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THE
National Petrochemical Alliance (NPC), which owns a
Bataan-based polyethylene plant put up by businessman
William Gatchalian and his Iranian partners, took up the
cudgels for Finance Secretary Margarito Teves whose
confirmation by the Commission on Appointments got
snagged for allegedly allowing the firm to import
generators without paying taxes and duties worth P300
million.
In a statement furnished to members of
the Commission, the NPC Alliance clarified that the
charges aired by a “disgruntled” finance department
officer implicating Secretary Teves in the alleged
smuggling of heavy-duty generators from Singapore
through the Subic Freeport was without factual basis.
“The allegations of Ruben Frogoso, a
disgruntled intelligence officer of the Department of
Finance who was suspended for failing a lifestyle check,
is absurd and absolutely devoid of any basis in fact,’’
the Alliance said. “To link Secretary Teves to the
alleged irregularity is most unfair and betrays sinister
hands are at work and determined to undermine his
integrity and block his confirmation by the Commission
on Appointments.’’
According to the NPC Alliance, it could
not be accused of smuggling because the generators were
to be used to provide power for the
Bataan polyethylene plant on a temporary basis and that these were
to be reexported back to
Singapore shortly.
It added that “the NPC Alliance
Corporation is a Board of Investment (BOI)-registered
pioneer industry and thus it enjoys a 6-year tax holiday
and tax exemption on capital equipment, including
unlimited consignment of capital goods for its temporary
use.’’
“The generators and the accessories that
were imported and consigned to NPC Alliance Corp. were
for temporary use only and would be reexported back to
Singapore as soon as NPC Alliance could reconnect to the
Substation of Team Energy [formerly Mirant] for its
power requirements. Mirant earlier refused to provide
power to a company that had Iranian interest. The change
in ownership from Mirant to Team Energy enabled NPC
Alliance to finally reconnect with the substation for
its power consumption,’’ NPC said.
It explained that “the customs broker
used by the company to handle the importation of the
generators set was reportedly given authority to
expedite the customs release of the generator since the
Iranians are not conversant with nor knowledgeable about
the ramifications and customs rules and regulations on
the importation of the generators.’’
Alliance officials asserted it was
obvious that Frogoso, in raising the smuggling issue
against Teves, wanted to get back at the Finance
Secretary and derail his confirmation by the Commission.
They noted that Frogoso filed the
complained against Secretary Teves at the CA after the
Ombudsman ordered his suspension from service in July
for various irregularities, including discrepancies in
his Statement of Assets and Liabilities and Net Worth
which ballooned to P6.048-million in his first 15 months
in service even as his salary then was only P109,452 a
year.
The Alliance added it was the DOF’s
Revenue and Protection Service (DOF-RIPS) that filed the
complaint against Frogoso for allegedly acquiring
properties that were out of proportion with his salary;
and for failing to declare his SALN for 2001, 2003 and
2004.
In suspending Frogoso last July, Chief
Ombudsman Merceditas Gutierrez found “strong indication”
that Frogoso, an Intelligence Officer II at the Central
Management Information Office (CMIO) of the DoF,
violated Republic Act 6713 or the Code of Conduct and
Ethical Standards for Public Officials and Employees and
committed dishonesty and misconduct.
It was learned that Frogoso was
initially employed at the defunct Economic Intelligence
and Investigation Bureau (EIIB), an agency under the DoF,
on September 16, 1998 , as Intelligence Officer I with
an annual salary of P109,452. After the abolition of the
EIIB, Frogoso was absorbed at the DoF-CMIO where he was
appointed Intelligence Officer II with annual salary of
P152,004.
Records obtained by the Ombudsman showed
that Frogoso’s total networth as of December 31, 1999,
or barely 15 months at the EIIB, as declared in his SALN
for 1999 was P6.048-million, “despite the fact that he
was only earning P109,452 per annum.” |