Puregold denies smuggling tag

THE supermarket chain Puregold Price Club Inc. on Thursday denied published news reports that the company was involved in the importation of smuggled goods. “Puregold Price Club Inc. and its stockholders vehemently deny the accusations in the article. We would like to reiterate that all business transactions of Puregold are based on completely legal and aboveboard procedures and it complies with all applicable laws and regulations,” the company said in a statement on Thursday. Puregold added that all its merchandise are sourced locally and that it does not import any goods. “We have recently received certificates from the [Bureau of Customs, or BOC] which state the Puregold Price Club Inc. and its stockholders do not have any outstanding accounts with the BOC, nor are they subject of any pending investigations or any cases related to the importation of goods or any nonpayment or underpayment of any tax duties,” the company added. Puregold could raise up to P11.38 billion in its IPO, with proceeds to help grow its store network from the current 77 to about 150 by 2013, as well as pay of debts. The domestic offer period for the IPO will run from September 23 to September 29. (Miguel R.  Camus)

REIT hobbled by tax disincentives–Angara

Sen. Edgardo Angara decried on Thursday the imposition of tax disincentives derailing the operation of real-estate investment trusts (REITs) in the country. “It [REIT] was already enforced, but [government regulators] made the implementing rules so prohibitive that no one is jumping; there are no takers,” Angara, who authored the law, said at the Kapihan sa Senado. The senator cited the imposition of the unpopular value-added tax (VAT) on REIT transactions as one of the disincentives that turned off potential investors. “One, they imposed VAT on the transfer of real estate to the REIT company. Originally, it was supposed to be VAT-free; that is what you call a tax-free reorganization under the Tax Code. But the interpretation of the BIR is that you have to pay 12-percent VAT,” Angara complained. Angara also pointed to the requirement that what was supposed to be 30 percent sold to the public exchange was doubled to 60 percent by the BIR and the Department of Finance. (Butch Fernandez)

Aquino: No reaction to Shalani engagement

With news of the engagement of Valenzuela Councilor Shalani Soledad to Pasig City Rep. Roman Romulo, many were eager to know President Aquino’s reaction to the looming marriage of his former girlfriend of two years. How did he react when he learned about the engagement? According to Presidential Spokesman Edwin Lacierda, “He [Mr. Aquino] had no reaction. He just said, ‘Oh, I was not aware.’ That’s it. And we went on to the topic at hand.” Lacierda said he broke the news to Mr. Aquino during a break in a meeting on Wednesday night. Soledad was Mr. Aquino’s girlfriend when he was a senator until about a few months into his presidency. (Mia M. Gonzalez)

Jpepa ‘beneficial’–Japan

THE Japanese government said the Japan-Philippines Economic Partnership Agreement (Jpepa) has been beneficial in the last three years, increasing trade volume for the two nations with the Philippines’ export to Japan raised from $6.21 billion in 2009 to $7.80 billion in 2010, figures at the third Subcommittee meeting on the Improvement of Business Environment under the Jpepa implementation scheme held on Thursday. Japanese Ambassador to the Philippines Toshinao Urabe and Trade Undersecretary Adrian Cristobal Jr. co-chaired the meeting. Urabe said since the implementation of the economic agreement in December 2008, the Philippines’ import from Japan also increased from $5.34 billion in 2009 to $6.75 billion in 2010, maintaining Japan as the biggest exporter to the Philippines. “Japan remains the biggest investor to the Philippines in terms of investments approved by the Investment Promotion Agency with the value of P58.3 billion in 2010,” said a Japanese Embassy statement. Japan said its accumulated Japanese direct investment to the Philippines in the last five years has reached P203.8 billion. (Estrella Torres)