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PCSO officials connived with STL operators to cheat govt of gambling revenues share
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O wonder President Duterte blew his top, and immediately ordered the Philippine Charity Sweepstakes Office (PCSO) to stop its gaming operations. He most likely was shocked after reading the June 28, 2019 Commission on Audit report — which had an “adverse” opinion, the second such thumbs-down audit of PCSO since he became president. äTiglaoA10
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n Francisco Duque 3rd PHOTO BY ENRIQUE AGCAOILI
Duque probed for corruption BY CATHERINE S. VALENTE
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HE Office of the President is investigating allegations that Health Secretary Francisco Duque 3rd is involved in corruption at the Department of Health (DoH), Malacañang admitted on Tuesday.
Give me a better reason!
HOSE who bat for the return of ROTC to the curriculum and mandating it as a subject had better proffer a better reason than instilling discipline in the youth. You do not ask the military to do what parents and the teachers of a youngster’s early years should be doing. äAquinoA9
FR. RANHILIO CALLANGAN AQUINO
Pa l a c e s p o k e s m a n S a l va d o r Panelo said complaints against government officials that reach the desk of the President are subject to “serious investigation.”
WRECKED
Men inspect their house wrecked by the strong quakes that shook Itbayat, Batanes. Hundreds of residents whose houses were damaged by the quakes continue to take shelter in evacuation centers.
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PHOTO BY DJ DIOSINA
Duterte lifts ban on lotto REACH US AT: E-mail: newsdesk@ manilatimes.net Tel. Nos.: 524-5664 to 67 Address: 2/F Sitio Grande, 409 A. Soriano Avenue, Intramuros, Manila 1002
PRESIDENT Rodrigo Duterte has lifted the suspension of lotto operations, Malacañang said on Tuesday night. “As per the advice of Executive Secretary
Salvador C. Medialdea, the suspension of Lotto operations has been ordered lifted by the President,” Palace spokesman Salvador Panelo said in a statement.
What’s inside DUTERTE URGED TO MAKE PAGCOR FUND SPORTS, CHED NewsA2 CHINA TO OBSERVE FREEDOM OF NAVIGATION NewsA3
BEERMEN EYE SWEEP, FINALS BERTH
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Witness documented 30 people killed in the Philippines, which include the “Sagay 9” in Negros Occidental. The Philippines surpassed Brazil, which had held the top spot since 2012.
SEN. Christopher Lawrence “Bong” Go said he was ready to push for a Senate investigation of the alleged anomalies in the Philippine Charity Sweepstakes Office (PCSO) and the issue of conflict of interest in the Philippine Health Insurance Corp. (PhilHealth). “Ako po kung ano ang interes ng tao, interes ng Pilipino, ‘yun po ang mangunguna, managot ang dapat managot kahit magkasama tayo sa gobyerno, magkasama tayo noon, magkaibigan tayo, pero kung ano lang po ang tama. ‘Yun po ang ipinagbibilin sa akin ni
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PH deadliest for environmental activists – Global Witness LONDON-BASED watchdog Global Witness has named the Philippines as the “deadliest” country for environmental defenders, with the highest death toll recorded in 2018. In its 2018 annual report, Global
NEW LOGO, MORE MALLS
IZA CALZADO, REENERGIZED AND REFRESHED BY LATEST CINEMALAYA STINT
But all other games operated by the Philippine Charity Sweepstakes Office (PCSO), as well as the franchises, licenses
Megaworld Lifestyle Malls unveils a new logo, sporting a young, vibrant and dynamic look for Megaworld’s signature brand of malls and commercial centers. The company is also expanding its mall footprint in the provinces, with the opening of eight new malls in Cebu, Bacolod, Davao, Cavite, Boracay and Pampanga in the next three years. Leading the ceremonial launch were Megaworld executives (from left) Kevin Tan, chief strategy officer; Lourdes Gutierrez Alfonso, chief operating officer; and Graham Coates, first vice president and head of Megaworld Lifestyle Malls.
»Story on B3
Bong Go willing to call for PCSO graft inquiry
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Govt eyes $1B from ‘samurai’ bonds BY MAYVELIN U. CARABALLO
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HE government aims to raise as much as $1 billion (P50.89 billion) from its newly launched multitenor “samurai” bonds program, the Bureau of the Treasury announced on Tuesday. “We are already in the (Japanese) market (with) the initial price guidance for the three, five, seven and 10-year tenor,” National Treasurer Rosalia de Leon said in an interview.
Samurai bonds are yen-denominated securities issued by non-Japanese entities in Tokyo. “We are still looking at up to $750 million (in proceeds), and if there would
still be some room to adjust, then we can go as high as $1 billion,” de Leon said. The pricing for the samurai bonds would be determined within the week and should be issued by August 8. According to de Leon, the samurai bond program is part of the government’s diversification of its funding sources. The government last sold samurai bonds in August last year, when it raised 154.2 billion yen or $1.39 billion — a result the government described as reflective of strong investor interest in the country.
The three-, five-, and 10-year tenors that made up the offering raised 107.2 billion, 6.2 billion and 40.8 billion yen, respectively. The bond issuance fetched coupon rates of 0.38 percent, 0.54 percent and 0.99 percent for the three-, five- and 10-year tenors, respectively. Overall, the transaction yielded a weighted average spread of 34.7 basis points above the benchmark. The transaction was settled on Aug. 15, 2018.
Biz groups: Prioritize passing key bills
‘Asean must embrace digital economy’ BANGKOK: The Association of Southeast Asian Nations (Asean) must embrace the digital economy, as this will serve as the “driver” for economic growth in the region, according to the regional bloc’s current chief. At the third Asean Media Forum here on Tuesday, Asean Secretary General Lim Jock Hoi raised the need for member-states to promote the digital economy, which he said might “spur around $1 billion [in trade and investments] within the next five years….” “Before the end of this year, all Asean [members] will be connected in the form of [the] Asean ‘single window,’” Lim said, referring to the system that aims
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to expedite the clearance of imported and exported goods. “We are looking at also at [a] digital trade agreement as part of our deliverables this year to make sure that digital trade will be going, especially, smoothly in Asean,” he added. During the forum, which tackled the global challenges facing the region and how to address them, Lim noted that the economic performance of the Asean members was “quite positive.” “Trade is still positive… and investments [are] still coming for and within Asean [members], he said, adding that “foreign invest-
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TOUCHING TECH
In this June 26, 2019, photo, visitors tour the Huawei pavilion at the Mobile World Congress in Shanghai, China. Huawei said on Tuesday its global sales rose by double digits in the first half of this year despite being placed on a US security blacklist, but said it would face tougher conditions. AP PHOTO See story on B4
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MORE than a dozen industry organizations and business chambers on Tuesday urged the 18th Congress to prioritize passing several key economic-reform measures to improve the Philippines’ competitiveness and attract more investors. In a joint statement, the groups said the bills they would like to see passed include amendments to the Public Service, Foreign Investment and Retail Trade acts and the Build-Operate-Transfer and Bank Secrecy laws; the Apprenticeship Program Reform; the Freedom of Information Act; and the lifting of foreign-equity restrictions.
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Cosco Capital hit a PH CURRENCY HITS P50:$1 LEVEL PSEi slips; month’s high of P3.18 wait-andK see mode ATRINA Marie Pe Co, a stockholder of Cosco Capital Inc. (CCI), bought 175,000 CCI common shares at P6.9964 each on July 26, 2019. The acquisition increased her ownership of CCI common shares to 50,065,684 common shares, or 0.69 percent of 7,256,251,264 outstanding CCI common shares. Prior to the acquisition, she owned 49,890,684 CCI common shares. A general information sheet (GIS) shows Cosco Capital having 992 stockholders, 966 Filipinos and 26 foreigners. Of the latter, 10 are American, 12 are Chinese, two are French and an Australian and a British. It has also eight “other” alien” stockholders. The same GIS also listed at 149,012,300 Cosco Capital’s treasury shares, making Filipinos the company’s majority stockholders as holders of 6,274,284,468 common shares, or 84.73 percent. Cosco Capital has 10 billion authorized capital stock consisting of common shares with par value of P1 per share. Lucio L. Co and his wife, Susan P. Co, own 2,365,741,492 CCI common shares, or 31.95 percent, and 1,780,182,230 CCI common shares, or 24.04 percent, respectively. In a definitive information statement (DIS), Lucio and Susan, chairman and vice chairman, respectively, of Cosco Capital, are among the five highest paid executives. They were paid P6,412,772 in 2017, they received the same amount in 2018. In 2019, they would have received less – P6.27 million. “All other officers as group unnamed” were paid P1,810,987 in
2017 and 2018. They would have received P2,563,528 at the end of 2019. Cosco Capital’s eight directors, according to the DIS, received per diem of P50,000 per board meeting and additional P20,000 per committee meeting. On July 29, 2019, Cosco Capital common shares opened trading at P6.99, hit a high of P7, fell to a low of P6.97 and closed the session at its high of P7. The stock peaked at 30-day high of P7.20 and dropped to a month’s low of P6.56. Ownership profile. Cosco Capital listed in a public ownership report (POR) six individuals as principal stockholders with 615,714,105 total holdings, or 8.49 percent They are Ferdinand Vincent P. Co, direct holder of 219,557,122 CCI common shares, or 3.03 percent; Pamela P. Co, 210,535,971 CCI common shares, or 2.9 percent; Camille Clarisse P. Co, 96,925,231 CCI common shares, and indirect holder of 3.7 million CCI common shares, for total ownership of 100,625,231 CCI common shares, or 1.39 percent; Katrina Marie P. Co, 49,890,684 CCI common shares, or 0.69 percent; Jose Paulino Santamarina, indirect holder of 35,105,093 CCI common shares, or 0.48 percent; and Baby Gerlie I. Sacro, four CCI common shares. In the same POR. Lucio L.
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THE Philippine peso recorded its strongest level so far against the US dollar this year as the expected US Federal Reserve interest rate cut helped the local currency to return to P50:$1 on Tuesday. The peso, which opened at P51.02 against the greenback, gained 20 centavos to close at P50.89, its strongest in more than 18 months, or since its P50.84:$1 finish on January 26, 2018.
Union Bank of the Philippines chief economist Carlo Asuncion credited the strength to expectations that the American central bank would cut its rate on Wednesday. “An accommodative US monetary policy usually strengthen emerging markets’ currencies….” Asuncion told The Manila Times . The Federal Open Market Committee is scheduled to hold its
two-day meeting on July 30 and 31 (Washington time). The government is expecting the peso to end the year at between P51 and 53 level against the greenback, according to the interagency Development Budget Coordination Committee. Last year, the peso ended at P52.58 versus the dollar, sharply down from its 2017 close of P49.93:$1. MAYVELIN U. CARABALLO
The intricacies of SEC’s company registration system
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week after I posted my article, “A commissioner’s priorities”, dated 24 July 2019, I thought it may also be of interest to the public if I will use this column to discuss further one of the most talked-about issues in the commission – the Company Registration System (CRS). The CRS is the SEC’s online and automated registration system designed to handle the entire registration process of domestic corporations and partnerships and licensing of foreign corporations doing business in the Philippines, as well as lending, financial companies, and capital market participants. It handles name verification, submission, review, payment, filing and up to the approval of documents applied by would-be SEC entities. The commission rolled out and implemented the CRS in November 2017 as part of its efforts to further improve its services. However, the CRS has experienced several birth pangs, mostly technological and systemrelated difficulties which resulted
SEC MATTERS
KELVIN LESTER LEE in processing periods even longer than those experienced under the manual system. As in other cases, these issues were to be expected. True to its goal of improving the ease of doing business in the country, the commission immediately initiated administrative interventions and measures to improve the CRS. Its efforts included the activation of the 1) Facilitating Automated System Transition (FAST) Lane; 2) FastTimely Registration Action Kiosk (FAST-TRACK) Lane; and 3) Lane for Express Application Processing (LEAP), which augmented the usual online process dubbed as the Regular Lane. The FAST Lane is an administrative measure wherein SEC processors assigned at the FAST Lane kiosks aid walk-in clients from the creation/submission/uploading of documents up to the approval of
SEC Certificates of Registration. On the other hand, FAST-TRACK Lane is a hybrid manual system that facilitates the faster resolution or approval of all pending applications. Under LEAP, meanwhile, applicants will have to conform with a fixed set of pro forma purposes available online; hence, no human processor will need to review the application. With all these administrative measures, SEC saw processing times improve greatly. For the Regular Lane, SEC data show that from January to May 2019, 2,877 or 44 percent out of 6,530 applications were processed within 1-3 working days; 2,293 or 35 percent within 4-7 working days; and 1,360 or 21 percent in more than 8 working days. Under the FAST-TRACK, SEC data show that from January to May 2019, 2,300 or 86 percent out of 2,674 applications were processed within 1-3 working days; 274 or 10 percent within 4-7 working days; and 100 or 4 percent in more than 8 working days.
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continues THE stock market fell on Tuesday as investors continued to be on a wait-and-see mode ahead of the Federal Reserve’s monetary policy meeting and more corporate earnings outcome. The benchmark Philippine Stock Exchange index (PSEi) dropped by 0.47 percent or 38.06 points to close at 8,150.46, while the wider All Shares declined by 0.54 percent or 29.96 points to finish at 4,936.08. Brokerage firm Philstocks Financial Inc. said market players were trading in anticipation of the Fed’s two-day meeting on Wednesday and Thursday (Thursday and Friday in Manila), where a 25-basis point rate cut is to be expected. In the domestic front, companies scheduled to announce firsthalf earnings this week are BDO Unibank Inc., Aboitiz Equity Ventures Inc., AboitizPower Corp., Metro Pacific Investments Corp., and Ayala Corp. Wall Street’s main indices finished mixed, with the Dow Jones the only gainer, up 0.11 percent. S&P 500 and Nasdaq were down by 0.16 percent and 0.44 percent, respectively. In Asia, Tokyo grew 0.43 percent, Shanghai rose 0.39 percent, Hong Kong increased 0.22 percent, Seoul increased 0.45 percent, Jakarta added 0.88 percent, Singapore inched up 0.02 percent. Only Bangkok finished lower, down 0.65 percent. In Manila, sectoral results were
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