Government vs Guo: List of legal hurdles, cases against the Bamban mayor

MANILA, Philippines (First published on July 31, 2024, 2:25 p.m.) —  The most high-profile Senate drama in the past few months centered around the identity of a town mayor, Alice Guo, who was suspended on May 31 for her alleged links to the controversial Philippine offshore gaming operators in Bamban, Tarlac.

Alice Guo, apprehended on September 3 in Tangerang City, Jakarta, Indonesia, now faces a series of legal battles upon her return to the Philippines.

It all started in March when Sen. Sherwin Gatchalian called on the Department of the Interior and Local Government (DILG) to look into the Tarlac official for her potential connections to a recently raided POGO hub in Bamban. 

Gatchalian had learned that the Bamban mayor, Guo, applied for a license to operate for one of the POGOs, Hongsheng Gaming Technology Inc., which was raided in February 2023.

On April 8, 2024, authorities raided another POGO, Zun Yuan Technology Inc., which was located in the same compound as Hongsheng. It was then discovered that one of the vehicles found inside Zun Yuan was registered under Guo's name.

Despite consistently denying that she benefited from or facilitated the POGOs in her town, Guo has remained a central figure in the ongoing investigations.

Below is a summary of the ongoing legal cases against the embattled former mayor, which will be updated as the cases develop.

Senate

Offense: Contempt 

What transpired: On June 26, Senator Risa Hontiveros revealed an NBI document showing another woman named "Alice Leal Guo" who shares the same name, spelling and birthday as the Bamban, Tarlac mayor. This raised questions about the mayor's true identity.

That same day, after Mayor Guo was a no-show at a Senate hearing she was invited to, Hontiveros issued a subpoena compelling Guo and her family members to appear. The NBI later confirmed that the fingerprints of Mayor Guo matched those of a Chinese woman named Guo Hua Ping, who is suspected to be her real identity.

On July 10, Guo's legal team petitioned the Supreme Court to annul the Senate subpoena issued on July 1. The 78-page petition alleged that the Senate committee violated Guo's constitutional rights. It argued that the Senate "whimsically and arbitrarily discriminates against the very institution and rights it is sworn to protect."

In addition to requesting the subpoena be nullified, Guo's lawyers asked the high court for a temporary restraining order or injunction to prevent the Senate panel from requiring her attendance as a "resource person" at future hearings. The petition is part of the embattled mayor's ongoing efforts to avoid appearing before the Senate to answer questions about her alleged criminal ties.

On July 13, the Senate issued arrest warrants for the suspended mayor, her parents Jian Zhong Guo and Wen Yi Lin, and her siblings Seimen, Wesley and Sheila. They were cited in contempt for refusing to attend hearings on their alleged involvement in crimes related to Philippine offshore gaming operators.

Guo's former accountant Nancy Gamo was arrested the following day.

What’s new: The Supreme Court on July 16 required the Senate to file a comment on the petition of Guo.

Department of Justice

Offense: Sections 4 and 6 of Republic Act (RA) 9208 or the Anti-Trafficking in Persons Act of 2003 as amended by RA 10364 or the Expanded Anti-Trafficking in Persons Act of 2012, as further amended by RA 11862 or the Expanded Anti-Trafficking in Persons Act of 2022.

Violation of 254 and 255 of the National Internal Revenue Code and Anti-Money Laundering Act

What transpired: On June 21, the Presidential Anti-Organized Crime Commission (PAOCC) and the PNP Criminal Investigation and Detection Group (CIDG) filed a non-bailable qualified trafficking charge against Guo with the Department of Justice (DOJ).

The case arose from a March 13 raid by the CIDG and PAOCC on Zun Yuan, a POGO firm located on a 7.9-hectare property owned by Baofu Land Development Inc., a company associated with Guo. The property is situated directly behind the Bamban municipal hall.

In addition to Guo, the complaint named several other respondents, including:

• Dennis Cunanan, former Technology and Livelihood Resource Center deputy director general and representative of Zun Yuan Technology
• 12 executives and founders of three companies
• Guo's alleged business partners Huang Zhiyang, Zhang Ruijin, and Baoying Li
• Other local government officials in Bamban

If convicted, Guo and the other accused individuals could face life imprisonment and fines ranging from P2 million to P5 million.

Following the filing of the trafficking charges, the DOJ issued an immigration look-out bulletin against Guo and the other respondents to prevent them from fleeing the country while the case is pending.

The preliminary investigation of the case started on July 5. 

The suspended mayor and her co-respondents did not appear at the preliminary investigation on July 22. But they were granted another opportunity on August 6 following the submission of a supplemental complaint by the PAOCC and the PNP-CIDG based on the testimony of four new witnesses.

On August 14, the Bureau of Internal Revenue (BIR) filed tax evasion charges against Guo, Baofu corporate secretary Rachelle Carreon, and a certain Jack Uy. The BIR alleged that the embattled mayor failed to file or pay capital gains tax and documentary stamp tax worth P500,000 in connection with the transfer of her shares in Baofu.

On August 16, Guo requested the Department of Justice to dismiss the non-bailable trafficking in persons complaint against her, calling it "baseless."

In her counter-affidavit, the dismissed mayor argued that a mere electric bill is insufficient to implicate her in the charge, as it is simply a document for energy charges.

"It does not state with certainty who is actually present at the property or if there are illegal activities taking place," Guo's counter-affidavit read.

What's new: The National Bureau of Investigation (NBI), Anti-Money Laundering Council (AMLC), and the Presidential Anti-Organized Crime Commission (PAOCC) filed money laundering charges against the embattled mayor and four others on August 30.

Her co-accused are her purported sister Shiela Guo, her father Angelito Guo, Alice's accountant Nancy Gamo, and Lucky South 99 incorporator Cassandra Li Ong.

Ombudsman

Offense: Grave misconduct, serious dishonesty, gross neglect of duty and conduct prejudicial to the best interest of the service.

What transpired: On May 24, the DILG filed a complaint with the Office of the Ombudsman Guo and two other local officials. The complaint alleged that they allowed the issuance of a permit to Hongsheng Gaming Technology Inc., a POGO, despite the company failing to meet necessary requirements.

The DILG's complaint, which was granted by the Ombudsman, specifically noted that:

1. Guo and the other officials issued a permit to Hongsheng Gaming Technology Inc. even though it did not meet all the requirements.
2. The POGO's license from the Philippine Amusement and Gaming Corp. (PAGCOR) had already expired, but Guo did not revoke its business permit.

In response to the complaint, on May 31, the Ombudsman imposed a preventive suspension on Guo and the two other implicated local officials:

• Edwin Ocampo, the municipality's business and licensing officer
• Adenn Sigua, the municipal legal officer

The suspension was issued due to their roles in granting permits to the raided POGO Hongsheng Gaming Technology Inc. despite its lack of compliance with requirements and expired PAGCOR license.

The preventive suspension bars Guo, Ocampo and Sigua from their positions for the duration of the Ombudsman's investigation into the DILG's complaint, up to a maximum of six months. The suspension is intended to prevent the officials from potentially interfering with the ongoing probe.

On June 25, the Ombudsman denied Guo’s petition to lift the suspension against her.

“It is well to stress that a preventive suspension is not a penalty but is merely a ‘preventive measure, a preliminary step in an administrative investigation; the purpose thereof is to prevent the accused from using his position and the powers and prerogative of his office to influence potential witnesses or to tamper with records which maybe vital in the prosecution of the case against him,’” the Ombudsman’s order read.

What's new: Guo has been "dismissed from service" by the Ombudsman on August 12 as she "remained to be the real, true and actual president of Baofu Land Development Inc., and stands to benefit from the continued operations Hongsheng and Zun Yuan."

Lower courts

Offense: Dishonesty, usurping or otherwise unlawfully holding the position, illegal exercise of duties and responsibilities; Fake Filipino citizenship

What transpired: The Office of the Solicitor General (OSG) filed a petition to cancel the certificate of live birth of Guo on July 5.

If the petition is granted, Guo will be stripped of his Filipino citizenship.

“If her birth certificate is canceled, she will lose her most important defense evidence about her identity,” Solicitor General Menardo Guevarra said in an online message to reporters.

On July 29, the OSG escalated their efforts by filing a quo warranto petition before a Manila Regional Trial Court seeking to formally remove Guo as the mayor of Bamban.

The state lawyers argued that Guo is unlawfully holding the position and illegally exercising the duties of mayor, citing questions about her citizenship that render her ineligible to run for public office.

The OSG also alleged that Guo committed acts of "serious dishonesty" that can warrant an official's removal under the local government code.

A quo warranto case is a special civil action against a person who usurps or unlawfully holds a public office.

If the court grants the petition, Guo will be removed from her position as mayor.

These legal actions by the OSG are part of the ongoing investigations into Guo's alleged ties to a POGO that was raided in March on suspicions of involvement in human trafficking, online scams and other criminal activities. The Senate is also investigating Guo's citizenship status and eligibility to hold public office.

What's new: On September 3, Guevarra said that Guo's camp filed a motion to dismiss the quo warranto petition.

Court of Appeals

Issues: Bank accounts, assets related to Guo and her alleged business partners

What transpired: On July 9, the Anti-Money Laundering Council (AMLC) filed a petition to freeze the assets and bank accounts of Guo and her alleged partners linked to POGOs operating in town.

The Court of Appeals granted the AMLC's petition on July 10, issuing an order to freeze a total of 90 bank accounts, including those of Guo, other individuals involved in POGOs and entities tied to her.

Among the frozen assets, 36 bank accounts belong to Guo herself. The court also froze one helicopter, 12 vehicles and 12 transfer certificates of titles under Guo's name.

The freeze order took effect immediately and will last for 20 days, unless the court decides to extend it further. While the order is in effect, Guo and the other individuals named in the petition cannot access their money or other frozen assets.

Commission on Elections

The Commission on Elections (Comelec) on August 6 approved its law department's recommendation to file an election code complaint against Guo.

The complaint originated from an earlier fact-finding investigation into Guo's mayoral candidacy conducted by the Comelec's law department, which could violate Section 74 in relation to Section 262 of the Omnibus Election Code.

According to Section 74, a candidate must use their baptismal name or if not baptized, the name registered with the local civil registrar, unless they have legally changed their name through a court-approved process.