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October 12, 2026
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Sen. Sherwin T. Gatchalian
S00004The Sergeant at Arms is directed to make a proclamation.
Report correctionSenate Sergeant-at-Arms
S00005All persons are commanded to keep silent under pain of penalty while the Impeachment Court is in session for the trial of Vice President Sara Zimmerman Duterte.
Report correctionSen. Sherwin T. Gatchalian
S00006The Impeachment Trial of Vice President Sara Zimmerman Duterte is hereby called to order. We shall be led in prayer by Senator Judge Mark Villar.
Report correctionSen. Mark A. Villar
S00007Let us put ourselves in the presence of God. Almighty Father, we humbly stand before you today as we resume trial in this impeachment court. We beseech you to bless and inspire us so that all we think, say, and do aligns with your will. In times of adversity, we ask that you renew our spirit, keep our focus steady, and grant us the physical, emotional, and spiritual strength required for the magnitude of our responsibilities. We lean fully upon your grace to sustain us. Fill our hearts with wisdom, discernment, and integrity. Lighten our minds with clarity to carefully weigh the evidence before us, stripping away all confusions. We may examine every testimony and record the objective fairness, distinguishing truth from speculation. Shield us from the traps of personal bias, political variance, or divisiveness that could cloud our judgment, and grant us the grace to put the justice
Report correctionSen. Mark A. Villar
S00008before gain, the plight of the Filipinos before our own, and truth above all.
Report correctionSen. Mark A. Villar
S00009Fill our hearts with wisdom and understanding in all our judgments that we may be effective channels of truth and justice. Grant us the grace of true independence, giving us courage to stand firm in what is right against political pressures and outside influences, remaining faithful to our solemn oath to the Constitution and the people we serve. Give us humility to seek your will, the truth that may be fully revealed under your light as we take our final steps. Continue to guide us so that peace and accountability may prevail. May our concluding judgment be rooted entirely in fairness, integrity, and righteousness for the fulfillment of your greater glory. In Jesus' name we pray. Amen.
Report correctionSen. Sherwin T. Gatchalian
S00010_GAP_CALLThe Clerk of Court will now call the roll.
Report correctionAtty. Renato N. Bantug Jr.
S00010_GAP_ROLLRoll call of members. The Honorable Senator Judge Aquino. Senator Judge Cayetano Alan. Senator Judge Cayetano Pia. Senator Judge Dela Rosa. Senator Judge Ejercito.
Report correctionAtty. Renato N. Bantug Jr.
S00010Senator Judge Estrada Senator Judge Go Senator Judge Hontiveros Senator Judge Lacson Senator Judge Lapid Senator Judge Legarda Senator Judge Marcoleta Senator Judge Marcos Senator Judge Padilla Senator Judge Pangilinan Senator Judge Sotto III Senator Judge Tulfo Erwin Senator Judge Tulfo Raffy Senator Judge Villanueva Senator Judge Villar Camille Senator Judge Villar Mark, Senator Judge Zubiri, the Presiding Officer Senator Judge Escudero, the Senate President Senator Judge Gatchalian.
Report correctionSen. Sherwin T. Gatchalian
S00011With 13 Senator Judges present, the Chair declares the presence of a courtroom.
Report correctionSen. Sherwin T. Gatchalian
S00012In accordance with the Rules of Procedure on Impeachment Trials, the Chair now recognizes the newly elected Presiding Officer to preside over the proceedings of the Impeachment Court.
Report correctionSen. Francis "Chiz" G. Escudero
S00013Thank you, Mr. Senate President. If there are no objections, we shall dispense with the reading of the journal. for October 7 to 8 and October 9. That is journal number 35 and journal number 36 of the Senate, sitting as an impeachment court and shall consider the same as approved.
Report correctionSen. Francis "Chiz" G. Escudero
S00014The clerk will please call the case before the impeachment court.
Report correctionAtty. Renato N. Bantug Jr.
S00015Case number 004-2026 in the matter of impeachment trial of Vice President Sara Zimmerman Duterte.
Report correctionRep. Terry L. Ridon
S00018Honor. Same appearances. We're ready. for the prosecution.
Report correctionAtty. Kristine R. Ferrer
S00019Same appearance for the respondent. Accused, your honor.
Report correctionSen. Francis "Chiz" G. Escudero
S00020The clerk of court is directed to situate the witness, attorney Alex Cabrera, to the witness stand for
Report correctionSen. Francis "Chiz" G. Escudero
S00021the continuation of his testimony, specifically the cross-examination by counsel for respondent.
Report correctionSen. Francis "Chiz" G. Escudero
S00022Attorney Kristine, your apple box is there already.
Report correctionSen. Francis "Chiz" G. Escudero
S00027Atty. Cabrera, naunawaan niyo po na patuloy kayong magbibigay ng inyong testimonya sa hukumang ito, sang-ayon at base sa pinanumpaan po ninyo nung huli kayong tumistigo dito noong nakaraang biyernes.
Report correctionSen. Francis "Chiz" G. Escudero
S00031You may proceed with your cross-examination then.
Report correctionAtty. Kristine R. Ferrer
S00038Just don't call me honorable because I'm not an honorable. I'm not part of the prosecution team.
Report correctionAtty. Kristine R. Ferrer
S00039Sir, I hope you had a great weekend. Now, you are here to testify as a forensic accountant of the prosecution, correct?
Report correctionAtty. Kristine R. Ferrer
S00041And your testimony is to prove the allegation of unexplained wealth against the Vice President, Sara Zimmerman Duterte, under Article 2 of the Articles of Impeachment, correct?
Report correctionAtty. Kristine R. Ferrer
S00043And sir, aside from professional competence, all CPAs are bound by integrity and objectivity in conducting their forensic audit. Do you agree with that, sir?
Report correctionAtty. Kristine R. Ferrer
S00046a copy of your CV and your CV shows that you are the chairman of the Justice Reform Initiative or JIR. Do you confirm that, sir?
Report correctionAtty. Kristine R. Ferrer
S00049as the chairman of JRI, is it fair to state that you have knowledge of the statements released by your organization?
Report correctionAtty. Kristine R. Ferrer
S00051you, sir. Are you aware that your organization, the JRI, issued a statement on May 14, 2026, calling that the impeachment court convene and proceed with the impeachment trial of the Vice President, Sara Duterte? Are you aware of that, sir?
Report correctionAtty. Kristine R. Ferrer
S00053We are showing you a copy of that statement and we are also showing that statement on screen.
Report correctionAtty. Kristine R. Ferrer
S00054Do you confirm now, sir, that that is the statement that was issued by JRI?
Report correctionAtty. Kristine R. Ferrer
S00057Your CV also shows that you are the chairman of the Integrity Initiative Inc., correct?
Report correctionAtty. Alexander B. Cabrera
S00058That's right, ma'am. It was still an active organization.
Report correctionAtty. Kristine R. Ferrer
S00063And as the chairman, you are aware that it was organized in 2009 by five leading business organizations, and one of which is the Makati Business Club, correct?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00066Your Honor, I'm very sorry to interrupt. May I just request a copy of the document that was shown to the witness? Thank you.
Report correctionSen. Francis "Chiz" G. Escudero
S00066_COVERAGE_1Assisting counsel is directed to furnish a copy to opposing counsel through assisting counsel as well.
Report correctionAtty. Kristine R. Ferrer
S00068the documents that we have shown to the witness are being provided to the prosecution, Your Honor.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00069So I will not interrupt later, Your Honor, if other documents will be shown to the witness. May I request that we immediately be given copies as well. Thank you.
Report correctionAtty. Kristine R. Ferrer
S00070The other documents are already part of the examination or the direct examination of Mr. Cabrera, Attorney Diokno. Don't worry.
Report correctionAtty. Kristine R. Ferrer
S00071Are you aware sir that the Makati Business Club issued a statement on June 9, 2025 calling for the convening of the impeachment court?
Report correctionAtty. Kristine R. Ferrer
S00073And we are showing you a copy of the statement and we are also showing a copy on screen.
Report correctionAtty. Kristine R. Ferrer
S00075Do you confirm that that is the statement that was issued by the Makati Business Club, sir, on June 9, 2025?
Report correctionAtty. Alexander B. Cabrera
S00076I'm aware po of the call for convening the impeachment court, but I do not have the time po to read the rest of the statement to confirm that this is such statement.
Report correctionAtty. Kristine R. Ferrer
S00077Okay, thank you, sir. That will suffice. Now, you also listed chairmanship in the Ethics Committee of the Management Association of the Philippines, or MAP, correct?
Report correctionAtty. Kristine R. Ferrer
S00079You're of course aware that on June 11, 2025, the MAP voiced out its concern over the move to return VP Sara's impeachment case to the House of Representatives. Are you aware of that statement?
Report correctionAtty. Kristine R. Ferrer
S00083Do you confirm that that was the statement that was issued by the MAP on June 11, 2025, sir?
Report correctionAtty. Alexander B. Cabrera
S00084Again, I am aware of the statement, but I don't have time to read to confirm that this is the
Report correctionAtty. Kristine R. Ferrer
S00087Okay, that would suffice, sir. But still, at that time, you are the chairman of the Ethics Committee of the Management Association of the Philippines. Thank you, sir. Now, despite of all of these publications which were released by your organizations, you still accepted your appointment?
Report correctionAtty. Kristine R. Ferrer
S00088by the public prosecutors for you to render forensic accounting services on the supposed unexplained wealth of the Vice President, Sara Zimmerman Duterte. Correct?
Report correctionSen. Francis "Chiz" G. Escudero
S00091With the indulgence of Attorney Kristine, can the tech kindly adjust the cursor on the screen? It's right at the forehead of Attorney Kristine. Okay. Thank you. You may proceed, Attorney Kristine.
Report correctionAtty. Kristine R. Ferrer
S00092Thank you, Your Honor. Now, sir, let's go to your appointment by the panel of prosecutors. Last Friday, we were provided with your appointment letter by the panel of the prosecutors. We will show the letter on screen, but we have covered your signature, sir, both your signature and Attorney Luistra's signature.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00093Just a clarification for the record, Your Honor. As I recall, it was the witness who produced a copy of the engagement letter. The prosecution panel did not provide it to him.
Report correctionAtty. Kristine R. Ferrer
S00096Now, do you confirm that that is your appointment letter by the public prosecutors?
Report correctionAtty. Kristine R. Ferrer
S00099Now, that letter is undated. Do you confirm that, sir?
Report correctionAtty. Kristine R. Ferrer
S00101Okay. Thank you, sir. On the second paragraph, on the second paragraph of that letter,
Report correctionAtty. Kristine R. Ferrer
S00105Okay. I think that's enough. On the second paragraph, there seemed to have a planned vacation to Europe for two to three weeks and that will start tomorrow, sir. Is that right? Do you confirm that?
Report correctionAtty. Kristine R. Ferrer
S00107Okay. My question is quite personal. Have you packed your bag, sir?
Report correctionAtty. Kristine R. Ferrer
S00113It's on Wednesday. Okay. Okay. So this is not accurate, this letter. The date is on Wednesday and not yet tomorrow. Okay, sir.
Report correctionAtty. Kristine R. Ferrer
S00114Based on this document, sir, it was the panel of prosecutors who approached you to be their forensic expert. Is that correct?
Report correctionAtty. Kristine R. Ferrer
S00116you, sir. And who among the members of the panel of prosecutors approached you, sir, if you can recall?
Report correctionAtty. Kristine R. Ferrer
S00118Congressman Shell Diokno. And you have known Congressman Shell Diokno before by reason of your appearances in public hearings. Is that a correct statement?
Report correctionAtty. Alexander B. Cabrera
S00119No po. The first time I met Congressman Shell Diokno, I mean face-to-face, We sat on a panel together in the Good Governance Advocates of the Philippines.
Report correctionAtty. Kristine R. Ferrer
S00124Okay, so that's last year. Sir, the engagement provides that your engagement is pro bono. The letter provides that.
Report correctionAtty. Kristine R. Ferrer
S00125When was this letter handed to you, sir, if you can recall?
Report correctionAtty. Kristine R. Ferrer
S00129Also in June 2026. Now, do you recall a specific date in June when the letter was handed to you, sir?
Report correctionAtty. Kristine R. Ferrer
S00137sir. And... The engagement letter does not outline the procedures to be undertaken by you. Do you confirm that, sir?
Report correctionAtty. Kristine R. Ferrer
S00139Did you send another letter, sir, confirming the procedures? Procedures?
Report correctionAtty. Alexander B. Cabrera
S00142Wala po kong sinend na ito po lahat yung gagawin ko. Pero ang kasunduan po namin ay magkakanda ka po ng forensic report doon sa documents na ibibigay nila.
Report correctionAtty. Kristine R. Ferrer
S00143Okay, sir. Thank you for that answer. So you confirm that this is the only letter that covers the engagement of your services,
Report correctionAtty. Kristine R. Ferrer
S00145Okay. Now, the appointment letter also says that you may be assisted by such persons that you select. Do you confirm that, sir?
Report correctionAtty. Kristine R. Ferrer
S00147And how many people have assisted you in drafting and finalizing your forensic report, sir?
Report correctionAtty. Alexander B. Cabrera
S00148Noong first half po, mga dalawa lang. Pero nung second ha po Nel, na-delay po yung pagdating ng mga bank accounts. Nagdagdag po kami ng ako ng tatlo.
Report correctionAtty. Kristine R. Ferrer
S00149Salamat po. Now, all of these people are also rendering their service as pro bono.
Report correctionAtty. Kristine R. Ferrer
S00153you, sir. Last Friday, you testified on the results of your assessment on the alleged unexplained wealth of the Vice President and her spouse, Manases Carpio, correct?
Report correctionAtty. Kristine R. Ferrer
S00155And this allegation is found in Article 2 of the Articles of Impeachment, correct?
Report correctionAtty. Kristine R. Ferrer
S00157Under Article 2 of the Articles of Impeachment, sir. Okay, thank you, sir. In fact, your forensic report, if you have a copy, sir, you can refer to it. Your forensic report dated October 2, 2026. Can a copy be shown, please? We are showing a copy to the witness.
Report correctionAtty. Kristine R. Ferrer
S00158Concluded that the respondent, vice president, had an unexplained wealth of 817.8 million pesos.
Report correctionAtty. Alexander B. Cabrera
S00161That is the results of my review po. Yung allegations po ay wala pong basihan ng ibig sabihin.
Report correctionAtty. Kristine R. Ferrer
S00162Okay. Okay. We'll accept your answer, sir. Now, on page 39, you concluded that the Vice President committed constitutional violations year on year by reason of her supposed unexplained wealth. Correct?
Report correctionAtty. Kristine R. Ferrer
S00164Thank you, sir. Now, your report covers the year 2022 to 2025, correct?
Report correctionAtty. Kristine R. Ferrer
S00166you, sir. And that is during the respondent's tenure as a vice president.
Report correctionAtty. Kristine R. Ferrer
S00168That no longer covers the prior years from 2007 to 2021, correct?
Report correctionAtty. Kristine R. Ferrer
S00174you, sir. And apart from the Constitution, sir, you also cited the following laws which were allegedly violated by the respondent in page 39 of your report. With your kind indulgence, sir, we will go through these laws one by one. Now, You cited RA 1379.
Report correctionAtty. Alexander B. Cabrera
S00175Pwede pong i-correct yung pagkakasabi niyo po. Were violated or may have been violated.
Report correctionAtty. Kristine R. Ferrer
S00176Okay, thank you sir for that. Were violated or may have been violated. Now, these laws include, first, RA 1379. And if you recall sir, based on your recollection, This governs the civil forfeiture of any property unlawfully acquired by a public officer, correct?
Report correctionAtty. Kristine R. Ferrer
S00178RA 6713 is also known as the Code of Conduct and Ethical Standards for Public Officers and Employees, correct?
Report correctionAtty. Kristine R. Ferrer
S00180RA 3019 is of course the Anti-Graft and Corrupt Practices Act, right?
Report correctionAtty. Kristine R. Ferrer
S00182And RA 12009 is the New Government Procurement Act. Correct?
Report correctionAtty. Kristine R. Ferrer
S00184Thank you, sir, for that confirmation. Now, your report also cited the omnibus rules on statement of assets and liabilities and net worth, correct?
Report correctionAtty. Kristine R. Ferrer
S00186If you can recall, which, if you can recall also, the Civil Service Commission adopted through CSE Resolution No. 250063 dated June 25, 2025. If you can just recall it, sir.
Report correctionAtty. Kristine R. Ferrer
S00190that omnibus SALN rules took effect on September 29, 2025, correct?
Report correctionAtty. Kristine R. Ferrer
S00192Thank you, sir. Now, just some personal questions, sir, if you don't mind. You testified last Friday that you were with Isla Lipan and Company or formerly Joaquin Cananan, sir?
Report correctionAtty. Kristine R. Ferrer
S00196You have not been employed in the government, sir. Correct?
Report correctionAtty. Kristine R. Ferrer
S00198Okay, thank you, sir. And you have not been appointed to any public position?
Report correctionAtty. Kristine R. Ferrer
S00203You have not been employed with the Civil Service Commission, correct?
Report correctionAtty. Kristine R. Ferrer
S00205thank you, sir. How about the Office of the Ombudsman?
Report correctionAtty. Kristine R. Ferrer
S00209Yes, thank you, sir. Not having employed with the government, sir, with all due respect also, you have not executed and filed a SALN with the office of the Ombudsman, correct?
Report correctionAtty. Kristine R. Ferrer
S00211Thank you, sir. Even if such is the case, you still opine that the VP committed violations in the declaration she made in her SALN. Is that right, sir? Even without having been employed with the government, not having executed any SALN, you still opine that the VP, committed violations in the declarations she made in the year SALN. Thank you, sir. Now, let's go back to your employment with Isla Lipana, sir.
Report correctionAtty. Kristine R. Ferrer
S00213the way, Isla Lipana changed its name or firm name, Joaquin Cunanan, rather, changed its firm name to Isla Lipana in 2005. That is correct? Okay, thank you, sir. Now, you started as a... staff accountant, at Joaquin Cunanan and Company, correct?
Report correctionAtty. Kristine R. Ferrer
S00217Thank you, sir. If you can just share, may I know the name of your partner in charge at that time, sir? If that's okay for you to share. If not, it's okay.
Report correctionAtty. Alexander B. Cabrera
S00218Apo. Huwag na po nating banggitin po yung pangalan ng partner. Okay. Tutal po, Yumao na po
Report correctionAtty. Kristine R. Ferrer
S00219_Q2Okay. That's okay, sir. And... Your work as a staff accountant was to conduct an external audit of financial statements of your clients in Joaquin Cunanan, correct?
Report correctionAtty. Kristine R. Ferrer
S00223In the modern version or in the later structure of PWC or Isla Lipana, this staff accountant is what we call as an associate in the audit and assurance department.
Report correctionAtty. Kristine R. Ferrer
S00225you, sir. In fact, the current... Okay, I will no longer mention his name. I was about to mention the name of the current audit and assurance managing partner of Isla Lipana. Now, going back to your work experience, sir, you served as a staff accountant from July 7, 1988 to June 30, 1989, correct?
Report correctionAtty. Kristine R. Ferrer
S00229Thank you sir. Thereafter, you transferred to the tax services department of Joaquin Cunanan or Isla Lipana on June 1, 1989.
Report correctionAtty. Kristine R. Ferrer
S00229_Q3Thank you sir. Because of that transfer, you became a tax technical consultant. That was your job description then.
Report correctionAtty. Kristine R. Ferrer
S00231Thank you sir. And today, we call that tax technical consultant as a tax associate. Is that a correct attribution sir?
Report correctionAtty. Kristine R. Ferrer
S00234I will no longer ask the name of your tax partner in charge.
Report correctionAtty. Kristine R. Ferrer
S00235And your report to this new tax partner, sir. To this tax partner of yours.
Report correctionAtty. Kristine R. Ferrer
S00235_Q3Okay. You no longer report to your previous audit and assurance partner in charge, correct?
Report correctionAtty. Kristine R. Ferrer
S00237Counselor Diokno or Attorney Diokno can ask you questions later, sir, regarding this matter if she has to. Now, I understand. that East Lalipana has a department also called Brother Assurance Services. Is that correct, sir?
Report correctionAtty. Kristine R. Ferrer
S00241In fact, this department of East Lalipana is currently headed by Mr. Pocholo Dumundon. Is that correct?
Report correctionAtty. Kristine R. Ferrer
S00243Okay. Thank you, sir. Now, going back to your resume, sir. The same does not mention that you were part of the broader assurance services, is that correct?
Report correctionAtty. Kristine R. Ferrer
S00245thank you, sir. Also, it did not, while, although, it did mention your chairmanship in Isla Lipana. Now, let's go to your work in the tax department, sir.
Report correctionAtty. Kristine R. Ferrer
S00246Sir, the tax department is a separate division of Isla Lipana, correct?
Report correctionAtty. Kristine R. Ferrer
S00248Yes, sir. It's a separate department of Joaquin Cunanan and Company.
Report correctionAtty. Kristine R. Ferrer
S00254Yes, sir. But it is still under Isla Lipana, although a separate department.
Report correctionAtty. Kristine R. Ferrer
S00256It is also separate. It is separate from the Audit and Assurance Services Department, sir. Correct?
Report correctionAtty. Kristine R. Ferrer
S00258you, sir. It is also separate from the broader assurance department, correct?
Report correctionAtty. Kristine R. Ferrer
S00258_Q3Thank you, sir. Now, the tax department under which you were already working at the time, in 1989, offers the following services. Tax accounting and regulatory compliance. Do you confirm that?
Report correctionAtty. Kristine R. Ferrer
S00258_Q5Such as assistance in the preparation and filing of tax returns.
Report correctionAtty. Kristine R. Ferrer
S00261But the audit, The determination refers to the determination or tax compliance of a client with the BAR, correct?
Report correctionAtty. Kristine R. Ferrer
S00263Yes, but mostly that is the coverage of your tax audit.
Report correctionAtty. Alexander B. Cabrera
S00264po ang rules at hindi po natin yung matitignan na hindi po inaanalyze ang financial statements po.
Report correctionAtty. Kristine R. Ferrer
S00265Okay, sir. Yes. I get that, sir. Now, international tax and transfer pricing and also rendering of tax opinion, sir.
Report correctionAtty. Kristine R. Ferrer
S00267Okay. The tax department under which you were working at that time does not offer auditing and assurance services, correct?
Report correctionAtty. Kristine R. Ferrer
S00272So the answer is yes, it does not offer auditing and assurance services.
Report correctionAtty. Kristine R. Ferrer
S00272_Q3Thank you, sir. The tax department does not conduct an external audit of the financial statements of... The clients of PWC or Isla Lipana or Joaquin Cunanan. Thank you, sir. Its services do not include rendering an independent opinion on the financial statements of your clients. Correct? Thank you, sir. While the tax department offers tax fraud audits, the focus of the audit is compliance with tax laws.
Report correctionAtty. Alexander B. Cabrera
S00273Compliance with tax laws and kung ano po yung misrepresentation po sa financial statement po.
Report correctionAtty. Kristine R. Ferrer
S00276you, sir. Now, because fraud audit in general is being handled by the assurance department, correct, sir?
Report correctionAtty. Alexander B. Cabrera
S00279Pagka po fraud audit po kasi yung pinag-uusapan, na-involved na po yung lahat po ng LOS po ng firm.
Report correctionAtty. Alexander B. Cabrera
S00281audit po, ang tax po, ang broader assurance, at kung sino man po yung expert na kailangan po, nagtutulong-tulong po kami. Yan po ang ibig sabihin ng hindi po siya siloed.
Report correctionAtty. Kristine R. Ferrer
S00282Okay, sir. Thank you for that clarification. Now, while working in Joaquin Cunanan's tax department, you took up law, correct?
Report correctionAtty. Kristine R. Ferrer
S00284And lawyering is also consistent with your career track under the tax services department of Joaquin Cunanan?
Report correctionAtty. Kristine R. Ferrer
S00286after passing the bar in 1996, you maintained your employment with Joaquin Cunanan, correct?
Report correctionAtty. Kristine R. Ferrer
S00290after passing the bar in that year, you maintained your employment with Joaquin Cunanan, correct? As a tax lawyer in the tax services department, of course.
Report correctionAtty. Kristine R. Ferrer
S00290_QSo you were employed? as an attorney in the tax services department of Joaquin Cunanan and Company.
Report correctionAtty. Kristine R. Ferrer
S00292Of course, sir. You were not employed as an auditor of the audit and assurance department of Joaquin Cunanan and Company.
Report correctionAtty. Kristine R. Ferrer
S00295Okay, sir. As a tax lawyer in the tax department, your work was focused on taxation, corporate law, mergers and acquisitions, correct?
Report correctionAtty. Kristine R. Ferrer
S00297And... As a tax lawyer, you can now represent clients before the SEC, correct?
Report correctionAtty. Kristine R. Ferrer
S00299Yes, sir. Thank you, sir. More importantly, as a tax lawyer, you can now represent clients before the BIR, correct?
Report correctionAtty. Alexander B. Cabrera
S00300po. Kahit punong CPA pa lang po, pwede na po mag-represent sa BIR po.
Report correctionAtty. Kristine R. Ferrer
S00301Okay, thank you, sir. And, am I correct to say that as a tax lawyer, your work mostly involved? Representing clients before the SEC and the BIR and other government agencies.
Report correctionAtty. Alexander B. Cabrera
S00304Hindi po eh. Hindi po. Talaga pong ano. Talaga pong malaki po yung M&A component. Malaki po yung due diligence review. Malaki po yung consulting.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00311Honor, I'm sorry to interrupt. May I just request that since the good counsel was the one who asked the question of the witness, that she not interrupt him and allow him to finish the question, to the answer I mean.
Report correctionAtty. Kristine R. Ferrer
S00312Sir, if I will ask you, if I will request you to just answer with yes or no, can you please answer with yes or no? And your lawyer will also ask a question regarding that matter if he deems appropriate later on redirect.
Report correctionSen. Francis "Chiz" G. Escudero
S00313The comment of Honorable Diokno is duly noted. The witness is instructed to kindly be responsive. As the case may be, although if there is a need for you to explain your answer, if it cannot be answerable by a simple yes or no, you may ask permission of the counsel if there is a need to ask further questions or if you can explain your answer. If not, then opposing counsel, the Honorable Diokno, can take that up and redirect. You may proceed, Atty. Kristine.
Report correctionAtty. Kristine R. Ferrer
S00314you, Your Honor. Now, as a tax lawyer, you no longer audit the financial statements of PWC's clients.
Report correctionAtty. Kristine R. Ferrer
S00319Am I correct to say, sir, that under PWC's global policy and standards, the firm's tax department is strictly prohibited from providing external audit services to any of The firm's client.
Report correctionAtty. Alexander B. Cabrera
S00320Opo, hindi po ganun ang design nun. Ang audit partners lamang po yung nakakapirma ng audit
Report correctionAtty. Kristine R. Ferrer
S00323you, sir. So, the answer to that is yes. Yes. Thank you, sir. Now, let's go back to your work
Report correctionAtty. Kristine R. Ferrer
S00324as a tax lawyer. Let's expound a bit. Now, your work as a tax lawyer already involves handling requests before the BIR, correct?
Report correctionAtty. Kristine R. Ferrer
S00330And you also represented clients for tax assessments or audits before the BIR.
Report correctionAtty. Kristine R. Ferrer
S00332Okay, sir. If I can recall your testimony last Friday, you said that you really considered yourself as a tax expert. Tama po?
Report correctionAtty. Kristine R. Ferrer
S00334And if I may recall, if I can quote you, you mentioned something along the lines like, And taxation, yan ang expertise ko talaga.
Report correctionAtty. Kristine R. Ferrer
S00336this representation really understands where you're coming from, sir. In fact, that statement really showed your passion also when it comes to taxation, if my assessment is correct.
Report correctionAtty. Alexander B. Cabrera
S00337Taxation po, because of tax planning, tax structuring, M&A po.
Report correctionAtty. Kristine R. Ferrer
S00338Thank you, sir. Now, even if you focus your entire career in taxation,
Report correctionAtty. Kristine R. Ferrer
S00339Only devoted about a year in external audit as a staff accountant, you still consider yourself, sir, as a forensic accounting expert?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00342Your Honor, already answered is not an excuse for the objection to be made. That's very clear, Section 39.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00346Your Honor, Section 39, should the witness answer the question before the adverse party had the opportunity to voice fully its objection, or where the question is not objectionable but the answer is not responsive, or where a witness testifies without the question being posed, or testifies beyond limits set by the court, and such objection is found to be meritorious. The court shall sustain the objection and order such answer, testimony, or narration to be stricken off the record.
Report correctionSen. Francis "Chiz" G. Escudero
S00347That is why I'm asking for the ground for the objection, counsel.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00348That's why, Your Honor, I'm asking that the question be repeated. Because if I recall the question, good counsel here misled the testimony or misdeclared the testimony of the witness last week.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00351Yes, but I would like, Your Honor, please, that the question be repeated so that I can make it clear which part is objectionable.
Report correctionAtty. Kristine R. Ferrer
S00354believe that the witness is an intelligent witness, Your Honor, and he fully understood and in fact responded to the question, Your Honor. Thank you.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00355Your Honor, may I be heard? Hindi po karera ito na pag sinagot ng witness agad yung tanong ay hindi na po pwede mag-object? ang abogado. That's very clear from section 39 of rule 130. If the witness answers quickly but the question is objectionable, counsel is still entitled to object. The court must rule on the objection and have the answer or the question stricken off the record. Now, to make my objection clear, I don't know why it's so difficult for counsel to repeat her question.
Report correctionSen. Francis "Chiz" G. Escudero
S00356Yes, Attorney Kristine, before the court makes a ruling.
Report correctionAtty. Kristine R. Ferrer
S00359Your Honor, may we know the ground of the objection, Your Honor, because if it was misleading, the witness could not have answered it intelligently, Your Honor. But as you see, Your Honor, the witness has in fact given his answer, Your Honor.
Report correctionSen. Francis "Chiz" G. Escudero
S00361If the panel of prosecutor needs the question to be repeated to make the appropriate objection and the witness has already answered, then The court would have to overrule that objection and also if it is based on the fact that it was misleading, it was not misleading. I remember the question. She was simply comparing the claim of the witness in regard to his supposed one-year experience only in the division when he was starting out that focused on this particular fact. and or assertion.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00362recall what was stated by the good counsel and she said that if you're only especially if if you only did tax lawyering sorry she was stating that she
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00364insinuating your honor that this witness has not had any experience at all in auditing That was the import of her question and that's why it's misleading.
Report correctionAtty. Kristine R. Ferrer
S00365Your Honor, please, that statement of Atty. Diokno is the one which is misleading.
Report correctionSen. Francis "Chiz" G. Escudero
S00366I don't recall it that way, Honorable. I think Atty. Kristine asked that he had experience but that only it was for a short period of time, a year in fact, if I recall correctly. Let's move on. For the meantime, with your indulgence, Honorable Diokno, the objection is overruled. Atty. Kristine, you may continue.
Report correctionAtty. Kristine R. Ferrer
S00367Thank you, sir. With your kind indulgence, sir, I will be asking more personal questions, sir.
Report correctionAtty. Kristine R. Ferrer
S00368As a lawyer, sir, have you handled a complaint for graft and corruption before the Office of the Ombudsman?
Report correctionAtty. Kristine R. Ferrer
S00368_J3Thank you, sir. Have you handled, either as a private prosecutor or defense lawyer, a case involving graft and corruption before any court?
Report correctionAtty. Kristine R. Ferrer
S00370Thank you, sir. How about a case involving malversation or misuse of public funds?
Report correctionAtty. Kristine R. Ferrer
S00372Thank you, sir. How about a case involving violation of RA 6713?
Report correctionAtty. Kristine R. Ferrer
S00382Yes, sir. Yes, sir. We take that answer too. How about plunder? Have you handled a case involving plunder? How about handling a civil forfeiture case, sir? Have you done so?
Report correctionAtty. Kristine R. Ferrer
S00384Have you been an expert witness, sir, in a graft and corruption case before any court?
Report correctionAtty. Kristine R. Ferrer
S00386Salamat po. How about being an expert witness in a case involving unexplained wealth or ill-gotten wealth before the Sandiganbayan?
Report correctionAtty. Kristine R. Ferrer
S00390Okay sir, we got that answer. Now, so you have not been an expert too in a civil forfeiture case in any court?
Report correctionAtty. Kristine R. Ferrer
S00392Okay, thank you sir. Have you been an amicus curiae in an unexplained or ill-gotten wealth case before the Sandiganbayan?
Report correctionAtty. Kristine R. Ferrer
S00394Why not, sir? How about a civil forfeiture case? Have you been an amicus curiae?
Report correctionAtty. Kristine R. Ferrer
S00396Despite not having appeared in any court as counsel or as an amicus curiae, in cases involving graft and corruption, ill-gotten wealth, or civil for future, you of course are still appearing as an expert witness and opining on the supposed constitutional violations of the vice president, correct?
Report correctionAtty. Kristine R. Ferrer
S00398Thank you sir. We understand also sir that you attended leadership and management program at Harvard Business School in 2006.
Report correctionAtty. Alexander B. Cabrera
S00405Mga less na naman po pero mga one month po yung preparation.
Report correctionAtty. Kristine R. Ferrer
S00407May we know sir if you are a member of the Institute of Certified Forensic Accountants in the Philippines?
Report correctionAtty. Alexander B. Cabrera
S00408Hindi po. Nung tinayo po yan ay 2001. Eleven years na po akong partner nung
Report correctionAtty. Kristine R. Ferrer
S00414Pardon me sir. but I will have to ask you some more questions. Of course, these are not meant sir to downplay your achievements. Please have that in mind sir because your achievements are what they are already. Now, going back to your CV sir, Curriculum Vitae, Curriculum Vitae, can a copy be shown to the witness?
Report correctionAtty. Kristine R. Ferrer
S00415In your CV sir, nothing was attached to it. Do you confirm that, sir?
Report correctionAtty. Kristine R. Ferrer
S00417Okay, salamat po, sir. Your diplomas were not attached to the CV?
Report correctionAtty. Kristine R. Ferrer
S00420Certifications from the PRC and the Supreme Court concerning your admission to the CPA profession and the bar were also not attached to the CV, correct, sir?
Report correctionAtty. Kristine R. Ferrer
S00422Of course, again, this doesn't mean that they don't exist, but I'm just asking this as a matter of record, sir. Please understand.
Report correctionAtty. Kristine R. Ferrer
S00424Okay, thank you, sir. No client testimonials were attached to your CV, sir.
Report correctionAtty. Kristine R. Ferrer
S00426certification from PWC also regarding your employment and partnership with the firm.
Report correctionAtty. Kristine R. Ferrer
S00429peer reviews were attached. No reviews by fellow tax lawyers, by audit partners were attached also in your CV, sir.
Report correctionAtty. Kristine R. Ferrer
S00432understand. No other certifications on memberships were also attached to your CV, sir.
Report correctionAtty. Alexander B. Cabrera
S00433_SHORT_COVERAGE_1nandun po. May isang kwarto po puro po, ano dun.
Report correctionAtty. Kristine R. Ferrer
S00437Okay, sir. Now, let's proceed with your appointment. Going back to your appointment letter. I hope you have a copy of that.
Report correctionAtty. Kristine R. Ferrer
S00440Going back to your appointment letter, may we know, sir, when did you accept your appointment as a forensic expert?
Report correctionAtty. Kristine R. Ferrer
S00442June, if you can recall, ah, June first week or second week. That's your answer earlier.
Report correctionAtty. Kristine R. Ferrer
S00443Okay. So, when did you commence your work, sir, after signing the appointment letter? If you just can recall.
Report correctionAtty. Alexander B. Cabrera
S00444Immediately po eh. Because naka, yeah, immediately po.
Report correctionAtty. Kristine R. Ferrer
S00445So, by saying immediately, second week or third week of June?
Report correctionAtty. Kristine R. Ferrer
S00447Okay. Second week or third week of June. If you can recall, sir, what were the documents that were provided to you by the prosecution at that time?
Report correctionAtty. Alexander B. Cabrera
S00454Lahat po nung mga galing po sa house na impeachment proceedings po.
Report correctionAtty. Kristine R. Ferrer
S00455Alright. So, you're saying that In June 2026, based on your recollection, you were already provided with SALNs of the respondent from 2022 to 2025.
Report correctionAtty. Kristine R. Ferrer
S00465These documents were handed to you or provided to you in June 2026.
Report correctionAtty. Kristine R. Ferrer
S00466Did the turnover of the documents to you or was the turnover of these documents to you covered by any transmittal letter, sir?
Report correctionAtty. Alexander B. Cabrera
S00467Ang po nung karton. Parang meron po yata yung transmittal po.
Report correctionAtty. Alexander B. Cabrera
S00471I don't think I signed po. Pinadala po yung, pinadala po sa office ko po yung ano.
Report correctionAtty. Kristine R. Ferrer
S00477when you received the documents from the banks and the AMLC and the BAR, may I know when you received this sir? If you can recall?
Report correctionAtty. Kristine R. Ferrer
S00480When you received these subpoenaed documents, of course, it did not occur to you or did it ever occur to you that you or the person who provided the documents, the bank officers, the AMLC officers, or the BIR officers, may be violating confidentiality law, sir?
Report correctionAtty. Alexander B. Cabrera
S00483lang po ay matangga po yung documents sa prosecution at yun po yung titignan ko.
Report correctionAtty. Kristine R. Ferrer
S00488We are showing you this law, sir, that I mentioned earlier.
Report correctionAtty. Kristine R. Ferrer
S00489Kindly give your answers after my question, sir. For the AMLC report, sir, we are citing Section 8A of RA 916.
Report correctionAtty. Kristine R. Ferrer
S00490Section 8A, we are showing it on the screen, sir. I hope you can see that.
Report correctionAtty. Kristine R. Ferrer
S00492Okay. Section 8A provides, if I can read the first paragraph, the AMLC and its secretariat shall securely protect information received or processed and shall not reveal in any manner any information known to them by reason of this office. This prohibition shall apply even after their separation from the AMLC. And then the second provision that we will show is section 6 of RA 9194 which amends section 9C of RA 9160. Can that be shown on the screen?
Report correctionAtty. Kristine R. Ferrer
S00493Can the in-charge of the tech booth show that on screen?
Report correctionAtty. Kristine R. Ferrer
S00498Okay, I will just read it sir for your reference. Okay, when reporting covered or suspicious transactions to the AMLC, covered institutions and their officers and employees are prohibited from communicating directly or indirectly in any manner or by any means to any person or entity, the media, The fact that a covered or suspicious transaction report was made. The contents thereof or any other information in relation thereto. I'll stop in that portion. And lastly, sir, the last provision regarding the AMLC records that we will show on screen is Section 9D of RA 9194, which amends Section 14 of RA 9160.
Report correctionAtty. Kristine R. Ferrer
S00499Can that provision be shown on screen? Then I will read it also sir for your reference. Section 9, Section 14, Paragraphs C and D of the same act are hereby amended to read as follows. Letter D, breach of confidentiality. I will no longer specify the penalties but it includes imprisonment and fine. But this is not meant to scare you, sir.
Report correctionAtty. Kristine R. Ferrer
S00501_D2Yes, sir. I will now ask my question, sir. As a lawyer, you did not feel concerned that the furnishing of AMLC documents to you and information also to you without the permission of the impeachment court may violate this laws which we cited earlier.
Report correctionAtty. Alexander B. Cabrera
S00502Dahil na take up na po sa house at pinagtalunan na po sa house, kaya po ang nasa isip ko ay okay lang po yan na
Report correctionAtty. Kristine R. Ferrer
S00503_D2Okay, salamat po. Now for the bank documents, we will also show Section 2 of RA 1405 or the Bank Secrecy Law. Kindly show it on the screen. I will also read it sir for your reference. Section 2, of course I know you are familiar with this. Section 2, all deposits of whatever nature. With banks or banking institutions in the Philippines, including investments in bonds issued by the government of the Philippines, its political subdivisions and its instrumentalities are hereby considered as an absolutely confidential... as of an absolutely confidential nature and may not be examined, inquired, or looked into by any person, government, official, bureau, or office except upon written permission of the depositor or in cases of impeachment. or upon order of a competent court in cases of bribery or the reliction of duty of public officials or in cases where the money deposited or invested is the subject matter of the litigation. Now, my question sir is, having known this law as a lawyer, you did not feel concerned also by the furnishing of copies of bank documents to you without the authority of the impeachment court?
Report correctionSen. Francis "Chiz" G. Escudero
S00505Are you withdrawing your objection that you haven't stated yet?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S00506make a manifestation instead, Your Honor, that the witness earlier, when asked when he was provided with the documents in early June, said that he was not yet provided with the bank records at that time.
Report correctionAtty. Kristine R. Ferrer
S00511The questions were asked, in relation to his receipt already of the documents. Not when the documents were not yet provided to him.
Report correctionSen. Francis "Chiz" G. Escudero
S00512this one. This one. I think Honorable Diokno was referring to the earlier questions na sinagot ng testigo. Not this one. And the witness expressed willingness to answer.
Report correctionAtty. Alexander B. Cabrera
S00515Kaya po ako hindi concerned kasi sa 3019 po na siya pong section 8 po na nagsasabing yung
Report correctionAtty. Alexander B. Cabrera
S00516acquisition po ng property na manifestly disproportionate po sa income po.
Report correctionAtty. Alexander B. Cabrera
S00518Sinasabi po niya na bank deposits have been taken into consideration.
Report correctionSen. Francis "Chiz" G. Escudero
S00520Atty. Alex, I think that would be enough. Again, any further explanation not called for in the question by Atty. Kristine may be dealt with by the Hon. Diokno during his redirect examination.
Report correctionAtty. Kristine R. Ferrer
S00521Yes, sir. My only question, my question was simple. You did not feel concerned? Hindi kayo nabahala when the bank documents were furnished to you by the prosecution without the authority or approval of the impeachment court?
Report correctionAtty. Alexander B. Cabrera
S00532batas po yung bank deposits. Kailangan pong i-provide.
Report correctionAtty. Kristine R. Ferrer
S00533Okay sir. So the answer to that is no po. So for the BIR documents which you received also, we will be citing section 270 of the tax code. We are showing that on the screen. This refers to unlawful divulgence of information. I know that you are quite familiar with that provision, sir. It says that except as provided in section 6F and 71 of this code and section 26 of Republic Act number 6388, any officer or employee of the Bureau of Internal Revenue who divulges to any person or makes known in any other manner that may be provided by law, information regarding the business, income, or estate of any taxpayer, the secrets, operation, style, or work, or apparatus of any manufacturer, or producer, or confidential information regarding the business of any taxpayer, then I have to stop in that sentence. Now, sir, based on this... Section 270 of the Tax Code, although we know both that this refers to officers and tax agents of the BIR, you are not concerned of any possible violation under Section 270 when you were furnished copies of the BIR documents without the authority of the impeachment court?
Report correctionAtty. Alexander B. Cabrera
S00533_COVERAGE_1Opo, hindi ko po problema maging concerned po doon.
Report correctionAtty. Alexander B. Cabrera
S00535Tatanggapin ko lang po yung document at akin pong i-examine at bibigyan po ng analysis. Wala pong concern kung meron pong concern doon.
Report correctionAtty. Kristine R. Ferrer
S00536Okay, salamat po, sir. Now, let's go to your report, sir. I hope you have a copy of your report. Kindly furnish a copy of the report to the witness.
Report correctionAtty. Kristine R. Ferrer
S00541sir. According to page 24 of your report, Your examination focused on three corporations, correct?
Report correctionAtty. Alexander B. Cabrera
S00542Apo, doon po kami nag-concentrate sa tatlong corporation po.
Report correctionAtty. Kristine R. Ferrer
S00543salamat po, sir. And these corporations are Metro City Chow Foods Corporation, tama po,
Report correctionAtty. Kristine R. Ferrer
S00547Salamat po. You also mentioned in the same page, page 24, that the reason for this is because of lack of material time. Do you confirm that? Thank
Report correctionAtty. Kristine R. Ferrer
S00549sir. Now, we noticed that the report does not contain a checklist of documents, this report itself that you examined. that you made, sir. Can you confirm, sir, that this report does not contain the checklist of documents?
Report correctionAtty. Alexander B. Cabrera
S00554Wala po. Pero meron po itong annex at nandun po yung mga documents na
Report correctionAtty. Kristine R. Ferrer
S00557So, this document, this report does not contain that checklist. The main report, sir.
Report correctionAtty. Alexander B. Cabrera
S00558But supported po with documents na nandun po sa annex.
Report correctionAtty. Kristine R. Ferrer
S00560Your report also, sir, this report has no table of contents. Although it's only 50 pages, but it does not have a table of contents.
Report correctionAtty. Kristine R. Ferrer
S00562thank you, sir. Your report has no list of authorities. When I say list of authorities, it means the laws that you cited and the jurisprudence that you cited and the pages that... They were cited. It's a short summary of all of these authorities.
Report correctionAtty. Kristine R. Ferrer
S00564Yes, sir. I understand. But there is no list of authorities in the front page or somewhere else. Thank you, sir. Now, you can say this because of lack of material time too.
Report correctionAtty. Kristine R. Ferrer
S00568the appointed forensic auditor, of the panel of prosecutors, it is your opinion, sir, that the spouses Carpio had an undeclared wealth of 817.8 million as of 2025, correct?
Report correctionAtty. Kristine R. Ferrer
S00570this 817.8 million was the product of your examination of the documents provided to you by the prosecution, correct? Thank you, sir. Now, this 800... 17.8 million is composed of two items. First is undeclared assets. Sir, do you confirm that?
Report correctionAtty. Kristine R. Ferrer
S00574is alleged undeclared income of the spouse's carpio. Correct?
Report correctionAtty. Kristine R. Ferrer
S00576your report Does not contain any undeclared liabilities?
Report correctionAtty. Kristine R. Ferrer
S00578Okay, thank you, sir. Now, according to page 1 of your report, if you can refer to it, you did not examine or use any document coming from the respondent and her spouse, correct?
Report correctionAtty. Kristine R. Ferrer
S00584stop you, sir. Sorry. I have to stop you, sir. Kindly respond to my question, please.
Report correctionAtty. Alexander B. Cabrera
S00587kasi dun sa reply po, answer niya po sa House, tsaka po sa Senate. Wala
Report correctionAtty. Kristine R. Ferrer
S00588_D2So, that is a yes. You did not use any document coming from the respondent and her spouse.
Report correctionAtty. Kristine R. Ferrer
S00590Anyway, that is... Okay, let's answer the question, sir. Let's answer the question. So, that is a yes. Based on your report, of course.
Report correctionAtty. Kristine R. Ferrer
S00592the witness kindly speak to the mic instead of simply nodding? So yes.
Report correctionAtty. Kristine R. Ferrer
S00593Yes. Okay. You also did not interview the respondent. Kindly just say yes or no.
Report correctionAtty. Kristine R. Ferrer
S00595Okay. You also did not interview Mr. Manases Carpio. Yes or no only.
Report correctionAtty. Kristine R. Ferrer
S00597Okay. Thank you. No interview was made with the accountant of the respondent vice president.
Report correctionAtty. Kristine R. Ferrer
S00601You also did not interview the accountant of Mr. Manases Carpio?
Report correctionAtty. Alexander B. Cabrera
S00602Yes, po. Pare-pareho naman po yung accountant nila.
Report correctionAtty. Kristine R. Ferrer
S00603Okay. Now, no interview was also conducted with the auditor of the spouse's Carpio, correct?
Report correctionAtty. Kristine R. Ferrer
S00605Anyway, you already answered the question, sir. Thank you. Now, let's go to the undeclared cash, sir. In your alleged... Sorry, I have to rephrase my question, the alleged undeclared cash. Now, just a quick inquiry, sir. When did you receive the bank documents from the prosecution? You mentioned a date earlier, but can it be more specific, sir, if you can? You can look at your notes, it's okay.
Report correctionAtty. Kristine R. Ferrer
S00607Okay, September, sir. Is it correct that the BDO The BDO documents containing four boxes, Metro Bank documents which are contained in three boxes, BPI documents which are contained in two boxes, Land Bank documents which are contained in one small box or one box, and Security Bank documents which are in five boxes and one envelope.
Report correctionAtty. Kristine R. Ferrer
S00608and PS Bank documents which are in one envelope. All of these were received by you after September 8, 2026. If you can recall, sir.
Report correctionAtty. Alexander B. Cabrera
S00620Parang around that week po eh. Parang second week po.
Report correctionAtty. Kristine R. Ferrer
S00621Second week of September. Okay, sir. Now, is it also correct to say that you received the Asia United Bank Corporation documents? East-West Banking Corporation documents, Philippine National Bank documents, and Union Bank of the Philippines documents later after September 22, 2026.
Report correctionAtty. Alexander B. Cabrera
S00626Meron po mga bankong dumating po. Bank documents po ang
Report correctionAtty. Kristine R. Ferrer
S00630Again, these documents that were transmitted to you by the prosecution, does not or does have transmittal letters with them?
Report correctionAtty. Kristine R. Ferrer
S00632Meron ho bang transmittal letters? Or wala hong transmittal letters?
Report correctionAtty. Alexander B. Cabrera
S00635wala pong... Hindi ko pa ma-recall na may exactong transmittal letters.
Report correctionAtty. Kristine R. Ferrer
S00638Thank you, sir. So, you did not also provided the prosecution of copies or a list of the documents that were received by you. Did you provide that list, sir?
Report correctionAtty. Kristine R. Ferrer
S00644Sir, I have no question yet. I think you have already answered my question, sir. Thank you, sir.
Report correctionAtty. Kristine R. Ferrer
S00645So, your report, that's the reason why your report did not append any transmittal letter from the prosecution, correct?
Report correctionAtty. Kristine R. Ferrer
S00649undeclared cash, you can also refer to your report sir, is the difference between the ending cash balance per bank and the cash declared in the SALN. You can refer to your notes sir.
Report correctionAtty. Alexander B. Cabrera
S00653Ito po yung, ito pong page 3, ito po yung mga listahan po ng mga bank accounts po nila.
Report correctionAtty. Kristine R. Ferrer
S00655Okay. So, in your cash audit, you determined the undeclared cash as the difference between the cash balance per bank. and the cash declared in the SALN, correct?
Report correctionAtty. Kristine R. Ferrer
S00657you assume that the cash per SALN is zero under that item, the cash item. Thank you, sir. Because the account cash was not specified in the SALN, correct?
Report correctionAtty. Kristine R. Ferrer
S00659You did not also consider in that specific report only on cash that the cash was slumped somewhere in the SALN, correct?
Report correctionAtty. Kristine R. Ferrer
S00663thank you, sir. Now, your report categorized the supposed bank accounts of the vice president and her husband into four. Your Honor, can I just ask permission to drink water?
Report correctionAtty. Kristine R. Ferrer
S00666Your report categorized the supposed bank accounts into four.
Report correctionAtty. Kristine R. Ferrer
S00667are the supposed accounts of the vice president, correct?
Report correctionAtty. Kristine R. Ferrer
S00669Table 2 are the supposed accounts of Manases Carpio, correct?
Report correctionAtty. Kristine R. Ferrer
S00671Table 3 are the supposed joint accounts held by the respondent and Mr. Manases Carpio, correct?
Report correctionAtty. Kristine R. Ferrer
S00673And table 4 are the supposed accounts of 888 Bistro, which is a sole proprietorship of Mr. Carpio, correct sir?
Report correctionAtty. Kristine R. Ferrer
S00673_Q3Okay. Going back to all of these tables, sir, the names of the account holders do not appear as a separate column in each of the tables, correct? You can go through each of the tables, sir.
Report correctionAtty. Kristine R. Ferrer
S00675Yes, po. Thank you. Furthermore, there was no separate column in table 1 showing, let's go to table 1, sir, showing whether the listed accounts of the VP are held singly or with another person, correct?
Report correctionAtty. Kristine R. Ferrer
S00677But it did not refer to any account name, sir, as reflected in the bank statement.
Report correctionAtty. Kristine R. Ferrer
S00682the person in the tech booth please remove the document?
Report correctionSen. Francis "Chiz" G. Escudero
S00683As earlier agreed, kindly, who's in the tech booth again? Is it Dave?
Report correctionSen. Francis "Chiz" G. Escudero
S00685David, similar to your request with the prosecution, kindly redact the account numbers.
Report correctionAtty. Kristine R. Ferrer
S00686Kindly redact all the account numbers before flashing them on screen.
Report correctionAtty. Kristine R. Ferrer
S00688Now, I'll go back to my question, sir. Table 1 does not show... The names of the account holders as reflected in the bank statements.
Report correctionAtty. Alexander B. Cabrera
S00689Only the account number po. It doesn't show the name. Kasi po sinabi na po
Report correctionAtty. Kristine R. Ferrer
S00690_D2Yes, sir. Kindly, I have to stop you on that. So, that table does not contain the names of the account holders. Now,
Report correctionAtty. Kristine R. Ferrer
S00691one of the, or among the documents that are to be examined, in a forensic accounting are the kyc documents correct and your report does not contain sir can you please answer the question one of the documents that should be examined in a forensic audit are the kyc documents okay
Report correctionAtty. Kristine R. Ferrer
S00693you sir and uh your report as it is now does not contain Any information on the KYC documents that you examined?
Report correctionAtty. Alexander B. Cabrera
S00694Only when there is one provided by the bank po yung mga na-examine namin KYC.
Report correctionAtty. Kristine R. Ferrer
S00695So you're saying that there's no KYC that were provided to you, sir?
Report correctionAtty. Kristine R. Ferrer
S00699so you completed your examination without examining all of the KYCs of this bank.
Report correctionAtty. Kristine R. Ferrer
S00701Okay, thank you sir. Thank you for that answer. Now, so that is the reason why the KYC information are not reflected in your report. Correct?
Report correctionAtty. Kristine R. Ferrer
S00704Now sir, you mentioned that you reviewed the year-end balances of each of the bank accounts.
Report correctionAtty. Kristine R. Ferrer
S00706But you did not conduct your own confirmation as to the nature of these accounts with the banks, correct? Of course, I know the answer to that because you were not authorized by the account holders.
Report correctionAtty. Kristine R. Ferrer
S00709And of course, you were not also given authority. to send confirmation letters to the banks, correct?
Report correctionAtty. Kristine R. Ferrer
S00711That's why no confirmation letters were also sent to these banks which you examined.
Report correctionAtty. Kristine R. Ferrer
S00713_D2Okay, sir. Yes, sir, that is already known to everyone. Now, with that, sir, you were not given any authority to inquire into any outstanding loans of the VP and her husband.
Report correctionAtty. Kristine R. Ferrer
S00715You were not given copies of loan documents from the bank, if any, correct?
Report correctionAtty. Kristine R. Ferrer
S00717And you were also not given copies of other bank documents aside from those that were provided to you by the prosecution.
Report correctionAtty. Kristine R. Ferrer
S00718Sir, did you examine each and every transaction in the bank documents that were... furnished to you sir.
Report correctionAtty. Alexander B. Cabrera
S00719much as we can po pero very limited po yung time pero as much as we can we did what we could with the bank accounts
Report correctionAtty. Kristine R. Ferrer
S00723we did not see any statement here in your report that you examined all of the bank transactions of the vice president and her spouse.
Report correctionAtty. Alexander B. Cabrera
S00724One by one po. Yes. Lahat po ng transaction. Oo. Meron po kami mga hinanap sa mga eliminations. Pero bawat isang transaction po na examine each and every transaction.
Report correctionAtty. Alexander B. Cabrera
S00726Ang in-examine po namin ay ano po yung inflows tapos ano po yung mga dapat tanggalin po dun sa inflows.
Report correctionAtty. Kristine R. Ferrer
S00727Okay, sir. So, in short, sir, as you have said earlier, hanggang kaya lang. So, you were not able to examine all of the bank documents. Each and every transaction stated in the bank documents that were provided to you by the prosecution.
Report correctionAtty. Alexander B. Cabrera
S00728Kung ano po yung naibigay lamang po sa amin, yun lang po ang pwede naming pagbasihan.
Report correctionAtty. Kristine R. Ferrer
S00730Did you also check, sir, whether the signature of the vice president appeared in the documents that you examined?
Report correctionAtty. Kristine R. Ferrer
S00732Did you check whether her signatures appear in the acquisition of manager's checks.
Report correctionAtty. Kristine R. Ferrer
S00736sir. I will rephrase that question. Yes. The application form, I'm referring to that, sir. The application form concerning the application of manager's checks.
Report correctionAtty. Alexander B. Cabrera
S00737signature doon pero yung pangalan niya lang po yung nakalagay.
Report correctionAtty. Kristine R. Ferrer
S00738So in short, based on the documents that you examined, the vice president has no signature in all of the applications for managers checks in the documents that you examined.
Report correctionAtty. Kristine R. Ferrer
S00742Later we will go to that, sir. Okay. You also examined the signature of the vice president in the renewal of her signature cards if such document was furnished to you, sir.
Report correctionAtty. Kristine R. Ferrer
S00748you were able to examine those, sir. But there was no mention here of the examination done by you, sir, of those updated KYC documents. Am I correct?
Report correctionAtty. Kristine R. Ferrer
S00753examining the bank account, sir, of the Vice President, You considered the bank accounts that were singly owned by Mr. Manases Carpio, correct?
Report correctionAtty. Kristine R. Ferrer
S00755And this is found under tables 2 and 4 of your report, sir. But do you have any personal knowledge whether the Vice President actually knew? The existence of this account.
Report correctionAtty. Kristine R. Ferrer
S00758To set the record straight, sir, this examination of the bank balances that you made, this was made without hearing the side of the account owners, specifically the spouses, Scorpio.
Report correctionAtty. Alexander B. Cabrera
S00759As mentioned po, documents lang po ang tinignan namin.
Report correctionAtty. Kristine R. Ferrer
S00760Salamat po. It did not consider also the inputs, comments, and clarifications of these spouses, as you had mentioned, sir.
Report correctionAtty. Kristine R. Ferrer
S00762not also consider the side of the former President Rodrigo Roa Duterte with respect to the account or accounts that he singly owned and or jointly held with the Vice President, correct?
Report correctionAtty. Kristine R. Ferrer
S00764You also did not consider the past books and other documents in possession of the respondent and her spouse.
Report correctionAtty. Kristine R. Ferrer
S00766_Q2I will repeat my question, sir. You did not also consider the bank documents in possession of the respondent.
Report correctionAtty. Alexander B. Cabrera
S00767po na nasami lang. Kung meron pa po silang ibang bank document, hindi ko po alam yan.
Report correctionAtty. Kristine R. Ferrer
S00768Salamat po. Now, you said also, sir, in your report that you received copies of the AMLC. reports, correct?
Report correctionAtty. Kristine R. Ferrer
S00770nowhere in the computation of the cash balances were the AMLC reports mentioned, correct?
Report correctionAtty. Kristine R. Ferrer
S00772is because, if you agree with me, the computation of cash balance is based on actual cash flows, correct?
Report correctionAtty. Kristine R. Ferrer
S00774not merely on supposed total inflows and outflows, correct?
Report correctionAtty. Kristine R. Ferrer
S00780sir. But, the AMLC report was not considered in your report. Insofar as determining the net assets of the respondent is concerned.
Report correctionAtty. Kristine R. Ferrer
S00783So, you agree with me also that the amount of, I hope you bear with me, sir, the amount of inflows of 1.1,630,351, sorry. The amount of 1,630,351,607.68 supposed inflows do not appear in your report.
Report correctionAtty. Kristine R. Ferrer
S00786sir. Because as you said earlier, their totals are not considered in computing the net assets of the respondent. Correct?
Report correctionAtty. Kristine R. Ferrer
S00789And it's the same with the supposed outflows from the AMLC, which is... 1,308,123,526.68 pesos. The same does not appear in your forensic report.
Report correctionAtty. Kristine R. Ferrer
S00792Sir, let's go to the investments portion and the insurance.
Report correctionAtty. Kristine R. Ferrer
S00793As a lawyer, sir, I am sure you are aware of Section 3, RA 10607. or the insurance code. We will show the provision on screen.
Report correctionAtty. Kristine R. Ferrer
S00796Sir, I hope you can see that. But nevertheless, I will read the provision, sir. Section 3 of RA 10607, otherwise known as the insurance code, it says that any contingent or unknown event whether past or future which may damnify a person having an insurable interest or create a liability against him may be insured against subject to the provisions of this chapter. And then the second sentence says, the consent of the spouse is not necessary for the validity of an insurance policy taken out by a married person on his or her life or that of his children. I hope that is clear. Now, sir, based on this section, the consent of the spouse is unnecessary when the other spouse takes out an insurance policy. Correct?
Report correctionAtty. Kristine R. Ferrer
S00798And you have no personal knowledge, sir, whether the vice president actually knew about the policies or insurance policies that were taken out by Manases Carpio.
Report correctionAtty. Alexander B. Cabrera
S00799Ang knowledge lang po namin is absolute community of property po.
Report correctionAtty. Kristine R. Ferrer
S00800Yes, sir. But on the actual knowledge of the Vice President as to this insurance, you have no knowledge. You have no personal information or personal knowledge about this.
Report correctionAtty. Kristine R. Ferrer
S00802About whether the VP has actual knowledge of this insurance policies of Mr. Carpio.
Report correctionAtty. Kristine R. Ferrer
S00804Okay. Thank you, sir. Now, let's go to the business interest, sir.
Report correctionAtty. Kristine R. Ferrer
S00807For the business interest under letter C, sir, you mentioned here in the first paragraph, second sentence, I hope you can follow, sir, that to accurately report the value of a business, a formal valuation exercise should be conducted.
Report correctionAtty. Kristine R. Ferrer
S00809However, you continued, for lack of information and material time to conduct such evaluation exercise, we were conservatively used as evaluation her interest in business and of her spouse. Now, I'll stop on that because we will tackle all of this. Now, based on this statement, sir, due to lack of material time, You did not conduct a formal valuation exercise.
Report correctionAtty. Kristine R. Ferrer
S00811Okay, sir. Thank you, sir. And, am I correct to say, sir, that from the moment that you were furnished copies of the bank documents on September 8, after, rather, September 8, around the second week of September 8, and then up to the time that you finished your report, in October 2. Is that correct, sir? Did you finish your report in October 2?
Report correctionAtty. Kristine R. Ferrer
S00811_I3So, from the second week of September to October 2, you barely had two weeks to finish the forensic report, sir? Is that correct?
Report correctionAtty. Kristine R. Ferrer
S00815three weeks. Okay, around three weeks. We'll take that answer, sir. So, yes,
Report correctionAtty. Kristine R. Ferrer
S00816sir. So, we will, so your forensic report, was done in a matter of around three weeks, correct? That's the complete examination of documents.
Report correctionAtty. Alexander B. Cabrera
S00817Hindi lang po three weeks kasi meron pong first party po ba? Nung mga bandang June po na natanggap namin yung mga documents coming from the...
Report correctionAtty. Kristine R. Ferrer
S00818Those are the documents that came from the SEC, right?
Report correctionAtty. Kristine R. Ferrer
S00826Okay, sir. We take that. But insofar as the bank accounts are concerned, you only had three weeks to examine all of those bank accounts. Thank you, sir.
Report correctionAtty. Kristine R. Ferrer
S00827Now, in computing the supposed business interest of the VP, you focus on these two corporations. I'm talking about the business interest, sir. The GenCorp, Industries Inc., You can look at your notes. And then, Cale88 Foods Corporation, correct?
Report correctionAtty. Kristine R. Ferrer
S00832Alleged interest in businesses. Now, I'm just reading your report, sir. So, yeah. So, alleged interest in businesses. So, in computing...
Report correctionAtty. Kristine R. Ferrer
S00836Hindi, kanina po. So, that is our position, sir. I'm sorry. So, you consider these two corporations, the GenCorp Industries Inc. and Cal88 Foods Corporation. Now, in computing the business interest of the VP, you
Report correctionAtty. Kristine R. Ferrer
S00838Gencorp. We're on Gencorp, sir. Okay. The capital investments in Gencorp, you
Report correctionAtty. Kristine R. Ferrer
S00842The Gencorp, Gencorp was mentioned in the Vice President's 2024 and 2025 SALN. That
Report correctionAtty. Kristine R. Ferrer
S00849But you also observed that, according to you, there was no valuation that can be found in the SALN, correct?
Report correctionAtty. Kristine R. Ferrer
S00851Now we are showing you copies of the 2024-2025 SALN. We will not show copies of these documents. We will only show these documents to the witness.
Report correctionAtty. Kristine R. Ferrer
S00853we are showing you copies of the 2024-2025 SALN, sir.
Report correctionAtty. Kristine R. Ferrer
S00855Let's go to page 4 on business interest and financial connections.
Report correctionAtty. Kristine R. Ferrer
S00857Sir, would you agree with me that that section in the SALN does not include a column of acquisition cost of shares of stock?
Report correctionAtty. Alexander B. Cabrera
S00858Tama po. Mag-appear po siya dapat doon sa investments po.
Report correctionAtty. Kristine R. Ferrer
S00863for both the years 2024 and 2025. Okay. But nonetheless, you allege in your report that the value of the respondent vice president's business interest were not reported in the SALN because of lack of valuation in that column, sir. In that portion.
Report correctionAtty. Kristine R. Ferrer
S00869Okay, sir. Thank you, sir. So, the answer is there is no indication of cost in that particular column. Thank you, sir.
Report correctionAtty. Kristine R. Ferrer
S00870Now, in computing the supposed business interest of the VP in GenCorp, you considered two items, sir. The first item is the supposed amount of investments per GIS.
Report correctionAtty. Kristine R. Ferrer
S00872is a derived capital contribution. When you say derived capital contributions, sir, correct me if I'm wrong or at least I have heard this also from your counsel, that derived capital is what we call also as an attributed capital, correct? Okay, attributed capital. In fact, your team came up with an attributed capital of the VP in GenCorp at 20%, correct?
Report correctionAtty. Kristine R. Ferrer
S00874this 20% attribution was based on the assumption that the VP And her spouse exercised significant influence over GenCorp, correct?
Report correctionAtty. Kristine R. Ferrer
S00878Si VP, yes. VP exercised significant influence over GenCorp. And the second reason for this attribution is that the vice president owns or has equity of 20% in Metro Chao City Foods Corporation.
Report correctionAtty. Kristine R. Ferrer
S00882Okay, sir. Thank you, sir. But that attribution or assumption was not based on any contract or document that you have examined, correct?
Report correctionAtty. Kristine R. Ferrer
S00884thank you, sir. It was not based on any deed of assignment or any subscription agreement which was made available to you for your examination, correct?
Report correctionAtty. Kristine R. Ferrer
S00886Because nothing was made available to you for your examination.
Report correctionAtty. Alexander B. Cabrera
S00887Tama po. Yung absence po ng document ay ebidensya rin po sa amin yan.
Report correctionAtty. Kristine R. Ferrer
S00888Okay, sir. Thank you. Now, despite of any written contract, deed of assignment, or subscription agreement, you still find that the VP has 20% ownership in GenCorp, correct?
Report correctionAtty. Kristine R. Ferrer
S00892the second column, sir. For the years 2022 to 2024, that column mentions that The VP has paid up capital of 300,000 in GenCorp, correct?
Report correctionAtty. Kristine R. Ferrer
S00897_Q3Okay, before I'll ask my next question, can the witness be provided with copies of the GIS of GenCorp for 2022 to 2025? We are showing you copies of documents of, or GIS of GenCorp for this particular year, sir. Now, There is a 300,000 paid up capital under that column, sir. But for the year, I will finish until 2025. Also for the year 2025, there is a paid up capital of 262,500 pesos, sir. Correct?
Report correctionAtty. Kristine R. Ferrer
S00901_SOURCE_SPLIT_3in your report. Okay. Now, that 300,000 pesos paid up capital cannot be found or the... Okay. The 2024...
Report correctionAtty. Kristine R. Ferrer
S00903Okay, sir. Thank you for answering. So, you confirm, you confirm, sir, that all of this paid up capital under the second column of table 15 of your report... cannot be found in the GIS of GenCorp. Thank you, sir. Now, let's go to the paid-up capital of Manases Carpio in GenCorp. Also, that is in the third column of Table 15.
Report correctionAtty. Kristine R. Ferrer
S00917Let's go to the calculated capital contribution to GenCorp. In the fourth column, calculated capital contribution to GenCorp, you indicated the amount of 35 million per year, sir. Tama
Report correctionAtty. Kristine R. Ferrer
S00919Okay. Is it correct to say, sir, that it is an assigned capital? Assigned capital?
Report correctionAtty. Kristine R. Ferrer
S00923Or... Now, I'm just asking if it's correct. But it's more appropriate to say that it's an attributed capital.
Report correctionAtty. Kristine R. Ferrer
S00925_Q2Okay, sir. Thank you, sir. Now, that 35 million attributed capital was calculated on the following assumptions. Now, I hope you can follow me, sir. First assumption in your report is that GenCorp has five Jollibee branches.
Report correctionAtty. Kristine R. Ferrer
S00927Okay sir, okay. Based on the receipts that you attach to your report. GenCorp has five Jollibee branches and these branches are in certain center point, correct?
Report correctionAtty. Kristine R. Ferrer
S00929Center point, I will just enumerate them. Center point, Brisa, the second branch, Bolton, the third branch, Gaysano Mall, the fourth branch, and Times Square Plaza, correct?
Report correctionAtty. Kristine R. Ferrer
S00931But these receipts that were attached to your report were only provided to you by the prosecution, correct?
Report correctionAtty. Kristine R. Ferrer
S00931_Q3Okay, thank you. Now, the second assumption that you made is that
Report correctionAtty. Kristine R. Ferrer
S00932GenCorp has five branches based on the official receipts that you gathered which show its corporate name.
Report correctionAtty. Kristine R. Ferrer
S00932_Q3Okay, sir. To be clear, you did not directly inquire from GenCorp whether it is the owner of these five Jollibee branches. Okay. Then, having found those five receipts, you browsed the internet. That's the desktop research that you were referring to, sir. Correct? You browsed the internet, you went to the Jollibee website, correct? And found out the initial franchise cost, which is 35 million pesos. Correct?
Report correctionAtty. Alexander B. Cabrera
S00933Hindi lang po yung ginawa namin pero ito lang po yung
Report correctionAtty. Alexander B. Cabrera
S00937Pero nagtanong din po kami sa mga owners lamang wala pong evidence
Report correctionAtty. Kristine R. Ferrer
S00942Thank you sir for that clarification. Again, your report did not say that you made a written inquiry with Jollibee Foods Corporation.
Report correctionAtty. Kristine R. Ferrer
S00946Okay sir. You just relied on what was shown to you in the webpage of Jollibee. Okay, thank you, sir. Now, given the 35 million franchise cost, which you researched from the web, you now came up with a calculated capital contribution to GenCorp of 35 million each in all of the four years that were covered in the salary.
Report correctionAtty. Kristine R. Ferrer
S00949And when you add... The paid up capital based on the supposed or the attributed 20% ownership in GenCorp and also the paid up capital by spouse in Cale88 and also the calculated capital contribution to GenCorp based on the franchise amount or cost of Jollibee. You came up with the paid up capital under C1, correct sir?
Report correctionAtty. Kristine R. Ferrer
S00951thank you sir. And in so far as this paid up capital is concerned, the totals reflected therein are, in 2022, it's 35,359,375 pesos, correct?
Report correctionAtty. Kristine R. Ferrer
S00957Now, you mentioned in your report and confirmed now that you did not use any document in possession of the VP and her spouse. That is
Report correctionAtty. Kristine R. Ferrer
S00959Am I correct in saying, sir, that... You were not able to get documents from the VP herself and her spouse.
Report correctionAtty. Kristine R. Ferrer
S00959_Q3You were not able to get documents in their possession pertaining to GenCorp.
Report correctionAtty. Kristine R. Ferrer
S00961You do not have copies of subscription contracts or subscription agreements concerning GenCorp's shares with you.
Report correctionAtty. Kristine R. Ferrer
S00961_Q3You were not able to examine any deeds of assignment of shares of stock involving the shares The supposed shares of the vice president in GenCorp, correct?
Report correctionAtty. Kristine R. Ferrer
S00963are not able to examine GenCorp stock and transfer book, correct?
Report correctionAtty. Kristine R. Ferrer
S00963_Q3You do not have with you or your team any stock certificate or stock certificates issued by GenCorp to the respondent, Vice President Sara Duterte, correct?
Report correctionAtty. Kristine R. Ferrer
S00965You are not able to examine GenCorp's franchise agreements too.
Report correctionAtty. Kristine R. Ferrer
S00967You did not make any inquiry with Jollibee Foods Corporation as to the actual franchise cost of these five Jollibee franchises in Davao.
Report correctionAtty. Kristine R. Ferrer
S00971You were not able to interview the independent auditor of GenCorp, correct?
Report correctionAtty. Kristine R. Ferrer
S00975not able to obtain copies of her audit working papers.
Report correctionAtty. Kristine R. Ferrer
S00977short, this supposed investment in GenCorp was calculated based on the documents that were provided to you by the prosecution.
Report correctionAtty. Kristine R. Ferrer
S00979based on all of those, you attributed a capital of 20% to the Vice President, Sara Duterte.
Report correctionAtty. Kristine R. Ferrer
S00981thank you, sir. Now, let's go to Cale88 and the supposed advances of Manases Carpio, sir.
Report correctionAtty. Kristine R. Ferrer
S00984you, sir. Now, in computing the supposed advances of Manases Carpio and Cale88, You multiplied his supposed percentage of ownership which is 47.5% with
Report correctionAtty. Kristine R. Ferrer
S00987However, you have neither seen nor examined any loan document concerning the supposed advances of Manases Carpio in Cale88.
Report correctionAtty. Alexander B. Cabrera
S00988Dito po yung partner niya si Dr. Lebosada. Tag 47.5%
Report correctionAtty. Kristine R. Ferrer
S00991Thank you, sir. But I'm referring to your examination of any loan document pertaining to the supposed advances of Manasas Carpio in Cale88. You did not or were not able to examine any loan document.
Report correctionAtty. Alexander B. Cabrera
S00992Meron po sa FS, wala pong loan document. Advances po yun eh.
Report correctionAtty. Kristine R. Ferrer
S00993Yeah, I will go to that, sir. Not only loan document, but... Any other transaction record or records in Cale88 supporting this supposed advances?
Report correctionAtty. Kristine R. Ferrer
S00995you, sir. Because you have no access to the corporate records and books of accounts of Cale88.
Report correctionAtty. Kristine R. Ferrer
S00997you, sir. But despite not having seen any loan document or transaction records, or not having seen the books of accounts of Cale88, you still opine, sir, that Manases has advances to Cale88 totaling, I will enumerate, sir, in 2022, 8.7 million, correct?
Report correctionAtty. Kristine R. Ferrer
S00998According to your report. In 2022, 8.7 million. In 2023, 9.5 million, sir.
Report correctionAtty. Kristine R. Ferrer
S010002024, 11.1 million, and in 2025, 9.5 million, sir. Then, based on all of these methodologies that you have employed or employed by your team, you came up with a summary of undeclared properties in table 17.
Report correctionAtty. Kristine R. Ferrer
S01004You then opined that out of the total properties of the respondent VP,
Report correctionAtty. Kristine R. Ferrer
S01007sir. That is and that was based on the methodologies that you employed.
Report correctionAtty. Kristine R. Ferrer
S01010Okay, sir. I hope you're still okay, sir. You can drink more.
Report correctionAtty. Kristine R. Ferrer
S01012Thank you, sir. Let's go to the undeclared income, sir.
Report correctionSen. Francis "Chiz" G. Escudero
S01013Reference, what page is that, Attorney Kristine?
Report correctionAtty. Kristine R. Ferrer
S01018Undeclared income. Let's go to, sorry, we will go further. Table 23, sir.
Report correctionSen. Francis "Chiz" G. Escudero
S01020For your easy reference, Attorney Kristine, let's try to break for lunch at 12. So you try to manage it a bit. Where you'll end.
Report correctionSen. Francis "Chiz" G. Escudero
S01021para mabilang natin na exacto na dalawang oras ka na.
Report correctionSen. Francis "Chiz" G. Escudero
S01024_COVERAGE_1Hindi, para nga mabilang natin yung eksaktong dalawang oras ka na nakatayo diyan.
Report correctionSen. Francis "Chiz" G. Escudero
S01025Gawin mo ng 12 para eksakto, tapos nagsimula ka ulit ng 1, tapos hanggang kung anong oras man.
Report correctionAtty. Kristine R. Ferrer
S01027Sir, let's go to page 17, Sir. Page 17 on Table 23, Sir. I hope you have found it already.
Report correctionAtty. Kristine R. Ferrer
S01029sir. On the third column, sir, that column, sir, says identified bank inflows, correct?
Report correctionAtty. Kristine R. Ferrer
S01031Under that column, sir, the amounts that you provided therein, sir,
Report correctionAtty. Kristine R. Ferrer
S01032Do you agree with me, sir, that you do not actually know the nature and sources of these inflows?
Report correctionAtty. Kristine R. Ferrer
S01036But the sources of these inflows, you have no personal knowledge.
Report correctionAtty. Alexander B. Cabrera
S01039personal knowledge on the persons who deposited these inflows.
Report correctionAtty. Kristine R. Ferrer
S01040Okay, thank you, sir. On several check payments with blackout names, let's go to page 18, sir. On table 24. I hope you already saw that.
Report correctionAtty. Kristine R. Ferrer
S01040_H3Sir, was your team authorized to block them out? Remove the cover? Was it your team who did that?
Report correctionAtty. Kristine R. Ferrer
S01048You already answered my question, sir. Okay. That account, sir, ending 2743, sir, do not belong to the respondent.
Report correctionAtty. Kristine R. Ferrer
S01050As you had already mentioned. Now, let's go to this Lourdes Lebosada.
Report correctionAtty. Kristine R. Ferrer
S01051On page 18, item number 2. Okay, you said that this Lourdes Lebosada was the dentist of the vice president.
Report correctionAtty. Kristine R. Ferrer
S01051_Q3Correct? And... You appended her photo and the photo of the vice president, correct? And this Lourdes is also the payee of the check amounting to 11.35 million, correct?
Report correctionAtty. Alexander B. Cabrera
S01053Amounting, Aggregating po. Marami pong cheque po yan.
Report correctionAtty. Kristine R. Ferrer
S01054Okay, sir. Thank you, sir. And even last Friday, you commented, hindi naman yata ito bayad sa pasta. Something along those lines.
Report correctionAtty. Kristine R. Ferrer
S01056It's okay, sir. but actually you do not have personal knowledge on the purpose of such payment or payments as you said.
Report correctionAtty. Kristine R. Ferrer
S01058Okay, thank you sir whether uh those payments were for payment for obligations purchase of property you do not actually know the purpose of those
Report correctionAtty. Kristine R. Ferrer
S01058_CONTOkay, thank you sir. The same is true with respect to the rest of the payees uh under letter b to F, sir.
Report correctionAtty. Alexander B. Cabrera
S01059Wala po. Hindi po namin ito ilalagay dito kung hindi po blinock out. Kaya lang po namin
Report correctionAtty. Kristine R. Ferrer
S01062Okay, sir. But you do not have personal knowledge as to the purposes of the issuances of checks to these people.
Report correctionAtty. Kristine R. Ferrer
S01066Item 3 on page 9. Disopposed security bank account number 0392. I will not. Okay, that's the beginning. Those are the beginning digits. Now, you do not have personal knowledge on the reasons of the fund transfers under this paragraph, sir.
Report correctionAtty. Kristine R. Ferrer
S01070Okay, sir. But the reason for the fund transfers, you do not know those, sir?
Report correctionAtty. Kristine R. Ferrer
S01073Now, let's go, sir, to tinikling. Number four, item four. This is the alleged. kiting of checks under item 4, sir. I think I already got the answer earlier that you know also that this is the account of the former president with the vice president, Sara Duterte. Now, sir, on this item, sir, are you aware that none of the MC application forms were signed by the vice president?
Report correctionAtty. Kristine R. Ferrer
S01076Are you aware also, sir, that this account was held by the former President Rodrigo Duterte either singly or jointly with the Vice President?
Report correctionAtty. Kristine R. Ferrer
S01079In any case, sir, you do not know the purpose of the purchase of these MCs, correct?
Report correctionAtty. Kristine R. Ferrer
S01082Yes, sir. You do not have personal knowledge as to the purpose of the purchase of these MCs.
Report correctionAtty. Kristine R. Ferrer
S01088But the answer is, sorry, I have to stop you right there sir. The answer is yes, you do not have personal knowledge.
Report correctionAtty. Alexander B. Cabrera
S01089Personal knowledge, the state of mind po is shown by the actions po.
Report correctionAtty. Kristine R. Ferrer
S01090Anyway, I'll move on sir. Now with respect to the credit card records, let's go to page 20 sir.
Report correctionAtty. Kristine R. Ferrer
S01091Page 20, sir. Actually, you referred to the 256,882.5 Nike Pavilion KL Kuala Lumpur purchase, which you mentioned last Friday, of course.
Report correctionAtty. Kristine R. Ferrer
S01093you, sir. Now, sir, are you aware that this credit card belongs to Manases Carpio, sir?
Report correctionAtty. Kristine R. Ferrer
S01095are you aware that... The purchases that were made therein was for the purpose of providing sports apparel and other items to the basketball team of his son. Are you aware of that?
Report correctionAtty. Kristine R. Ferrer
S01097you, sir. Let's go also, sir, to the Ginzat Inakaya Tokyo expenses. That was also referred to you, referred by you in your testimony last Friday, sir.
Report correctionAtty. Kristine R. Ferrer
S01098Are you aware, sir, that this expense or these expenses pertain to expenses incurred of a large group with Manases Carpio while he was traveling with this companion.
Report correctionAtty. Kristine R. Ferrer
S01102_VIS2And because, are you aware that the reason, are you aware that the reason for this is that the members of this group have no available Japanese yen with them. That's why they had to use the credit card of Manases Carpio. You're aware of that, sir?
Report correctionAtty. Kristine R. Ferrer
S01106thank you. Thank you, sir. You're not, so that is yes.
Report correctionAtty. Kristine R. Ferrer
S01107Now, sir, in computing the alleged undeclared income of the spouses, you pierced the veil of corporate fiction of Metro City Chow and GenCorp.
Report correctionAtty. Kristine R. Ferrer
S01109Yes, sir. Of course. That is also in your report. So, these four corporations, sorry, three corporations, separate juridical entities were pierced.
Report correctionAtty. Kristine R. Ferrer
S01110And when we say pierced, sir, when we say pierced, piercing the veil, you are setting aside the separate juridical personalities of these three corporations, correct? Because of an alleged fraud.
Report correctionAtty. Kristine R. Ferrer
S01112because of your supposed findings. Your supposed finding of fraud.
Report correctionAtty. Kristine R. Ferrer
S01114Yes, that is based on your assessment. Your opinion, sir.
Report correctionAtty. Kristine R. Ferrer
S01117without declaration of dividends, because you pierced the veil already of the three corporate entities, you imputed 20% alleged income in the case of GenCorp.
Report correctionAtty. Kristine R. Ferrer
S01118Representing the alleged share of the respondent in the income of GENCORP as well as Metro City. Because Metro City, she has a 20% equity based on your analysis.
Report correctionAtty. Kristine R. Ferrer
S01120Okay. And, all of these attributions was because of the supposed fraud that, uh... Based on your own assessment, sir. Based on your own assessment, there was an alleged or supposed fraud that were perpetrated by the respondent using the separate juridical entities. Sir, that's why you pierced the veil of corporate fiction.
Report correctionAtty. Alexander B. Cabrera
S01121Hindi po siya supposed fraud. Non-reporting po siya.
Report correctionAtty. Kristine R. Ferrer
S01122In your case, that is your findings. That is your opinion.
Report correctionAtty. Kristine R. Ferrer
S01125You also mentioned the tax code, sir. In explaining the piercing the veil, you also referred to the tax code, sir.
Report correctionAtty. Kristine R. Ferrer
S01125_Q3Where a supposed under declaration in sales of more than 30% gives a prima facie presumption of fraud. Is that correct?
Report correctionAtty. Kristine R. Ferrer
S01127Now, but you are aware, sir, that the National Investigation Division In so far as its audit of the books of accounts and records of the Vice President and Mr. Manases Carpio, has not in any way came up with any findings of fraud?
Report correctionAtty. Kristine R. Ferrer
S01129Hindi pa nila alam. But are you aware, sir, that the spouses Carpio are being audited by the NID?
Report correctionAtty. Kristine R. Ferrer
S01132_J2Okay, sir. No case for tax evasion or fraud has been filed against the spouses Carpio by the BIR before the DOJ. Are you aware of that?
Report correctionAtty. Kristine R. Ferrer
S01136No criminal case for tax evasion or fraud was filed individually against the spouses Carpio before any court in the Philippines.
Report correctionAtty. Kristine R. Ferrer
S01138Okay. Finally, you agree with me that it is only the court? Who can affirm or dismiss any finding of tax evasion or fraud?
Report correctionAtty. Kristine R. Ferrer
S01140And you are not aware of any judgment that was rendered against the spouse of Scorpio for any crime involving tax evasion and fraud, correct?
Report correctionAtty. Kristine R. Ferrer
S01143Sir, Your Honor, I think this is a good time to have a lunch break.
Report correctionSen. Francis "Chiz" G. Escudero
S01145We shall break for lunch. You've been at it for 2 hours and 1 minute, so you deserve a rest. We shall break for lunch and we shall resume at 1pm.
Report correctionSen. Francis "Chiz" G. Escudero
S01148for the two-minute delay as the Clerk of Court was on his way from his office.
Report correctionSen. Francis "Chiz" G. Escudero
S01149Kindly situate Atty. Cabrera to the witness stand.
Report correctionSen. Francis "Chiz" G. Escudero
S01154Good for you. Am, naunawa niyo po na patuloy kayo magiging bagay ng inyong testimonyas ang ayon sa naunan niyong pinanumpaan nung nakaraang biyernes.
Report correctionSen. Francis "Chiz" G. Escudero
S01156Salamat po. You may continue with your cross when you're ready, Atty. Kristine.
Report correctionAtty. Kristine R. Ferrer
S01161your CV, sir, you mentioned several times your professional affiliation with PWC, correct?
Report correctionAtty. Kristine R. Ferrer
S01163Thank you sir. And you retired from PWC in 2025. Correct?
Report correctionAtty. Kristine R. Ferrer
S01164PWC was not engaged for the purpose of this investigation.
Report correctionAtty. Kristine R. Ferrer
S01165PWC did not review, approve, or authorize your report. Correct?
Report correctionAtty. Kristine R. Ferrer
S01166PWC did not also authorize your testimony today sir. Thank
Report correctionAtty. Kristine R. Ferrer
S01168In so far as this case is concerned, You are not authorized to speak on behalf of PWC, correct?
Report correctionAtty. Kristine R. Ferrer
S01170So, when you reference PWC experience in your CV, this court should understand, sir, that your report has no PWC quality control, review, or endorsement.
Report correctionSen. Francis "Chiz" G. Escudero
S01175Chair declares a brief recess so that we can get the list of Senator, Judges. Binigla kasi kami ni Atty. Gracie. Nakala ko hanggang mamaya pa kayo. Hindi ko munahinig. Chair declares a five-minute recess to get the list of the
Report correctionSen. Francis "Chiz" G. Escudero
S01181the first two registrants aren't here so... Yes, there we go.
Report correctionSen. Francis "Chiz" G. Escudero
S01182Second to register is Senator Judge Rafi Tulfo.
Report correctionSen. Francis "Chiz" G. Escudero
S01183Prior to him was supposedly Senator Joel, but I think he's indisposed right now. So, the chair recognizes Senator Judge Rafi Tulfo for his interjections. You may proceed, sir. You have two minutes when you're ready.
Report correctionSen. Raffy T. Tulfo
S01184_M3Now, gusto ko na magkaroon ng konting enlightenment pagdating sa money laundering. Kasi may mga napapanood akong mga documentary na kung saan na-involve yung mga Cosa Nostra, how they laundered money, correct me if I'm wrong.
Report correctionSen. Raffy T. Tulfo
S01185Yung kanilang dirty money, ini-invest nila sa isang legitimate business and then nagbabayad sila ng tamang buwis. At bila sila maimbestigahan ng tax evasion because the ultimate goal is to pay taxes.
Report correctionSen. Raffy T. Tulfo
S01186Using front yung legitimate business, so when it comes out, malinis na. Am I right?
Report correctionSen. Raffy T. Tulfo
S01186_L3Okay. Now, anong mga bansa ang alam mo na kung saan high risk sila pagdating sa money laundering?
Report correctionSen. Raffy T. Tulfo
S01188dito, Kazakhstan, Lithuania, Tajikistan, South Africa, Ukraine.
Report correctionSen. Raffy T. Tulfo
S01191They're supposed to be an importer dun sa mga bansa na nabanggit ko ng mga banana chips. Nag-check pa ko sa Bureau of Customs kung sila ba ay meron mga importation documents dun sa mga bansa na iyon na sila ay nagpalabas ng mga produkto nila and then do they have Yung accounts payable nila, accounts receivable, have you examined them?
Report correctionAtty. Alexander B. Cabrera
S01194sa financial statements po kasi ng Cale88, marami po talagang wala po sa tamang hulog po sa financial statement na yun. Wala po siyang payable, wala po siyang receivable.
Report correctionAtty. Alexander B. Cabrera
S01195Manufacturer siya o exporter siya ng manufactured goods, wala po siyang
Report correctionAtty. Alexander B. Cabrera
S01196Inventory ng raw materials or work in process. At kahit po gaano kalaki po yung perang pumapasok at lumalabas, nananatili po siyang lugi. Maliit lang po yung kanyang property, plant, and equipment. Kung nagpapatol man siya ay wala pong nakalagay na tolling or manufacturing arrangements po sa disclosure niya po sa kanyang notes.
Report correctionAtty. Alexander B. Cabrera
S01197Marami pa pong iba eh. Kasi po yung the way po yung ano na nakakaduda po talaga doon, exporter ka para mangyari yung wala kang receivable, abay pag landing ng goods mo doon eh, nakatanggap ka ng cash.
Report correctionAtty. Alexander B. Cabrera
S01199kang supply chain, malalaki yung maliwa o yung mga in-order mo sa supply chain mo. Ang ibig sabihin ay pag tanggap mo ng produkto, parang bumubunot ka ng pitaka mo at binabayaran mo ng cash. So yung nakikita po namin sa Cale88, hindi po tinikling. Tatawagin kong revolving door. Pagpasok po ng pera, lumalabas po. Marami pong pera ang
Report correctionAtty. Alexander B. Cabrera
S01201pasok at labas. Yung sa una niyo pong tanong sa customs po, kinanong ko po yun sa prosecution. Pero hindi ko na po nasundan kung ano po yung kasagutan doon dahil gusto nga po kung nga po sanang malaman kung meron talagang tunay na inventory na lumalabas. Pero isa po yun sa mga tinanong ko rin po.
Report correctionSen. Raffy T. Tulfo
S01202Okay, you did mention about manufacturing materials. So, doon sa records ng Cale88, kumikita sila by the hands of millions dahil yun ay nanggagaling doon sa pag... E-export nila ng potato chips o banana chips, excuse me. Tumutugma ba yan doon sa kagamitan na ginagamit nila sa pag-manufacture ng banana chips? Na-investigahan niyo ba kung gaano kalaki itong kumpanyang ito? Yung ba'y bumabanga sa amount na na-manufacture nila at bumabalik na pera versus doon sa electric bills nila, binabayaran nilang utility bills doon sa kumpanya or factory nila na... Pinagagalingan ng Cale88 products.
Report correctionAtty. Alexander B. Cabrera
S01203Opo, yung kanila pong cost of sales, parang meron po silang tinatarget na cost of sales para po hindi po masyadong malaki yung income nila. Pero yung ginawa po namin, binangga po namin siya sa mga lima o anim na mga exporter na kumpanya na ganyan po kalaki yung mga meron pong 200 million na annual revenue. Ang nakita po namin dito sa mga kumpanyang ito, malaki po yung kanilang Property Planting Equipment. Masyado pong maliit po yun sa Cale88 kung i-cocompare po. Meron po silang mga, yung iba po may land, pero meron po silang buildings. So wala pong ganun yung Cale88 po or improvements po. Marami po silang inventory on raw materials.
Report correctionAtty. Alexander B. Cabrera
S01204Kasi natural po yun kung manufactured po kayo dapat meron kayo laging. Nakaredy na raw materials. Malaki po ang kanilang receivable at malaki po ang kanilang payable. At malalaki po rin yung maganda rin po yung kita nila sa bottom line po sa negosyo nila. So yun po yung kaya po nasabi namin na talaga pong pagka gumamit po kayo ng transfer pricing, well, comparable transactions po. dun nyo po makikita na at comparable po itong mga companies ito kasi po pareho po ng negosyo at exporter po kaya dun nyo po makikita na kakaiba
Report correctionSen. Raffy T. Tulfo
S01205_L2Okay good. Now sabi nyo po nag-check kayo sa Bureau of Customs so na-check nyo ba yung records ng Cale88?
Report correctionAtty. Alexander B. Cabrera
S01206Sorry sorry sorry. Tinanong ko lang po sa prosecution.
Report correctionSen. Raffy T. Tulfo
S01210Sir, nag-check ko ba kayo sa Bureau of Customs para matignan yung amount of exported products nila going to, say, Tasiktan, going to Tajikistan, Lithuania, Kazakhstan, yung amount of product exported versus Amount of money that comes in, bumabangga ho ba?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S01211Wala na po kaming oras na tingnan po yan. That's really something that I think should be further investigated. Pero hindi na po namin nakuha yung datos na yun.
Report correctionSen. Raffy T. Tulfo
S01212Maraming salamat po. Thank you po, Mr. Witness. Thank you, Mr. Presiding Officer.
Report correctionSen. Francis "Chiz" G. Escudero
S01213We go back to the first registrant, Senator Judge Villanueva.
Report correctionSen. Francis "Chiz" G. Escudero
S01215the information of our colleagues, share is giving you a variable period of two minutes, given the importance of the witness. So we'll be a bit flexible as long as you don't do it too much.
Report correctionSen. Francis "Chiz" G. Escudero
S01217Apologies to Senator Judge Tulfo. After round two, if you will avail of round two, it applies to you still. Apologies again. Senator Judge Villanueva.
Report correctionSen. Joel Villanueva
S01219Mr. Witness, before I start, I'd like to say that kayo yung pinaka-interesting na witness na ipinresenta ng prosecution. In fact, I think you're the most important sa pagdinig na ito so far. And your report, it is...
Report correctionSen. Joel Villanueva
S01220in-depth study and it is our job to scrutinize and examine itong inyong report to look into your competency and integrity and of course to convince us na tama po itong mga reports na ito. Let me ask some clarificatory questions, Your Honor. Atty. Cabrera, doon po sa Annex A ng BIR reply, ang total net taxable income ay kasama na po yung personal income ng vice president. Combined na po siya sa kanilang mag-asawa. Pero pag tinignan niyo po itong table 23, table 23, ayan po, pina-flash siya screen.
Report correctionSen. Joel Villanueva
S01221Mula o 2023 hanggang 2025 mukhang nadagdag muli ang exactong personal income ng respondent. So ang question ko po, hindi po ba ito double counting, your honor, sir?
Report correctionAtty. Alexander B. Cabrera
S01223tama po ko ng pagkakaintindi po dyan, ang epekto po ng schedule na yan ay kulang po yung report namin ng 14 million po.
Report correctionSen. Joel Villanueva
S01228Kasi pag tinignan niyo po ito, itong BIR, taxable income, tsaka yung forensic report, pagka tinignan niyo po yung excess noong 2023, 2024, and 2025, yun ho yung difference eh. So kung wala hong difference, ano pong income item o tax record ang magpapaliwanag sa magkapareho pong halaga?
Report correctionAtty. Alexander B. Cabrera
S01229As a bilang patutuo po dyan, kung ako po ititake ko na lang po yun sa BIR po. Kasi po ay nangyari po yata dito sa report namin, merong compensation, tapos meron pong compensation and business. Mukhang nabilang po namin yung compensation tsaka compensation and business. So parang nagdalawa po yung,
Report correctionAtty. Alexander B. Cabrera
S01231po yung Parang naninimbang po yata yung mga kasama po namin na baka naman nakakatanggap din siya ng compensation. Pero nung inaanalyze ko po parang hindi naman ito makakasama, makakabuti naman ito sa kanila so idagdag na lang natin. So yung pong figure namin eh hindi po nakakasama po yan kay VP Sara.
Report correctionSen. Joel Villanueva
S01232That's what I wanted to look into. Despite of this, 2023, 4 million yung Salary sa VP and probably business income, professional income. Pag dinagdag niyo kasi saktong-sakto po yung 14 million. And I wanted to ask this because a repeated addition of the respondent's own income would change the report's comparison. So yun yung tatanong ko po sa inyo. Nakaka-apekto po, bagaano kalaki yung epekto kung ito nga po nasama po?
Report correctionAtty. Alexander B. Cabrera
S01233Kulang po yung, kung sobra po yung bilang namin, yung 817 po, plus 14 po.
Report correctionSen. Joel Villanueva
S01238_L2Sure, sure, sure. I wanted to understand. As a senator-judge, that's our
Report correctionSen. Joel Villanueva
S01240duty. We wanted to make sure na naiintindihan namin na kung meron nga hong ganito, ano ba yung effect nito?
Report correctionAtty. Alexander B. Cabrera
S01241So ito po medyo figures po na trinit po namin conservatively in favor po ni VP Sara. Pero yung point lang po kasi sa isang forensic report, at maaaring may makita tayong mga maliliit po na o hindi masyadong natignan to o maliliit po na ganyan. Yung tunay po kasing forensic study, para po yung walang katapusan, para po yung infinite eh. Kasi po pag pinuprove po natin yung hypothesis, meron pong, eto pa lang, sapat na, na-prove na yung hypothesis and kulang din po yung araw namin, okay na, proven na. Pero yung tunay po, huhukayin pa po yan eh. Kasi po, baka meron pa po halimbawa mga Hindi naka-declare na property. Wala po dyan. Hindi po naisama ng mga branches po ng Jollibee o Chowking kung meron man po. Wala pa po dyan. Pero it doesn't affect the effectiveness of the proof of that hypothesis na marami na pong undeclared at marami na pong manifestly disproportionate na po yung property versus her income. So kami naman po dito ay inisip na lang namin na Ay di dagdag mo na lang sa income niyang na-declare. Mabawasan man yung report natin. At least hindi naman tayo, kumbaga eh, we're erring on the side of conservatism po.
Report correctionSen. Joel Villanueva
S01242And in this particular slide, hindi ko kasama dyan yung mga inflows, outflows, bank accounts. Hindi ko kasama dyan.
Report correctionSen. Joel Villanueva
S01244tinanong ko yun, will it affect the bigger picture? Let me go to another point. Again, I'm just doing my job as a senator judge.
Report correctionSen. Joel Villanueva
S01245Sa sarili nyo pong report, parehong corporate income ang pinag-uusapan dito sa wealth table, table 39, at tax table, table 41. Pero magkaiba po yung totals. Just to show you, and again, I just wanted to be clarified on this. Alin po yung tama dito at alin nang sa pananaw po namin bilang mga senator judges, ano po yung dapat naming tignan. Kasi pag tinignan niyo po, if we can show these two tables, table 39 and table 41. You look at 2022, 3,790,000 sa table 41. million, 193. Sa table 23, 70 million, 503, naging 72 million. So, merong 2 million, merong 1 million, may 2 million increase, may 1 million na decrease. And again, ang sa atin lang, we wanted to make sure na yung mismatch po ba dito sa Cale88, Metro, and GenCorp columns, gusto natin maintindihan yung When you talk about a corporate estimate and how it becomes a personal finding po, your honor.
Report correctionSen. Joel Villanueva
S01247kong maintindihan, your honor, yung ito nga o, dalawa pero magkaiba po. Table 39 tsaka table 41. Magkaiba po yung 2022 tsaka 2023. Gusto ko malaman at kung po pwede po mailatag po ninyo yung adjustment per year. Lalo na po kung magkaiba pala ang tax base o coverage nito, Your Honor.
Report correctionSen. Joel Villanueva
S01253_A2Opo. Pali ano po yan eh, Metro City, Cale88, tsaka GenCorp. Na it's supposed to be the same. Pero pagdating yung
Report correctionSen. Joel Villanueva
S01262Again, just to clarify, if there's an explanation to this, meron po bang... Working paper na sumusuporta
Report correctionAtty. Alexander B. Cabrera
S01263_A2Ba't magkaibahan mo po? Medyo hindi ko lang po ma-identify.
Report correctionSen. Joel Villanueva
S01264here that I wanted to raise is that will it also affect the bigger picture of your report na maraming hindi ma-explain na pondo na pumapasok
Report correctionAtty. Alexander B. Cabrera
S01267_Q2Wala pong magbabago po doon sa aking report. At kahit po yung maliit na difference pong yan, I'm sure po marireconcile po namin.
Report correctionSen. Joel Villanueva
S01268then lastly, meron po bang dokumento sa inyong ni-review na natanggap po ng mag-asawa ang corporate money? As personal income or proportionate share lamang yung pong ginamit po ninyo?
Report correctionAtty. Alexander B. Cabrera
S01269Ang sinasabi nyo po ba yung pong hindi nakareport sa halimbawa po Cale88 or sa GenCorp Metro City, kung yung hindi nakareport na yun ay nag-flow sa kanila pong individual bank account?
Report correctionAtty. Alexander B. Cabrera
S01271Hindi ko po... Masabi kong nangyari po yun. Pero kung tinatago niyo po, ba't niyo po ipapakita sa kabila?
Report correctionSen. Joel Villanueva
S01273Pero yung corporate money that goes to personal income, meron pong ganon? Or it remains in the corporation?
Report correctionAtty. Alexander B. Cabrera
S01276Naintindihan ko po yung tinatanong niyo. Marami pong outflow yung corporation. At ang problema po, hanggang dito lang po yung nakikita natin eh. Yung papasok po, Hindi po natin alam kung kanino nang galing. Yung palabas po, hindi rin po natin alam kung paano nila ginamit o kanino nila dineposito.
Report correctionAtty. Alexander B. Cabrera
S01277So ito po talagang medyo, ito yung comprehensive na forensic na po, ito na po yung pag-build na halimbawa po ng criminal case. Subalit yung aking engagement po sa Senado, ay tignan lamang kung meron bang wealth manifestly disproportionate sa kanilang income. Meron bang evidence ng kanilang business interest? Tama ba yung SALN? At sasabihin ko lang po na kahit hindi po ako naging empleyado ng gobyerno at hindi po nag-file ng SALN, ay gusto ko lamang pong sabihin, ang SALN po ang pinakasimple na balance sheet po. na nakita ko at napaka-awkward po ng SALN. Complicated po yung mga balance sheet na inaaral po na yung SALN po. Asset, personal property. Hindi ko po kailangan maging... Hindi po. Hindi ko po kailangan pumasok po ng gobyerno para maintindihan po yung SALN.
Report correctionSen. Joel Villanueva
S01278na lang po, Mr. Witness. Kung bibigyan po kayo ng pagkakataon na humingi ng dokumento, kasi you never had a chance to talk to the respondents or ask any document from the respondents, what would that be kung hihingin niyo po ito to finally...
Report correctionAtty. Alexander B. Cabrera
S01280Hindi, simulan ko na lang po sa kanina po may natanong po sa akin si Atty. Kristine.
Report correctionAtty. Alexander B. Cabrera
S01281Alam ko rin ba kung may payable o ano. Kasi puro inflow yung tinignan namin apparently. Hindi naman namin binerify kung may payable. Pero gusto ko lang pong sabihin na wala pong payable dun sa SALN eh. How do you verify something which is not even there? Diba? And kung nga nakuha namin bank accounts, kaya nga po sinasabi ko na sana po eh may sinubmit sila doon sa answer nila sa House o kaya dito po sa Senado. Nang natignan ko po. Kasi kung totoo po yun, ibabawas ko po yun eh. Yun po yung kasunduan ginawa ko po sa Senado. Okay, sige.
Report correctionAtty. Alexander B. Cabrera
S01282Probono, sige. Pero walang pwedeng magdikta. Kung ano yung makita ko, yun lang. Huwag niyo akong isisway kaliwa o kanan. Yan lang po yung condition ko dahil ang dali-dali naman po mag-resign eh. Pag kami po yung namilit sa akin, so kung dadalin po, I will be happy to look at it. At kung mali po yung 817, na-aminin ko po.
Report correctionSen. Joel Villanueva
S01283So bottom line, you don't need anything to prove na solid itong report po. Maraming salamat po, Mr. Witness. Thank you.
Report correctionSen. Francis "Chiz" G. Escudero
S01284Senator Judge Erwin Tulfo is next followed by Senator Judge Ontiveros. Just so that you can prepare. Senator Judge Erwin, you have a variable period of two minutes as well.
Report correctionSen. Erwin Tulfo
S01285Maraming salamat po ginong Pangulo, ginong Presiding Officer.
Report correctionSen. Erwin Tulfo
S01286Susundan ko lang po yung ilang katanungan po ng ating kasamang si Senator Judge Joel Villanueva. Ginong testigo patungkol po doon sa mga ari-ariyan na hindi po na-deklara at pagkatapos nakita kung ano pong gagawin doon. Ika nga suddenly po ay nasili po anong mangyayari doon. Medyo hindi ko po nasundan. Kasi kanina umaga po, ginong testigo, nagsagawa po na isang press conference sa National Bureau of Investigation. Eh kaya nga po ako lumabas kanina at pinapanood ko. At lumabas na rin po sa mga media kanikanina lamang. Ang sinasabi po kasi yung press conference ay patungkol po sa ilang ari-arian ni VP Sara. Gusto ko pong malaman kung itong mga ari-arian po na ito na ipinalabas sa press conference ng NBI at pinalabas sa media, kasama po ba ito sa SALN niya? Ngayon, kung papahintulutan po ako ninyo, ginawang presiding officer, na makita po, ipalabas po itong ari-arian para makita po ng ating testigo. at ma-identify kung ano-ano mga ari-arian na ito.
Report correctionSen. Erwin Tulfo
S01288Maraming salamat po. So, pwede po bang pakiplay dahil ito po ay napick up namin din sa media ngayong umaga po.
Report correctionSen. Erwin Tulfo
S01289May kasama pong video po yun para ma-identify po ninyo ginaon testigo. Ano po yung sinasabi po ng NBI kanina tsaka media kung tugma po ba kung ito'y kasama po doon sa inyong inaudit na ikangarito po.
Report correctionVideo Playback Narration
S01290Ayan, ito yung isang property. Declined to as agricultural. The value of pag ginunbay n'yo, 900,000 na. But you look at the resort, it's more than 900,000. At walang declaration of impugnance. Can you show other properties na may dito may laki yan? May
Report correctionSen. Erwin Tulfo
S01294Okay. Kindly advise our tech. Salamat po, ginawang technician. Ginawang testigo.
Report correctionSen. Erwin Tulfo
S01295Nabanggit po doon na may narinig po akong 200,000 na po ang halaga at mukhang agricultural land po yan. Ito po ba yung nakalagay na land agricultural sa barangay Santo Nino, Balac, Igacos na acquisition cost ay 200,000 po?
Report correctionAtty. Alexander B. Cabrera
S01296Honorable Judge Tulpo, pagpasensya nyo na po. Pero hindi po ako makapagbigay ng opinion basta-basta eh. Kailangan ko po makita yung TCT, kailangan ko po makita yung address, yung square meters po kung pareho.
Report correctionAtty. Alexander B. Cabrera
S01297Meron nga pong simpleng property lang po dito nung isang araw po eh hindi po masabi kong yun po yung property pinag-uusapan.
Report correctionAtty. Alexander B. Cabrera
S01298Hindi ko po talaga masabi kung kasama po yan o hindi po sa nadeclare po.
Report correctionSen. Erwin Tulfo
S01299Dalawa po yung ipinakita ko kanina ng NBI at lumabas na rin po sa mga media. Ang tanong ko po, kasama ko kaya ito sa 817 million pesos na undeclared wealth po ng vicepresidente?
Report correctionAtty. Alexander B. Cabrera
S01300Honorable Judge Tulpo, again po, sorry po hindi po ko makakapagsalita conclusively on that hanggat ako po ay nakapagdaos po ng investigation po dun po sa mga Titulo po at other documents related po sa property na yan. Kasi po baka isa po yun sa mga property naka-declare. Although kung titignan ko po yung pinakita nyo, mukha naman pong valuable siya. Dahil dalawa po yung swimming pool, ganun po.
Report correctionSen. Erwin Tulfo
S01301Hindi po kayo sigurado kung naisama niyo na sa computation niyo na 870 na undeclared itong mga ipinakita po ng NBI?
Report correctionSen. Erwin Tulfo
S01303Kung bibigyan po kayo ng kopya marahil ng prosecution, I believe, may we ask the prosecution, sir, if you have copies of the TCT, was this included doon po sa ikang... Pag-o-audit ng ating testigo. Ito pong dalawang agricultural land daw po na sinasabi ng NBI sa Davao na mal-resort naman po pero agricultural po yung itura.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S01304As I recall, Your Honor, what we have are the copies of the SALNs, the Statements of Assets, Liabilities, and Net Worth. At doon po naka-describe yung iba't ibang mga dineclare na real properties.
Report correctionSen. Erwin Tulfo
S01305_L3Ito po ang pinalabas ng NBI. Would you later look into this to check and counter-check kung tama po itong investigation ng NBI?
Report correctionSen. Francis "Chiz" G. Escudero
S01308the indulgence of Senator Judge Erwin, Atty. Cabrera,
Report correctionSen. Francis "Chiz" G. Escudero
S01309sabi niyo po kanina hindi kayo nagpa-file ng SALN, pero nakalagay po kasi sa SALN, acquisition cost. Hindi po nakalagay doon fair market value ng ari-arian.
Report correctionAtty. Alexander B. Cabrera
S01310Parang except real property po. Parang kailangan pong i-disclose sa rules yung...
Report correctionSen. Francis "Chiz" G. Escudero
S01311I'm the one telling you, since you haven't filed the SALN, I'm already telling you na... Wala pong fair market value, acquisition cost lamang po.
Report correctionSen. Francis "Chiz" G. Escudero
S01313you said you described the SALN as one of the simplest balance sheets.
Report correctionSen. Francis "Chiz" G. Escudero
S01314So kung acquisition cost, anumang improvements, technically need not be declared, technically. I'm not aware of any civil service regulation that requires it. So kung hindi dineclare, posibleng kasama yun sa net worth ng isang tao pero hindi nakadeclare sa SALN.
Report correctionSen. Francis "Chiz" G. Escudero
S01318Again, basing it on your analysis that the SALN is a balance sheet, is a simple balance sheet, ika nga, na wala masyadong mga detalye.
Report correctionSen. Francis "Chiz" G. Escudero
S01321Again, ma'am, you have a variable period of two minutes.
Report correctionSen. Risa Hontiveros
S01322Salamat po, Mr. Presiding Officer. Magandang hapon po, Atty. Cabrera.
Report correctionSen. Risa Hontiveros
S01324Sir, para po malinaw, saan pong mga dokumento niyo ibinase itong report ninyo?
Report correctionAtty. Alexander B. Cabrera
S01325Kasama na rin po yung, well, unang-una po, SALN po. Tapos po yung mga, meron po kaming documents about the properties declared po doon sa SALN.
Report correctionAtty. Alexander B. Cabrera
S01326Tapos po yun sa mga business interest po, yung mga financial statements po ng corporation. At saka in one instance po sa GenCorp, kasama po yung mga ari-arian ng corporation. In particular po yung mga franchises. Pero may kasama rin po itong sa latter part po, yung AMLA documents in respect po dun sa mga remittances largely from China. na naging basean din po yun. Tapos po yung mga kung kung ano man po yung meron po kami mga insurance policies or mga investment information po, income tax returns, tsaka yung mga financial statements po na nakatouch po doon sa income tax return po.
Report correctionSen. Risa Hontiveros
S01329lahat ng mga official documents na ginamit niyo sa forensic report. Alright, salamat po. So, speaking of the SALNs, sa inyong findings, 817,874,867 ang lumalabas na hindi i-dineklarang yama ni VP Duterte sa kanyang mga SALNs mula 2022 hanggang 2025.
Report correctionSen. Risa Hontiveros
S01331Paano niyo po siniguro na tama itong computation at wala pong na-dobling ibinilang? assets.
Report correctionAtty. Alexander B. Cabrera
S01332So yan po yung isa po sa meticulous po namin tinatry na gawin po.
Report correctionAtty. Alexander B. Cabrera
S01334paano po namin sinigurado for ice review. Kunti pong gamit ng simple pong software technology sa pag-compare po. Tulad po halimbawa nung sa Cale88 po. Baka po yung bank accounts na pinasukan po ng foreign remittances e pareho nung local bank accounts po na nandito. So sinigurado po namin na magkaibang account po yun.
Report correctionAtty. Alexander B. Cabrera
S01340So pagka po in case of doubt po at the risk of making an error, in case of doubt po, hindi po namin isasama. Kasi po baka mag-doble, sumobra po yung estimate namin. Ang sabi ko nga po sa aking maliit na team, libaling kulangin, huwag lang sumobra. Parang ganun po yung lagi po namin ginagawa.
Report correctionSen. Risa Hontiveros
S01341So mas nagiging conservative po kayo kaysa expansive sa pagbilang at pagkuwenta ng mga assets?
Report correctionAtty. Alexander B. Cabrera
S01343Kasi we cannot expand dahil nandun lang po kami sa documents po na hawak namin.
Report correctionSen. Risa Hontiveros
S01344Or naalala ko po yung nung kinenta niyo yung halaga ng mga Jollibee franchise, may sinabi po kayo sa report na range mula ganitong halaga, 15M po ba yun hanggang ganito?
Report correctionAtty. Alexander B. Cabrera
S01347Opo, at bagamat hindi nga po kami nakapag-inquire sa Jollibee or gumawa po ng formal communication, marami po kami kilala, ako po marami po ko personally may kilala na may Jollibee store. Kaya alam ko po yung ano nila at ang baba po nung 35 kasi wala pa po dyan yung ano eh. Wala pa po dyan yung working capital requirements eh. At lahat po nang kailangan yung gastos eh para makapagtaguyod ng isang store. Kaya alam ko po yung 35 po ay patas na patas. At yung pong wala pong valuation, hindi po mapapababa ng valuation yung property. Bare minimum po yun eh. Capital po yung dinagdag po namin eh.
Report correctionAtty. Alexander B. Cabrera
S01349kung kukunin niyo po yung valuation, ano po, sige sabihin po natin, okay lang po ba, honorable judge, mag-explain ng konti.
Report correctionAtty. Alexander B. Cabrera
S01353po. Alimbawa po yung, alimbawa po, ang total po ng revenue niya taon-taon, hindi po ito related sa, alimbawa po, total po ng revenue niya taon-taon ay 1 billion. So pagka ginamitan niyo po yan ng cash flow method over a period of 5 years, yung 1 billion na yan easily magdodoble yan o magtitriple yan.
Report correctionAtty. Alexander B. Cabrera
S01355pag ginagdag niyo dyan ng terminal value, yung bang infinite na walang katapusan na, meron pong formula yun, pero yung 3 billion na value niya, baka maging 4.5. Mas malayo po yan ang dihamak sa... amount po ng initial seed capital po nung investment. Kaya gusto ko lang pong maintindihan po ng lahat na hindi po kami salbahe na yun lang po yung ginamit namin dahil hindi po value ng business yung ginamit namin eh. Dahil meron nga pong kinakailangan method or... scientific method po na dapat gamitin po doon.
Report correctionSen. Risa Hontiveros
S01356At isa po sa mga scientific methods na binanggit nyo kanina, yung four eyes review, literally apat na mata, literally hindi lamang kayo ang tumitingin kundi may iba pang kasama sa small team
Report correctionAtty. Alexander B. Cabrera
S01357_L2Hindi lang po actually four eyes, mga six eyes po.
Report correctionSen. Risa Hontiveros
S01358po, ibig pong sabihin, yung ibinilang nyo so far, medyo mahigpit yung confidence nyo na masabi, ito po talaga yung distinct na mga dapat ibilang. Dito sa loob ng distinct na ibilang na asset sa loob ng SALN.
Report correctionAtty. Alexander B. Cabrera
S01359Isang example lang po. Limba po yung ending cash balances. Sinigurado po namin na fresh money yun. Kasi baka andun sa ending balance ng first year, tumawid ng second year, we're talking about the same amounts. Pero nakikita po namin na nauubos yun. At papasok po yung bagong pera. At galing po sa bagong pera, doon po may establish yung ending balance.
Report correctionAtty. Alexander B. Cabrera
S01360Kung baga po yung apat na taon yun, tinignan po namin lahat po na pumasok na pera at lumabas, kayang-kaya pong i-establish po ng fresh money po yung mga ending balances po.
Report correctionSen. Risa Hontiveros
S01361So sa ganyang mga fresh ending balances, sa ganyang mga distinct na assets, sumika po kayo na walang pagdoble ng pagbilang?
Report correctionSen. Risa Hontiveros
S01364Posibleng nakalump doon sa other personal property sa SALN. Kung ganyan po yung paliwanag, magtutugma po ba yung pera sa bangko at saka investment accounts doon sa dineklarang other personal properties?
Report correctionAtty. Alexander B. Cabrera
S01365Opo, wala pong problema eh kahit nandun po yung cash. Kasi po kung nandun po yung cash, wala po kaming cash na tinanggal doon kumbaga. So sabihin po natin nandun na po yung cash.
Report correctionAtty. Alexander B. Cabrera
S01366Pag kinompare nyo po doon sa personal properties na nakita namin, meron pong discrepancy, di po ba? So kumbaga, parang kung nandoon yung cash, e di dapat, mas malaki pa yung discrepancy. Pero sa totoo po nyan, classification of assets lang po yan, hindi po yan makaka-apekto ng total po.
Report correctionSen. Risa Hontiveros
S01370suma total ay magiging Reasonable or expected. Hindi nakakagulat. Wala pong discrepancy na
Report correctionSen. Risa Hontiveros
S01372po. Sa inyo pong professional opinion pa rin, Atty. Cabrera, bakit po importante na isama sa analysis ng kasong ito yung pera, investments, properties, business interests ng asawa ni VP Duterte?
Report correctionAtty. Alexander B. Cabrera
S01373Well, dahil po yung unang-una po yung requirement po sa SALN ay dapat pong i-file kasama po yung properties po, business interest po ng mag-asawa.
Report correctionAtty. Alexander B. Cabrera
S01374Well, because of absolute community of property, kung ano po yung kitain po ng asawa po ay kita rin po nung may bahay. In this case po, si... BP Sara. So hanggat wala pong prenuptial agreement at kung absolute community po yun, mabubuwag lang po yun ang judicial decree of separation or if not, separation of properties. Pero kung may ganun po, wala rin pong naisubmit sa amin. Kaya po talaga pong magkasama po yung ginawa po namin.
Report correctionSen. Risa Hontiveros
S01375So dahil sa batas at dahil sa presumption nyo sa property regime na namamagitan sa kanilang dalawa, Ganito po niyo, Quinenta, na isinama po yung kay Atty. Carpio din.
Report correctionSen. Risa Hontiveros
S01377sa batas din po, ano po yung rason kung bakit nga isinasama yung asawa sa SALN declarations at sa pagdetermina ng unexplained wealth?
Report correctionAtty. Alexander B. Cabrera
S01378Accountability po, siguro. Yun po yung mahalaga doon. Kasi kung may absolute community of property kayo, kasama po sa accountability na i-declare niyo yung property po ng asawa. Kasi po, ilipat niyo lang po doon, ligtas na po kayo. I-push niyo lang sa kanya. O wala akong property ha, property mo yan lahat. E di ligtas na. So para po magkaroon po ng accountability, pinapakupko po ng batas na i-declare po sa iisang SALN.
Report correctionSen. Risa Hontiveros
S01379And actually pag tinitingnan po natin yung definition ng mga salita, accountability ibig sabihin talagang pwedeng ikwenta. So na-account po yung ganitong mga assets sa mga SALN. And then paulit-ulit din po binabanggit sa buong trial halos na may separate personality ang korporasyon sa may-ari nito. So, bakit po dito sa computation ninyo, isinama nyo yung assets ng mga kumpanya sa yaman ng isang VP Duterte?
Report correctionAtty. Alexander B. Cabrera
S01380Opo, yung simple ko pong paliwanag nung una pong araw is kung hindi nyo po pinasok sa loob ng korporasyon, ang ibig sabihin ay paghahati-hatihan nyo yun. Pero sinundan po nga ni Honorable Shell ng May legal basis ba yun? Yung legal basis nga po na sinabi ko is piercing the veil of corporate fiction. Alam niyo po sa forensic review, marami pong panginabang ang piercing the veil of corporate fiction. Ginagamit po yan pag nagli-liquidate po ang kumpanya. Pwede bang habulin yung mga may-ari ng kampanyang yun in a liquidation case? Pagka hinahabol po ng manggagawa yung pong kumpanya, Pwede bang i-pierce yung bail para makakolekta sila ng salary kung agency sila halimbawa at hindi sila makakolekta dito sa pinagtatrabaho nila kasi nasa agency sila, pinipierce po yung bail na isa kayo, ganyan. So dito naman po sa atin yung pong substantial under declaration po ang dahilan po ng pag-pierce ng bail. Ito pong pag-pierce ng bail ay Isinasa isang tabi po ang korporasyon pag ginagamit po ang korporasyon sa pang-aabuso. Kasi po yung korporasyon po napakaganda po ng ano eh. Napakaganda po ng nagagawa niyan para sa negosyo. Ang isang tao na may konting kapital ay pwede po magtayo ng maliit na restaurant. Pwede po siya magtayo ng maliit na restaurant. At halimbawa lang po, ang kanya pong investment po doon ay 100,000. Halimbawa lang po. Pagka meron pong nasira ang tiyan at nalason po sa kanyang restaurant, at ang sabi, ang laki ng medical bill ko, ang bill ko umabot ng 5 million. Pagka po sino niya po yung restaurant, hanggang 100,000 lang po yung makukuha niya.
Report correctionAtty. Alexander B. Cabrera
S01381Generally, kasi po may corporation, the corporation is only liable to the extent of its assets. Pero pag napatunayan po na ito pong may-ari po ng restaurant, eh sobra pong pabaya.
Report correctionAtty. Alexander B. Cabrera
S01382Manok na luma, hinahalo. At mga isda na luma, hinahalo. So, sobra pong pabaya po. Tapos sabi niya, hindi ka na makakulekta sa akin eh. 100,000 lang makakulekta mo
Report correctionAtty. Alexander B. Cabrera
S01384sa akin kahit na nalason kita. Lasunin man kita, wala kang magagawa. Yung po yung ano, yung po yung inaabuso mo yung korporasyon para maprotectan yung sarili mo. Doon po yung mga pagkakataon na pinipierce po yung veil of corporate fiction po.
Report correctionSen. Risa Hontiveros
S01385So ito pong pagpierce ng veil of corporate fiction, in a way, paraan din para panatilihin yung orihinal, tamang at... Magandang layunin ng pagkakaroon ng mga korporasyon sa negosyo
Report correctionAtty. Alexander B. Cabrera
S01388So yung pagpinilis po yung bail, para pong walang korporasyon. Tapos yung mga stockholders po doon, para lang po silang group of persons working together. So hindi po papayagan na... Pero depende po sa inyo, honorable judges, kaya tulad nga po na-point out po ng defense na hindi naman conclusive yung aking report ng piercing of the veil. Nasa inyo po yun kung sa tingin niyo po tama po na i-pierce ang veil.
Report correctionAtty. Alexander B. Cabrera
S01389Nabanggit po earlier yung tax code po, 30%. E ito po, e ano eh. We're talking of 87% under declaration.
Report correctionAtty. Alexander B. Cabrera
S01390for GenCorp 69, for Metro City Chow, more than 50% for Cale88. So much more po than the threshold.
Report correctionSen. Risa Hontiveros
S01391Nagdodoble o nagtitriple sa threshold ng 30%. And yung pang-aabusong pinipigilan ay alang-alang sa mag-asawa na may absolute community of property. Alang-alang din pala sa mga manggagawa sa usapin ng... Katarungan panlipunan, maaring alang-alang sa kalusugan ng isang customer na food poisoning. Sa inyong mga halimbawa. Salamat po.
Report correctionSen. Risa Hontiveros
S01392Kailan po pwedeng sabihin na may unexplained wealth ang isang opisyal? Basta po bang may hindi dineklara sa SALN ay unexplained wealth na po yun?
Report correctionAtty. Alexander B. Cabrera
S01393Meron pong marami pong Supreme Court decisions po dyan na binasa ko rin po bago po gawin yung
Report correctionAtty. Alexander B. Cabrera
S01394Ang nakikita ko po, hindi po yung fact that it was not declared, not that mere fact per se,
Report correctionAtty. Alexander B. Cabrera
S01396the deliberate concealment of the property. Pero po yung pag sinabi pong deliberate concealment o sinadya po talaga na itago yung property,
Report correctionAtty. Alexander B. Cabrera
S01397Akala niyo po mahirap because it goes into the state of mind. Di po ba na deliberate ba o hindi.
Report correctionAtty. Alexander B. Cabrera
S01399ang sagot po dyan mismo ng batas is it manifestly disproportionate. Kasi pag manifestly disproportionate po, wala na pong usapan sa intent. Halata na po eh. Halatang halata na po eh. Sorry, hindi ko sinasadya. Halata na po. Tapos taon-taon po. Kaya po naging ganyan po yung report po namin.
Report correctionSen. Risa Hontiveros
S01400So mayroong parang may finding na sadya ito, naitago. Tapos, sobrang halatang anlaki kumpara sa kita and then paulit-ulit over time.
Report correctionSen. Risa Hontiveros
S01402speaking of concealment, sa inyong assessment pa rin, may mga senyales ba na sadyang itinago itong 817 million pesos plus mula sa batas at mula sa mata ng publiko?
Report correctionAtty. Alexander B. Cabrera
S01403Yung senyales po, nandoon naman po. Gagamitin ko na lang po yung percentage po ng under-declaration or under-reporting kasi nga po yung sinasabi ko na that makes it manifest. That makes it manifestly disproportionate. Tapos po yung mga kumpanya po na hindi po ka panipaniwala yung mga financial statements. Ang lalaki po ng kita, ang liliit po ng capital. Ang lalaki po ng kita, lugi po ang bottom line. Ito po yung mga tell-tale signs na meron pong fraudulent reporting po na nangyayari.
Report correctionSen. Risa Hontiveros
S01405salamat po. Ah, pwede nyo rin po bang ipaliwanag yung naririnig natin na modus na either, modus sa manager's check, I mean, either check kiting, tinikling, or yung binanggit nyo kanina lang na revolving door. So, paano po ba yan nangyayari or paano ginagawa?
Report correctionAtty. Alexander B. Cabrera
S01406Hindi po yung naobserbahan ko lang po dito. Actually, first time ko po nakakita nung ganun po yung manager's check po na labas-pasok po. Pero totoo na po yung sinabi ng defense. Wala po doong pirma si BP Sara doon sa manager's check. Pero yung time deposit po na yung nakapangalan po sa kanya pero wala po siyang pirma.
Report correctionAtty. Alexander B. Cabrera
S01409kahit sabihin po natin hindi nakapangalan kay VP Sara, medyo may accountability naman po siya sa bank account because end or po yun. Nawala po yung interest doon sa time deposit at dahil ginawa pong manager's check. So to give up Interest on a large amount like that doesn't really make any business sense. Dahil malaking
Report correctionAtty. Alexander B. Cabrera
S01411din, dahil malaking principal. Kaya di na po kayong magpahinga ng konti ng mga ilang araw dun po sa interest na yun. So yung manager's check po na patawid-tawid, maaari pong hindi natin talaga alam kung ano yung intention nun. Di po ba? Pero the fact po na paulit-ulit po, nagtitinikling po siya sa… Dulo po ng taon. Yun po yung point po namin na it is a concealment method. Pero again, tama naman po yung defense that this is prior to 2022 and yun nga po wala pong perma doon si BP Sara pero that is the behavior of that account.
Report correctionSen. Risa Hontiveros
S01413kaya revolving door naman yung isang image nyo ay dahil parang sa building na labas-masok sa
Report correctionAtty. Alexander B. Cabrera
S01416Yun naman pong yun eh. Simptomas po yun ng money laundering. Again, wala po ito sa report ko at hindi ko po sinasabing may money laundering pong nangyayari dito. Sinasabi ko lang po ay simptomas. Pag ang pera po ay pumasok sa kumpanya, lumabas po the same day o lumabas po the following day. Ang ibig sabihin po nun, it didn't add any value to the company. Parang kontrapelo sa
Report correctionAtty. Alexander B. Cabrera
S01418Opo, parang ginagamit kang pass-through. Parang may mapagpasukan lang na parang kunwari ginagamit sa negosyo kasi pinasok po dun sa kumpanya. Kaya po yung tawag po dun yung revolving door. Pagpasok po, ikot labas. Ganon po yung... ng nangyayari po sa typical money laundering transactions po.
Report correctionSen. Risa Hontiveros
S01419speaking of transactions within one day, meron po kayong nabanggit sa Isang specific date dito sa table 24 sa page 18 na August 6, 2024. Kung kailan nagkaroon ng total cash withdrawals na 41 million pesos in a matter of 1 hour 13 minutes. Unusual po ba ang ganitong klaseng mga transaction?
Report correctionAtty. Alexander B. Cabrera
S01420Sa ordinaryong tao po, unusual po. 41 million in cash. Kailangan niyo po siyempre ng bag po doon.
Report correctionAtty. Alexander B. Cabrera
S01421Parang may hinahabol po eh kasi lahat po ginawa within the hour po. Pwede rin pong i-check yun eh sabi ko nga po. Ba't hindi nilang may managers check at i-deposit sa bank account na iba. Pero pagka po kasi cash, ibig sabihin ayaw po ng trail.
Report correctionAtty. Alexander B. Cabrera
S01422So kung wala pong trail, ito po sa amin yung ano eh, mga telltale signs din po sa forensic investigation eh. Pagka po yung mga transactions po kulang sa trail, kulang po sa record, wala pong document evidencing it pero nangyari po yung transaction, yung pong walang document nangyari yung transaction, evidence din po yun eh. Bakit, ba't wala yung document? Bakit wala yung governance? Bakit wala yung mga required corporate and regulatory documents na makakapagsabi kung ano talaga yung mga details ng transaction na yun?
Report correctionSen. Risa Hontiveros
S01423walang governance as evidenced by the document trail? May binanggitin po kayong
Report correctionSen. Risa Hontiveros
S01424Nagmumukhang may hinahabol. Ano yung bakang hinahabol sa ganung klaseng mga transaksyon na ang suma total ay malaking halaga tapos maaaring gawin sa loob lamang ng kulang pa sa dalawang oras?
Report correctionAtty. Alexander B. Cabrera
S01425Tinignan po kasi namin po din yung mga timestamp. Tapos inaanalyze po namin yung mga timestamp malapit po sa bawat isa.
Report correctionAtty. Alexander B. Cabrera
S01427po yung timestamp po nung huling withdrawal na 12.37 or so. Tapos yung katuloy niya po ay mga alauna 12.23pm tapos 1.17pm. Nag-lunch po muna.
Report correctionAtty. Alexander B. Cabrera
S01429-lunch muna tapos kinuha po yung... So yun po kaya sa amin parang may kinahabol kasi right after lunch tuloy yung transaction. Matagal din po kasi magbilang ng 41 million.
Report correctionSen. Risa Hontiveros
S01430I guess po. So iniimagine niyo rin pala po kung paano talaga nag-unfold yung events na yun po.
Report correctionSen. Risa Hontiveros
S01433Yes sir. Huling tanong na lang po. So yung Cale88 ay nakatanggap ng 319 million pesos mula sa China na finlag ng AMLC.
Report correctionAtty. Alexander B. Cabrera
S01435Ang audited financial statements po kasi ng Cale88, everything po is in pesos.
Report correctionAtty. Alexander B. Cabrera
S01436So hindi po namin malaman kung yung dollar po na kinonvert sa Peso. Pero tulad nga po nung nasabi ko po sa inyo kanina, magkaiba po yung bank accounts na peso at yung dollars po. At hindi po namin nakita kung paano po yun na na-convert po. Pero pag in-add nyo naman po yung peso equivalent po nung dollar remittances tsaka po itong local, yun naman po yung ginamit namin to compare po what was declared.
Report correctionSen. Risa Hontiveros
S01437So kahit hindi nga po natignan yung dollar transactions, may teorya po ba na pwedeng i-base sa forensic report kung saan naman pumunta yung perang yan, yung 319 million pesos na yan mula sa China?
Report correctionAtty. Alexander B. Cabrera
S01438_L3Ma'am, wala po kaming teorya po doon eh. Although... Sa peso account po, meron po mga konting credit memo na yun po, possibly po sigurong galing sa foreign account pero wala rin po kaming katibayan doon. So wala po kong theory po doon, wala po kong pagbabasihan.
Report correctionSen. Risa Hontiveros
S01439Marami salamat po, Attorney Cabrera. Salamat po, Mr. Presiding Officer.
Report correctionSen. Francis "Chiz" G. Escudero
S01440Thank you. Senator Judge Pangilinan is recognized. You may proceed, sir, when you're ready.
Report correctionSen. Francis “Kiko” Pangilinan
S01441Officer. Magandang hapon po sa inyo, Atty. Cabrera.
Report correctionSen. Francis “Kiko” Pangilinan
S01443Ay, idadagdag ko lang doon sa unang mga, yung mga tanong ni Sen. Tiveros. Yung August 6, 2024, sabi ninyo, 41 million ang winitdraw sa isang araw at parang may hinahabol. So, ako rin naging curious dito, kaya... Inisip ko ano ba nangyari nung August 6 o kaya thereabouts. Just to place on record, si Vice President Sara Duterte resigned as DepEd Chairperson July 19, 2024 and then on July 30, it's in the news and we can google it because that's what we did, drug charges were filed against attorney Manse Scarpio. Doon sa yung tawag dito. Magnetic lifter. So July 30 yun. So that was the filing was July 30 and then six days later nangyari ito. Kaninong account pala itong 6 August 2021?
Report correctionSen. Francis “Kiko” Pangilinan
S01445Both kay Atty. Mans Carpio. Just for the record. Doon naman sa report po ninyo, nabanggit nyo yung safety deposit box or vault? Do you remember that?
Report correctionAtty. Alexander B. Cabrera
S01446wala rin naman pong kahinatnan. Hindi ko po alam kung anong laman doon po. Yes, yes. So, nirecord lang po namin doon na klinose na po yun.
Report correctionSen. Francis “Kiko” Pangilinan
S01447Yes, pero that was safety deposit box 27, 28, 29, and 30. Open on October 11. but all boxes were closed on January 7, 2025. Sa araw.
Report correctionSen. Francis “Kiko” Pangilinan
S01449Hypothetically, and based on your professional experience, anong nilalagay sa safety deposit box?
Report correctionSen. Francis “Kiko” Pangilinan
S01452Hindi dito sa kasong to, no? Because you wouldn't know. Pero based
Report correctionAtty. Alexander B. Cabrera
S01453_L2Jewelry po. Mga mahalagang jewelry po ng family. Mahalagang dokumento po.
Report correctionAtty. Alexander B. Cabrera
S01455Apo. Paminsan-minsan po. Even very sentimental things po. Nandun po.
Report correctionAtty. Alexander B. Cabrera
S01457Of course po. Opo. Pero may banko naman po. Ba't kailangan pa ng safety deposit box? Meron naman pong mga... Malaman po yun na valuable properties, not money. Kung ako po yung tatanungin.
Report correctionSen. Francis “Kiko” Pangilinan
S01462So yun lang, no? Kasi nabanggit nyo, no? Lahat sinara sa isang araw. That just gives us pause to think, no? Manager's checks ba nilalagay din sa... Doon naman sa manager's checks, nabanggit na naman kanina, no? Usual ba yun na you issue the manager's check to yourself and then you do it 12 times in a period of... Three years? I mean, again, have you encountered that practice?
Report correctionAtty. Alexander B. Cabrera
S01463Well, honestly po, first time ko pong nakita po yun.
Report correctionSen. Francis “Kiko” Pangilinan
S01464Kasi yun, hindi ba usually pag manager's check, babayaran mo yung binili mo lupa, so yung pinagbilihan mo, yung seller, sa kanya naka-issue yung manager's check.
Report correctionAtty. Alexander B. Cabrera
S01465Alam niyo po itong manager's check po na lumalabas po at the end of the year. para po hindi po mahuli yung cash at hindi magkaroon ng discrepancy sa SALN. Hindi po siya effective eh.
Report correctionAtty. Alexander B. Cabrera
S01467po pagka nilabas niyo yung manager's check, ang ibig sabihin po nun, yung bangko ay may utang sa inyo.
Report correctionAtty. Alexander B. Cabrera
S01469kung may utang sa inyo yung bangko, meron kang receivable.
Report correctionAtty. Alexander B. Cabrera
S01471dapat naka-declare po yung receivables sa SALN. So kung hindi po cash ang naka-declare doon, dapat po i-receivable. Kaya hindi po effective eh yung paglabas-pasok po na yun.
Report correctionSen. Francis “Kiko” Pangilinan
S01472kasama pa rin sa declaration ng iyong net worth, yung receivables.
Report correctionAtty. Alexander B. Cabrera
S01473Dapat po. Receivable niyo po yun eh. May pruweba po noon dahil nakapangalan po sa inyo yun eh.
Report correctionSen. Francis “Kiko” Pangilinan
S01474So naka-declare ba yung receivables doon sa SALN sa pag-aaral ninyo?
Report correctionAtty. Alexander B. Cabrera
S01475May mga nadaanan po. Siyempre wala po. Yun nga po yung point nung paglabas. Kaya wala pong receivable po.
Report correctionSen. Francis “Kiko” Pangilinan
S01480you're saying dapat yung 96 million na yun na managers check, dapat nakareflect sa SALN ng receivables na 96 million.
Report correctionAtty. Alexander B. Cabrera
S01481Tama po. Kasi po yung SALN po as at. So yung as at po certain date, wala po yung cash.
Report correctionAtty. Alexander B. Cabrera
S01483yung sa as at po na yun na December 31, meron pong receivable.
Report correctionSen. Francis “Kiko” Pangilinan
S01485Dahil yung kanyang audited financial statement at as of 2025 ng Cal88, hindi na shareholder si Manse Scorpio, tama?
Report correctionAtty. Alexander B. Cabrera
S01486Tama po. Ay, hindi po. Hindi po. Siya pa rin po. Sa treatment po namin, siya pa rin po.
Report correctionSen. Francis “Kiko” Pangilinan
S01487Sorry, sa SALN niya, hindi na siya shareholder ng...
Report correctionAtty. Alexander B. Cabrera
S01488Noong 2025 po dahil din-expose niya po sa Pikimong-Pikimong.
Report correctionSen. Francis “Kiko” Pangilinan
S01489Diba nakalagay na nailipat sa Pikimong-Pikimong.
Report correctionSen. Francis “Kiko” Pangilinan
S01491ang Pikimong-Pikimong naging 95% pag-aari ang Cale88.
Report correctionSen. Francis “Kiko” Pangilinan
S01492Doon sa records, pinag-aaralan ba niyo yung records ng...
Report correctionAtty. Alexander B. Cabrera
S01493meron po kaming ano, kinuha po namin yung SEC papers po ng Pikimong-Pikimong, isang public document naman po.
Report correctionAtty. Alexander B. Cabrera
S01495ang nakita po namin doon, yung Pikimong-Pikimong po, dalawa lang po yung shareholder at it is actually a shell company. Noong 2024, ang kanyang equity ay 56,000 pesos only.
Report correctionSen. Francis “Kiko” Pangilinan
S01496ibig sabihin ng equity para sa ating mga kababayan?
Report correctionAtty. Alexander B. Cabrera
S01499Perang pinasok po. Tapos nung ano naman po, nung 2025, nakalagay po sa GIS, ang kanya pong assets, kasi po wala pong financial statements, ang kanya pong assets ay 86,000 pesos po. Wala pong transaction. Wala pong kahit anong transaction. Wala pong... Wala pong disclosure kahit ano po.
Report correctionAtty. Alexander B. Cabrera
S01501hindi po niya binili. Wala pong binili. Kung nilipat man po nila, nag-usap sila, wala pong record po na pinagre-reflectan. So kaya po namin kinuha na lang po, tinik na lang po na natiling property po yun ni Atty. Man Scarpio. Dahil kung walang record yung paglipat mo, walang car. Sabihin natin naglipat ka ng private eh wala namang evidence na naglipat ka. Siyempre mananaig po yung official records po na siya po po yung may-ari.
Report correctionSen. Francis “Kiko” Pangilinan
S0150486,000 pero base doon sa mga transaction ng Cale88 inflows magkano?
Report correctionAtty. Alexander B. Cabrera
S01507Well, malaki po yung, meron pong year na malaki pero kung magbabasihan nyo lang po yung 300 plus million per year.
Report correctionSen. Francis “Kiko” Pangilinan
S01508So doon pa lang, 300 plus million per year tapos binili ng isang kumpanyang Pikimong-Pikimong na 58,000 ang equity at 86,000 the following year. Medyo red flags na yon, di ba?
Report correctionAtty. Alexander B. Cabrera
S01509Opo, hindi po siya 300 plus million per year. Parang meron pong umabot ng ganong under declaration po over the several years.
Report correctionSen. Francis “Kiko” Pangilinan
S01510Cale88, yun din pumasok yung Chinese money, di ba?
Report correctionSen. Francis “Kiko” Pangilinan
S01512319 million. So, dun magtataka ka talaga na yung isang 68. 58,000 equity and then the following year 86,000 ang paid.
Report correctionAtty. Alexander B. Cabrera
S01513Honorable Judge, hindi po 319 million po ang bilang po namin sa report?
Report correctionSen. Francis “Kiko” Pangilinan
S01516_Q2AMLA records pala yung 319. Thank you for that correction.
Report correctionSen. Francis “Kiko” Pangilinan
S01517May tanong ako sa AMLA records, pinag-aralan din ninyo.
Report correctionSen. Francis “Kiko” Pangilinan
S01519Okay. At doon, may mga lumalabas nga na yung dollar remittances, hindi ba?
Report correctionSen. Francis “Kiko” Pangilinan
S01520Meron bang pagbabangga ng peso accounts kung saan ay may mga nilipat sa dollar accounts sa AMLA records?
Report correctionSen. Francis “Kiko” Pangilinan
S01529Yung sa GenCorp, ito rin sinabi ninyo sa report ninyo, katakataka, nasa 2021, 28 million ang kanilang... Tama ba yan? 28 million... Una-una, 1.25 million ang paid up capital ng GenCorp. Tama
Report correctionSen. Francis “Kiko” Pangilinan
S01531Tapos in 2021, alin yung figure na 28 million? At lumobo ng 520 million. Anong figure ito? Nabanggit niyo sa report niyo yun eh. Sorry.
Report correctionAtty. Alexander B. Cabrera
S01533Sige po. Baka ma-refresh po ako pag nasabi niyo po.
Report correctionSen. Francis “Kiko” Pangilinan
S01534identified bank inflows from period 2022 to 2025.
Report correctionSen. Francis “Kiko” Pangilinan
S01540Page 31, GenCorp grew from a business generating approximately 28 million of revenue in 2021 to more than 520 million by 2025. Tama? That's on page 31 of your report.
Report correctionSen. Francis “Kiko” Pangilinan
S01542During the same period, it acquired approximately 150 million of property and equipment while continuing to purchase inventory and fund day-to-day operations.
Report correctionSen. Francis “Kiko” Pangilinan
S01543Despite the scale of this growth, sabi niyo, the company reported only 1.25 million of paid-in capital. Tama?
Report correctionSen. Francis “Kiko” Pangilinan
S01545Para sa ating mga kababayan, ano yung 1.25 million paid-in capital?
Report correctionSen. Francis “Kiko” Pangilinan
S01548So bakit mahalaga yun na maliit at malaki naman ang kanilang revenue? At yung 150 million na mga bentahan.
Report correctionAtty. Alexander B. Cabrera
S01549yung revenue po na malaki hindi nyo po yan makukuha sa maliit na asset. Opo ay sobrang galing na negosyo ng 1 million tapos ganun po kalaki yung 520 po yung na-degenerate niyang revenue. So ito po yung nanggaling po sa mga several
Report correctionAtty. Alexander B. Cabrera
S01549_COVERAGE_1Jollibee stores. At kailangan po mag-invest dito po sa Jollibee stores. Isa nga lang po ay 35, di po ba? So, yung isang Jollibee store lang po, hindi po kaya ng 1.2 na capital po.
Report correctionSen. Francis “Kiko” Pangilinan
S01550But the financial statements do not clearly explain where the money came from.
Report correctionSen. Francis “Kiko” Pangilinan
S01551So kung it does not clearly explain where the money came from, in your expert opinion, Saan galing yung pera?
Report correctionAtty. Alexander B. Cabrera
S01555explain po where the money came from. Wala po talaga ako idea kung saan po nang galing yung pera. Pasensya na po. Manguhula po ako pagka sinagot ko po yan eh.
Report correctionSen. Francis “Kiko” Pangilinan
S01556So, katakataka. Maaring inutang? Sabihin, inutang.
Report correctionAtty. Alexander B. Cabrera
S01557It came from, certainly came from the shareholders or from someone else. Maaring...
Report correctionAtty. Alexander B. Cabrera
S01557_COVERAGE_1basta hindi po from operations, yan po ang kaya ko po sabihin.
Report correctionAtty. Alexander B. Cabrera
S01557_COVERAGE_3Pagka ganun po kalaki yung, disproportionate po eh.
Report correctionSen. Francis “Kiko” Pangilinan
S01558Ito naman, yung pattern that funds are introduced into and subsequently withdrawn from the entity with minimal economic value added. In these circumstances, revenue and cash flows may appear substantial. Yet the corporation retains only a nominal margin inconsistent with the scale of transactions. That's your second paragraph of page 31. Sa man on the street, sa ordinaryong mamamayan, can you explain it in layman's terms? Anong ibig sabihin ng
Report correctionAtty. Alexander B. Cabrera
S01559_L2So pag magpapasok ka ng pera sa kumpanya, investment man po o inutang, ang ibig sabihin nun eh, kailangan mo yung pera. Bibili ka ng equipment, bibili ka ng inventory, ipangbabayad mo sa empleyado mo o sa mga pinagkakautangan mo. So ito pong pera na pumapasok at lumalabas at mga several po yan para pong wala pong naitutulong yung perang pumasok sa negosyo po.
Report correctionSen. Francis “Kiko” Pangilinan
S01560Okay, okay, okay. Teka nakalimutan ko lang doon sa piki mong Kasi nung isang araw, yung testigo ng BIR tinanong tungkol sa hindi fully paid yung subscription ni Mr. Mances Carpio. At dahil hindi fully paid, tama ba bilang accountant at abogado and corporate law, walang na-issue na shares. At pag walang issued shares, hindi maililipat.
Report correctionAtty. Alexander B. Cabrera
S01561So yung BR po, ginagawa po nilang subscription pa lang eh, taxable na. Pero meron po siyang legal basis eh.
Report correctionAtty. Alexander B. Cabrera
S01563titignan niyo po, definition of shares of stocks sa tax code. So yung definition po ng shares of stocks sa tax code, kasama na po doon ngayon ang warrants and options.
Report correctionAtty. Alexander B. Cabrera
S01565yung warrants and options, wala pa pong binibiling shares of stocks dyan. Parang meron pa lang kayong right na bumili.
Report correctionAtty. Alexander B. Cabrera
S01567yung right pa lang ng pagbili ng shares of stocks, ay subject na.
Report correctionAtty. Alexander B. Cabrera
S01568Considered na na sale of shares of stocks. Yun pa kayang subscription agreement na meron na talagang nagsimulang sale. So yun lang po yung masasabi ko doon na medyo may tama po yung BIR sa treatment po nila doon.
Report correctionSen. Francis “Kiko” Pangilinan
S01569Okay. Pero from the point of view of I think yung questions ng defense, sinasabing pagka hindi pa fully paid, hindi pwedeng ilipat.
Report correctionSen. Francis “Kiko” Pangilinan
S01575pwedeng ilipat, yung paglipat sa PIKIMON, legal ba yun? Kung hindi pwedeng ilipat?
Report correctionAtty. Alexander B. Cabrera
S01576Lalo pong it will only prove the point na hindi po kalipat-lipat. Di po ba? Kasi kung hindi pa nga po bayad, tama lang pong manatili dito muna sa SALN.
Report correctionSen. Francis “Kiko” Pangilinan
S01577other words, questionable yung paglipat sa PIKIMON-PIKIMON. Kasi nga,
Report correctionAtty. Alexander B. Cabrera
S01578for that reason po eh. Yung wala po kasi talaga ako nakikita ng transaction. Well,
Report correctionSen. Francis “Kiko” Pangilinan
S01581paid up, yun yung argumento, paano mo ililipat sa PIKI mong hindi pa pala fully paid yung subscriptions?
Report correctionSen. Francis “Kiko” Pangilinan
S01585So, meron pa akong ilang mga katanungan. Oh! Sabi niyo kanina, may mga cash deposits. Did you mean cash and check deposits or just cash?
Report correctionSen. Francis “Kiko” Pangilinan
S01587No, but you said earlier or yesterday, they were deposits in cash. That was your exact word to describe one of the transactions.
Report correctionSen. Francis “Kiko” Pangilinan
S01589I forget, but my point actually is... Meron ba kayong inventory? Ano yung mga cash deposits? Tsaka ano yung mga hindi cash deposits?
Report correctionAtty. Alexander B. Cabrera
S01590Pwede po natin ipagawa po. Kaya po namin gawin. Pero wala po kaming inventory po ng halimbawa po yung inflow.
Report correctionAtty. Alexander B. Cabrera
S01592cash deposit po siya o deposit po siya by check. Pwede naman po natin ihiwalay po yun.
Report correctionSen. Francis “Kiko” Pangilinan
S01593Ang meron kayo, yung 41 million pesos withdrawal, cash lang
Report correctionAtty. Alexander B. Cabrera
S01594_A2Pay to cash po yung ano. 23 million po na dalawang cheque po.
Report correctionSen. Francis “Kiko” Pangilinan
S01595yung apat, cash ang winidraw. So totaling 41. So it would be interesting if you have the time to do it, to submit to us, yung ihiwalay yung cash dun sa check deposits para lang malaman, magkano bang umiikot dito sa kahit na doon sa
Report correctionSen. Francis “Kiko” Pangilinan
S01596Punto lang na yun. So, we have an understanding. And then, dito sa bumagsak ng 80 million, ah, 80 million cash, naging 2020, bumaba sa 60, bumaba sa 24, umangat ng 43. That was also in your report. Pasensya na, medyo sa dami nung... Would you remember that? Ah, ito. Can we... Flash this on the screen.
Report correctionSen. Francis “Kiko” Pangilinan
S01597This is your table, I think. I put this together based on your information. So, various banks, spouses, 2022, 60,214,700,000. You confirmed that, no?
Report correctionSen. Francis “Kiko” Pangilinan
S01599Tapos, tumangat, tumaas ng additional 20,000,000 noong 2023. Diba? Ending. Tama?
Report correctionSen. Francis “Kiko” Pangilinan
S01601Tapos bumagsak ng 23 million noong 2024 na minus 60 million, almost. Tama?
Report correctionSen. Francis “Kiko” Pangilinan
S01603yun siguro yung isa dun yung 41 million na tinanggal.
Report correctionAtty. Alexander B. Cabrera
S01604Yan po yung ano, malaking factor po yung ano, yung naglimas po ng pera yung 41 million. 41
Report correctionSen. Francis “Kiko” Pangilinan
S01607_F2So that might explain it kasi August 6, 2024 yun,
Report correctionSen. Francis “Kiko” Pangilinan
S01608million cash. Kaya pagdating ng end of 2024, 23 million. I
Report correctionSen. Francis “Kiko” Pangilinan
S01610Okay. And then finally, 2025, cash balance ending, umangat na naman. Another 20 million. But all of that, as you have said, hindi reflected dun sa kanilang audited financial statements as well as sa SALN.
Report correctionSen. Francis "Chiz" G. Escudero
S01617may proceed when you're ready, sir. Again, you have a variable period of two minutes.
Report correctionSen. Panfilo “Ping” M. Lacson
S01618Thank you, Mr. President Officer. Magandang tanghali po, Atty. Alex.
Report correctionSen. Panfilo “Ping” M. Lacson
S01620Ang aking pagtatanong ay babase ko sa aking ginawang pakikinig at saka observation doon sa... Direct examination last Friday at saka yung cross na nangyari kaninang umaga at ngayong tanghali rin. Sa inyong ginawang pagsusuri, sa inyong findings and conclusions sa inyong forensic report, anong bahagdan o percentage ng reliance ninyo sa analytical assumptions versus direct or indirect references to documents?
Report correctionAtty. Alexander B. Cabrera
S01624Malaki po yung supported po ng documents po halos lahat. At ang talaga pong masasabi ko po na talagang hindi po masyadong malinaw na supported ng documents tulad din po ng nasabi ng defense, yung GenCorp po. Kasi ito pong GenCorp, hindi po natin kaya ditong i-take in isolation po yung mga related documents po. Kailangan po nating pagsamasamahin at gumawa po ng conclusion. Pero mahirap pong sagutin yung percentage wise po kasi po bawat aspeto po meron pong document at meron pong analysis po na ginagawa po namin.
Report correctionSen. Panfilo “Ping” M. Lacson
S01625Overall po, estimate lang. Palagi ko naman may knowledge kayo o naririgol nyo pa kung ano yung percentage na nilaan ninyo sa inyong report patungkol sa inyong analytical assumption versus yung mga dokumento.
Report correctionAtty. Alexander B. Cabrera
S01626I see. The dirty work and the analysis. Ayan po. Pwede po yan.
Report correctionAtty. Alexander B. Cabrera
S0162750-50 po. Pero mga 60-40 po. 40 po yung puro analysis po.
Report correctionAtty. Alexander B. Cabrera
S01629Ang ibig ko po sabihin, 60% po ng oras eh nagkakalkal ka tapos parang nag-a-analyze ka ng 40% of the time.
Report correctionSen. Panfilo “Ping” M. Lacson
S01632nastanong. Analytical assumption versus reference to documents. Whether direct or indirect references or reference to documents. Gusto ko lang pong makita yung yung naging frame of mind ninyo. When you finished or crafted your forensic report?
Report correctionAtty. Alexander B. Cabrera
S01633Kasi po yung ano, kaya hindi po nyo maka-craft ng ganun po sa simula. Wala po kasi kayong prejudgment na hindi po predetermined yung ano eh. Na ito gagamitin ko dito, 40, ito. Hindi ko po malaman kung ano po yung makikita ko eh. Minsan po matulin kasi may document, minsan po. Wala pong document, medyo nagde-dead wall pero i-derive niyo po yung information or conclusion niyo dun po sa mga ibang related documents po. Asensya na po, Honorable Justice.
Report correctionSen. Panfilo “Ping” M. Lacson
S01636Namaget niyo po sa tugon ninyo sa tanong ni Atty. Christine kanina na yung absence ng documents, evidentiary ninyo, medyo... Nilaro po sa aking isip na parang double H eh. Pag sinabi niyo yung absence of documents, ebidensya rin ninyo, ebidensya nyo pabor o adverse sa respondent?
Report correctionAtty. Alexander B. Cabrera
S01637Hindi po siya evidence kung ano po yung nakasaad sa dokumento pero evidence po siya ng behavior.
Report correctionSen. Panfilo “Ping” M. Lacson
S01639Ito isang halimbawa kasi alam nyo nagsaliksik din kami sa sarili namin pero binasin namin doon sa mga exhibits yung mga nasumite at nasa pag-aari na ng korte na hindi nyo naisama o maaaring na-overlook ninyo o maaaring hindi nyo na kailangan sa inyong pag-analisa. Halimbawa, hindi ko na po iyahayag yung aming ginawang pagsaliksik at yung naging conclusion namin kung ito'y pabor ba o adverse or respondent. para ma-preserve lang yung impartiality o integrity at impartiality ng Korte. Sasarilingin ko na lang po yun sa paggawa ng aking desisyon, sa akin na lang po yun. Napakarami pong mga cheque. Napakarami na hindi naman nasama sa inyong report na ang mga payees ay mga personalidad na nung aming pinagtagni-tagni sa simpleng Facebook search lang, magkakaroon kayo ng konklusyon.
Report correctionSen. Panfilo “Ping” M. Lacson
S01640So, napakarami po. At ang bawat cheque, mga six figures, six digits. Na pagka sino matotal nyo, abot talaga siya ng seven digits yung halaga. Pero wala po doon sa inyong report. Pero sinasabi ko lang po dahil hindi kami lumabas doon sa mga exhibits na naisubmite ng prosecution. At hindi ko alam kung iba galing sa defense.
Report correctionSen. Panfilo “Ping” M. Lacson
S01641Anyway, ito ho ba'y sadya? Dahil sa inyong sound judgment, sapat na sa inyong pagsusuri ang umabot sa inyo o kung umabot man natin ninyo na tinignan dahil sa sound judgment ninyo, tama na para makapaggawa kayo ng conclusion sa inyong forensic report?
Report correctionAtty. Alexander B. Cabrera
S01642Opo, tulad nga po nung nasabi ko po kanina, ito po kasing forensic examination, pag nakapag-establish ka na, Pwede ka nang tumigil eh. Pero kung gusto halimbawa ng client, halimbawa po ang Senado, or prosecution halimbawa, na palawakin pa yung report, eh magpatuloy lang silang mag-submit ng documents at aming titignan para po mapalawak po yung base data po nung report. Pero doon pa lamang po sa nakita namin ay Sapat na po yung nakita namin para po masabing yun po lamang yung nakita namin, 817 million, dahil yun lang po yung nakita namin based on data and using a conservative approach po.
Report correctionSen. Panfilo “Ping” M. Lacson
S01643Sabi ko na nga, hindi ko na ipagbibigay alam sa aking mga kasamahan kasi pagka sinabi natin payees, pwedeng pabor sa respondent, pwede rin adverse. Kasi kung ito'y pabor dahil Bawas talaga ito sa kanilang naging gastos nila sa legal na pamamaraan. Ibig sabihin, pabor sa respondent. Pero sabi ko nga sa akin na lang yun.
Report correctionSen. Panfilo “Ping” M. Lacson
S01644Panghuli po, gusto ko lang banggitin na yung una nating pagtatagpo, at least sa aking mga staff, nung kayo'y
Report correctionSen. Panfilo “Ping” M. Lacson
S01646pinadala ng Pricewater ng PWC para mag-voluntaryo ng inyong servisyo sa Yolanda. Nung ako po'y head ng OPAR,
Report correctionSen. Panfilo “Ping” M. Lacson
S01647Kasunod ng McKinsey, kayo po pinadala para tumulong sana sa audit ng mga PAPs, projects, activities, at saka
Report correctionSen. Panfilo “Ping” M. Lacson
S01651Pero ang kumontak po sa amin, ginamit ko lang po yung price water, pero hindi po mismo yung price water.
Report correctionSen. Panfilo “Ping” M. Lacson
S01655Maraming salamat po at pro bono rin po yun sa kaalaman ng ating mga nanonood.
Report correctionSen. Panfilo “Ping” M. Lacson
S01657Sayang nga lang po nabiten kasi wala akong implementation authority so naputol din yung ating engagement. Ibabahagi ko lang na nawala yung kanyang Mont Blanc habang nagipag-meeting. Nataranta po kami lahat dahil nakakahiya naman, nag-voluntaryo na walang pa ng Mont Blanc na pen. Yun pala nadala ng kasama nyo. Maraming salamat po.
Report correctionSen. Francis "Chiz" G. Escudero
S01659Titigil niyo na po yung kwento niyo pagkatapos nakita sa ilalim ng kama. For the information of the senator judges, the senator judges can base their decision on the evidence, both testimonial and documentary. Insofar as documentary evidence is concerned, whatever the court admits after formal offer has been made. And it will be up to each senator judge. Which parts or aspects of the testimonial or documentary evidence they will be basing their decisions on once the final question is raised before them? Yes, Senator Judge Lacson.
Report correctionSen. Panfilo “Ping” M. Lacson
S01660Just to clarify, Mr. Presiding Officer, whether or not taken up during the trial. Whether
Report correctionSen. Francis "Chiz" G. Escudero
S01661or not taken up by the testimony of a witness. Thank you.
Report correctionSen. Francis "Chiz" G. Escudero
S01661_VIS3As long as it is part of the formal offer and duly admitted by the court. And we thank Senator Lacson. for his discretion insofar as limiting his and not mentioning any names that he got based on the evidence and record that his team researched on. Senator Judge Lapid is recognized.
Report correctionSen. Francis "Chiz" G. Escudero
S01664Senator Lapid is recognized. You have a variable period of two minutes as well, sir. You may proceed when you're ready.
Report correctionSen. Manuel “Lito” M. Lapid
S01665Maraming salamat po sa ating officer. Para po sa prosecution, para may tanong ko lang po. Tungkol po dito sa Article 2, marami na po tayong iba't ibang naging witness galing sa AMLA, sa Banko, sa BIR, at ang ating magaling na financial analyst. Marami na po kayong nabanggit na iba't ibang numero at mga batas at regulasyon at pamantayan. Sa simpleng tanong po.
Report correctionSen. Manuel “Lito” M. Lapid
S01666May pananaw ba kayo ng prostitution? At dapat mapansin, makuha, at maintindihan ng ating mga babayan mula sa napakaraming witness at dokumento na ipinakita ninyo sa amin.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S01667Maraming maraming salamat po, Your Honor. Actually, nakakalula nga po yung mga numero at yung mga dokumento na nahiharap po namin sa Article 2. Ako po mismo, Kaya nga po ako nag-abogado dahil takot ako sa numbers. Pero pag titignan po natin kasi kung ano ba talaga yung pinakapuso ng Article 2. Sa tingin ko, ito lang po yun eh. Yung malinis na opisyal, walang tinatago. Ngayon, madali po kasing magpanggap ang isang opisyal na simpleng tao lang siya, kumakain lang sa karinderiya. Malinis, wala naman na tinatago sa SALN. Pero pagdating po sa issue ng Article 2 Unexplained Wealth, doon po tayo nagkakaalaman. Dahil ang titignan po dito ay hindi naman po mga testigo, kundi mismo yung mga dokumento at yung mga numero. Katulad po na nabanggit ni Atty. Cabrera, ang tinignan niya ay mismong mga bank records, mga records na galing sa AMLA. BIR records, SEC records and I believe may kasabihan po kasi ang mga accountant that the numbers do not lie. Ito pong mga bank documents for example ay hindi naman po dumaan sa kamay ng prosecution yan. Yan ay diniretso ng mga bangko dito po mismo sa hukumang ito. Kaya masasabi natin na they are independent facts verifiable by anybody. At the end of the day, sir, ang paniwala ko kasi ganito eh. This case is really not about VP Sarah Duterte as a person. To me, it's about the trust that the people reposed in her. Yung tiwala po na binigay ng sambayan ng Pilipino sa kanya. Para sa akin po, it's really not about her as a person. It's about leadership kung tama ba. Ang pamamahala at lalong lalo na yung katampatan o yung fitness ng isang mataas na opisyal na manungkulan pa. At pangatlo po, it's not about her as a person, it's really about accountability. At kapag kung ikaw ba'y binigyan ng kapangyarihan, lalong lalo na kung pangalawang pangulo ka at lumalabas na inabuso mo, ay dapat may pananagutan. Sana po nakatulong po sa inyo yung sagot.
Report correctionSen. Manuel “Lito” M. Lapid
S01668Marami salamat po sa paliwanag kasi tinatanong lang mga taong bayan tungkol yan. Marami salamat po.
Report correctionSen. Francis "Chiz" G. Escudero
S01668_COVERAGE_1Senator Judge... Senator Judge Aquino is recognized. You may proceed sir. Ngayon wala nang pwedeng gumamit na pinapatanong ni Sen. Lito ha. Hindi na pwedeng gamitin yun.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01673want to focus on Table 39 sa ating report. Ito naman yung main table na nabuo po ninyo. Tama po, no?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01673_R3This is the reference table. And may I request one of the lawyers to provide a calculator to Atty. Alex in case na kailanganin niya. Kahit sa telepono. Para lang handa siya. Okay, so we'll flash table 39 on the screen.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01674Huwag niyo daw po tingnan yung ibang mensahe ni attorney, baka kung ano makita daw niyo dyan. Sige, so would you say attorney Alex na ito yung main reference natin sa inyong report?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01677And dito po sa inyong report, may parte po dyan na hango sa mga records. Tama po?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01677_L3At meron pong hango sa mga record, pero meron kayong assumptions.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01677_L5Would you say that, well, para sa akin po, meron kayong dalawang main assumptions. And you can correct me if I'm wrong. And kung meron kayong dagdag na assumptions, pwede rin pong banggitin. So first assumption is that si Vice President Sara merong 20% ownership ng GenCorp.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01679And that's an assumption. Ibig sabihin yan, pwede yung 1%, pwede rin 50%, pwede rin 75%. Tama po, no?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01681Yes. And could you repeat again what the basis is? Para lang po malinaw sa atin.
Report correctionAtty. Alexander B. Cabrera
S01682Opo. So yung kanya pong oath, ang kanya pong sinumpaang SALN, sinabi niya po na siya po ay isang stockholder po doon.
Report correctionAtty. Alexander B. Cabrera
S01683Sa GenCorp po na GIS, wala po siya doon. So yung una po namin tinignan sa aming sensitivity analysis, ano ba itong mga relationship nila ni Jaime T. Cruz? At nakita namin na yung relationship nila way back 2007, meron pa pong ibang corporation na Davao. Ano nga ba yan? Davao Taizan? Meron pa pong isa na Davao New Royal Taizan Corp. Nung 2017, 20% din po yung pag-aari niya. Yung Metro City Chow po ay 20%. So yung unang tumakbo po rin sa isip namin, bakit niya ilalagay yung sarili niyang stockholder na sinumpaan pa? Doon po yung ano ba yung mga rule of thumb para matawag ka na... Ano
Report correctionSen. Paolo Benigno “Bam” Aquino
S01686Parang pangkaraniwang ginagawa. Ano yung pangkaraniwang ginagawa?
Report correctionAtty. Alexander B. Cabrera
S01687Actually po, yung accounting rules po. Yung PAS po o na investments.
Report correctionAtty. Alexander B. Cabrera
S01689Yung significant influence po, nung nabuo po yan, galing din po yan sa experience po ng business community.
Report correctionAtty. Alexander B. Cabrera
S01691po siya nabuo. So ang threshold po niyan, pagka may 20% ka, may significant influence ka. And kaya naman po, maniniwala, okay po, may assumption po, kaya sinabi namin na may significant influence siya kasi vice president siya eh. Tapos si JTC,
Report correctionAtty. Alexander B. Cabrera
S01692Envoy sa China, subordinate ni President Duterte. Tapos ito naman po yung anak niya na vice president. So yung significant influence, meron po yung significant influence because of her position and long time relationship with JTC, with Jaime T. Cruz. At given yung kanya mga dating ownership sa kumpanya na kung saan silang magkasyosyo, kinopia po namin yun. Pero sabi ko nga po, conservative po yun. Kasi po kung silang dalawa po yung magkasyosyo, tulad po sa Metro City Chow, kung saan syosyo po sila doon sa Chow King, 80-20 po yun eh. Dahil yung iba pong mga accounts doon eh nominal. So kung sa GenCorp naman, si Jaime T. Cruz na siyang may-ari ng JTC Group of Companies, effectively siya yun, 55 siya doon. Kung partner sila ni BP Sara, 45 si BP Sara.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01695short, ang sinasabi ko ninyo, possibly anywhere from 20 to 45. Yan yung inyong expert analysis but that's also an assumption. Hindi kayo sigurado pero sa tingin ninyo, Anywhere from 20 to 45, posible. Okay. Yung pangalawang assumption po na ginawa ninyo is that lahat ng undeclared income, pinaghati-hatian.
Report correctionAtty. Alexander B. Cabrera
S01700Ito po yan. Pero hindi ko po siya tatawaging assumption. Marami pong rules na ginagamit po na maaari pong mag-lead sa piercing the veil. Yun po'y aking judgment. Pero yung judgment pong iyon ay meron pong malinaw na basihan. Pero kayo pong mga honorable senate judges po ang mag-de-decide po kung tama po yung gamit.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01701But kasi posible namang yung undeclared income, posibleng pinang-invest sa ibang bagay, or posibleng pinambili ng ibang bagay, yung pinaghati-hatian siya itself is an analysis. I think ito rin yung mga tanong ni Senator Lacson kanina yan.
Report correctionAtty. Alexander B. Cabrera
S01703Tama po. Pagpasensya nyo na po yung language ko po pero minsan po na oversimplify ko. Kasi ang hirap pong ipaliwanag ng piercing the veil ng hindi ginagamit yung corporation as a separate juridical personality from the owners of the corporation. Kaya sinimplehan ko lang po, pag hindi mo ipinasok sa negosyo, ibig sabihin, itatago nyo yun. At kung itatago nyo yun, alam naman itatago nyo yun
Report correctionSen. Paolo Benigno “Bam” Aquino
S01706Atty. Alex ah. So itatago ninyo, therefore paghatian, hindi ba pwedeng itatago ninyo at gagamitin sa ibang bagay? Or in your experience, in decades of experience, usually ba yung nakatago at hindi dineklara sa BIR ay pinaghahatihan ng mga may-ari, ng mga beneficial owners?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01708ganun yun, usually. Kung hindi ka magtatago para mag-invest ulit sa ibang negosyo
Report correctionAtty. Alexander B. Cabrera
S01709_T2Opo, hindi. Kaya po tinatago. Hindi po ganito yung mga kliyente namin pero ako po ay nakukonsult po sa iba't ibang mga bagay at marami na po siyempre yung natignan ng mga tax assessment cases etc. Pagka yan po ay hindi dinideclare kasi gusto po nilang palakihin yung income nila.
Report correctionAtty. Alexander B. Cabrera
S01711po yun sa mga corporations po. Kasi po masyado pong mabigat yung tax. Kasi pag nagdeclare ka, may tax yun. So bawas
Report correctionAtty. Alexander B. Cabrera
S01713Tama po. At kung lumalaki yung income dahil nakailag sa tax, Eh, syempre po, paghahatian nyo yun. Kasi kung nasa loob po
Report correctionAtty. Alexander B. Cabrera
S01719dividends. Hindi na po kailangan i-declare na dividends. Wala po doon sa loob eh.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01720Okay. So, let's go to table 39. And ito kasi gusto ko lang linawin. I'm sure nasa isip rin ito ng ibang mga center judge. Dito sa, we have the total undeclared cash, section 1, 2, 3, 4, 5. Okay. Alin po dito yung based purely on bank records and based purely on the insurance records. In fact, yung insurance po is really more like an investment. Hindi talaga siya yung pangkaraniwang pag-iintindi ng insurance na parang meron kang makukuha pag namatay. It's really more like an investment kasi parang stocks pa nga yung iba. So, alin po dito? Aling section dyan yung galing talaga sa bank record?
Report correctionAtty. Alexander B. Cabrera
S01721Yung bank-based information po dyan, column 2, 3, 4, 5. Hanggang 5 po.
Report correctionSen. Paolo Benigno “Bam” Aquino
S017243, section 4, or section 5? Siguro section 5 ba itong dulo? Parang baka typographical error ba yan?
Report correctionAtty. Alexander B. Cabrera
S01731sasabihin ko lang po, pati po GenCorp is bank-based. So lahat po yan bank-based except po yung nakahiwalay po na GenCorp. Yan po kasi yung kakaiba na meron po kaming attribution.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01736yung purely on bank... records na wala kayong ginamit na attribution or assumption or 20% or ganyan, anong section po yun dito?
Report correctionAtty. Alexander B. Cabrera
S01737Yan po lahat. Except yung GenCorp po na merong attribution. Pero yung pong mga Cale88, Metro, City, siyempre po, gumamit po kami dyan ng piercing the veil. Okay.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01738Piercing the veil. Pero hindi kayo naglagay ng porsyentuhan? O yung porsyentuhan na yan mula sa GIS?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01740if I'm not mistaken, ito lang GenCorp 55, 74, 82, 2023, 2024, 2025. Yan lang yung gumamit kayo ng... Assumption on ownership
Report correctionAtty. Alexander B. Cabrera
S01740_COVERAGE_1Opo. Pero Senator Bam, kaya ko pong ipaliwanag kung bakit po malakas yung, alam ko po yung gusto nyo pong puntahan, 817 minus 2-1-1. Pakicompute po, may calculator po. So sabihin natin 600 na lang po. Alam ko po natanggal po yung GenCorp ay 600 na lang po. Pero ito po yung ano, siguro po mahalaga pong masabi, Marami po kami hindi sinama dito na
Report correctionAtty. Alexander B. Cabrera
S01741Dahil po napaka-controversial pero hindi po ibig sabihin na mali pag sinama namin. Una po dito yung confidential funds po na around 475 million during the two-year period.
Report correctionAtty. Alexander B. Cabrera
S01742In respect of that po, yung Martinez versus Sandigan Bayan, pagka hindi mo na-liquidate yung Yung pondo na nasa iyo, meron pong pwede pong i-assume that it was used or malversed for personal use. Pagka yun po i-ginabi niyo for personal use, syempre po income po yun. So 475 po yun na kayang-kaya niya pong talunin yung mawawala po kung sakali na 200.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01743Attorney, huwag muna natin itindihin yung final number. Kasi the final number should be based on the evidence. Ang dating kasi parang pampalit. Wag ho ganoon. Let's just go step by step. So section 1, ito yung bank records. Tama ba?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01745Okay. Nang Sara Duterte, Man Scarpio, and any joint accounts.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01747Yung section 2, ito yung mga, ano tong section 2?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01749physical properties na wala na hindi nyo mahanap sa mga sasariyan.
Report correctionAtty. Alexander B. Cabrera
S01750kasama po dyan ang mga investments po at saka investments and insurance po nandyan din po.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01751Nandito na yun? Okay. So the insurance which is actually more like investments are personal properties.
Report correctionAtty. Alexander B. Cabrera
S01754Yan po yung outso po na hindi po napunta. sa personal properties or properties, physical properties at hindi po naiwan sa undeclared cash po.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01755So hindi pa rin ito yung sa corporation, si section 3?
Report correctionSen. Paolo Benigno “Bam” Aquino
S01757This is still based on the records sa mga banko, investment?
Report correctionAtty. Alexander B. Cabrera
S01758Kanila po yan. Yung corporation po natin nagsisimula po dun sa next section. Ito pong Cale88 at Metro City.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01759Si Cale88 at Metro City, malinaw yung ownership. Tama ba ni Man Scarpio?
Report correctionAtty. Alexander B. Cabrera
S01762Wala po. Si Dr. Lebosada po yung partner niya po dyan.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01765_T2In each metro, for Metro City and Cale88. So may basis kayo to compute yung undeclared
Report correctionAtty. Alexander B. Cabrera
S01766_T220% po si VP Sara sa Metro City Chow. 47.5% po si Atty. Mans Carpio sa Cale88.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01767Okay, so it's actually just GenCorp, itong pang limang column kung saan kayo nag-apply ng 20% assumed ownership.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01767_R3Okay, so kung tatanggalin mo yun, yung may assumption kayo, paki-add nga ulit, magkano yun? Paki-
Report correctionSen. Paolo Benigno “Bam” Aquino
S01768records of the bank, records of the insurance companies, records of SEC, 606 po.
Report correctionSen. Paolo Benigno “Bam” Aquino
S01768_A3And then yung natitirang 211, technically, pwedeng lumiit, pwedeng lumaki. Pag malaman natin kung magkano talaga yung ownership sa GenCorp, pwedeng lumiit, pwedeng lumaki yung 211.
Report correctionSen. Francis "Chiz" G. Escudero
S01775The Senate President is recognized. You may proceed, sir. You have a variable period of two minutes.
Report correctionSen. Sherwin T. Gatchalian
S01776Thank you, Mr. Presiding Officer. Magandang hapon, Atty. Alex.
Report correctionSen. Sherwin T. Gatchalian
S01776_M3Kikita mo naman gano'ng kahalaga yung testimonya mo at yung report mo dito sa impeachment na ito dahil yung tanong ay binigyan kami ng mas mahabang panahon para magtanong at mag-clarify ng mga items dito sa report. So yun ang gagawin natin, mag-clarify. At susundan ko yung mga tanong ni Sen. Bam dahil mahalagang maklarify ito. At pupunta ako dito sa GenCorp.
Report correctionSen. Sherwin T. Gatchalian
S01777At nakita ko dito sa GenCorp, basically ang sinasabi ng report mo na mas malaki ang perang pumasok kaysa sa sales nila. Tama po ba?
Report correctionSen. Sherwin T. Gatchalian
S01779So ang ibig ba sabihin yan na may perang pumapasok at hindi nila rin i-record as sales?
Report correctionSen. Sherwin T. Gatchalian
S01781Pwede ba mag-iba ito? For example, loan, advances, or even pass-through, baka pinadaan lang yung pera doon. Pwede bang ganun ang nangyari dito sa GenCorp?
Report correctionAtty. Alexander B. Cabrera
S01782Hindi po talaga likely kasi dapat po i-record din po nilang payable. Bakit pa po nila inilalabas?
Report correctionSen. Sherwin T. Gatchalian
S01785So itong nakita ko dito sa report niyo, from 2022 to 2025, ang undeclared inflows ay 1 billion. Ibig sabihin, pumasok yung pera, 1 billion, pero hindi niyo nakita sa kanilang balance sheet or even sa kanilang income statement.
Report correctionSen. Sherwin T. Gatchalian
S01787dahil pumasok ito sa kanila, sinasabi niyo rin, na hindi sila nagbayad ng buwis. Tama po ba?
Report correctionSen. Sherwin T. Gatchalian
S01789yun yung kanilang hindi binayaran na buwis dito sa GenCorp?
Report correctionAtty. Alexander B. Cabrera
S01792Ay sorry po, ginagamit ko na yung bagong rate na kahit at 25%, 250 million po.
Report correctionSen. Sherwin T. Gatchalian
S01793So ibig sabihin ang GenCorp hindi nagbayad ng 250 million in taxes?
Report correctionSen. Sherwin T. Gatchalian
S01795Okay. At sinasabi nyo rin dito sa inyong report, dahil hindi siya nagbayad ng taxes, pwedeng i-pierce yung corporate veil.
Report correctionSen. Sherwin T. Gatchalian
S01801ganun po lalabas, Ang mangyayari ho, yung mga shareholders ang dapat, unang-una, yung shareholders ina-attributing income sa kanila, yung taxes, sila rin ang dapat magbayad.
Report correctionSen. Sherwin T. Gatchalian
S01803itong 250 million in taxes, dapat ho yung mga shareholders magbayad prorated.
Report correctionSen. Sherwin T. Gatchalian
S01807Ang tanong ko ngayon, meron bang mga kaso o jurisprudence na ganun na ang ginawa? Na pierce yung corporate veil dahil hindi ho nagbayad ng taxes?
Report correctionAtty. Alexander B. Cabrera
S01812Medyo hindi ko po... Pinagandaan yung listahan po ng jurisprudence po sa piercing the veil kasi masyado po marami.
Report correctionSen. Sherwin T. Gatchalian
S01813particular case na hindi nagbayad ng taxes, kaya ang dapat magbayad ay yung mga shareholders.
Report correctionAtty. Alexander B. Cabrera
S01814Actually yung tax code po na in-adjust niya to 30%, meron pong isang kaso, hindi ko na lang po banggitin yung pangalan, na mas mababa po doon. Pero yung mas mababa po doon, pero hindi po siya naging fraud. Dahil po ang sinabi po sa kasong yun, gawa nung ipinakita naman lahat sa BIR ay hindi po na deprive ang government ng opportunity to find out kung ano po yung nangyari. And nakita po nila na may good faith po doon sa... under declaration. Yun po yung 20. Kaya po nung ginamit po yung case na yun, nag-develop na lang po ng 30 para wala na pong usapan, prima facie evidence of fraud po ang ginamit nilang basihan. Kung babasahin niyo po yung bagong tax code, ang ginagamit niya po, substantial under declaration. Pwede pa rin pong magkaroon ng piercing of the veil kahit po lower than 30%. Except pag 30%, mas madali na. Pero pag lower, pwede pa rin po. Yun po yung provision po ng tax code pag tinignan niyo po dahil nagsisimula siya sa substantial under declaration.
Report correctionSen. Sherwin T. Gatchalian
S01816Para rin makompare rin namin dahil importante itong ginawa niyong kagaya na sinabi ni...
Report correctionAtty. Alexander B. Cabrera
S01817Pagkatapos na lang po. Bigay ko po sa inyo yung pangalan. Baka magalit po.
Report correctionSen. Sherwin T. Gatchalian
S01818Alright. Sige. Pero may kaso. Okay. Isupply nyo na lang yung GR number or yung case number.
Report correctionSen. Sherwin T. Gatchalian
S01819Isa pa rin clarification. Dahil nga wala namang sa GIS yung pangalan ni... Vice President Sara. Pero nasa kanyang SALN itong GenCorp. At naiintindihan ko kung paano yung methodology na ginawa ninyo. At narinig ko rin kahapon sa sinabi nyo dahil napakahalaga yung GenCorp na importante yung declaration sa SALN. Anong basis nyo dyan sa statement na yan?
Report correctionSen. Sherwin T. Gatchalian
S01820Meron ba kayong legal basis, again, jurisprudence na sabi nyo na mas mahalaga yung timbang ng SALN kaysa sa GIS?
Report correctionAtty. Alexander B. Cabrera
S01821Opo, unang-una po, yung SALN po ay final po ng Vice President po.
Report correctionAtty. Alexander B. Cabrera
S01822Pangalawang pinakamataas na may katungkulan po sa ating bansa. Pangalawa po, it's a statement under oath versus po sa mga private corporations po na nagpa-file na
Report correctionAtty. Alexander B. Cabrera
S01823Wala pong tulad ng consequence na maaari pong mangyari for erroneous document or erroneous declaration. Wala pong masyadong ano kasi sa SEC po, mababa lang po yung multa dyan kung meron man, kung merong inaccurate na i-file on JS. So dahil po yung consequence po magkaiba, ay mas Kinikilingan ko po yung isa po na may malaki pong consequence.
Report correctionSen. Sherwin T. Gatchalian
S01831then nakita ko rin dito sa report nyo na meron kayong mga bagay doon na tingin nyo na hindi naman mga nominees lang yung mga tao. I think tatlong tao, dito sa report niyo may tatlong tao kayong in-identify ng mga nominees. Paano niyo, ano ang basihan niyo na din-declare niyo silang, sa report niyo, in-assume niyo sila ng nominees? At ang totoong may-ari ay si Vice President Sara.
Report correctionAtty. Alexander B. Cabrera
S01832Opo, si Jaime T. Cruz po kasi isa pong sikat na negosyante sa Davao. Pagka po... Ginamit po naming model yung Metro City Chow dahil fast food chain din po, Jollibee po yung nandun. Sila po yung magkasyosyo doon at ang nakita nga po namin doon ay 80-20. Kaya sinasabi lang namin kung sila rin yung magkasyosyo sa GenCorp eh 55-45 dahil 55 yung kay Jaime T. Cruz. At subalit po baka masyadong mataas po yung 45, bumaba po kami ng 20 at ang na-identify po namin na 20 ay si Richie Cruz na sa Metro City Chow po, 0.04% po yung pag-aari niya or nominal share lang po. Pero pagdating po sa GenCorp eh naging 20 po. So sabi namin ito, baka ito yung nominee niya, yung asawa po ni JTC.
Report correctionAtty. Alexander B. Cabrera
S01833Pero hindi lang po yung kinopia po namin tulad nga po nung naipaliwanag ko kanina. Ano ba yung merong sense na ba't mo nilalagay dyan? Diba? So parang sabi po namin kung mahalaga kasi kaya mo nilalagay dyan. And meron po siyang, kaya po inassume namin na using po yung accounting rules na 20, ang threshold, SEC mabrandom circular na attribute po ng ownership niya. 20% din po yung threshold. Tapos yung pong ano, yung pong sa Metro City Chow po, yung sa GIS niya po, na ang nakalagay po ay, sorry po, sa GenCorp po, ng GIS niya po ang nakalagay po ay JTC Group of Companies. Nag-violate po yun ng ultimate beneficial owner disclosure na isa pong requirement po ng SEC. At hindi niya po dinisclose sino po talaga yung ultimate beneficial owner na ang pwede lang po maging ultimate beneficial owner based on SEC rules is a natural person. So taking all that, kaya po napilitan po kami maglagay po rin ng motibo. Bakit hindi ka pwedeng mag-disclose sa GIS ng GenCorp. Kasi nga po, kumuka po ng kontrata yung GenCorp sa City of Davao. So yun lang po yung hypothesis namin kung bakit hindi po siya sinasama sa GIS pero nilalagay naman po niya sa SALN niya yung GenCorp.
Report correctionAtty. Alexander B. Cabrera
S01835may tagagawa po siya nung SALN niya, alam po siguro yung tagagawa na siya po yung may-ari. Tapos pinipirmahan niya po yun eh. So, baka po naging careless lang po.
Report correctionSen. Sherwin T. Gatchalian
S01838the same, tatalon lang ako sa isang company. Ganun rin nakita ko sa pag-analyze mo ng Metro City Chow na mas malaki rin yung pumasok na pera kumpara sa benta. Dito ang undeclared inflows ay 98 million pesos. So, kung 98 million pesos ang undeclared inflows, hindi niyo rin nakita sa kanyang libro kung ito ay advances, ito ay loan?
Report correctionAtty. Alexander B. Cabrera
S01839Oo po, wala po yan sa libro. Yung mga nasa libro po ay, ang ginawa po kasi namin, total inflows, tapos nag-compute po kami ng inflow ng kumpanya based on their statement of financial cash flows. Yan po yung
Report correctionAtty. Alexander B. Cabrera
S01840main na document na ginamit namin. Tapos yung deprensya po, yun po yung kinonsider po namin undeclared. So, In other words, binanggan namin yung total bank inflows sa inflows per financial statements.
Report correctionSen. Sherwin T. Gatchalian
S01841And ganun rin na mayroon ding tax liabilities. May utang to. Kung
Report correctionSen. Sherwin T. Gatchalian
S01843At ganoon rin, dahil mayroong utang, eh dapat may dahilan na ngayon i-pierce yung corporate veil. At
Report correctionSen. Sherwin T. Gatchalian
S01845rin, yung kanilang shareholder rin, ang dapat first i-attribute yung income sa kanila, at pangalawa, sila ang dapat magbayad ng
Report correctionAtty. Alexander B. Cabrera
S01850Kung maaari ko lamang pong mabanggit, yung corporation po kasi wala po yung sariling puso at utak eh, at kamay at paa. Ang kanya pong utak, puso, kamay at paa ay nasa board of directors po at saka sa mga may-ari sa kanya. So yan po yung nagbibigay buhay sa corporation.
Report correctionSen. Sherwin T. Gatchalian
S01851So ibig sabihin kung ang corporation ay hindi nagde-declare ng tamang sales, hindi
Report correctionSen. Sherwin T. Gatchalian
S01853nagbabayad ng tamang buwis, ay may kagagawa nun yung mga...
Report correctionSen. Sherwin T. Gatchalian
S01855_T3All right. Pupunta naman ako. May tatlong corporation kasi nabanggit nyo dito. Dito sa Cale88.
Report correctionSen. Sherwin T. Gatchalian
S01856Ganun rin yung inyong analysis na meron 35 million pesos na hindi diniclear.
Report correctionSen. Sherwin T. Gatchalian
S01858Ganun rin. May utang rin to. So magkano yung utang na buis dito sa Cale88?
Report correctionAtty. Alexander B. Cabrera
S018595 million plus po. 6 million po siguro kung ganun lang po yung undeclared. Pero 51% po yung under declaration.
Report correctionSen. Sherwin T. Gatchalian
S01862sa Cale88. Doon sa AMLC report, nakita namin na may 700 million na pumasok in terms of inflows. Pero dito sa bank
Report correctionSen. Sherwin T. Gatchalian
S01863inflows na, dito sa bank inflows sa report ninyo, 247 million. Meron bang possibility na recorded nag-AMLC pero hindi recorded? sa libro ng corporation?
Report correctionAtty. Alexander B. Cabrera
S01864Yung AMLC po kasi ano eh, nagtatag po siya ng transactions, cover transactions saka mga STR po. So hindi po possible po na, hindi po mali yung AMLC. Hindi po siya mali. Kasi yun po yung gawain niya, magtag po ng transactions. Pero kami po sa ginawa po namin, pati yung report pong yun na may nakita kami mga paired. or pairing.
Report correctionSen. Sherwin T. Gatchalian
S01871total na yun eh. That is China, other countries, tsaka iba pang mga inflows.
Report correctionSen. Sherwin T. Gatchalian
S01871_F3So anong possibility na may pumasok, according to AMLC, may pumasok na 700, pero according to your report,
Report correctionSen. Sherwin T. Gatchalian
S01872Inflows 247. What are the possibilities based on your expert based on your experience and expert opinion?
Report correctionAtty. Alexander B. Cabrera
S01873Maari po kasing pumasok at matag once tapos po i-convert into a credit dun sa account matag twice. Pagka ganyan po tinatanggal po namin yung isa.
Report correctionAtty. Alexander B. Cabrera
S01875maari pong magduda kami na baka magkaiba to hinati lang. Pwede rin po yun. Pero sabi ko nga po, doon po kami sa conservative ang lagi po namin ginagamit.
Report correctionSen. Sherwin T. Gatchalian
S01876Pwede bang pumasok, hindi pumasok? Kasi tinignan nyo yung bank accounts, di ba?
Report correctionSen. Sherwin T. Gatchalian
S01878Pwede bang natag sa Cale88 pero hindi pumasok sa bank accounts? Meron bang ibang way na pwedeng pasukan ang pera na hindi bank accounts?
Report correctionAtty. Alexander B. Cabrera
S01880account po yung papasukan. Otherwise po hindi po matatag ng AMLC eh. So bank account po yung pinasukan. Pero most likely po foreign currency account yung pinasukan. At alam po namin na may foreign currency account versus local bank accounts. Kasi compare po namin yun at magkaiba po yun.
Report correctionSen. Sherwin T. Gatchalian
S01881So, it can be tagged twice in other words. Foreign and then peso.
Report correctionAtty. Alexander B. Cabrera
S01882Pagka-convert po, possible po matag po ulit yun kasi kung ililipat po nila.
Report correctionSen. Sherwin T. Gatchalian
S01884Pupunta naman ako doon sa question ni St. Teresa on the, doon sa kiting, check kiting and or tinikling. Anong significance nito dito sa inyong report? May nakita ba kayong, kasi merong 90 million around 2010, 2011. Nakita natin may mga managers check na nag-expire. But ano ang inyong nakitang connection dito naman sa mga present transaction, itong mga last three years of transactions?
Report correctionAtty. Alexander B. Cabrera
S01885So kung titignan po natin magmula-simula, parang noon na po,
Report correctionAtty. Alexander B. Cabrera
S01886Time deposit po na hindi naka-declare. Tapos managers check po ang paraan para hindi po ma-declare. Tapos po naging investments na po na hindi naka-declare. So parang nagbabago po yung mode nila
Report correctionAtty. Alexander B. Cabrera
S01888kung paano po sila mag-ano po ng asset, mamili po ng asset.
Report correctionAtty. Alexander B. Cabrera
S01890Nag-ano po yan eh, na-convert na po to insurance yung 80, tapos yung 16.2, sinuli po kay Sammy Uy. Ay sorry po sa word na sinuli. Niremit po, binayad po kay Sammy Uy.
Report correctionSen. Sherwin T. Gatchalian
S01893naging investment lang? At hindi rin na-declare yung investment na yun.
Report correctionAtty. Alexander B. Cabrera
S01896_T2Sandali lang po. Parang na-declare po yung insurance po. Na-pick up po namin yun eh. Yung insurance na 80 million po.
Report correctionSen. Sherwin T. Gatchalian
S01897Okay. 80 million, was it declared or not declared? Based on your analysis.
Report correctionAtty. Alexander B. Cabrera
S01898Kasi po yung... The way that we do it po, kinukompare po namin lahat po ng personal properties dito po sa na-declared po versus po dito sa mga personal properties po na hindi po declared. Kaya total po yung ginagamit po namin eh. So baka po, pagbalikan ko lang po yung detalye, makikita ko po kung specific identification kung kaya pero certainly yung totals po nun tama.
Report correctionSen. Sherwin T. Gatchalian
S01901So hindi siya pumasok sa SALN. So in other words, in short, in time deposit na naging investments through insurance, hindi po pumasok sa SALN.
Report correctionSen. Sherwin T. Gatchalian
S01902My last question, dito sa Finlash ni Senator Bam kanina, in total undeclared income of the couple, which is about 111
Report correctionSen. Sherwin T. Gatchalian
S01910So pumasok to sa kanilang bank, the way you computed it, pumasok to sa kanilang bank accounts.
Report correctionAtty. Alexander B. Cabrera
S01914_L2Honorable Win, para lang po for clarity po, kasi po yung pumasok po, meron pong natira sa ending balance ng cash. Tapos meron pong na-convert into properties, personal and real property. Tapos ito pong third column, effectively po, yan po yung outflow na hindi po namin alam kung saan pumunta.
Report correctionAtty. Alexander B. Cabrera
S01918Sa bank records din po, sa statement of account po.
Report correctionAtty. Alexander B. Cabrera
S01926Kasi maaari pong pagka po check eh, makikita po natin pero marami pong cash deposits.
Report correctionSen. Sherwin T. Gatchalian
S01927Okay. But hindi nyo alam kung ito galing sa negosyo?
Report correctionAtty. Alexander B. Cabrera
S01928Hindi po eh. Wala po tayong ganung klaseng dokumento eh. Kaya yung ginagamit po natin dito, yung principle of law.
Report correctionAtty. Alexander B. Cabrera
S01929Actually po, kung ano man po yung mga nasa bank accounts natin ngayon, pag may nangyari po sa atin, subject po yun sa estate tax, di po ba? Ganyan po kabigat yung presumption ng law eh na kung ano yung nasa bank account mo, ay sa'yo yun.
Report correctionAtty. Alexander B. Cabrera
S01930So kung halimbawa po yung nasa bank account po sabihin na held in trust lang yan eh. Kung held in trust yan eh dapat nakadeclare naman po yung liability. Kasi ang ibig sabihin po ng held in trust meron kang cash pero meron ka ring liability pero hindi po nakadeclare yung liability yun po sa SALN. At kung sabihin naman natin na Hindi, held in trust talaga yan. So parang kada deposito po held in trust. Parang naging bangko na silang pinagdideposito ng mga tao na lahat po held in trust. So parang hindi po kapanipaniwala na yan po lahat eh held in trust. So ang pwede lang po dyan ay maging income, payable, o kaya po donation. Pero sa isa pong vicepresidente, or public officials for that matter. Bawal po yung donation. Minimal value lang po yung pwede sa donation. In fact, ang sabi po sa batas in the course of work. I think,
Report correctionAtty. Alexander B. Cabrera
S01931well, anyway. Ang sabi po sa batas is hindi ka allowed mag-accept ng donation unless nominal value Bawal pong mag-accept ng donation in the course of your work. Subalit ang vice-presidente po, ang pagiging vice-presidente po ay 24-hour job. Yan po yung nasa isip namin. Kahit natutulog siya, is vice-presidente po siya. Kahit po weekend, vice-presidente po siya. Nasa bakasyon po siya, vice-presidente po siya. Kasi po hindi naman po tumitigil yung... yung inyo pong obligasyon pagka kayo po ay naging vice-presidente. So na-rule out na rin po namin yung donation kasi bawal yun. So kung hindi yan donation, walang nakadeclare na payable sa SALN, ang manner na lang na pag-acquire mo dyan ay income. Yun po yung ginamit po naming proseso. Kung
Report correctionAtty. Alexander B. Cabrera
S01933Tama po. Pero tinanggal din po namin yung mga ibang baka yung Pumasok po doon ay galing lang po sa kanya pong ibang bank account. Eliminated din po yun. So may mga eliminations po kaming ginagawa. But in principle po, yun po yung dahilan kung bakit po yung mode of acquisition po ng ownership na in-assume namin ay income. Yung isa po pala doon eh, pamana pero hindi naman po pamana yun.
Report correctionSen. Sherwin T. Gatchalian
S01934Kung income to, magkano ang income tax na kailangang bayaran?
Report correctionSen. Sherwin T. Gatchalian
S0193830 million. More or less 35 million ang kailangan bayaran. Sa
Report correctionSen. Sherwin T. Gatchalian
S01940Thank you Mr. Presiding Officer. Thank you Atty. Alex for the clarification.
Report correctionSen. Francis "Chiz" G. Escudero
S01941Thank you. Sen. Judge Camille Villar is recognized thereafter. Sen. Judge Pia Cayetano to avail of their first round.
Report correctionSen. Camille Villar
S01942Thank you, Mr. Presiding Officer, and magandang hapon po, Atty. Cabrera.
Report correctionSen. Camille Villar
S01946Yes, good afternoon. May mga konting clarificatory questions lang ako. Dito po sa inyong, dito sa forensic report po ninyo, ay sinuri ko yung iba't ibang mga tables. So meron lang po kung isang nakita, tapos gusto ko lang po i-clarify. Kasi unahin na lang po natin dun sa... Main amount, tapos kung paano tayo nag-arrive dun sa main amount. Dito kasi sa table 39, sa page 37, meron kayong linagay na total undeclared, hindi po ba? Tapos andyan po yung mga total, yan yung total na minimension ng lahat ng tao since kanina na ilang milyon. Nakita ko po, meron po tayong first column that's total undeclared cash. Then the second column is section 2 is the total undeclared other personal and real properties. Section 3 po, yun po ay under undeclared assets. Tapos under undeclared income naman po, section 3, merong total undeclared income of the couple. And then section 4 is the computed undeclared income of Calilung 88
Report correctionSen. Camille Villar
S01948and Metro City and then total computed undeclared income. So, ang napansin ko po dito, dito sa second section, section 2, itong total undeclared and other personal and real properties po, sa year 2022, ang amount po ay 76,147,730. So, forgive me, sinusuri ko po ito kasi napakalaki po ng amount. Habang naghihintay po ko, binasa ko po yung report nyo kung paano nyo na-derive kasi gusto ko po tingnan kung gaano pa ka-solid or saan po nanggaling ang ating mga numbers. So, binalikan ko po yung page 10 ng ating report sa interest in businesses. Tapos dito na, dito na natin pinag-uusapan yung GenCorp. Kasi yung section 2, sorry, Page 12 po pala. I found out that you were able to find yung total undeclared personal other than cash assets is you added the investments of in 2022, the insurance, hindi po ba?
Report correctionSen. Camille Villar
S01948_I3And then yung firearms, wala po. And then itong interest in businesses, di ba? Tapos sinubtract niyo po yung nasa SALN. Kaya po kayo nag-arrive sa 76,147,730. Ito po yung sa page 12.
Report correctionSen. Camille Villar
S01950So ito naman pong 76 million ay forms is composed of, yun nga, yun ang sinabi natin. Ito naman... Section C, yung interest in business na 44 million. Ang in-add niyo po yung paid up capital and advances from shareholders. So this is on table 14, page 10. Hindi po ba?
Report correctionSen. Camille Villar
S01952nakalagay po dito, 2022, ang paid up capital po ay 35,359,375. Advances from shareholders is 8,787,500. Tapos ang sinabi niyo pong total interest in business na hindi na-declare is 44,146,875. Hindi po ba?
Report correctionSen. Camille Villar
S01952_Q3Okay. Okay, so hindi ko na po masyadong natingnan yung advances from shareholders pero nakita ko po yung sa paid capital in 20, paid up capital of 2022 of 35,359,300.
Report correctionSen. Camille Villar
S01953359,375 pesos. So dito po naintindihan ko po yung sa year 2022, this is table 15 naman po, ang linagay niyo pong paid up capital by VP Sara is 300,000 pesos po. And I suppose, did you get this from the GIS?
Report correctionSen. Camille Villar
S01953_Q3Okay. And yung ano po, yung paid up capital po by the spouse?
Report correctionSen. Camille Villar
S01955Sa GIS din po. Okay po. Yung calculated capital contribution to GenCorp na 35 million, nabasa ko po dito na yung nabasa ko po dito is una you found out through receipts na GenCorp owns five Jollibee branches throughout Davao. Hindi po ba?
Report correctionSen. Camille Villar
S01957okay naman yun. Pero itong 35 million po na ito ay basically hinanap niyo po sa internet sa Jollibee website po. At nakita niyo na a franchise would cost anywhere between 35 to 55 million.
Report correctionSen. Camille Villar
S01957_Q3Yun po, hindi po ba? Tapos, yeah, it said... I read here you said desktop research from Jollibee's official website shows an initial franchise between 35 to 55 million and then you conservatively assigned 35 million pesos, right? So ang way of computing niyo po is Sabi niyo, 35 million. Inestimate niyo from the website na 35 million ng isang franchise, minotiply niyo po by 5, so 175 million. And then you assumed.
Report correctionAtty. Alexander B. Cabrera
S01960Yun po. Yung tulad po nung napaliwanag ko po kanina, ginamit po namin yung 20% attributed rate. Dahil po sa maraming factors po. Yung relationship po nila ni Jaime Tan. But this
Report correctionAtty. Alexander B. Cabrera
S01964na nagsasabi. Kung makikita niyo po, hudyat po yan eh. Sa report, nakaiwalay po si GenCorp.
Report correctionAtty. Alexander B. Cabrera
S01966Ba't po namin gagawin? Kasi po binibigay po namin sa mga judges, honorable senator judges, ang pagkakataon.
Report correctionSen. Camille Villar
S01969Okay. Alright. So ang caveat mo doon is that you estimated. Ito po yung estimate based on your maybe expertise. Ito po yung amount na sinasabi niyo na...
Report correctionAtty. Alexander B. Cabrera
S01970Hindi po siya estimate in the sense of an estimate. Ano po siya? Sensitivity analysis po.
Report correctionAtty. Alexander B. Cabrera
S01972Yung sensitivity analysis po, alimbawa po yung patay po at mainit-init pa, parang matatansya mo yung kung kailan siya namatay, kung kailan nag-efect yung lason. So, ito naman po, yung sensitivity analysis, kailangan po namin balikan yung historical facts, yung kanila pong partnership with Jaime T. Cruz, etc.
Report correctionSen. Camille Villar
S01973so yun yun. So, based on your sensitivity analysis, yun lang naman, kaya po 20%, kaya po 35 million po ang linagay niyo sa... 35 million po, yun po. Pero dun po sa 35 million, for example, kasi balik po tayo sa paano natin even na-estimate na 35 million yung in-invest sa isang Jollibee. Kasi pwede naman pong 35 million, pwede din naman pong nakalagay dito, pwedeng 55 million. Do you know kung anong taon po binuksan yung limang stores?
Report correctionAtty. Alexander B. Cabrera
S01974Meron po kaming, wala po kaming data on kailan po siya binuksan. Pero
Report correctionAtty. Alexander B. Cabrera
S01976ginamit po namin, kaya po namin tinawag na conservative, kasi yung 35 million po, yun po
Report correctionAtty. Alexander B. Cabrera
S01978yung pinakamababa ng Jollibee. Tapos kung ang pag-uusapan lang po natin ay strictly capital, hindi pa po tapos ang 35 million.
Report correctionSen. Camille Villar
S01979kaya lang po naisip ko po, halimbawa, sa 2022 ba binuksan yung unang Jollibee?
Report correctionAtty. Alexander B. Cabrera
S01980Medyo hindi ko po alam ang data. Kaya po nalansya po. Pero ito po yung point dito eh. At nabanggit ko rin po kanina.
Report correctionAtty. Alexander B. Cabrera
S01994It could be more, it couldn't be less. Yun po yung estimate ko. Kung mali po yun, mali.
Report correctionAtty. Alexander B. Cabrera
S01998po bababa dun ang value po nung investment niya po.
Report correctionSen. Camille Villar
S01999Are you sure? Can you say with certainty na hindi bababa sa 35 million?
Report correctionAtty. Alexander B. Cabrera
S02000Hindi po bababa yung value po nung investment niya po.
Report correctionSen. Camille Villar
S02001E paano kung she acquired it for less? The company acquired it for less. Actually, Gencorp acquired it for less.
Report correctionSen. Camille Villar
S02002Certain po ba tayo na less than 35 million yung na-invest nila, na-invest nung kumpanya? And if you wanna pierce the corporate veil, maybe even the respondent, but perhaps that's a reach.
Report correctionAtty. Alexander B. Cabrera
S02003Yung pinagbabasayan ko po na hindi po bababa kasi po marami pa pong kailangan. Ang isang kumpanya po sa pag-start po. Yun lang po yung basis. In-explain ko lang po kung ano po yung ibig sabihin ng conservative approach. Ang ibig sabihin ng conservative, tingin ko na po, yan na po yung pinakamababa. Kung mali po ako, ay mali po ako.
Report correctionSen. Camille Villar
S02004So that's your opinion po. So that's your conservative estimate. But wala po tayong document. or anything na nakita like a agreement between GenCorp and Jollibee as to the total investment that was made or the acquisition. Meron po ba tayong nakita ganun?
Report correctionAtty. Alexander B. Cabrera
S02005Wala po Honorable Judge Villar, tsaka kulang po ang oras eh. Kulang po ang oras talaga.
Report correctionSen. Camille Villar
S02008document po na nakita other than the receipts that we used. I know you estimated based on your analysis, your sensitivity analysis. I'm just asking if there was any document used that we saw that could further strengthen yung calculated capital niyo po.
Report correctionSen. Camille Villar
S02011So, at least with this column, at least for year 2022, dun po sa calculated capital contribution of GenCorp na falls under interest in businesses and that forms part of the total undeclared personal and other cash, this is based on your analysis.
Report correctionSen. Camille Villar
S02015magkano yung contributed ng GenCorp. And for that matter, I saw nga po na dun po sa audited financial statements of GenCorp ay mababa rin yung income nila after. Hindi po tayo sure, pwedeng inutang po, pwedeng nanggaling from somewhere else, pwede po yun, pero hindi po tayo sure.
Report correctionAtty. Alexander B. Cabrera
S02016Opo, pero yung mababa po yung income nila after, doon po kami may malaking katanungan.
Report correctionSen. Camille Villar
S02017Okay, well tinatanong ko lang, yun lang naman, I can end there. So, again, I just wanted to highlight that at least pertaining to the 2022 calculated capital contribution to GenCorp na 35 million, wala po tayong document. Proving that. And you cannot say with certainty and as a fact na yun ang na-contribute na capital sa GenCorp nung respondent.
Report correctionSen. Camille Villar
S02019po. Yun lang. So, hindi po kayo sure. So, yun lamang po. Maraming salamat po.
Report correctionSen. Francis "Chiz" G. Escudero
S02020Thank you, Senator Judge Camille. What is the pleasure of the Honorable Diokno?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02021I just know if the witness would need to take a bathroom break or stretch his legs before we continue. If that is okay with the Honorable Court and the defense.
Report correctionAtty. Alexander B. Cabrera
S02022Maraming salamat po, Honorable Shell. I'm okay po, Honorable Presiding Officer.
Report correctionSen. Francis "Chiz" G. Escudero
S02025Dahil may mga iba papuntis di kong gagamit niyang witness box.
Report correctionSen. Francis "Chiz" G. Escudero
S02025_SHORT_COVERAGE_2Magsabi po kayo at huwag kayo mag-atubili.
Report correctionSen. Francis "Chiz" G. Escudero
S02027Senator Judge Pia Cayetano is recognized. You may proceed ma'am when you're ready. You have a parable period of two minutes thereafter to avail of the first round. Senator Judge Padilla before the senator judges avail of their second round.
Report correctionSen. Pia S. Cayetano
S02028Thank you, Mr. Presiding Officer. Ako naman ang magtatanong sa ating council baka kailangan nila ng kape because they were under the misimpression when we checked how they were a few days ago na bawal ang kape para sa kanila. So kayong magdalawang isip magpabili ng kape. Siguro naman, Senate President, pwede naman ilibre ng kape. Ang ating mga, mayroon ho bawal yun. So honestly, it's...
Report correctionSen. Pia S. Cayetano
S02032colleagues, kahapon lang sila nag-umpisa magkape kasi akala nila hindi sila pwedeng magpasok ng kape so really apologize for that. I know long hours at the least you can drink some coffee or tea. So I'll proceed. Thank you Mr. Witness. Thank you for your time.
Report correctionSen. Pia S. Cayetano
S02034We appreciate your choosing to participate here in these proceedings. And like we said, I'm a proponent of standing, having a bathroom break, having water. Baka ubos na po. Can our page check?
Report correctionSen. Pia S. Cayetano
S02036Madali lang po sa inyo yung mga tanong ko kasi you are always admired.
Report correctionSen. Pia S. Cayetano
S02037CPA lawyers. We are both lawyers. So, madali ho. I don't even know. Pakapasadahan ko lang sa legal concepts. Very simple. But you will have to help me out with the accounting principles because I am not a accountant.
Report correctionSen. Pia S. Cayetano
S02038Sa economics, my undergrad, three units lang ang accounting. But I've always been fascinated with business. So, I'll be asking a few clarificatory questions. So, Mr. Witness, in page 10, and I've asked my staff to load it so that it's easy for everyone to understand when I make reference to a table, but I also have a copy in my laptop. So, in page 10 of your forensic report, Table 15, it shows the paid-up capital by VP in Column 2, paid-up capital by spouse in Column 3, calculated capital contribution to GenCorp in Column 4, and the total paid-up capital in Column 5. You can confirm that naman po sir, that's from you.
Report correctionSen. Pia S. Cayetano
S02039There may be some redundancy in my questions similar to Senator Camille's but di naman kami nag-usap so narinig ko lang. Medyo iba yung questions ko but it's around this topic. And earlier, you also had mentioned that based on your own, I think the term you used was desktop research. I think you used that term. The minimum total investment in a Jollibee franchise is 35 million.
Report correctionSen. Pia S. Cayetano
S02041In table 15, again, the fourth column, you calculated that the VP's capital contribution to Gencor for 2022 is 35 million, for 2023, the same amount, 2024, the same amount, until 2025. So every year, 35 million. That is what it says, no?
Report correctionSen. Pia S. Cayetano
S02044So are you basically saying that the entire Minimum total investment for a Jollibee franchise, SEVP ang nagsalo. Yun ang theory nyo. Kasi 35...
Report correctionSen. Pia S. Cayetano
S02048Pero sir, in the same report, or at least verbally, kasi I did have a copy of the annexes when you were testifying yesterday. I only saw it today. You said... Well, you also testified that there is no evidence on paper showing the percentage of ownership of the VP in Gencor.
Report correctionSen. Pia S. Cayetano
S02050Because she declared an interest in Gencor in the SALN but wala namang percentages doon and then silent naman ang General Information Sheet or the GIS. Her name is not there. So silent.
Report correctionSen. Pia S. Cayetano
S02052So wala tayong basis. At least wala that you have found so far. And now please correct me if I understood correctly. Therefore, you assumed that using another corporation, Metro Food Corp, if I remember correctly, where she has a 20% stake, you used the same percentage because similar yung mga stockholders in both companies.
Report correctionSen. Pia S. Cayetano
S02054Ano yung pakidagdag da rin huwi para maintindihan ko yung way of
Report correctionAtty. Alexander B. Cabrera
S02056City Chow is one and yung Davao Royal Taipan is another one where she had 20%.
Report correctionAtty. Alexander B. Cabrera
S02060Not identical po pero partner niya po si Jaime Tan.
Report correctionAtty. Alexander B. Cabrera
S02064susundan po natin yung relationship nila. At yung rules po sa accounting po na significant influence po.
Report correctionAtty. Alexander B. Cabrera
S02069So pag 20% po yung ownership mo, doon ka nagkakaroon ng significant influence.
Report correctionAtty. Alexander B. Cabrera
S02073Tapos tinignan namin yung ano, kung ilalagay mo yung na stockholder ka sa isang corporation, siguro po hindi 1% share kasi mahalaga po sa kanyang ilagay yung stockholder siya doon sa GenCorp po. Tapos kung yung sa substance naman po, katakataka ba na magkaroon siya ng significant influence? Vice President and matagal na nilang kilala tong si Jaime Tan. So parang hindi po katakataka na para makonsider siyang partner ni Jaime Tan Cruz, meron siyang significant influence. Kaya 20 po yung ginamit namin.
Report correctionSen. Pia S. Cayetano
S02074Sir, I understand the use of the term significant influence. Correct me if I'm wrong. So, you're saying once na ma-establish mo yung tao ay may significant influence or interest?
Report correctionAtty. Alexander B. Cabrera
S02077Significant interest po siguro. Okay. Baka napapagod na po ako. No
Report correctionSen. Pia S. Cayetano
S02078problem. It's okay. Ako nga yung nalilito eh. So, significant interest. So, all you're saying naman po is, aba, pag nakita natin na yung isang tao, may interest siya doon.
Report correctionAtty. Alexander B. Cabrera
S02079Ma'am, sorry po. Mali po ako. Significant influence po.
Report correctionAtty. Alexander B. Cabrera
S02081Pero yung sa SEC po, ownership lang po. Ownership naman siya. Yung sa ultimate beneficial owner, pagka po 20%, Dapat pong i-report na ultimate beneficial owner po. SEC circular, memorandum circular number 15.
Report correctionSen. Pia S. Cayetano
S02082No problem with the number, hindi na natin may namemoration but kudos to you na nare-remember nyo pa yan. Anyway sir, you're establishing certain terms but I don't think you've answered the question na How did you come to that conclusion na meron siyang significant influence? Just because you have significant influence in one corporation, what doctrine can you cite that would state that automatic may significant influence ka din dun sa isang corporation? May ganun ho ba?
Report correctionSen. Pia S. Cayetano
S02089doon. Because sir, ang sa akin lang naman po, it's not unlikely, or let me ask you the question kasi my opinion doesn't really matter.
Report correctionSen. Pia S. Cayetano
S02090Isn't it possible for an investor to have a 5% interest in one corporation, 20% in another, 90% in another? Is that not also a possibility?
Report correctionAtty. Alexander B. Cabrera
S02091Possible po. Possible po yung lahat yung sinasabi niya. Possible po yung lahat.
Report correctionSen. Pia S. Cayetano
S02092So I'm just, sir, having a problem coming to the same conclusion as you na 20% yung holding niya sa GENCOR. Kasi it could be less, it could be more. I'm having a little bit of a problem assuming why. Kasi I remember I'm taking everything you're saying very seriously na dun lang kayo sa minimum na sure kayo, yun lang ipapasok nyo sa assumptions nyo. But I don't know how you came to that
Report correctionAtty. Alexander B. Cabrera
S02093_I2Kasi po kung ako po si Jaime Tan, tapos pa-partner ko po si Baby Sara, ang City Chow po at saka ang Gen Corp po ay pareho po ng nature po ng business, fast food business. 20 po siya dito sa kabila. Tapos partner ka sa akin dito pero hindi kita bibigyan ng malaki. Parang hindi po.
Report correctionSen. Pia S. Cayetano
S02094paano ko naman kung wala siyang nilabas na pera? So for zero investment, binigyan kita ng 10%. Laking bagay din for me.
Report correctionAtty. Alexander B. Cabrera
S02101Is that a possibility? Bawal din po kasi makatanggap ng donation tulad po nung na-discuss ko po na paniniwala namin of nominal value lang po ang pwede niyang matanggap. Tulad nga po nang nasabi ko, in the course of work po siya lagi dahil it's a 24, 365.
Report correctionSen. Pia S. Cayetano
S02102Anyway, I'm just trying to understand your way of thinking na sa tingin niyo po si, what's his name, Jaime? Jaime
Report correctionSen. Pia S. Cayetano
S02104Jaime Tan Cruz would not give her less than 20%. Yun lang naman yung basihan niyo.
Report correctionSen. Pia S. Cayetano
S02106Pero sir, ang follow-up question ko din dyan, so if you assume that she had 20% in one franchise and the minimum investment in one franchise is 35 million, I'm curious why you did not attribute to her advances of 20% of 35 million? Bakit sa kanya po napunta yung buong 35 million na para na siyang 100%? owner ng operations ng Jollibee.
Report correctionSen. Pia S. Cayetano
S02108Hindi sir, kasi every year 35, 35, 35, 35. Every year po yan.
Report correctionAtty. Alexander B. Cabrera
S02109Ano po ito? It continues to be undeclared. Kaya po siya nag-appear every year. Pero po sa counting po natin ng undeclared assets po or income na 817, isang beses lang po yan na count.
Report correctionSen. Pia S. Cayetano
S02110I see. Thank you for that clarification because I was of the impression that every year may additional 35. No, you're just saying hindi mo dineclare yung 35 million nung 2022 and hindi mo naman kinorek nung 2023 so it continues to be undeclared.
Report correctionSen. Pia S. Cayetano
S02112think I was confused sir because at some point you made a statement na Ang total investment nung limang yan is, you said 170, which I think is 35 times 5, tama ba?
Report correctionSen. Pia S. Cayetano
S02116ako na-conclude na that is what you were going with, na 35 million every year, and then binigyan nyo ng discount, ginawa nyo 140. 35 lang
Report correctionAtty. Alexander B. Cabrera
S02117pala. Kaya lang po namin nilalagay sa every year po para lang po ma-capture po yung undeclared po per year or SALN inaccuracy po per year pero hindi po siya kinakount ng doble po pagdating po dun sa total namin na 817.
Report correctionSen. Pia S. Cayetano
S02118Thank you, sir. Thank you. That was a big for me, clarification.
Report correctionSen. Pia S. Cayetano
S02119Furthermore sir you also said that it is your opinion that because malaki and please correct me dun sa choice of words ko no but my understanding is it is your opinion that because malaki yung investment ni VP Sarah sa Gencor because of Jollibee basically ilalagay niya talaga yan sa SALN niya I don't know if it's like a badge of ownership but hindi naman din declare sa Ang name niya sa GIS dahil meron silang dealings with the city hall. So hindi nila gagawin yun. You said that sir?
Report correctionSen. Pia S. Cayetano
S02121wouldn't it also be a possibility na kung talagang gusto niya mag-invest ng Jollibee business with Mr. Jaime, I keep forgetting his last name.
Report correctionSen. Pia S. Cayetano
S02123Cruz. Cruz. JTC. If gusto niya mag-invest, it's equally easy naman to put a new corporation naman kasi Hindi ho ba revelational na ipasok mo yun sa SALN mo? Kung tinatago mo, di, bakit mo lalagay sa SALN mo? That's also a possibility sir, di ba? Sorry, let me rephrase this. Compounded na yung aking questions. If
Report correctionSen. Pia S. Cayetano
S02126Private business that has no dealings with the City Hall, then you can just
Report correctionAtty. Alexander B. Cabrera
S02131-off lang po. Spin-off po ng bagong partnership with the JTC under Corporation X po. Madali pong gawin yan.
Report correctionSen. Pia S. Cayetano
S02132So that could have been done. I mean, we cannot conclude na the reason why...
Report correctionSen. Pia S. Cayetano
S02133Wala yung name niya sa GIS is because tinatago niya na may dealings siya, may dealings ang isang corporation that she's a part of with the City Hall. We cannot conclude that that's the reason na wala yun dun because nilagay niya yung pangalan sa SALN niya and I think kayo din ang nagsabi na mas importante, mas mabigat ang weight ng SALN. Kayo rin ho nagsabi nun.
Report correctionAtty. Alexander B. Cabrera
S02136Kung meron pong dokumento, dalhin lang po at babaguhin ko po yung report ko.
Report correctionSen. Pia S. Cayetano
S02137No, but even as it stands now, what I said are possibilities.
Report correctionAtty. Alexander B. Cabrera
S02138Opo, possible. Possibilities po. Everything po is possible.
Report correctionSen. Pia S. Cayetano
S02140Would you have any reason to make assumptions as to why the Vice President declared Gencor in her salon in 2024 and yet meron ng Jollibee franchise ang Gencor in 2022. Did you look into that? And do you have a theory about that?
Report correctionAtty. Alexander B. Cabrera
S02141Hindi ko po kasi alam kung kailan po nadadagdagan yung branches po ng Gencor.
Report correctionSen. Pia S. Cayetano
S02145na natingnan yun sir. Okay lang. So I'll go on to another point. Thank you for that. Doon din ako nahilo kasi doon sa transaction na yan eh. Sir, doon naman sa table 25, page 20 of your report, ito po yung tungkol sa mga credit card ni Atty. Manz Carpio. Ang sinabi nyo doon sa report nyo is this is
Report correctionSen. Pia S. Cayetano
S02146basically you're showing this I guess to establish and then in quotes banking behavior that may warrant further review and investigation. What banking behaviors exactly did you want to establish or are you trying to establish that would warrant Further review and investigation. The fact that namimili sa isang kilalang discount store si Atty. Manz Carpio because Mega Donkey is a discount store. So ang ini-establish ba natin is dyan siya sa discount store namimili? Are we establishing that mahilig sa sports gear si
Report correctionSen. Pia S. Cayetano
S02147Atorniman, Scarpio. I'm just curious what is that behavior that we are trying to establish?
Report correctionAtty. Alexander B. Cabrera
S02148Opo. So ang thinking po namin, halimbawa po dito po sa yung Nike na lang po muna.
Report correctionAtty. Alexander B. Cabrera
S02150Yung Nike po na December 20, December 28 po ba? Posting date, transaction date, December 27. Isang araw lang, isang transaction lang, dalawang transaction, isang... Isang purchase po yan or isang araw. 206 at 93 is 300,000 pesos plus.
Report correctionAtty. Alexander B. Cabrera
S02152Well, di naman po niya masusot po yan lahat. Obvious naman po na pwede po niyang ipamigay.
Report correctionAtty. Alexander B. Cabrera
S02158Wala po kaming conclusion sa report pagdating po dyan.
Report correctionAtty. Alexander B. Cabrera
S02162Ang ordinaryong tawa po kasi hindi po bibili ng ganyan pong kalaking halaga sa Nike store.
Report correctionAtty. Alexander B. Cabrera
S02163So, maari pong may dahilan. E di kung ma-prove yung dahilan na yun, di okay na po. Dahil sinabi lang naman warrants for their investigation po.
Report correctionSen. Pia S. Cayetano
S02164ko lang po nung... Nung I had the privilege of being selected sa national team ng volleyball, wala akong ka-sponsor-sponsor yung team namin except for of course the Philippine government that was sending us to Japan to compete in the Asian Volleyball Championship. So, daddy ko po yung nilapitan ko at nagbigay siya at that time mga, I can't remember kung 20 or 30 thousand pesos in 1983. I don't know what that value is. Maybe that's worth 200 thousand. So, if somebody sa sports, supporter, it is possible naman na magbigay siya ng ganon. Possible, sir.
Report correctionAtty. Alexander B. Cabrera
S02165Tama po. Nabanggit nga rin po ng defense kanina, nag-abroad o may grupong pinakain or sa Nike Pavilion, merong in-sponsor. Pwede po yun. Wala po ito sa 817 at parang flinag lang po namin.
Report correctionSen. Pia S. Cayetano
S02166O, kasi siyempre nakikita po natin kahit na as a judge ay Try my best not to be influenced by external factors. Pero tao lang tayo, may mga nakikita din tayo. Malayo ho ito sa mga Nepo baby na nagpapakita ng mga luxury bags na 500,000, sapatos, relo na 1 million, 2 million. Kaya I genuinely was curious kung ano ba yung behavior na gusto nyong ma-establish doon. But I think you've responded. I just wanted to give you a chance to respond to that. So kung wala nakiidadagdag, I think this is my one last point.
Report correctionSen. Pia S. Cayetano
S02167Dun ho sa ano, dun ho sa, I forgot the page number no, but dun sa table, I think nabanggit ni Sen. Camille, I forgot what page, page 30. 37, 38, 39, yung the totals, yung may 817 million.
Report correctionSen. Pia S. Cayetano
S02169Would you be able to tell us offhand, alin dun ang based on assumptions? Like katulad nung sa yung napag-usapan natin na contributions or advances niya sa ano sa GenCorp, yung mga ganun. Would you be able to tell us?
Report correctionAtty. Alexander B. Cabrera
S02170Nakahiwalay po na column yung GenCorp dahil alam ko po na contentious issue po ito. Nakahiwalay po na column siya.
Report correctionSen. Pia S. Cayetano
S02175So what you're saying is yung sa GENCOR na lang yung kinoconsider niyong with assumptions?
Report correctionAtty. Alexander B. Cabrera
S02180Bigyan niyo ng chance yung mga judges po. Hindi ko po nilulubog dito. Just to be transparent po.
Report correctionAtty. Alexander B. Cabrera
S02193to the last column. Second to the last po sa kanan.
Report correctionSen. Pia S. Cayetano
S02203so you're saying, so other than 211, so you're saying 817 million minus 211, that would be around 600. Diyan... You have a high degree of certainty with that amount or absolute certainty, sir. Ano ba? Ano yan? Absolute high degree?
Report correctionSen. Pia S. Cayetano
S02210Basically, your conclusion says, based on the foregoing, our conclusions are as follows. VP Sara's SALN for the year blah blah blah were untruthful. Number two, VP Sara during her vice presidency continued to participate in various businesses. Number three, her unexplained wealth based only on the limited documents examined, excluding, I think this is a
Report correctionSen. Pia S. Cayetano
S02212crucial one, number three, her unexplained wealth based only on the limited documents examined, excluding documents in the possession of VP Sara and spouses amount to 817 million. And then number four, for the above-mentioned infringement which happened in 2022 to 2025, established a pattern of constitutional violation year on year, and then five, apart from the Constitution, other laws were violated, and you mentioned the laws. Would you say, sir, that, and now this is where we talk as lawyers, no? The basic protection of due process is observed when you conclude and No longer mentioned that certain assumptions were made.
Report correctionSen. Pia S. Cayetano
S02214Sir, pero in the conclusion kasi sir, yung report nyo is 39 pages. Most of which you will not understand unless you read the 50-page annex.
Report correctionSen. Pia S. Cayetano
S02216let me finish lang para buo yung question natin. So that's almost 100 pages. So clearly, and I don't know, it's up to each judge who they would consult with. Me, I tried my best to understand but I also have to discuss with my lawyers and I do have one tax lawyer, CPA lawyer katulad ninyo. Sana kay singaling ninyo. I would
Report correctionSen. Pia S. Cayetano
S02217think that it's prudent, and I'm asking your opinion, that in the conclusion, masabi naman na there are, in the same way that you say may require further investigation, that i-highlight din na there are certain assumptions that were made here that may alter some parts of this report.
Report correctionAtty. Alexander B. Cabrera
S02220think ang report ko po kasi is a forensic report po. and it's based on my judgment. At tulad nga po nang nasabi ko, maaari pong ituloy ang forensic report, maaari pong itigil na rin ngayon. Kung wala po kasi yung gen corp po
Report correctionAtty. Alexander B. Cabrera
S02222sa computation, hindi pa rin po magbabago yung conclusion namin.
Report correctionAtty. Alexander B. Cabrera
S02223So pagka sinabi ko po na may mga assumptions dito, parang it will put into question po yung buo pong na-compute po namin na unexplained wealth. Kasi po naniniwala naman kami na kung mawala man yung GenCorp, buo pa rin po siya. And tulad nga po nang nasabi ko earlier, meron pa pong mga ibang pwedeng ipasok dyan eh.
Report correctionAtty. Alexander B. Cabrera
S02225pa pong pwedeng ipasok sa report na hindi namin naipasok because
Report correctionSen. Pia S. Cayetano
S02228Manpower. Naintindihan ko lang po sir yun. Ang sakin lang, yung conclusion lang natin.
Report correctionAtty. Alexander B. Cabrera
S02229Kaya po po hindi mailagay yun. It will cast into doubt the entire thing. And kaya po na-explain naman po sa loob yung mga basis namin. Bakit po ako magsasabi na ito yung conclusion ko pero hindi pa ako sigurado sa conclusion ko ha. Yung sinasabi ko po is based on what we've seen, sapat na to para masabi that there are assets which are manifest acquired. or owned which are manifestly disproportionate to our income.
Report correctionSen. Pia S. Cayetano
S02230I understand sir, but you just said now that if you would have to put a statement that says, that reminds people that there are certain assumptions that would be made that would refute your conclusion. But isn't that what you are supposed to present to us? Na the whole truth and nothing but the truth? Such that kung may assumptions nga po na we have to be mindful of these assumptions, dapat hindi natatago yun dun sa almost 100 page report. Dapat clear na clear po sa atin yun.
Report correctionAtty. Alexander B. Cabrera
S02233Ah, po. Naintindihan ko po. Well, naintindihan ko rin po na babasahin nyo rin po naman lahat po ng pages na report.
Report correctionSen. Pia S. Cayetano
S02235Baka hindi huli namin kaya, sir. Kahit ako na sa legal side, okay makapagbasahan, pero yung accounting, umiikot din yung utak ko. So, yun lang naman yung sa akin, sir, na... So,
Report correctionAtty. Alexander B. Cabrera
S02238ilalagay ko po na baka yung GenCorp po ay hindi sigurado po, ganun.
Report correctionAtty. Alexander B. Cabrera
S02245_F2Kasi po, sa ngayon po sa judgment ko po, at ginamit naming sensitivity analysis, conservative na po yung 20%. And maaari pong sa... Pag-uusap natin ngayon, ngayon
Report correctionAtty. Alexander B. Cabrera
S02247po na naintindihan nyo, kaya po namin hiniwala yun. Because I know it can be controversial. Pero hindi porkit controversial siya, hindi na po ako pwede magkaroon po ng professional judgment on that matter.
Report correctionSen. Pia S. Cayetano
S02248Well, I will just leave you with this, Mr. Witness. In a case that is almost 100 years old, 1940, so short of 14 years, Angtibay v. Court of Industrial Relations, I'm not going to ask you for these citations kasi as lawyers din po tayo numememorize ng citation pero I'm sure naalala niyo po yung Angtibay due process.
Report correctionSen. Pia S. Cayetano
S02249May decision dito that is landmark case for due process. The Supreme Court ruled that an administrative body's decision must be supported by substantial evidence, etc., etc., etc., and forbids an investigative tribunal from relying on Sweeping conclusions or off-the-record assumptions. So may ganun ho. Kaya sa akin lang na malaman talaga namin ng buong-buo ano dyan yung question. Tapos bahala rin kami mag-review po sir. May ganun tayo. And then this was reiterated more or less the same principle in the very latest Duterte case and in a string of cases. So that's the purpose of... Clarifying these issues with you sir and the principals both in law and accounting. Thank you so much for your time sir.
Report correctionSen. Francis "Chiz" G. Escudero
S02251Thank you Senator Judge Pia with the indulgence of Senator Judge Padilla. According to Annika, Senator Judge Zubiri manifested earlier his intention to make interjections so we will recognize Senator Judge Zubiri ahead of Senator Judge Padilla. You have a variable period of two minutes sir. You may proceed when you're ready.
Report correctionSen. Francis "Chiz" G. Escudero
S02252Kindly turn on the mic of Senator Judge Zubiri.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02254thank you, Mr. Presiding Officer. Magandang hapon, Dr. Alex.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02256Thank you. Mabilis lang po ito. Simpleng tanong lang po.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02257Noong unang mga two to three weeks ago, naglabas po ng statement nga yung prosecution na meron daw ilalabas ang AMLC more or less na report na 4.4 billion tapos present ka po ng AMLC yung 4.4 billion na suspicious transactions. Hindi masyadong na-take up po ito sa mga tanong ng ating mga prosecutors po sa inyo. Yan po ba'y sinilip din po ninyo itong 4.4 billion? Kasi parang napaka-misleading. Your report basically says 800, ilan ba yan? 817? Million, but this is for four years na nakaupo si Vice Presidente Sara Duterte. Paano po yung sa AMLC? How do you reconcile that?
Report correctionAtty. Alexander B. Cabrera
S02259Ito pong, ito pong Honorable Zubiri, Ito po yung prior po sa 2022.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02260Yan po ang sinabi po sa AMLC report. I think yung sinabi nila 4.4 billion, buo na po yan from 2007 until 2024.
Report correctionAtty. Alexander B. Cabrera
S02261po kasi nagtitake po ako ng... Direction po sa prosecution kung ano po yung titignan. Tapos sa oras po na nalalabi, saan ba natin pwedeng ibuhos ang ating work at ang ating mga efforts. At ang sabi po ng prosecution sa akin, 2022 to 2025 nung nanunukulan siyang vice president. So yun po yung tinignan ko. na mainly. So,
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02262simple yung salita, hindi nyo pa nasisilip yung mga suspicions transactions before 2022?
Report correctionAtty. Alexander B. Cabrera
S02263Partially lang. Partial lang po eh, partial. Parang sobrang partial po. Pero pagka ginamit ko po yung sarili ko para doon, baka hindi ko po matapos yung 22 to 25 po na.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02264But I believe the court was furnished, Mr. Presiding Officer. I believe the court was furnished the documents from AMLC on what these particular suspicious transactions are. It is
Report correctionSen. Francis "Chiz" G. Escudero
S02265with the Clerk of Court, that is correct, Senator Judge Javiri. However, the Senator judges can refer to it in relation to their interjections.
Report correctionSen. Francis "Chiz" G. Escudero
S02267it has not yet been formally offered nor admitted by the court.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02268Maybe just for the benefit of the judges of this... impeachment court. Maybe the court can just give us a rundown of the list that was given by the AMLC, Your Honor, for our perusal and not to be brought out in public.
Report correctionSen. Francis "Chiz" G. Escudero
S02271clerk of court is directed to comply with the request of Senator Judge Zubiri.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02272Sa lahat ng ginawa mong investigasyon sa apat na taon, may na-encounter ba po kayo mga foreign currency accounts or foreign bank accounts?
Report correctionAtty. Alexander B. Cabrera
S02273Una po, wala pong bank statements on foreign currency accounts dahil sa aking pagkakaalam hindi po siya inattempt na isabbi na. Kung meron mang foreign currency accounts na nakita kami, ito po yung sa remittance po sa Cale88 kung saan po yung mga accounts po na pinasukan po nung mga foreign currency remittances po ay kakaiba po dun sa mga local Bank accounts po na pinapasukan po ng mga local transactions. Pero hindi po namin nakita yung bank statement na yun po. Wala po ako nakitang bank statement ng foreign currency deposit accounts.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02274Sa katapusan po, Mr. Presiding Officer, sa binanggit po ng ating kasamaan, Sen. Pia Cayetano, on your report, kung sa English pa, you stand by report.
Report correctionSen. Juan Miguel “Migz” F. Zubiri
S02274_Q5Maraming salamat po sa presiding officer.
Report correctionSen. Francis "Chiz" G. Escudero
S02275Senator Judge Padilla has recognized you have a variable period of two minutes. You may proceed when you're ready, sir.
Report correctionSen. Robinhood “Robin” Padilla
S02276Maraming salamat po aming tagapamahal ng hukong.
Report correctionSen. Robinhood “Robin” Padilla
S02277Bismillahirrahmanirrahim. Meron po sana akong katanungan para po sa prosecution.
Report correctionSen. Robinhood “Robin” Padilla
S02279_F3Masasabi ko po na Tayo'y magkakilala at maituturing ko po kayong kaibigan sa Facebook.
Report correctionSen. Robinhood “Robin” Padilla
S02280Bagamat tayo po'y hindi politically inclined sa isa't isa, mataas po ang respeto ko po sa inyo.
Report correctionSen. Robinhood “Robin” Padilla
S02282Opo. Ginoong Chel? Pwede po ba ngayon ang tawag ko sa inyo? Ginoong Chel? Opo. Opo. Ginoong Chel? Gano'n niyo po kakilala yung ating saksi?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02283Minsan lang po yata kami nagsama sa isang forum. I believe that was a year or two ago. Ayun lang po yung pagkakilala ko sa kanya bago po itong impeachment case. Opo.
Report correctionSen. Robinhood “Robin” Padilla
S02284Parang tayo rin po, ganyan. Masasabi po bang gano'n din pagkakakilala po ninyo sa kanya?
Report correctionSen. Robinhood “Robin” Padilla
S02287Nabalitaan niyo rin po na minsan, Yung ating pong witness ay naging nagtrabaho sa Isla Lipana and Company.
Report correctionSen. Robinhood “Robin” Padilla
S02289Opo. Na ito pong company neto ay ginawang independent auditor ng isang FFT Group of Companies.
Report correctionSen. Robinhood “Robin” Padilla
S02291Opo. Ito pong company neto Meron po itong sinasabi kung nandiyan po siguro baka makita din po ninyo.
Report correctionSen. Robinhood “Robin” Padilla
S02292Meron pong reklamo dito sa company neto na ito daw po ay ng biktima ng mga OFW na marami pong bouncing checks.
Report correctionSen. Robinhood “Robin” Padilla
S02293Isinabit nitong MFT Group of Companies na umaabot po sa limang bilyon. Ang tanong ko po, hindi niyo po ba alam na yung Isla Lipana ang independent auditor nitong MFT Group of Companies?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02294Ang alam ko po ay itong MFT Group of Companies ay hindi po kasama sa mga kasong ito. Ang ating testigo si Atty. Alex Cabrera.
Report correctionSen. Robinhood “Robin” Padilla
S02294_COVERAGE_1Pero siya po ang chairman nung panahon na iyon? Pwede po bang malaman natin kung si... pwede po natin maitanong ang ating witness? Atty.
Report correctionSen. Robinhood “Robin” Padilla
S02294_COVERAGE_3Kayo po ay naging chairman ng Isla Lipana?
Report correctionSen. Robinhood “Robin” Padilla
S02294_COVERAGE_5Panahon pong ano ito? Ano pong panahon kayo naging chairman?
Report correctionSen. Robinhood “Robin” Padilla
S022962021. Opo. Familiar po sa inyo ang MFT Group of Companies?
Report correctionAtty. Alexander B. Cabrera
S02297Opo. Yan po yung ang aming pong kumpanya ang Isla Lipanen Company ay 104 years old po.
Report correctionAtty. Alexander B. Cabrera
S02299At meron po kaming mga 3,000 na kliyente. At sa 104 years of existence po namin, ngayon lang po kami na Nadamay po sa ganyang uri ng problema.
Report correctionAtty. Alexander B. Cabrera
S02303Yung kaso po nangyari po ay tapos na po yung aking term.
Report correctionAtty. Alexander B. Cabrera
S02305Yan po yung financial statement po na kinikwestiyon. Hindi po sa akin dumaan yan. Pero yung kaso po nung nagkaroon po ng...
Report correctionAtty. Alexander B. Cabrera
S02311_F2Wala pong chairman na kakayanin pong dumaan po sa kanya.
Report correctionSen. Robinhood “Robin” Padilla
S02312sabihin, ito po nangyayari lahat ito sa panahon po ninyo at hindi niyo po alam. Sagot lang po, oo lang o tama ba o mali.
Report correctionAtty. Alexander B. Cabrera
S02313_K3Nung panahon po yun, wala pa pong nangyayari. At hindi po ibig sabihin na meron pong mali.
Report correctionSen. Robinhood “Robin” Padilla
S02316yung 5 billion na bouncing checks? Paano po kaya yung mga OFW na
Report correctionSen. Robinhood “Robin” Padilla
S02318po ang nagpatunay na sila ay financially healthy. Kayo po ang nagpatunay. Ang isla Lipana ang nagsabi na wala ang kapoblema ang MFT group of companies.
Report correctionAtty. Alexander B. Cabrera
S02319Senator Robin, gustong gusto ko po siyang sagutin. Ang kaso po ay ang involving po two of our partners.
Report correctionSen. Robinhood “Robin” Padilla
S02322yung tanong ko. Ang haba po ng sagot nyo. Kayo po ba yung chairman nung panahon na yun?
Report correctionSen. Robinhood “Robin” Padilla
S02326Okay po, balik po tayo sa inyo, Sir Chell. Ngayon po, narinig po ninyo, so nung panahon niya, nagsabi po yung Isla Lipana na financially healthy itong MFT Group of Companies, na hindi naman po pala at ngayon ay kinakasuhan na. So okay lang po ba sa inyo yun, Sir Chell, na itong ating witness, nung panahon niya, na siya ay chairman, ay nagkaroon ng sabit itong East Lalipana na for 100 years ay walang sabit. Pero sa panahon niya, sumabit.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02327Buong buo po ang tiwala ko kay Atty. Cabrera. Ang pagkaintindi ko po sa kaso ng
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02329iyan, ang naging kliyente ng East Lalipana ay yung parent company lang po. At ang alam ko, yung nagkaproblema na nabanggit po ninyo, Sen. Robin, ay involve the subsidiaries. Who were not engaged by or who were not served by Isla Lipana?
Report correctionSen. Robinhood “Robin” Padilla
S02330Well, yan po ang hindi sinasabi ng SEC. Yun pong SEC ang nagsasabi na sumabit itong MFT Group of Companies na yung Isla Lipana and Company ang independent auditor at yun po ay sa panahon po ni ginuong witness. Balik naman po ako sa ibang katanungan. Sa inyo po, mahal naming witness, kayo po ay membro ng Integrity Initiative Incorporated.
Report correctionSen. Robinhood “Robin” Padilla
S02332Kayo din po ay membro ng Justice Reform Initiative.
Report correctionSen. Robinhood “Robin” Padilla
S02335At kayo din po pala ay naging membro din ng AFP Multisectoral Governance Committee.
Report correctionSen. Robinhood “Robin” Padilla
S02337Ay, opo, opo. Naging member naman po ako din yan, Strategic Communication. Kayo din po pala ay naging
Report correctionSen. Robinhood “Robin” Padilla
S02338tagapagsalita ng Institute for Solidarity in Asia?
Report correctionSen. Robinhood “Robin” Padilla
S02344_A2Apo. Ang tanong ko po, bakit po kayo hindi nag-member ng Institute? of Certified Forensic Accountants of the Philippines.
Report correctionAtty. Alexander B. Cabrera
S02345Bakit po ngayon hindi nag-member niyan? Salamat po sa katanungan.
Report correctionAtty. Alexander B. Cabrera
S02346Nung naging partner po ako, 9 years na po ako nagpa-practice.
Report correctionAtty. Alexander B. Cabrera
S0234711 years na po ako nagpa-practice nung tinayo po ang Association of Certified Fraud Examiners. Ngayon po ito po ay tinayo po ng isang organisasyon. Yan po ay hindi po yan lisensya. Yan po ay isang certification lamang. Yung license ko po as a CPA and as a lawyer is more than enough po to practice forensic. Yung pong mga nag-iexam po for CFE, ang requirement po nila pag nakapasa po sila ng exam, hindi po sila not necessarily accountant po kahit saan course po. Pero ang requirement po nila pag nakapasa po ng exam, kailangan po nilang magpractice ng two years po lamang Direct or indirect about fraud investigations bago po sila bigyan ng certificate po na certified fraud examiner. Ngayon dun po sa two years na yun, magaan po yung requirement eh kasi direct or indirect. Two years lang po. Yung mga kabataan po sa amin na pumapasok ng mga bata pa po, nagtitake po sila ng mga CFA. Tinitrain po namin sila kung paano po mag gumawa po ng forensic audit kasi kailangan po nila ng 2 years bago po magka lisensya. Nung itinayo po ang Association of Certified Fraud Examiners po sa Pilipinas noong 2001 ay 11 years na po yata ako nagpa-practice po noon. Kaya kung baga po hindi ko na po siya talaga
Report correctionAtty. Alexander B. Cabrera
S02348Alam niyo po yung exam, Honorable Senator Robin. Yung exam po niya, tinatanong po kayo ng internal control. Ano po ang balance sheet? Tapos tinatanong po kayo tungkol sa mga criminal laws po.
Report correctionAtty. Alexander B. Cabrera
S02349Ang accounting po ay napakalawak po at napakalalim po sa aspeto po na yun, yung mga about internal control. At ang legal subject naman po, ang law naman po, ay napakalaki po at napakalawak compared po sa kinukover po ng isang exam po ng CFE. So parang
Report correctionSen. Robinhood “Robin” Padilla
S02350sinasabi nyo po, sir, na hindi nyo kailangan nito?
Report correctionSen. Robinhood “Robin” Padilla
S02352palagay nyo po ba itong Institute of Certified Forensic Accountants of the Philippines, wala itong silbi? Parang ganun po.
Report correctionAtty. Alexander B. Cabrera
S02353ma... Nakakatulong po sila sa pagpaparami po ng certified fraud examiners po na kailangan po ng ating bansa. So, hindi po siya walang silbi. Malaki po ang maitutulong yan sa pagpaparami po ng certified fraud examiners po dito sa atin. Pero ulitin ko lamang po, certification po yan, hindi po yan na bigay po ng gobyerno na lisensya. And any accountant, any lawyer, in fact, can practice forensic investigation services kahit po wala po ng ano.
Report correctionSen. Robinhood “Robin” Padilla
S02354Yung salita pong certified, hindi po yun importante
Report correctionAtty. Alexander B. Cabrera
S02357Certified po yun ng organization na kailangan nyo po mag-exam. Tapos kailangan nyo lamang po ng two years experience. Honorable Senator Robin, 37 years na po ako. Huwag naman po sanang tawaran po. compared po sa two years na kailangan
Report correctionSen. Robinhood “Robin” Padilla
S02360po, hindi ko naman po kayo, pasensya na po kung ganun po ang dating. Hindi naman po, ano lang po yun, tanong lang po. Kasi para po sa akin, ay napakahalaga nung certify. Pero kung sa inyo po, sa palagay nyo, ay hindi naman sa ganun kahalaga. Okay po yun, hindi ko po kayo inuhusgahan, sir. Ano lang po yun, tanong lang po yung sa akin. Pangalawang tanong po, kanina,
Report correctionSen. Robinhood “Robin” Padilla
S02361Madalas kong marinig, sinasabi ninyo, minadali kayo. Parang wala kayong masyadong time. Sir, pinag-uusapan po natin ang pag-i-impeach sa ibinoto ng tao ng 30 million votes. Tama po bang sabihin natin na wala kayong time? Na hindi kayo masyado binigyan ng oras at minadali ito? Itong ginawa nyo pong forensic na
Report correctionSen. Robinhood “Robin” Padilla
S02364po. Opo. Yun po ba? Sa palagay po nyo ba? Fair po ba yun? Kasi alam nyo po, ang unang-unang ibinilin sa amin dito, nung kami po ay may mga bisita na naging Supreme Court Chief Justice. Fairness, sabi niya. Importante yung fairness. Sa inyo po, sa inyo po bang palagay? Tama yung salitang wala kayong masyadong time nung ginawa nyo ito. Minadali. So
Report correctionAtty. Alexander B. Cabrera
S02365ako po yung nagtrabaho po sa isang audit firm at lahat po ng trabaho po doon ay minamadali. Ang mga kliyente po namin lahat po rushan. So mabilisan po. Lagi pong rush ang trabaho.
Report correctionSen. Robinhood “Robin” Padilla
S02368po ang isang bagay na dapat ay binibigyan natin ng tamang panahon. Yun lamang po. So sinasabi niyo po na talagang minadali niyo.
Report correctionAtty. Alexander B. Cabrera
S02369Kailangan po ang kabuli ng mga deadline. Hindi po ibig sabihin na minadali ay hindi na po namin ginawa ng mabuti ang trabaho po namin. Ginawa po namin ng mabuti ang trabaho po namin.
Report correctionSen. Robinhood “Robin” Padilla
S02370ngayon, ginawa niyo ng mabuti. Iba na po, iba na po. Minadali o ginawa niyo
Report correctionAtty. Alexander B. Cabrera
S02371_F2Hindi po siya inconsistent. Kahit po kayo nagmamadali, pwede niyo pong gawing mabuti po ang inyong trabaho. Kahit po mabagal, pwede niyo pa rin pong gawing mabuti ang trabaho. Ang mahalaga po doon ay dedicated po kayo sa ginagawa po ninyo.
Report correctionSen. Robinhood “Robin” Padilla
S02372kasi kanina na sa argumento po ninyo ni Sen. Pia Caetano na isa ring abogado, ilang beses po niyang inulit. Nasa usaping ito, mahirap yung... Naga-assume lang tayo.
Report correctionSen. Robinhood “Robin” Padilla
S02373Napakahalaga po nun kasi alam nyo, ito po'y hindi basta-basta kaso. Ito po ay impeachment po ito. Tayo po ay nagtatanggal ng isang opisyal na binoto ng taong bayan. Yun lamang po ang aking gustong ipaalala sa inyo, Sir, na hindi po katanggap-tanggap yung mga salitang minadali, yung wala ng oras, assumption. Yan po yung mga bagay na para po sa akin, kasi kayo din po kanina nagsasabi kayo na ito po yung sa tingin ninyo. Yan. Eh yun din po sa tingin ko. At ako po ay pinangahawakan natin ang saligang batas na kailangan na ibigyan natin ng due process ang lahat ng bagay. Yun lamang po kung sa palagay po ninyo ginawa nyo yung trabaho ninyo ay... sa inyo po yan. Sa amin naman po, gagawin din namin ang trabaho namin na hindi namin ito mamadiliin. Hindi rin po kami magkukulang ng oras at hihingin po namin sa aming Senate President at sa aming Tagapamahalang Hukom na huwag nating madaliin ito. Dahil itong bagay na ito, nakasalalay dito ang 32 million votes ng taong bayan. Bilang huling tanong na lang po. Tama po ba nung December 2025 nagkita kayo ni Mayor Lenny Robredo?
Report correctionSen. Francis "Chiz" G. Escudero
S02379Nabitin ako ng konti doon. Akala ko may follow-up eh. Senator Judge Villanueva is recognized. You may proceed, sir.
Report correctionSen. Joel Villanueva
S02381Ganda nga hapon po ulit. Atty. Alex, nais kong magtanong muli for my second round regarding Cale88. Nais kong makita yung pagtutugma ng ating report dito sa financial records sa operasyon ng negosyo. At dito po sa inyong report, it states that based on the local bank accounts examined, The company's recorded revenues were understated by an average of approximately 51% year on year. So gusto ko makita yung buong value nitong kumpanya kasi doon sa computed local bank na undeclared inflows na inyong ginawa, 2023 2.33 million, 2024, 22.18 million, and 2025, 10.78 million. Gusto kong malaman, Atty. Cabrera, when you reconciled itong Cal88's bank inflows against its declared revenues and audited financial statements, ano po yung major discrepancies na inyo pong nakita? Natanggal nyo po ba yung Tinatawag na for example, internal transfers, duplicate reporting, already recorded sales. At dito yung sa initial na binigay. loans or shareholder funding, foreign currency proceeds, later converted into peso. Gusto ko natin sana malaman, magkano po kaya yung talagang amount na talagang hindi ninyo ma-reconcile dun sa books, tax returns, at legitimate sources of funds?
Report correctionAtty. Alexander B. Cabrera
S02382Yung amount po? Meron lang po kaming discrepancy po lang sa AMLA. Report po. Yung 319 po tsaka 222.
Report correctionAtty. Alexander B. Cabrera
S02386Pero na-reconcile na rin po namin yun. Na talaga po meron po kami mga nakitang pairing transactions, tinanggal po namin yung isa. Magkaiba naman po kasi kami nang ginagawa ng AMLA. Yung AMLA po nagpa-flag. Tapos kami naman po, kinukuha namin yung receipts.
Report correctionSen. Joel Villanueva
S02389dun sa adjustments na nakikita niyo po, for example, same company transfers, duplicate regulatory entries, collections of sales already booked, financing, shareholder advances, pati yung foreign exchange conversion into local accounts. What did you see here, sir?
Report correctionAtty. Alexander B. Cabrera
S02390Meron pong credit memo sa local bank accounts. na nakikita kami pero hindi po namin na alam kung saang account na ang gagaling.
Report correctionAtty. Alexander B. Cabrera
S02390_F3Credit memo po ibig sabihin na nasa isang banko po yun. Tapos meron pong
Report correctionAtty. Alexander B. Cabrera
S02391Pumapasok na galing po sa ibang bangko pero hindi ko po alam kung saan po nang gagaling.
Report correctionSen. Joel Villanueva
S02392Gusto kong susugan itong kumpanya na ito and I will share with you later kasi I'm being asked when I raced yesterday or last time yung dalawang empleyado. Pero ayon po sa inyong findings.
Report correctionSen. Joel Villanueva
S02397supplies, no? Based on your professional experience po ba? Both as an accountant and fraud analyst, too ba pwedeng mangyari? Kasi I just can't, as a observer, no? Parang ang nangyayari po, and correct me if I'm wrong please, every December 30 o sa huling taon, Wala akong inventory. Ibig sabihin po ba nang simot lahat? Walang saging, walang asukal, walang packaging, etc. Yun ho yung lumalabas sa report nyo. Gusto ko lang i-clarify.
Report correctionAtty. Alexander B. Cabrera
S02398_F3Tama po yan. Meron lang po silang inventory ng maliit na finished goods po. Pero wala po silang raw material supplies, work in process inventory. Wala po na.
Report correctionAtty. Alexander B. Cabrera
S02401Kung manufacturer po kayo, hindi po pwede. Kasi ibig sabihin po nun, titigil po talaga yung trabaho. At saka hindi po talaga natural na wala po kayong inventory dahil kasama po yan sa mga materials na ginagamit para po makapag-export.
Report correctionSen. Joel Villanueva
S02403dito nakita ko yung audited financial statement na inyong pinuna. Manage. At nung pong, if I recall it right, I think it's the BIR na witness nagsabi po na, kasi tinanong ko po eh, kung losing yan, sino yung nagpopondo? Ang naging sagot po ay lumalabas sa mga records na iyong management po yung nagpopondo o sumasagot po para magpatuloy yung operasyon, management daw. Yun yung sabi ng BIR, no? And ang tanong ko, meron po ba talagang Pondo na binigay ang management para sa operations na ito? May nakikita po kayo
Report correctionAtty. Alexander B. Cabrera
S02406yung advances po. Advances from shareholders, yun lang po yung pondong na ibigay niya kasi halos wala pong capital yung Cale88 eh. Pero even kasama po yung advances na yun, kulang pa rin po yun para masustain po yung ganyan pong level ng operations.
Report correctionSen. Joel Villanueva
S02407Ulitin ko po, kanina binanggit ko po yung nasa report, approximately 51% year on year is being understated. What made you come up with the 51%, sir?
Report correctionAtty. Alexander B. Cabrera
S02408In-add lang po, tsaka dinivide by 4, lahat po ng understatements niya po.
Report correctionSen. Joel Villanueva
S02409Oo, okay. Sige po. Next, I go to the, kanina binanggit ko, yung manpower complement ng...
Report correctionSen. Joel Villanueva
S02410KL88. Nung binanggit ko po yung dalawang empleyado na inilabas po dun sa JIS, may mga nag-bash po sa akin na sabi sa akin, eh, Sen. Villanueva, hindi nyo ba alam ang ibig sabihin ng outsourcing, etc.? Eh, sabi ko, alam ko naman po yun. At gusto kong malaman sa inyo, when you examined itong financial statements ng Cale88, na-flag nyo po ba na walang manufacturing arrangements na maaaring nakakapag-substitute sa actual na manufacturing activities? And the company reported 150 million sales for 2024. While the GIS presented here in this court reflected na wala po rank and file employees eh in 23 and 24. In fact, 2025 po pumasok yung dalawang empleyado at zero ang nakalagay sa manpower complement. Kaya dun sa mga nagtatanong po na kung hindi natin alam yung sinasabi natin, wala pong report na zero.
Report correctionSen. Joel Villanueva
S02411talaga pong zero ang nakalagay dun sa manpower complement. Sa tatlong taon po yun. So, ibig sabihin po, yung outsourcing o sinasubcontract, wala pong nakalagay. And please correct me if I'm wrong. Wala po talagang nakalagay, hindi po ba? Sa AFS, wala ding nakalagay. Sa GIS, zero po talaga. Wala
Report correctionAtty. Alexander B. Cabrera
S02412pong nakadisclose sa financial statements. Although, Honorable Villanueva,
Report correctionAtty. Alexander B. Cabrera
S02413Meron pong cost of goods sold po siya. Cost of goods manufactured po. At maaari pong may direct labor po doon.
Report correctionAtty. Alexander B. Cabrera
S02413_UNCOVERED_3Maaari pong nandoon po yung direct labor
Report correctionSen. Joel Villanueva
S02414_F2But again, there's no record that states may outsourcing.
Report correctionSen. Joel Villanueva
S02419Your forensic examination independently verified the company's staffing and operational capacity against the relevant records.
Report correctionSen. Joel Villanueva
S02421Follow up po. Sa inyong professional experience, ano ba yung mga factors that you would examine when determining whether or not the financial and operational profile of a certain business is consistent with its reported scale?
Report correctionAtty. Alexander B. Cabrera
S02424Well, lahat po nung aspeto po kung paano po magiging viable po ang isang business. Kung kayo po ay may manufacturing concern, dapat meron po kayong sufficienting property, plant and equipment. Yung pong established po yung sino po yung mga
Report correctionAtty. Alexander B. Cabrera
S02425Tao po na nagtatrabaho po sa planta, sa manufacturing. Sino po yung mga tao na nagtatrabaho rin po sa administrative. Tapos dapat po mataas po yung electrical cost nyo. Di ba din gumagamit po kayo ng power. Pero po yung mahalaga po sa amin din na nakita po namin, hindi po kasi pwede magsabay po yung sales at purchase. na parang lagi ka pong walang receivable, lagi kang walang payable. Kasi po sa tunay na negosyo, siyempre kailangan mo munang bumili ng mga inventory o materials para i-process bago po maging finished goods. Bago po makapagbenta, tapos po pag nakapagbenta at na-collect niyo po yung pinagbentahan, pwede niyo po mabayaran yung mga nasa supply chain po. So hindi po talaga possible na cash po lahat.
Report correctionSen. Joel Villanueva
S02426And considering that this company ay nag-ooperate with international operations.
Report correctionSen. Joel Villanueva
S02428Anyway, pwede ko bang matanong ang ating prosecution at defense? Just one question, the Honorable Diokno, if I may. Kanina nabanggit po yung sa customs if you were able to verify. Sa prosecution po ba, na-verify niyo po ba independently yung workforce declared by Cale88 using this original GIS filings, payroll, SSS, field health, pag-ibig, and other official employment records?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02429Unfortunately, Your Honor, we were not able to. We hope to do that. Ang problema lang po sa dami rin ng mga inaayos na tinahanla po namin. We were not able to make the official confirmations.
Report correctionSen. Joel Villanueva
S02430That's official. Pero not official. May nabalitaan na po kayo or anything?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02431pong naririnig. But of course, that's all hearsay.
Report correctionSen. Joel Villanueva
S02432Thank you. Sa defense, pwede yung malaman sa original GIS filings ng Cale88, tama po bang? Totoo na ito, wala hong empleyadong deklarado, 23 to 24, dalawa naman para sa 2025, and on top of this, zero ang manpower complement as stated a while ago ng mga taong iyon, is the defense disputing the entries reflected in these general information sheet documents or Accurate po ba ito? What's your position on this matter?
Report correctionAtty. Kristine R. Ferrer
S02434Your Honor, we will disclose or we will tackle the matter at the right time, Your Honor.
Report correctionSen. Joel Villanueva
S02436Siguro yung last na lang po na itatanong ko sa ating witness. Thank you. I just wanted to make sure that I get your position. But we will wait on that, Atty. Mr. Cabrera, Atty. Cabrera, dun po sa... 2025 GIS tungkol po dun sa pag-transfer dun sa pikimong-pikimong. Susugan ko yung tinanong kanina ni Senator Kiko. First of all, would you agree with this representation na a GIS reported corporate ownership a GIS records Reported corporate ownership but does not by itself establish that consideration was actually paid. Would you agree with that?
Report correctionAtty. Alexander B. Cabrera
S02439Ito po kasi secondary na po ito eh. Yung naka-establish na po yung company. So pagka po original incorporation po. Bawal po yung walang payment because you will be issuing watered stock. Pero kung nagtatransfer po from one shareholder to another, gawa nung issued na po yung stock, pwede po silang magkaroon ng kasunduan na on credit. Kaya pwede pong lumipat kahit po wala pa pong bayad.
Report correctionAtty. Alexander B. Cabrera
S02440Pwede pong lumipat, wala pa pong bayad, pero kahit wala pa pong bayad, babayaran mo yung tax, kukuha ka ng CAR.
Report correctionAtty. Alexander B. Cabrera
S02441At saka dapat merong disclosure po ng mga transaksyon na yun doon po sa kabila pong financial statement. So alimbawa po sa Pikimong-Pikimong, kung siya po talagang bumili ng Calil 88 shares doon po sa magsyosyo po na si... Tony Manzcarpio, tsaka si Dr. Lebosada. Kahit hindi niya po bayaran, marirecord po yung asset. Tapos po, marirecord din po dun yung payable. Doon naman sa books ng Cale88. Marirecord po yung payable. Okay. Pag binili ko po yan, kahit hindi ko po binabayaran, irerecord ko po yung shares, investment. Pero kung hindi pa po bayad, payable ang irerecord ko. Kung bayad, edi cash yung maapektuhan, mababawasan po yung cash ko. Pero tulad nga po ng nasabi ko kanina, wala pong kakayahang magbayad ng cash at wala rin pong aksyon doon po sa financial statement po, wala pong nangyayari.
Report correctionSen. Joel Villanueva
S02442Susugan ko yung sinasabi nyo, yung kakayahan na magbayad dahil po doon sa inyong inireport, inistate nyo po doon yung Pikimong Pikimong had only about 59,836. pesos in capital and approximately 84,700 in total assets. Is
Report correctionAtty. Alexander B. Cabrera
S02445_F2Wala rin po talagang activity sa financial statements.
Report correctionSen. Joel Villanueva
S02446what did your review find about whether an actual transfer for value occurred, Your Honor? GIS lang?
Report correctionAtty. Alexander B. Cabrera
S02447Whether an actual transfer for value occurred. I guess, financial statements po, reporting.
Report correctionSen. Joel Villanueva
S02448So parang sinasabi niyo po, yung sari-sari store, binili yung isang department store.
Report correctionAtty. Alexander B. Cabrera
S02450Yung d-list po, kinain yung pateng. Ganun po. Parang.
Report correctionSen. Joel Villanueva
S02451But anyway, anyway, I just wanted to put that on record. And if this was a genuine sale, Mr. Witness, Atty. Abrera, where would you ordinarily expect to find the purchase price and the proof of payment? Did you find any of those records, by the way?
Report correctionAtty. Alexander B. Cabrera
S02452Wala po. Well, you can see that, well, of course, the deed of sale, the check payment. The bank account, you could see that in the bank account kung nag-clear po yung cheque. Yung recording po, yung extemporaneous recording po sa books,
Report correctionAtty. Alexander B. Cabrera
S02454entry po na meron pong nagbintahan. So kailangan po nakarecord po yan lahat. Tapos kikilos po yung stock and transfer book, etc. Hindi po pwedeng isang dokumento lang.
Report correctionSen. Joel Villanueva
S02455to say hindi po po pwede na yung GIS standing alone establish that underlying ownership interest was actually or genuinely transferred for value.
Report correctionAtty. Alexander B. Cabrera
S02456po natin ng menu of all the rest of the transaction documents that will be affected and will reflect the record of the transaction. Yun po yung normal po.
Report correctionSen. Joel Villanueva
S02457salamat Mr. Witness. Thank you Mr. Presiding Officer. Thank you.
Report correctionSen. Francis "Chiz" G. Escudero
S02458Thank you, Senator Judge Villanueva. Senator Judge Raffy Tulfo for his variable two minutes this time around. And apologies again during the first round.
Report correctionAtty. Alexander B. Cabrera
S02458_COVERAGE_3BNakakainom po ako ng tubig. Maraming salamat po.
Report correctionSen. Raffy T. Tulfo
S02458_COVERAGE_4Thank you. Babalikan na natin yung Cale88 kasi na-interrupt ako dahil [unclear] sa oras kanina.
Report correctionSen. Raffy T. Tulfo
S02459Bases sa records, itong Cale88 palaging negative ang net taxable income. Meaning losses. Ibig sabihin, every single year palagi silang nasa red, meaning lugi.
Report correctionSen. Raffy T. Tulfo
S02461simple common sense na lugi ka every year and yet may pumapasok malalaking pera.
Report correctionSen. Raffy T. Tulfo
S02462That money is coming from countries na high risk padating sa money laundering. Kasi ang normal business principle is to make money. Kasi what's the use of you being in business if you're not making money? Eto pa, napansin ko, recently meron silang advertisement na nag-hire silang empleyado. So ang tanong ko po sa inyo, ano po sa inyong pag-analisa? na bakit ganon every year sila ay lugi or losses wala silang ay binabayad meaning sa BIR and yet by the hundreds of millions pumapasok ng pera why is that? Bakit they still continue doing business?
Report correctionAtty. Alexander B. Cabrera
S02463Yung pera pong pumapasok po ay hindi po related sa business. Yun lang po yung dun po sa fact pattern po na inyo pong nabanggit.
Report correctionAtty. Alexander B. Cabrera
S02464Kung wala talagang tunay na negosyo, mapasok yung pera. Hindi po from business operations yung
Report correctionSen. Raffy T. Tulfo
S02465pumapasok na pera. So, most likely, saan po nagagaling yung pera? Kasi, syempre, alangan ba naman yung mga, parang ako, kunyari, isa ako sa mga incorporators ng Cale88, and then idideklara sa akin na accountant na day of the year, Boss, nungi tayo, wala tayong dividendo, at nasa pula tayo, at wala nga tayong pambayad ng tax. Well... Atras na ako at sabihin ko, isara na natin itong Lintik. Ay sorry, itong kumpanyang ito dahil lugi na
Report correctionSen. Raffy T. Tulfo
S02467lang taon-taon. Pero ito, tuloy pa rin. In fact, nag-ahire pa. As a matter of fact, sabi nyo nga kanina, wala silang records na nagbabayad sila para sa kanilang raw materials to produce their products na para... ilalabas.
Report correctionAtty. Alexander B. Cabrera
S02467_SOURCE_SPLIT_2Wala pong raw material inventory po.
Report correctionSen. Raffy T. Tulfo
S02469What does that mean? Ano ibig sabihin nung wala siya inventory? Wala ka ring
Report correctionAtty. Alexander B. Cabrera
S02470finished goods na magagawa kung wala kang raw material inventory at the end of the year. So, kailangan niyo po ito para maging
Report correctionSen. Raffy T. Tulfo
S02471_H2Exactly. So, for you to be able to produce banana chips, you have to have raw materials, right? So, may pinanggalingan yan. So, yun ay missing. So kung baga, o, paano ka nagkaroon ng banana chips, saan ang galing yung pang manufacture mo, yung banana chips mo, kung wala kang declare ng raw materials? Bakit hindi po nakadeclare yung raw materials?
Report correctionAtty. Alexander B. Cabrera
S02472maging tabla lang po tayo, kung wala po sila nung manufacturing talaga, ibig sabihin, pwede po sila nagpapanmanufacture sa iba.
Report correctionSen. Raffy T. Tulfo
S02473_I2So, meaning, nag-aangkat sila sa iba. So, merong ibang kumpanya ang nagsusupply ng raw materials nila, and then pinoprocess nila yun, and then after that, in-export papunta sa mga iba-ibang bansa.
Report correctionAtty. Alexander B. Cabrera
S02473_I3Opo, maring in-order nila, halimbawa po. Pero yun nga po yung ano eh, wala po tayong nakitang record ng ano.
Report correctionSen. Raffy T. Tulfo
S02473_I4And then why would they do that? Ba't sila, ba't sila hindi nila mismo ang mag-angkat ng sarili nilang raw materials, and then ipoprocess that? Pro-process yan hanggang sa iyon ay magiging banana chips.
Report correctionAtty. Alexander B. Cabrera
S02477Kulang po sila sa property plant and equipment. Property plant and equipment. Kulang po sila sa investment.
Report correctionSen. Raffy T. Tulfo
S02477_J2Okay. Di ba 125,000 yung kanilang investment? So tama po ba yan? Ang investment mo is 125,000 paid up capital and yet you're making hundreds of millions every year. Does
Report correctionAtty. Alexander B. Cabrera
S02480Yeah. Well, sa kabuuan po ng financial statements. Kasi po, Yung pagkakasabi niyo po, kung halimbawa, tech company ko, hindi mo kailangan masyado ng kapital, may na-invento ko.
Report correctionAtty. Alexander B. Cabrera
S02482Yung pang sobrang kakaiba lang po pwede mo yan. Pero sa ganito pong uri ng business, hindi
Report correctionSen. Raffy T. Tulfo
S02483_V2Okay, sa inyo pong experience bilang accountant for so many years, simptomas ng ano po ito, ng klaseng business?
Report correctionAtty. Alexander B. Cabrera
S02485Alam ko po yung... Sinasabi niyo, pero hindi po, hindi ko po masabi na ito po talaga yung nangyayari doon. Pero tulad nga po nung nasabi ko sa kanila kanina, ang pagpasok ng pera at paglabas ng pera na hindi naman nagagamit nung negosyo yung pera ay simptomas po ng money laundering. Pero hindi ko po sinasabing... Conclusive po
Report correctionAtty. Alexander B. Cabrera
S02488baga, eh yun yung simptomas na may problema sa katawan kung tao man may sakit, alam na niya yung simptomas na yan ay magkaroon siya ng trangkaso, etc. Something like that.
Report correctionSen. Raffy T. Tulfo
S02488_F2Okay, mapunta muna tayo sa GEM Corp po, Mr. Witness. Nag-start natin GEM Corp is 2020, am I right?
Report correctionSen. Raffy T. Tulfo
S02489Sometime in 2020 or 2021. Around that time. Okay, anyway, sige. Ang paid up capital ng Gem Corp was 1.2 million at that time. Tama?
Report correctionSen. Raffy T. Tulfo
S02493At 2050. So 1.2 more or less. Okay. Now, with that paid up capital, sila'y nakapagbumili ng franchise ng Jollibee na yung Jollibee is Franchise is 35 to 55 million. Ilagay lang natin sa 35 million. Kanina pa natin pinag-usapan yung 35 million na amount. Baskin na ibang senador na tanong sa iyo.
Report correctionSen. Raffy T. Tulfo
S02494Na-trace niyo ba saan galing yung difference? Kasi kung 35 million na lang and then ibabawas natin yung 1.2, so meron 33.8 na ipinasok nila para mabili yung first franchise ng Jollibee.
Report correctionAtty. Alexander B. Cabrera
S02495Ito po yung attribution po at sinasabi namin na mari po hindi po na-record po doon yung equity. Hindi po na sinasabi na walang branch kasi sinabi nga natin may mga resibo. Pero sa financial statement po, hindi po doon na
Report correctionAtty. Alexander B. Cabrera
S02497-record yung equity. So yung 1.250 million, hindi po siya reflective nung actual net worth po nung company. Hindi reflective.
Report correctionSen. Raffy T. Tulfo
S02498nangyari yun? Diba dapat they have to declare it properly when they filed yung records nila sa SEC?
Report correctionAtty. Alexander B. Cabrera
S02499Financial statements supporting the ITR should reflect the proper value. Pero hindi po pwedeng meron kang ganung asset, limang branches, na ang capital mo ay 1.250. Wala rin po namang
Report correctionSen. Raffy T. Tulfo
S02500payable. Okay. Kaya nga po, so... Abante tayo ng konti. Bumili ng Jollibee sa capital 1.2 million first year and then ang income nila sa first year ay
Report correctionSen. Raffy T. Tulfo
S02501182,000 net income, taxable net income. So again, mind-boggling para sa ordinary mamayan, mga hindi negosyante. Ako, hindi ako masyado sanay sa negosyo.
Report correctionSen. Raffy T. Tulfo
S02504that same year after, nakabili ka ng another franchise and another franchise hanggang sa dumating sa 6 na franchise. In fact, kung titingnan sa records, i-average na natin from 2022, 2021 to 2025 thereafter, ang average net income ng bawat Jollibee nila ay only 3 million and yet lumili ito na every year nakakabili sila ng panibagong franchise. Parang it adds up to that. So paano po nangyari yun sa inyong pag-istima?
Report correctionAtty. Alexander B. Cabrera
S02505Unrecorded transactions, may unrecorded cash flow po talaga and nakikita naman po natin doon sa aming report na malaki po yung cash flow na hindi po mapasok. So mari pong galing dito sa Unreported cash flow po yung ginagamit nilang pera para makabili po ng additional franchises
Report correctionSen. Raffy T. Tulfo
S02506po. Ito po, very basic na tanong. Bakit po hindi lang nireport? Anong reason behind why are they not accurately reporting yung mga cash flows nila?
Report correctionAtty. Alexander B. Cabrera
S02508Pagka hindi po kayo nagre-report eh, hindi nyo po nire-report yun para pinaka-basic po doon para bumaba po yung babayaran yung tax.
Report correctionSen. Raffy T. Tulfo
S02510Sige. Now, isa na lamang po. Dito sa page 25, Metro City Chow. Sabi nyo dito, undeclared inflows of Metro City Chow. The money deposited into Metro City Chow's bank accounts was consistently higher than the collections generated from its restaurants operations based on its audited financial statements. So, ibig sabihin, yung mga deposito. sa bangko mula dito sa mga restaurant ng Metro City Chow, hindi bumabangga sa sales, sa collection?
Report correctionAtty. Alexander B. Cabrera
S02512po. Underreporting po yan ng revenue. So, hindi po nagbabalansan.
Report correctionSen. Raffy T. Tulfo
S02512_E2Last na lamang. So, maraming deposit. Consistent yan. Every year. Ang taas ng deposit and yet yung collection, yung sales nasa mababa. So ang nakapagtakas saan galing yung pera na pinandeposit na wala naman pala sa, hindi tumutugma sa income.
Report correctionAtty. Alexander B. Cabrera
S02513Tama po yan pero kulang po yung aming information para masabing. sales po siya or gano kalaki po yung kanya pong operations at kung meron pa pong pinanggagalingan pong iba. Alam ko po yung tinutukoy nyo pero kami po isipin lang po namin na kumbaga unreported revenue. Kung meron pong pinanggagalingan na iba other than operations hindi po
Report correctionSen. Raffy T. Tulfo
S02516So base po sa inyong karanasan Madalas bang mangyari ito sa ibang negosyo o bibihira o first time niyo makaranig ng ganitong sitwasyon sa negosyo? In your experience.
Report correctionAtty. Alexander B. Cabrera
S02519Not at this amounts po. Tsaka nangyayari naman po sa tunay na buhay po yung dalawang books of accounts tapos hindi po nakadeclare lahat. Kasi po marami po ang mga malilit na negosyo na kailangan din nilang mag-survive po siguro yun ang kanilang dahilan. Gusto nilang gamitin yung pera nila para sa negosyo, para bumalik po sa negosyo. Pero yun po nakikita natin bumabalik po sa negosyo yung pera. Ito po eh papasok yung pera at lalabas.
Report correctionSen. Raffy T. Tulfo
S02520Kasi ito po ay narinig ko common practice sa ibang mga negosyante. Dito sa Pilipinas, na dalawang libro nila. Isang libro na totoo, isang libro para sa BIR.
Report correctionSen. Raffy T. Tulfo
S02522course, yun ay para makatipid sa tax at para gumanda-ganda yung takbo ng negosyo nila. Tuloy-tuloy lang hanggang sa sila ay mahuli ng BIR at sila ay mapapadala ng LOA. Mari hindi mo ito alam pero ito nainik na balibalita. Now, in this case, dito sa Metro City Chow, Bakit hindi nahabol ng BIR to? Ba't hindi nakikita ng BIR?
Report correctionSen. Raffy T. Tulfo
S02524Kasi di po ba? So ang BIR ba hindi na tinitingnan yung deposits and then yung sales para pagbanggain nila, para malaman nila kung ito ba yung nagbabayad ng
Report correctionSen. Raffy T. Tulfo
S02526tamang buwis? Hindi ko alam paano mag-operate yung BIR. Hindi ganun ang mag-operate yung BIR kasi... Para sa akin dapat, para malaman talaga yung tamang buwis, tamang kinikita o tamang binabayad, yung deposits mo kung ikaw business at yung inyong sales, pagbabanggain. Pero kung ang laki pala ng deposit mo, tapos maliit lang yung sales mo, there's something wrong. And then tawagan natin AMLC or something like that.
Report correctionAtty. Alexander B. Cabrera
S02527So pag may indication na po ng fraud, gagawin po yun ng BIR? Sa ngayon, hindi.
Report correctionAtty. Alexander B. Cabrera
S02528Baka po, hindi ko po alam ang status po. Wala pong information po.
Report correctionSen. Raffy T. Tulfo
S02528_V2Okay, sige yan lang. Maraming salamat po sa patience ninyo, Mr. Witness. And Mr. Presiding Officer, maraming salamat po.
Report correctionSen. Francis "Chiz" G. Escudero
S02529Thank you for your patience. One more, Senator Judge. Senator Judge Pangilinan is recognized.
Report correctionSen. Francis “Kiko” Pangilinan
S02531Base doon sa report po ninyo, ginoong Cabrera, ilan po ang... Personal accounts na binusisi ninyo? Would you know?
Report correctionSen. Francis “Kiko” Pangilinan
S025349, dito sa table 1 nyo, 9. Sa table 2 nyo, 14. Tama? Accounts. That totals 23. Sa table 3 nyo, 5.
Report correctionSen. Francis “Kiko” Pangilinan
S02537Tapos these are all personal or together or spouses or
Report correctionSen. Francis “Kiko” Pangilinan
S0254137 accounts. Ilan yung investments sa insurance?
Report correctionSen. Francis “Kiko” Pangilinan
S0254519 investments, and then, yung isa pala, single proprietorship, so personal pa rin yun, ano?
Report correctionSen. Francis “Kiko” Pangilinan
S02547Were you able to see checks at the photocopies of the checks?
Report correctionAtty. Alexander B. Cabrera
S02548Whenever meron po, nakita po namin, pero hindi po kasi kompleto, meron po mga banko po na hindi po nagbibigay ng check.
Report correctionSen. Francis “Kiko” Pangilinan
S02549So, I understand, these are their accounts, sila rin ang signatory?
Report correctionSen. Francis “Kiko” Pangilinan
S02551So, it was, sino ang mga signatory dun sa mga checks si Atty. Carpio?
Report correctionAtty. Alexander B. Cabrera
S02558sa mayaman pong tao siguro, hindi ko po, hindi pa po ako nakaranas ng ganun, hindi po ako mayaman.
Report correctionAtty. Alexander B. Cabrera
S02564Kahit mayaman po, ito po yan. Hindi po ganun karaming accounts.
Report correctionSen. Francis “Kiko” Pangilinan
S02565Oo. Tsaka hindi pa kasama dito yung korporasyon. Tama po. Di ba? So, 37 personal accounts, 19 insurance policies and investments, at ilang bank accounts ang corporate accounts pa? 15 ba ang na-check nyo?
Report correctionSen. Francis “Kiko” Pangilinan
S02568And sino naman ang signatories dun sa mga korporasyon? Yung checks.
Report correctionAtty. Alexander B. Cabrera
S02571Parang hindi po. Kasi yung signatory po kung sino po yung ma-assign ng company na mag -sign.
Report correctionSen. Francis “Kiko” Pangilinan
S02573Although these are corporate accounts of which they are shareholders or directors. And moving on to that. Nabanggit niyo kasi na they were engaged in business. Medyo issue yan eh. Kasi if you're a shareholder, are you engaged in business? Or if you're a director, are you participating in the business?
Report correctionAtty. Alexander B. Cabrera
S02574Yeah, tama po. So yung... Yung sa Constitution po kasi business interests.
Report correctionAtty. Alexander B. Cabrera
S02576hindi po yung engagement business. So yung business interest po, stockholder pa lang po, meron ka na pong business interest.
Report correctionAtty. Alexander B. Cabrera
S02578hindi ka po member ng board because a stockholder has the right to attend meetings, even the right to force meetings, they have the right to dividends, they... Have the right to the assets when the assets are liquidated. Tapos meron po sila mga voting rights in the case po ng mga tulad po ng kung meron pong mergers and acquisitions, may voting rights po sila. So participating po in business po yun.
Report correctionAtty. Alexander B. Cabrera
S02580Lalo na po kung director kasi ang corporate acts po ay ginagawa po through the board.
Report correctionSen. Francis “Kiko” Pangilinan
S02588dito sa tatlong kompanya na ito, sinabi ninyo meron ding tax deficiencies.
Report correctionSen. Francis “Kiko” Pangilinan
S02590Yung binanggit ba ninyong 250 million tax deficiency is for personal or...
Report correctionAtty. Alexander B. Cabrera
S02591Kasi po, pinierce po namin yung veil. Kaya yung ginamit po namin tax rate po doon, individual tax rate po.
Report correctionAtty. Alexander B. Cabrera
S02593GENCOR po, after piercing the bill. Pero wala po yun doon sa 817, wala pong factor yun.
Report correctionAtty. Alexander B. Cabrera
S02595-add lang po namin yun just to give some numbers doon sa tax violation po.
Report correctionSen. Francis “Kiko” Pangilinan
S02596But you also mentioned undeclared or? Tax deficiencies in other companies. Possible, di ba?
Report correctionSen. Francis “Kiko” Pangilinan
S02598yung 250 million tax deficiency ay para sa GenCorp lang?
Report correctionAtty. Alexander B. Cabrera
S02599Opo, meron po kaming summary po dun sa report namin.
Report correctionAtty. Alexander B. Cabrera
S02607total po nito basic lang po, 158,036,000 pesos. Pero basic lang po ito. Kung tunay na assessment po, syempre po meron po mga penalties. At kung fraud assessment po, may 50%.
Report correctionSen. Francis “Kiko” Pangilinan
S02615So yung 250 na hindi binayad, theoretical yun, hindi yun yung actual na amount?
Report correctionAtty. Alexander B. Cabrera
S02619Pero kung ano man po yung nasa report ko, conservative po itong amounts na to.
Report correctionSen. Francis “Kiko” Pangilinan
S02620Okay. So, sige. Now, my last few questions. Sinabi ninyo the auditor of Metro Chau issued a qualified opinion.
Report correctionSen. Francis “Kiko” Pangilinan
S02622Ano ibig sabihin sa layman's terms? Qualified opinion. And you also said hindi dapat, well, in your professional judgment, it should not have been qualified. It should have been?
Report correctionAtty. Alexander B. Cabrera
S02623Yung level po ng understatement should have been adverse po.
Report correctionAtty. Alexander B. Cabrera
S02624Yung Metro City Chow po kasi dalawa po yung area po nung qualification niya sa cash po at saka sa inventory. Pagka doon po yung qualification niyo, pervasive na po yun eh. Kumbaga laganap na po yung impact niya sa buong financial statements. Kasi yung cash po, alam po natin ang cash. Pero yung inventory po, meron po yung kasamang mga payables din. Nag-iimpact po yan sa cost of sales, nag-iimpact po yan sa revenue. Kaya pagka yung inventory po ang hindi nyo natignan, talaga po magiging pervasive yun. Hindi naman po kailangang obserbaan yung inventory count. Meron po naman yung mga inventory count sheets.
Report correctionAtty. Alexander B. Cabrera
S02626_COVERAGE_1subsidiary ledger for purchases, you analyze yung cost of sales, pwede pong makita yun eh. Pero wala po silang ginawa doon, nag-qualify po sila ng opinion.
Report correctionSen. Francis “Kiko” Pangilinan
S02627As they were not able to verify the cash account and observe physical counting of inventories due to certain limitations imposed by the management. Pero you can only speculate ano yung limitations imposed by management.
Report correctionAtty. Alexander B. Cabrera
S02628Yun po yung simple way po of saying na kung may nakita man sila, kanila na lang po yun.
Report correctionAtty. Alexander B. Cabrera
S02630Kasi po bago po mag-limit ang management, magre-raise ka eh.
Report correctionAtty. Alexander B. Cabrera
S02632Mag-audit kayo ha. From the start, bawal kayo tumingin ng cash ha. Bawal kayo tumingin ng inventory. Bakit nyo po tatanggapin yung ganong trabaho?
Report correctionAtty. Alexander B. Cabrera
S02632_COVERAGE_1Hindi po ba sobrang unusual po noon na, sige, lahat ng related sa inventory, lahat ng related sa cash, hindi ko titignan. Dapat po, mag-disclaimer of opinion kung walang audit at kung talaga pong pervasive, dapat po
Report correctionAtty. Alexander B. Cabrera
S02637auditor natatanggap ng ganun eh. I-audit mo kung hindi mo pwedeng tingnan ng cash at inventory ah.
Report correctionSen. Francis “Kiko” Pangilinan
S02640Because dapat talaga yung cash at inventory nakalagay doon sa financial statement.
Report correctionAtty. Alexander B. Cabrera
S02641Nandun po yun. Kasi po pagka nag-audit po kayo at nag-i-issue ng financial statement, hindi nyo po ito ginagawa para po doon sa kumpanya. Ginagawa nyo po ito para sa public.
Report correctionSen. Francis “Kiko” Pangilinan
S02648Dahil ang korporasyon, Siyempre, kailangan merong check at regulation ng gobyerno para hindi inaabuso ng mga korporasyon ang kanilang pagiging korporasyon.
Report correctionSen. Francis “Kiko” Pangilinan
S02650Okay. Now, what should have been the opinion if it were, kung maganda ang trabaho, maayos yung records, maayos yung inventory.
Report correctionSen. Francis “Kiko” Pangilinan
S02652_Q3At ito yung mga accountants nila. Hindi kayo ito. Hindi kayo ang naglabas nung qualified opinion. Tama?
Report correctionAtty. Alexander B. Cabrera
S02653External auditor po nila yan. At pare-pareho po yung kanilang external auditor.
Report correctionAtty. Alexander B. Cabrera
S02655Doon po sa Metro, Gen Corp, Calle. Isa lang po yung partner, si Mr. Juan C. Frivaldo. Pero po doon sa individual accounts po, individual return po, na may financial statements po ni Bipisara at nangasawa niya po, si Mr. Ralph Renzo Naquila po yung auditor. Pero puro po sila taga Elises and Ciudadano.
Report correctionSen. Francis “Kiko” Pangilinan
S02656Kayo ba sa experience niyong matagal na? Marami na rin kayong inilabas na adverse opinions sa inyong pag-audit?
Report correctionAtty. Alexander B. Cabrera
S02657Kunti lang po. Kasi po yung magsisimula po kasi yung trabaho sa survey.
Report correctionAtty. Alexander B. Cabrera
S02667Well, pag hindi siya auditable... Siyempre ayaw din po ng cliente yun na ipagawa sa amin kasi hindi naman po kami rubber stamp.
Report correctionAtty. Alexander B. Cabrera
S02669pagka hindi po siya auditable, magbabago po yung tulong namin.
Report correctionAtty. Alexander B. Cabrera
S02671i-offer po namin, pwede ba kitang tulungan na i-improve ang books mo,
Report correctionAtty. Alexander B. Cabrera
S02673-improve ang governance mo, mag-record ka ng maayos, mag-accounting ka ng maayos. So habang, pag natulungan po namin silang ganun, magiging auditable na po sila. Pero hindi po kami yung mag-audit. Kasi magkakaroon po kami ng independence issue na kami po lahat yung tumulong.
Report correctionAtty. Alexander B. Cabrera
S02675Because that will be self-audit. Pero at least auditable na po sila. So lahat po yan, mangyayari po yan sa simula po, yung evaluation po. During the audit survey, pakikipag-usap po sa officers.
Report correctionAtty. Alexander B. Cabrera
S02676Titignan din po namin yung working papers po ng naon ng auditor. Ganun po yung mga prosesong gagawin.
Report correctionSen. Francis “Kiko” Pangilinan
S02677Rarely, but you have issued adverse opinions. You have also issued qualified opinions.
Report correctionAtty. Alexander B. Cabrera
S02678yung qualified opinion po ang, kasi yung qualified opinion po, maaari po siyang, based sa limbawa po sa accounting treatment. So yung accounting treatment, magkaiba po kami ng tingin. At gusto po ng clienteeng gawin yung kanila, yung sa amin naman iba yung tingin namin. Minsan po nagko-qualify po ng opinion on the effects po. Nung accounting po nila for a certain account. So
Report correctionSen. Francis “Kiko” Pangilinan
S02679dahil yung kanilang auditor ay nagbigay ng qualified opinion, so ano ang, to wrap this up, in layman's terms, ano ibig sabihin ng qualified opinion? Sa man on the street.
Report correctionAtty. Alexander B. Cabrera
S02680Ang qualified opinion po, ang sinasabi po niya, yung financial statements ayos sana eh. Kaso may konting problema sa gantong mga bagay. Yung sinasabi ko lamang po ay hindi po reliable yung financial statement.
Report correctionAtty. Alexander B. Cabrera
S02682ang qualification mo cash at inventory at ang dahilan ng qualification mo ay hindi mo kasi tinignan o merong limitation, eh bakit ka nag clean opinion?
Report correctionAtty. Alexander B. Cabrera
S02685Problema sa cash. Tulad po ng GenCorp po na sa computation namin merong 87% na under declaration.
Report correctionAtty. Alexander B. Cabrera
S02687hindi, baliwala na po yung qualified. Talagang adverse opinion dapat ang inabot po nun.
Report correctionAtty. Alexander B. Cabrera
S02689Hindi mapagkakatiwalaan yung financial statement po.
Report correctionSen. Vicente C. Sotto III
S02693Atty. Cabrera, my question would either elicit felicitations for you or not. But it's not directed to you. The question is to the presiding officer.
Report correctionSen. Vicente C. Sotto III
S02694Mr. presiding officer, did Atty. Cabrera beat the record of Executive Director Benaventura?
Report correctionSen. Francis "Chiz" G. Escudero
S02695Tinanong ko kayo kanina, Tito Sen, kung mahirap yung tanong sa sagot niyo. Buti na lang tinanong ko a few minutes ago.
Report correctionSen. Francis "Chiz" G. Escudero
S02698Depsek, Deputy Clerk of Court, Mavic just gave it to me. Labindalawang oras po umupo dyan si Atty. Ronel, si Atty. Cabrera, kumatapos tayo ng alasais, samput kalahating oras pa lang. So silver medalist lang ito kung saka
Report correctionSen. Vicente C. Sotto III
S02700Okay, so you do not get my felicitations, but you receive my gratitude. Thank you very much for staying there, the witness. And that's all. Thank you, kind sir.
Report correctionSen. Panfilo “Ping” M. Lacson
S02702Two very quick points, Mr. President Officer, just so we can rectify and spread it to the records, about the SALN. With all due respect to the Presiding Officer, tama po si Artur Di Cabrera na pag-real estate, acquisition, pati improvements kasama. So, para lang maliwanag yung, this is a spare Section 8A of RA 6713.
Report correctionSen. Panfilo “Ping” M. Lacson
S02703Pagka po personal properties, hindi kasama improvement. Alimbawa yung sports car ni Sen. Lapid, nilagyan ng mag-wheel. Hindi na po kailangan i-declare. So yun lang po. Pangalawa po, hindi ko alam kung fact-check ang tawag dito kasi chat GP ito yung aking reference.
Report correctionSen. Panfilo “Ping” M. Lacson
S02704Yung isang franchise, isang store ng Jollibee, in 2022, 35 to 55. Tama po yun. Pero 2025, 40 million to 70, 45 million to 70 million. So tama po kayo. Very conservative yung inyong ginamit ng mga figures. Thank you, Mr. Presiding Officer.
Report correctionSen. Francis "Chiz" G. Escudero
S02705to continue with the SALN, while some forms include fair market value of the real property, it is not part of the computation of the net worth. Only acquisition cost is factored in with respect to computing the net worth as per civil service regulations. Just brief interjections from this representation before we call it a day.
Report correctionSen. Francis "Chiz" G. Escudero
S02706Honorable Diokno, just to put everything in perspective, given that Atty. Cabrera is your last witness. Your Article 2 allegation in the complaint is Respondent VP Sarah Duterte committed culpable violation of the Constitution and betrayed public trust when she, quote, amassed unexplained wealth manifestly disproportionate to her lawful income and earnings during her incumbency as a public official. I presume this is for the period 2022 to 2025, correct?
Report correctionSen. Francis "Chiz" G. Escudero
S02706_Q3And that is why you presented bank officials, insurance officials, and the AMLC, I guess.
Report correctionSen. Francis "Chiz" G. Escudero
S02708B. Failed to fully and truthfully disclose all her and her spouse's assets, liabilities, net worth in her statement of assets and liabilities and net worth, including her SALN for 2022, 23, and 24. That is why, again, those witnesses were presented, including now, Attorney Cabrera.
Report correctionSen. Francis "Chiz" G. Escudero
S02710failed to divest and instead willfully continued all her business interests during her tenure as VP for the years 22 to 2025. That's why the SEC was presented, I guess.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02711As well as the SALNs, if your honor, please.
Report correctionSen. Francis "Chiz" G. Escudero
S02712As well as the SALNs with the Office of the Ombudsman, yes, correct. Thank you, Honorable Diokno. No, still on you.
Report correctionSen. Francis "Chiz" G. Escudero
S02717Ika nga sa Tagalog, unexplained wealth, hindi may paliwanag na yaman, ill-gotten wealth, nakaw na yaman.
Report correctionSen. Francis "Chiz" G. Escudero
S02717_Q3Hidden wealth also you did not allege. Sa Tagalog, tagong yaman.
Report correctionSen. Francis "Chiz" G. Escudero
S02717_Q5Now, what Atty. Cabrera, Atty. Alex stated is unexplained wealth, which is not exactly defined by law.
Report correctionSen. Francis "Chiz" G. Escudero
S02718Or are you aware of any law that defines unexplained wealth?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02719I believe it appears in Section 8 of Republic Act 1319. In
Report correctionSen. Francis "Chiz" G. Escudero
S02720connection with the declaration that you have to make?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02721in connection with Republic Act 1379, Section 2, Your Honor.
Report correctionSen. Francis "Chiz" G. Escudero
S02722Again, in relation to the declarations you have to make?
Report correctionSen. Francis "Chiz" G. Escudero
S02725You know the definition of unexplained wealth when you used it in your tables?
Report correctionAtty. Alexander B. Cabrera
S02727Unexplained wealth po is the property, the value of the property acquired which is manifestly disproportionate po to the income. Yun po yung ginamit ko po.
Report correctionSen. Francis "Chiz" G. Escudero
S02728Now, you pierced the corporate veil. Para sa simpleng salita, isinangtabi nyo yung pagkakaroon ng hiwalay na personalidad ng isang korporasyon sangayon sa batas at tinignan nyo. Yung aktual na mga may-ari sa likod ng korporasyon na iyon, yung mga stockholders mismo, tama po ba?
Report correctionSen. Francis "Chiz" G. Escudero
S02730Under existing law, as a lawyer too and as an accountant, you can only do that for three reasons. Number one, kapag ka ginamit po yung korporasyon para makaiwas sa mga bayarin o mga kontraktual na obligasyon, ito po ba yun o
Report correctionAtty. Alexander B. Cabrera
S02733Kasama kung yung kontraktual po, hindi po namin alam kung sino po yung pinagkakaupang.
Report correctionSen. Francis "Chiz" G. Escudero
S02734Hindi nga po yun yung base yan. So hindi po. Ang pangalawa, fraud, illegality or perpetration of a wrong. The corporation is used to justify a wrong, protect fraud, commit or conceal a crime, circumvent a statute or work injustice against another.
Report correctionAtty. Alexander B. Cabrera
S02735Pwede na po magamit po yung pangalawa pong yan dahil po sa tax fraud po.
Report correctionSen. Francis "Chiz" G. Escudero
S02736Pangatlo, alter ego or instrumentality. The corporation is a mere farce, business conduit, adjunct or instrumentality. with no genuinely separate mind, will, or existence in the transactions involved.
Report correctionAtty. Alexander B. Cabrera
S02737Yan po, possibility po yung pangatlo pero yung pangalawa po yung ginamit po namin.
Report correctionSen. Francis "Chiz" G. Escudero
S02738Pero ang nasa ilalim po nung pangalawa ay fraud.
Report correctionSen. Francis "Chiz" G. Escudero
S02740So ang rason nyo kung bakit nyo isinantabi yung separate corporate personality ay fraud?
Report correctionSen. Francis "Chiz" G. Escudero
S02742Nakita ko po yung ginawa ninyo sa GenCorp, unahin po natin yan. Binanggit na rin ito kanina nila Sen. Pia at Sen. Camille. Kung tama ang sinabi sa valuation base sa open source ni Senator Judge Lacson ng halaga ng Jollibee conservatively at 35 million, nilagay niyo po sa page 10 ang inyong findings. You can check your findings, sir. Yung 35 million.
Report correctionSen. Francis "Chiz" G. Escudero
S02744Nilagay niyo po, kada taon nag-contribute yung shareholder na si VP Sara ng 35 million. Tama po ba? Ay hindi
Report correctionAtty. Alexander B. Cabrera
S02747Yung 35 million po doon, yung po yung... continuously undeclared na attributed capital po namin.
Report correctionAtty. Alexander B. Cabrera
S02749BP Sara po. Yung 35 po, nauulit lang po yun dahil it continues to be undeclared po.
Report correctionSen. Francis "Chiz" G. Escudero
S02750So hindi to, so minsan lang to dahil kung limang Jollibee branches times 5 is 175.
Report correctionSen. Francis "Chiz" G. Escudero
S02756So hindi po ito na double booking, binanggit lang na... Kada taon, ito yung halagang hindi na dedeklara.
Report correctionSen. Francis "Chiz" G. Escudero
S02758hindi ito kinarga ng limang beses doon sa 817.
Report correctionSen. Francis "Chiz" G. Escudero
S02760_KNOWN_CHAIRNgayon, pagdating naman po sa Metro Chow, sinabi niyo po, advance from shareholders. Pareho din po ng GenCorp, dahil wala naman pong capital contribution na diretso yung mga shareholders sa authorized capital stock, in-assume po natin, base sa AFS, na nag-advance yung mga shareholders. Tama po?
Report correctionAtty. Alexander B. Cabrera
S02761Yung sa AFS po yung may advances lang po is Cale88 po.
Report correctionSen. Francis "Chiz" G. Escudero
S02762Ah, Cale88 lang. Eto pong GenCorp, in-assume lang po ninyo ito.
Report correctionSen. Francis "Chiz" G. Escudero
S02764Yung shares po, hindi yung advances of shareholders.
Report correctionSen. Francis "Chiz" G. Escudero
S02766There is no record of advances of shareholders for GenCorp. Wala
Report correctionSen. Francis "Chiz" G. Escudero
S02768Wala po. So Cale lang ang may advances of shareholders.
Report correctionSen. Francis "Chiz" G. Escudero
S02768_VIS3So pag sinabi mo pong advances ng shareholders, pautang po ito? shareholder sa kumpanya.
Report correctionSen. Francis "Chiz" G. Escudero
S02783Hindi pa po nababayaran. So, receivable po siya.
Report correctionAtty. Alexander B. Cabrera
S02784Receivable po siya ni Atty. Manz po. Payable po siya ng company po.
Report correctionSen. Francis "Chiz" G. Escudero
S02785Payable ng company, receivable ni Atty. Manz. Matuturin niyo po bang asset yan?
Report correctionSen. Francis "Chiz" G. Escudero
S02793So lahat ng receivables from the accounting point of view, maski hindi pa aktual na nababayaran, kailangan mo i-deklara bilang parte ng asset mo.
Report correctionSen. Francis "Chiz" G. Escudero
S02795Kasi baliktad po, kapag nag-advance naman ako sa future dividends, utang ko naman yun. Bale yun eh. Parang bumalay ako sa kumpanya. Bumalay ako sa boss ko. Yun naman po ay utang ng shareholder sa kumpanya. Di
Report correctionSen. Francis "Chiz" G. Escudero
S02800mentioned the amounts of money that came in and out of the corporations.
Report correctionSen. Francis "Chiz" G. Escudero
S02802sabi mo, pumasok yan dyan, alang nga namang hindi nila pinaghati yan. Di ba yun po
Report correctionSen. Francis "Chiz" G. Escudero
S02806Pag hindi na deklara sa kumpanya pero nakita sa bank account na may pumasok na pera, malamang pinaghatihan yan.
Report correctionSen. Francis "Chiz" G. Escudero
S02812Pinapasimple ko pa nga po lalo. So, nakita nyo sa AMLC, nakita nyo sa bank records, may pumasok na pera, hindi na deklara sa EFS ng korporasyon, sa malamang pinaghatihan nila yan.
Report correctionSen. Francis "Chiz" G. Escudero
S02814Pero dahil walang dineklarang dividend, advance po ito against future dividend.
Report correctionAtty. Alexander B. Cabrera
S02815Maaaring po niyong i-record ng ganun po, pero ang recording po kasi sa accounting, yung reflective po of the transaction.
Report correctionSen. Francis "Chiz" G. Escudero
S02816Opo, pero kung walang dineklarang dividend, e di advance po siya against future dividend.
Report correctionAtty. Alexander B. Cabrera
S02819Mahari pong advance against future dividend? Mahari po yan.
Report correctionSen. Francis "Chiz" G. Escudero
S02822business for several decades, sir, Atty. Alex. I'm sure you know that that is a practice by most of the big corporations. They simply make an advance against future dividends because the tax will only be imposed once the dividend is declared.
Report correctionAtty. Alexander B. Cabrera
S02823Honorable Presiding Officer, kaya po... Kaya po, kung naninimbang sa aking sagot, totoo po na advance against future dividend po, pag nakarecord po sa financial statements at binibigay po sa stockholder po ng on record, ang kakaiba po dito ay hindi po ganun.
Report correctionSen. Francis "Chiz" G. Escudero
S02824Pero dahil nga in-assume ninyo na, di ba, malamang pinaghati-hati yan, ang tamang pag-record nun ay advance on future dividend, kung nirecord
Report correctionSen. Francis "Chiz" G. Escudero
S02830So dapat po kung mag-a-appear man yun sa SALN, payable
Report correctionAtty. Alexander B. Cabrera
S02839nakadeklara kasi po ginagamit po yung korporasyon para po makapagtago. Kaya po hindi po yung liability sa company. Kasi isusubi na po yun. Yun po yung tingin po doon.
Report correctionSen. Francis "Chiz" G. Escudero
S02840Sa pananaw na po ninyo yun. Wala na po sa dokumento yun.
Report correctionAtty. Alexander B. Cabrera
S02845Wala po sa dokumento. Subalit po, Honorable Presiding Officer, hindi po nating masabing utang nila sa kumpanya. Pag-pinierce na po yung will, sila na po yung kumpanya eh. Utang nila sa sarili nila.
Report correctionSen. Francis "Chiz" G. Escudero
S02846Opo. Pero hindi rin nga dineklara sa SALN yun.
Report correctionAtty. Alexander B. Cabrera
S02847Tama po. Wala pong declaration ng income, wala pong declaration ng...
Report correctionSen. Francis "Chiz" G. Escudero
S02848May natanong po sa inyo kanina to. Ako po ay nag-compute at gumamit ng calculator. Kung duda ako sa GenCorp, ang kabuang GenCorp sa parte ng 817,874,867 ay humigit kumulang 26% o 25.9% o katumbas ng 212,629,718. Kung hindi po ako kumpinsida sa inyo.
Report correctionSen. Francis "Chiz" G. Escudero
S02851Kung duda ako dun sa ginawa nyo sa Metro Chau at saka dun sa Cale88, ang kabuhan po noon ay 142,198,690 o 17.3% ng 817 million ninyong kabuhan.
Report correctionSen. Francis "Chiz" G. Escudero
S02853pag tinanggal ko po yung dalawang yun may maiiwang pa rin 56.6% mula sa inyong calculation o yung base sa Sa bank accounts, sa insurance policies, ang may iwan po ay 463,046,459 na unexplained wealth base po sa computation niya. Tama po ba yan?
Report correctionSen. Francis "Chiz" G. Escudero
S02859And finally, Atty. Alex, you mentioned you've been conservative with respect to your estimates whether it's a percentage in the company. Whether it's an assumption you made, kung hindi po kayo conservative, kung ito po yung bare minimum, in your expertise and based on your review of the documents, ano po ba yung sukdulang hangganan? Kung ito po yung bare minimum nyo, ano po yung inyong maximum?
Report correctionAtty. Alexander B. Cabrera
S02860Based lang po sa mga documents po na nakita namin, hindi ko po sinama ang confidential funds po. So, 475 po yun. Yung discrepancy po namin sa AMLC, kung susundin po natin yung AMLC at hindi po kami conservative, 100 million po yun. Kung hindi po ako conservative sa GenCorp, 45% ang ginamit at i-apply nyo rin po yun dun po sa mga undeclared sales, ang impact po noon ay mga 250 million. So 350 million plus 450 million is 700 po. So parang halos magdodoble po yung amount po.
Report correctionSen. Francis "Chiz" G. Escudero
S02861Can you be the one to compute for me, Attorney Alex, please? What would be the total of your ceiling if this is the minimum?
Report correctionSen. Francis "Chiz" G. Escudero
S02865Ang unexplained... What would be the correct description of that sir? 1.5 ang total?
Report correctionAtty. Alexander B. Cabrera
S02868That will be unexplained wealth po. Kasi po yung confidential funds po, kahit alam po natin ang pinanggalingan, so parang may explained po. Pero pag ang pinanggalingan po ay hindi po legal, Nagiging unexplained din po siya kahit alam niyo po kung saan ang galing.
Report correctionSen. Francis "Chiz" G. Escudero
S02869I'll be more specific, sir. 1.5 billion will be the maximum estimate of the undeclared wealth of the respondent from 2022 to
Report correctionSen. Francis "Chiz" G. Escudero
S02872Magkakaiba pong amount sa kada taon pag sinuma total niyo, yun po yung magiging ceiling.
Report correctionSen. Francis "Chiz" G. Escudero
S02876one final question, sir. Kung hindi po sila nagbayad ng buwis para dyan, hindi po ba dapat binawas nyo yung buwis na dapat bayar dahil hindi naman po kanila yun at dapat binayad sa gobyerno?
Report correctionSen. Francis "Chiz" G. Escudero
S02878So babawas pa rin yun kung saka sakali dun sa total, whether the high or the low?
Report correctionAtty. Alexander B. Cabrera
S02879Opo, pero ang unexplained wealth po kasi, di po ba, ay yung total po nung wealth. Ngayon kung may payable po, babawas din po natin yun, kukumpitin po natin yung tax.
Report correctionSen. Francis "Chiz" G. Escudero
S02882So whether it's the low of 817 or the high of 1.5, any liability would have to be subtracted or deducted from that?
Report correctionSen. Francis "Chiz" G. Escudero
S02884Thank you very much, Atty. Alex. The Senate President is recognized.
Report correctionSen. Sherwin T. Gatchalian
S02885Thank you, Mr. President Officer. Merong follow-up question lang ako dito sa GN Corp. Atty. Alex. Dahil nabuksan ng ating President Officer, Ang sinasabi niyo dahil may lima silang outlet, dapat ang kanilang puhunan ay 175 million. Tama po ba?
Report correctionSen. Sherwin T. Gatchalian
S02889Pero tinitignan po yung kanya lang libro, yung kanilang balance sheet. Ang kanilang puhunan ay 1.25 million.
Report correctionSen. Sherwin T. Gatchalian
S02893Bakit ho nila hindi rinecord? Ano ang kanilang objective? Bakit hindi po ire-record?
Report correctionAtty. Alexander B. Cabrera
S02894Hindi ko po masabi kung ano po yung objective ng hindi pag-record ng equity pero ang isa po
Report correctionAtty. Alexander B. Cabrera
S02896dun sa maaring dahilan is makatulong po ito pag nag-understate po sila ng income.
Report correctionSen. Sherwin T. Gatchalian
S02897Pag mag-understate sila ng... income. Dahil maliit lang yung sasabihin nila maliit lang yung kanilang puhunan.
Report correctionAtty. Alexander B. Cabrera
S02898Kailangan po lang po nating maintindihan na hindi po perfecto ang kanila pong menu. Inconsistent po yung kanilang mga menu. Kasi po mababa po yung equity, marami silang asset. Malaki yung kanilang revenue, halos walang income.
Report correctionAtty. Alexander B. Cabrera
S02899Hindi po natin pwedeng magamit po yung financial statement nila para po ma-rationalize po yung tama po na nangyayari sa negosyo.
Report correctionSen. Sherwin T. Gatchalian
S02900Dahil wala rin dito, tinitignan ko ngayon, wala rin advances from the shareholders.
Report correctionSen. Sherwin T. Gatchalian
S02902Pwede rin ba po ginagawa ito para pagdating sa declaration sa SALN, pwedeng i-undervalue rin?
Report correctionAtty. Alexander B. Cabrera
S02903Maari po yung dahilan. Ito yung nabanggit niyo po, Honorable Senator Winn.
Report correctionAtty. Alexander B. Cabrera
S02904Kung titignan niyo po, hindi po mabibili ng revenue yung mga bagong outlet. So parang hindi po kayo, hindi po sapat yung kinikita po from operations to buy the new outlet. Meron pong pinagagalingan na cash po na iba. Yun po yung isa po sa mga possibilities. Kasi kung hindi po galing sa income, Kasi lugi naman po. So kung ganun ka laging lugi, paano ka nakabili ng outlet ng additional, eh yung kita niya po doon is either lugi or napakalit lang po, parang 1 million lang po yan, napakanipis po ng ano eh. Kaya nakita
Report correctionAtty. Alexander B. Cabrera
S02905niyo rin na may pumapasok, may inflow sa mga personal accounts.
Report correctionAtty. Alexander B. Cabrera
S02906Opo, opo. Kasi yung, kasi po, nag-aaway po yung result.
Report correctionAtty. Alexander B. Cabrera
S02907Maaring binababaan po yung income para hindi po magbayad ng tax. But at the same time, nakikita mo rin na yung income na yun, hindi rin naman makakabili ng outlet, ng additional Jollibee branches. So kung hindi po galing sa income, hindi po galing sa operations, wala pong payable, so yun po yung question mark po kung saan po galing.
Report correctionSen. Sherwin T. Gatchalian
S02908Ang aking track is anong motibo in the whole scheme of things?
Report correctionSen. Sherwin T. Gatchalian
S02909Anong motibo dito sa pinag-uusapan natin? May base sa inyong experience.
Report correctionAtty. Alexander B. Cabrera
S02910So, Sen. Ruins, tulad nga po nang nasabi ko, kami po nasa na-engage po for unexplained wealth. Yung kaya ko lang pong masabi, yung pinakakabisado ko lang po na motibo, lagi pong yung tax po. Kung meron pong AMLA, anti-money laundering, hindi po kasi ganun yung focus ng aming investigasyon. Magbabago po yung aming procedures kung yun po talaga yung ipofocus namin. Subalit ang aming assignment ay unexplained wealth. Kaya nga po na sabi ko, mari po may mga simptomas, hindi ko po masasabi kung yun po talaga yung mangyayari. Kaya yung best lang po na pwede ko po masabi dito, kung ano lang po yung sinasabi ng numero. At ang sinasabi po ng numero ay undeclared po siya. At meron pong Exposure po sa tax fraud dahil ikukulektaan po ng tax po yun. Maganda nga po sana pag nabayaran po yung tax, masettle po yung tax, parang tapos na po tayo. Ang pagkakaiba nga lang po sa pagkakataong ito is yung obligasyon po ng vicepresidente para po maging accountable po sa kanyang SALN. Yun lang po yung pwede ko po masabi. Pero naiintindihan ko po yung tanong nyo po, Senator, pero kulang po ang aking informasyon para makapag-conclude po.
Report correctionSen. Sherwin T. Gatchalian
S02911Kaya rin po nakikita natin na yung pagpasok ng pera sa kumpanya, magpasok ng pera sa personal accounts, hindi ho reflective dito sa mga libro, hindi ho siya nagtutugma. In other words. At pag dinugtong ho natin yan sa SALN, lalong hindi magtutugma. Maraming salamat, Mr. President.
Report correctionSen. Francis "Chiz" G. Escudero
S02912Thank you, Mr. President. Senator Judge Lacson, kindly
Report correctionSen. Panfilo “Ping” M. Lacson
S02915Yung sinabi niyong confidential fund na hindi niyo sinama pero maaaring isama. Ang reference niyo po ay yung binanggit niyo kanin ng Martinez versus Andigan Bayan. Malversation. Na kapag hindi ka nakapag-liquidate, ang assumption is binulsa mo.
Report correctionSen. Francis "Chiz" G. Escudero
S02919_COVERAGE_1If there are no other interventions from Senator Judges, it's only 10 hours, Atty. Alex. So you've been sitting for a total of 10 hours. The witness is excused. Maraming salamat po, Atty. Alex, sa inyong panahon, oras, pasensya, at
Report correctionSen. Francis "Chiz" G. Escudero
S02920Pagsagot sa katanungan ng mga senator-judges, gayon din ng magkabilang partido sa hukumang ito. Salamat po.
Report correctionSen. Francis "Chiz" G. Escudero
S02922The court has been in receipt of an October 6th manifestation of the... counsel for the panel of prosecutors as well as the panel of prosecutors stating that they intend to withdraw Article 3 or bribery in the articles of impeachment. And in open court, the Honorable Diokno, I believe, stated that Attorney Alex is their last witness for Article 2 on Ilgaten on unexplained wealth. Would that be correct?
Report correctionSen. Francis "Chiz" G. Escudero
S02924The court takes it in advisement. And given that there are some administrative matters that the court has to deal with before or right after the prosecution rests, should that be indeed their intention if they will be dropping Article 3?
Report correctionSen. Francis "Chiz" G. Escudero
S02925The court intends to call it a day and resume tomorrow for the final manifestations to be made by the panel of prosecutors. as well as any other manifestations the parties wish to make as well as administrative matters that the court need to address if indeed the panel of prosecutors will persist in their intention to drop Article 3 and to rest altogether. Atty. Sheila, I saw you raising your hand. Were you saying hi to someone?
Report correctionAtty. Sheila C. Sison
S02930Thank you for acknowledging the defense. Just to be honest, it felt like for the last four, five hours that we're not here. Even that the witness was given extensive platform and opportunity to give his unbridled and erroneous conclusions of law and fact. But nonetheless, Your Honor, I have a few manifestations.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02932Before the good counsel proceeds, Your Honor, I would move to strike the statement erroneous. Again, that would be a conclusion of law and totally out of order. It's up to the Honorable Court to decide whether the opinion of Attorney Cabrera is acceptable or not. And it's not in our place, whether I'm for the prosecution or for the defense, to make such irresponsible statements. I move to strike, Your Honor.
Report correctionAtty. Sheila C. Sison
S02933Well, I object. I object to that motion, Your Honor. In fact, it came from the gentleman himself. The witness gave an opinion that itself is proof that the witness only gave conclusions and not facts, Your Honor. Anyway, Your Honor. I
Report correctionSen. Francis "Chiz" G. Escudero
S02934_N4Allow the court to rule. Let it remain in the record. Honorable Chel, that is how the prosecution clearly disagrees with the opinion of the expert from their point of view. She described it from their perspective and not necessarily the perspective of the court nor the prosecution.
Report correctionSen. Francis "Chiz" G. Escudero
S02936it is not per se strikeable from the point of view of the court.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02937May I make a counter manifestation, Your Honor?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02939That in the view of the prosecution, the statement of the defense that the opinion is erroneous is totally out of place and has no meaning in this court. Thank you.
Report correctionSen. Francis "Chiz" G. Escudero
S02940That is noted. Attorney Sheila, you may proceed.
Report correctionAtty. Sheila C. Sison
S02941Yes, Your Honor. We've heard over the last four or five hours of interpolations and interjections from the members, honorable members of this court, the term piercing of the corporate veil. We have here Kukan International Corporation versus Reyes, and I believe this is a matter of mandatory judicial notice for this court, where the court said, to disregard the separate juridical personality of a corporation, the wrongdoing must be established clearly and convincingly. cannot be presumed. Otherwise, an injustice that was never unintended may result from an erroneous application. And it bears reiterating that piercing the veil of corporate fiction is frowned upon. And these are the words of the Supreme Court in Kukan International Corporation v. Reyes so that we don't mislead the public na nanonood sa atin. Tutal, naglaan tayo ng napakahabang panahon at oras para pag-usapan ng mga korporasyon na ito ang opinion ng witness na binigyan ng mahigit limang oras para magbigay ng kanyang mga konklusyon at ng kanyang mga opinion.
Report correctionAtty. Sheila C. Sison
S02942Mas maganda na maunawaan at malaman ng ating mga kababayan kung ano ba ang sabi ng Korte Suprema dito. Ito ang sabi ng Korte Suprema. "It cannot be presumed. To disregard the separate juridical personality of a corporation, the wrongdoing must be established clearly and convincingly." Again. "It cannot be presumed." Now, that witness has answered over time and repeatedly that, unang-una sa lahat, wala siyang sapat na oras. Pangalawa, hindi niya hawak ang lahat ng dokumento to form sufficient basis or ng kompletong opinion. Kaya hindi ko alam kung saan nanggaling ang kanyang mga opinion na ipinalaganap niya buong maghapon sa bulwagang ito at sa harap ng sambayang Pilipino. Anyway, your honor, that's my first manifestation. Of course, I presume that the prosecution has a comment to my manifestation.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02949I believe these statements by the defense counsel are really out of place. That's meant for a closing argument, perhaps, but not for this time. before this court. And again, if I may bring to the attention of the court other Supreme Court decisions which I believe hold otherwise compared to what the good counsel has been trying to push before this honorable court. Rodrigo Villanueva v. People, GR No. 218652, Feb. 23, 2022. Piercing of corporate veil is allowed if juridical entities are used as vehicles. to commit illegal acts. I quote, Since accused Villanueva used said companies as means or vehicles for the circumvention of statutes, in this case governing procurement of government supplies, etc., such acts should not be countenanced and the court pierced the corporate veil. You have another case, Concept Builders v. NLRC, GR No. 108-734, 29 May 1996. Again, to the same effect. And there's another case, if your honor please, Toledo Construction Corporation Employees Association versus Toledo Construction Corporation where the court said that although mere ownership by a single stockholder or by another corporation is not of itself sufficient ground for disregarding the separate corporate personality, this can be disregarded if it is shown that the corporation is used in a fraudulent scheme.
Report correctionAtty. Sheila C. Sison
S02950Your Honor, I think I need to respond to that manifestation just so we do not mislead the public again with respect to these points of law, Your Honor. I think with the points or the portions of the decisions stated by or mentioned by the gentleman in response to what I had stated earlier are actually Not inconsistent with the principle of law that I had stated earlier. Again, I will repeat. To disregard the separate juridical personality of a corporation, the wrongdoing must be established clearly and convincingly. It cannot be presumed. Now, the first case that was recited by the gentleman stated that since the accused committed etc. etc. actually supports The decision that I just cited. It means that if there was already a finding by the court that the accused had indeed committed certain things then the same had already gone through trial which also supports that the presumption had been or that the wrongdoing cannot be presumed your honor and therefore must be proved. And the second and third cases that he had cited which according to him also are of the same point, actually are not inconsistent with this principle, Your Honor. It cannot
Report correctionAtty. Sheila C. Sison
S02954wrongdoing cannot be presumed. It has to be clearly and convincingly established.
Report correctionSen. Francis "Chiz" G. Escudero
S02954_COVERAGE_2Let's finish this, Honorable Diokno, with your indulgence. The court instructed,
Report correctionSen. Francis "Chiz" G. Escudero
S02955The presiding officers instructed the clerk of court to take note of the cases cited by both parties. We shall reproduce the same and furnish all the senator judges through their official emails with a copy of the three cases mentioned by the Honorable Diokno and the case cited by Attorney Sheila for their information and reference. As you stated, as Attorney Sheila stated, This is a decision of the court and the court can take judicial notice of it since any arguments, further arguments from the counsels on this matter. Let the senator judges evaluate them on its face and based on their reading and appreciation of the actual cases cited by both parties. Move on to your next manifestation, Atty. Sheila, please.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02956Your Honor, before we get to the second manifestation, may I just make a brief statement? I think it should be clear in the record.
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02960Honor. Insofar as clear and convincing evidence is concerned, assuming that good counsel is correct, ano pa po ba ang clear and convincing kundi yung naipakita natin kanina that 69% of one of the companies was undeclared and unreported income and 51% of the other company, Metro City Crown, was also undeclared and unreported. So, what kind of clear and convincing evidence do we need if that is not yet clear and convincing in itself?
Report correctionAtty. Sheila C. Sison
S02961Oh, forgive me, Your Honor. I thought the gentleman had actually...
Report correctionSen. Francis "Chiz" G. Escudero
S02962problem, Honorable Diokno. This will not stop. Atty. Sheila, let that be the last statement on this matter.
Report correctionAtty. Sheila C. Sison
S02964I'm sorry, Your Honor, but this involves the right of the respondent because, forgive me, I just heard just a few minutes ago that the gentleman said that this is not yet the time for any closing statement, Your Honor. And he
Report correctionAtty. Sheila C. Sison
S02966have forgotten that the respondent has not yet even began presenting its evidence, Your Honor. So, to conclude or to make that conclusion, that's out of order.
Report correctionSen. Francis "Chiz" G. Escudero
S02967Well, to be fair, let that remain in the record too. And he was given a better opportunity earlier actually through an interjection of a senator judge which he did not take advantage of. Let that remain in the record as well for whatever it's worth. Again, let that be the last statement on this matter on piercing the corporate veil. Your next manifestation, attorney Sheila.
Report correctionAtty. Sheila C. Sison
S02968your honor. Again, good afternoon. I heard the presiding officer mentioned earlier that there will still be a setting tomorrow for some administrative matters. However, it's only 547 and it has been repeated over and over again by the prosecution that they would want to streamline the proceeding and achieve speed. In this case, we're here, the prosecution. Both the prosecution and the respondent are here and I think the only remaining administrative matter on the part of the prosecution without of course encroaching in their prerogative is that since they had already Withdraw Article 3 and had manifested yesterday that this witness is already their last witness, then the next would be the formal offer which I think this court can settle today and give the parties time to file their respective pleadings thereon so that we also save time and both the prosecution and the respondent would no longer be required to return here for administrative matters.
Report correctionSen. Francis "Chiz" G. Escudero
S02969Actually, it's more for the court, Attorney Sheila. I would have to beg the indulgence of the parties. It's more for the court because we are finalizing some administrative matters that we are not yet sure about regarding the order the court will issue especially with respect to confidential documents that will be made part of the formal offer that we will require the counsel for the panel of prosecutors to submit. We are in the middle of hopefully we'll be able to iron it out tonight. We haven't had time given the successive trials for the whole day to be able to come up with a rational order on how to deal with the confidentiality of the documents and at the same time be able to be transparent with respect to the court's proceedings.
Report correctionSen. Francis "Chiz" G. Escudero
S02970So it's more for the court, really, so that tomorrow we would be able to give sequential rulings and orders that would have to be made and take effect after the respondent rests. But most likely, it'll be for half a day and I don't think you need a full complement tomorrow. In fact, we might...
Report correctionSen. Francis "Chiz" G. Escudero
S02971We might just suspend today's trial for tomorrow given that it will be purely procedural matters although I hope I will be joined by my colleagues nevertheless for tomorrow's trial. So it's more for the court, Attorney Sheila. That's why as I said, we're taking it in advisement while we iron out some details to address those issues. Yes, Senator Judge Lacson.
Report correctionSen. Panfilo “Ping” M. Lacson
S02972Since we are anticipating, sir, na half day lang tayo, baka pwedeng after lunch na tayo mag-resume tomorrow? Pwede rin naman.
Report correctionSen. Vicente C. Sotto III
S02977Parang hindi naman kagulo. I move that we suspend until 1 p.m. tomorrow.
Report correctionSen. Francis "Chiz" G. Escudero
S02978There is a motion to suspend until 1 p.m. tomorrow but with the indulgence of Senator Sotto. Attorney Sheila, do you have... Other manifestations or do you want, can the manifestations be delivered tomorrow? Do you want to deliver them today before we suspend and act on the motion of Senator Judge Sotto?
Report correctionRep. Jose Manuel “Chel” I. Diokno
S02984also have some manifestations regarding exhibit markings but I can do that tomorrow as well.
Report correctionSen. Francis "Chiz" G. Escudero
S02985Okay, then we're agreed. Acting on the motion of Senator Judge Sotto, the trial is suspended. Until tomorrow, 1pm.
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