Odong files graft charges vs. ex-BIR chief

Armed with a 23-page criminal complaint, Congressman Aniceto “Odong” Saludo, Jr. filed graft charges against the former Bureau of Internal Revenue (BIR) chief at the Office of the Ombudsman. 

Along with a powerful group of ten congressmen, including three Deputy Speakers, Saludo submitted the graft complaint against former BIR Commissioner Rene Bañez to substantiate the threat he pronounced a privilege speech he delivered in Congress last year due to the “excessive injury” that Bañez has caused the government.

Saludo accused the Bañez of economic sabotage and plunder as a result of his alleged ties to the Fort Bonifacio-Metro Pacific-Philippine Long Distance Telephone Co. conglomerate.

Saludo said that Bañez used his authority to advance the interest of a private company at the expense of the government when he allowed the P1.18 billion documentary tax liability of the Fort Bonifacio Development Corporation (FBDC) to be credited to the BIR. 

Because of this, Saludo, along with other lawmakers at the lower chamber pressured Malacañang to sack Bañez in order to pave the way for a full-time investigation of his alleged involvement in the BIR scam.  Saludo slammed Bañez by describing him as a big crook who has no place in the government service. 

Saludo said that Bañez was charged for violating the Anti-Graft and Corrupt Practices Act before the Ombudsman.  Joining him are Representatives Rodolfo Albano, Vicente Sandoval, Benasing Macarambon, Jr., Rolex Suplico, Gerardo Espina, Jr., Oscar Gozos, Augusto Baculio, Deputy Speakers Gerry Salapuddin, Emilio Espinosa, Jr. and Raul Gonzales.

In their 23-page complaint, the lawmakers accused Bañez of using his influence to maneuver the documentary stamp tax liability of the Fort Bonifacio Development Corporation (FBDC) by crediting its obligation to the BIR, thus showing payment by FBDC of stamp taxes when in fact it did not pay the same. 

          The lawmakers said Bañez showed bad faith and gross inexcusable negligence when he, along with Benjamin Diokno, former Budget Secretary and Bañez’s co-accused, allowed the BIR to pay the FBDC’s documentary stamp taxes in the sale of a portion of Fort Bonifacio.

          Their actions caused “undue injury to the government and unwarranted benefits to FBDC and Metro Pacific Corp. (MPC),” the complaint said.

          They said that Bañez “hid or camouflaged the documentary stamp tax liability of FBDC by crediting the amount from the Department of Budget and Management to the BIR, thus showing payment by FBDC of documentary stamp taxes when in fact it did not pay the same.”

          The lawmakers pointed out that when the SARO was being processed for approval, Bañez was the director for tax services of MPC and FBDC, and when the SARO was credited, he was the BIR chief.

          The lawmakers also scored Bañez for failing to appeal an “adverse decision” against the BIR by the Court of Tax Appeals which ruled in December 2001 that the FBDC and MPC be granted a value added tax refund of P15 million.

(Released on January 24, 2003)