Sandiganbayan orders arrest of ex-finance undersecretary

MANILA, Philippines - The Sandiganbayan ordered yesterday the arrest of former Finance undersecretary Antonio Belicena and six other individuals who are facing plunder charges for allegedly defrauding the government of more than P73.76 million in tax credits more than a decade ago.

The anti-graft court’s First Division chaired by Associate Justice Norberto Geraldez also issued hold departure orders (HDO) against the accused.

Copies of the arrest warrants were forwarded to the Sandiganbayan’s Sheriff’s Office, the Quezon City Police District (QCPD), the Criminal Investigation and Detection Group (CIDG), National Bureau of Investigation (NBI), and the Bureau of Immigration and Deportation (BID).

Copies were also sent to the nearest police station where they are known to reside in Pasig, Manila and Caloocan City.

Aside from Balicena, the Sandiganbayan also ordered for the arrest of spouses Faustino and Gloria Chingkoe; Grace Chingkoe; Uldarico P. Andutan Jr.; Asuncion M. Magdaet, Rowena P. Malonzo, and Catalina Aranas Bautista.

The Office of the Ombudsman filed plunder charges against them on March 19, 2008 for their involvement in the so-called Tax Credit Scam from 1994 to 1996.

Belicena was then Department of Finance assistant secretary and executive director and administrator of the One-Stop Shop Inter-Agency Tax Credit and Duty Drawback Center, while Andutan Jr. was deputy executive director, Magdaet was a reviewer and Malonzo was a Tax Specialist 1.

The Chingkoe couple were owners of Filstar Textile Industrial Corporation (FILSTAR) while Grace Chingkoe was their corporate secretary and Catalina Aranas Bautista was a company representative.                

The Office of the Ombudsman, in its investigation, said the respondents in the case conspired with private individuals in causing the issuance of Tax Credit Certificates (TCC) in favor of FILSTAR even if it is not qualified to receive tax credit incentives under Executive Order No. 226 or the Omnibus Investment Code of 1987.

Graft probers explained that tax credit is a rebate or refund of import taxes and duties which a BOI registered enterprise, firm or manufacturer has paid beforehand to the government on the raw materials, supplies and semi-manufactured products it had earlier imported for use in the manufacture, processing or production of its finished product which will later be exported.

The Office of the Ombudsman also filed graft and estafa charges against Belicena and a number of other individuals for their involvement in the tax credit scam.