, Ombudsman Merceditas Gutierrez in March 2011, Chief Justice Renato Corona in December 2011 and election chief Juan Andres D. Bautista in October 2017.

Mr. Corona was convicted by the Senate, while Ms. Gutierrez resigned before she could be tried. Mr. Estrada’s trial was aborted after some House prosecutors walked out after senators voted against opening a document containing evidence. He was later ousted by a street uprising.

Lawmakers will reconvene for a two-week session from June 2 to June 13, according to the congressional calendar.

All House seats and 12 of the 24-member Senate will be replaced in July, two months after Filipinos vote on May 12.

Meanwhile, Mr. Escudero said the Office of the Solicitor General would represent the Senate in the lawsuits involving Ms. Duterte’s impeachment.

“We will refer that matter to the Solicitor General’s office, as a lawyer that will stand on behalf of the government,” he told a news briefing.

He said the congressional break could give the High Court enough time to resolve any issues about the Vice-President’s impeachment trial.

“Perhaps it is providential that we did not proceed with the trial because of the recess, so that all these matters can be referred to the Supreme Court…so that nothing will stop or delay the Senate’s trial by technicalities or issues,” he added. — Norman P. Aquino, Chloe Mari A. Hufana and Adrian H. Halili

US condemns ‘dangerous’ maneuvers by Chinese Navy in South China Sea

February 19, 2025 | 8:51 pm

Scarborough_Shoal_Landsat — A LANDSAT 7 image of Scarborough Shoal in the West Philippine Sea. — WIKIPEDIA

By Adrian H. Halili and John Victor D. Ordoñez, Reporters

THE US on Wednesday condemned the “dangerous” maneuvers of a Chinese Navy helicopter that endangered the safety of a Philippine government aircraft patrolling a disputed shoal in the South China Sea.

In a post on X, US Ambassador to the Philippines Mary Kay L. Carlson also urged China to “refrain from coercive actions and settle its disputes peacefully in accordance with international law.”

The Philippines on Tuesday said it was “deeply disturbed” by the Chinese navy’s “unprofessional and reckless” flight actions and that it would file a diplomatic protest.

Manila’s coast guard said the Chinese navy helicopter performed dangerous flight maneuvers when it flew close to a government aircraft conducting surveillance over Scarborough Shoal, endangering the lives of its pilots and passengers.

The People’s Liberation Army Navy helicopter flew as close as three meters to the aircraft, which the Philippine Coast Guard said was a “clear violation and blatant disregard” of aviation regulations.

China disputed the Philippines’ account, saying on Tuesday its aircraft “illegally intruded” into China’s airspace and accused its Southeast Asian neighbor of “spreading false narratives.”

Named after a British ship that was grounded on the atoll nearly three centuries ago, Scarborough Shoal is one of the most contested maritime feature in the South China Sea, where Beijing and Manila have clashed repeatedly.

“The Philippines has undeniable sovereignty and jurisdiction over Bajo de Masinloc,” its National Maritime Council said in a statement, using Manila’s name for the shoal.

“China’s illegal, coercive, and aggressive behavior will not deter the Philippines from continuing the conduct of its routine maritime operations in accordance with its sovereignty over the shoal,” it added.

Senator Ana Theresia N. Hontiveros-Baraquel said China has been stirring trouble by routinely disrespecting international laws.

“(China) is a signatory to the United Nations Convention on the Law of the Sea and a contracting member of the International Civil Aviation Organization, and yet it shamelessly ignores these international norms,” she said in a statement.

China claims over 80% of the waterway in the South China Sea, but the Permanent Court of Arbitration voided its claim in 2016. China rejects this claim.

China claims sovereignty over almost the entire South China Sea, a vital waterway for more than $3 trillion of annual ship-borne commerce, putting it at odds with Brunei, Indonesia, Malaysia, the Philippines and Vietnam.

A United Nations-backed tribunal based in the Hague in 2016 voided China’s claim for being illegal, but Beijing does not recognize the ruling.

Meanwhile, President Ferdinand R. Marcos, Jr. has signed into law a bill that will fix the term of the Philippine Coast Guard (PCG) commandant to three years, which is expected to keep the agency’s leadership structure stable amid tensions with China.

Republic Act No. 12122, which the President signed into law on Feb. 18, gives the PCG chief a three-year term unless relieved from their post.

Senate President Francis G. Escudero earlier said the measure would help the agency secure Manila’s territorial waters and shores.

In October, Mr. Marcos vowed to upgrade the assets and increase the PCG’s fleet to boost maritime domain awareness.

The PCG was under the Department of National Defense before it was transferred to the Office of the President on March 30, 1998 through an order issued by the late President Fidel V. Ramos.

Less than a month later, Mr. Ramos transferred the PCG to the Department of Transportation and Communications, which was split into two separate agencies in 2016 through a law signed by the late President Benigno S.C. Aquino III.

The coast guard launched a transparency campaign in 2023 to expose China’s attacks on its assets, a strategy that has helped Manila gain more support from the international community. — with Reuters