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DAILY NEWS Vol THE WE TELL IT LIKE IT IS DAILY NEWS Vol. 11 No. 160 August 27, 2010 Phil. Copyright 2002 THE WALLACE BUSINESS FORUM, INC. accepts no liability for the accuracy of the data contained in this report. WEATHER FORECAST The Nation METRO MANILA 24°C to 31°C • Senate investigation on hostage taking Moderate Southwest starts Manila Bay: Moderate • New MPD OIC accused of kidnapping HK drug suspects Currency Currency in 1 Peso in COUNTRY • GMA hits Aquino administration for in Peso US$1 Currency hostage fiasco EXCHANGE RATE • 25-member CA panel completed US (dollar) 45.32600 1.00000 0.02206 Japan (yen) 0.53550 0.01182 1.86741 • Lapus, 6 others face probe on noodle scam UK (pound) 70.05590 1.54560 0.01427 Hong Kong (dollar) 5.82820 0.12858 0.17158 Canada (dollar) 42.74830 0.94313 0.02339 The Economy and Business Australia (dollar) 40.03650 0.88330 0.02498 New Zealand (dollar) 31.61030 0.69740 0.03164 • 6Growth of 7.9% in 2Q EMU (euro) 57.35550 1.26540 0.01744 • BIR files P5.5-B tax evasion case vs trader • Competitiveness still a concern for SMEs / PESO–DOLLAR RATE • BSP raises inflation forecast for 2011 30 trading days to August 26, 2010 Open: P 45.270 • 3 toll roads up for bidding in Oct. 44.50 Close: P 45.130 • RP prepares for EU check on aviation 45.00 safety standards High: P 45.100 45.50 Low: P 45.270 Corporate Briefs 46.00 W.A.: P 45.152 • San Miguel Brewery Inc. retains PRS Aaa Vol: 921.80 M 46.50 credit rating • AB Holdings Corp. raises stake in Landco 47.00 Pacific Corp. Benguet Corp. hopes to reach an PSE COMPOSITE INDEX • Open: 3,567.71 30 trading days to August 26, 2010 agreement with St. Augustine Mining Close: 3,595.58 3700 High: 3,600.83 3600 Low: 3,567.23 3500 Index: 3,595.58 3400 Vol: 1.134 B 3300 Val: P 3.831 B 3200 Disclaimer: The articles in this Daily News have been culled from various media sources. We cannot, therefore, vouch for the accuracy of what is reported. 1 THE NATION Senate investigation on hostage taking starts The Senate has started its investigation on the hostage taking incident with several members of the police force giving details on what really took place. It was also revealed that Manila Mayor Alfredo Lim was head of the crisis management committee handling the hostage incident last Monday that left 8 Hong Kong tourists dead, the chief of the city’s police force. “It’s Mayor Lim,” Chief Superintendent Rodolfo Magtibay, Manila Police District (MPD) director on leave, told a joint hearing by the Senate committees on public order and on justice, when asked who was in charge during the 11-hour standoff in front of the Quirino Grandstand in Rizal Park. Magtibay said Lim, as head of the committee, ordered the arrest of the policeman brother of the hostage taker, dismissed police officer Rolando Mendoza. The arrest was said to have triggered Mendoza’s shooting rampage. Mendoza was later killed by a sniper. But Lim denied Magtibay’s claims, saying the police chief himself had assumed “full responsibility” for the bungled hostage rescue. Senators acknowledged the country’s security forces need more funds for equipment and training. New MPD OIC accused of kidnapping HK drug suspects A former police undercover agent described as an “insult” to the Hong Kong people the appointment of Senior Superintendent Francisco Villaroman as acting director of the Manila Police District (MPD), replacing Chief Superintendent Rodolfo Magtibay who went on leave following the mishandling of the hostage rescue operation in Rizal Park last Monday. Mary Ong, alias Rosebud, expressed opposition to the appointment of Villaroman, whom she said has several pending cases filed at the Sandiganbayan, including the alleged kidnapping of 2 Hong Kong residents who were suspected drug dealers. “Insult adding to injury to the Hong Kong people. Two Hong Kong families have filed kidnapping charges against Ping Lacson, Acop, and Villaroman, et al,” said Ong, referring to fugitive Sen. Panfilo Lacson, former Chief Superintendent Reynaldo Acop and Villaroman. Another case was pending in the Sandiganbayan second division, which denied their motion for demurer of evidence, thus Villaroman will have to stand trial. GMA hits Aquino administration for hostage fiasco The spokesperson of Pampanga Rep. Gloria Macapagal-Arroyo hit back at Malacañang for blaming the former president for the Manila bus hostage fiasco. Elena Bautista-Horn, said the Arroyo administration should not be blamed for the bloody hostage incident in terms of providing training, equipment and funding to the police. “It’s not lack of equipment, it’s more of lack of leadership,” Horn said. Horn said the Arroyo administration also had its share of high-risk hostage crises but all were resolved successfully. She said she has a copy of the list of the inventory of equipment of the Manila Police District and the National Capital Region Police Office that showed they have all the equipment necessary to resolve the situation. Horn particularly took exception to statements made by Interior Secretary Jesse Robredo describing the hostage incident as a domestic issue. “When you have foreign hostages, it becomes a national and diplomatic issue,” she pointed out. If Arroyo was president at the time, Horn said she would have immediately called up Hong Kong leader Donald Tsang to update him on the situation and assure him, “not avoid his calls.” 25-member CA panel completed The House of Representatives has formed its 12-member contingent to the powerful Commission on Appointments (CA). The commission is the body empowered to approve or reject major Cabinet appointments and promotions in the military and diplomatic service. It has 24 members, 12 from the House and 12 from the Senate, with the Senate president as its ex-officio chairman and presiding officer. Representation in the commission is by political party. Elected chairman of the House contingent was Rep. Roilo Golez of Parañaque. By tradition, the head of the contingent is named CA vice chairman. Members of the Golez panel are Antonio del Rosario of Capiz, Rosendo Labadlabad of Zamboanga del Norte, Erineo Maliksi of Cavite, Rex Gatchalian of Valenzuela City, Luis Villafuerte of Camarines Sur, Ferjenel Biron of Iloilo, Antonio Alvarez of Palawan, Rodolfo Antonino of Nueva Ecija, Pedro Romualdo of Camiguin, Simeon Datumanong of Maguindanao, and Rodante Marcoleta of the party-list group Alagad. Golez, Del Rosario, Labadlabad, and Maliksi represent the Liberal Party, while Alvarez, Antonino and Romualdo represent the 2 factions of Lakas that are allied with the LP-led majority coalition. Lapus, 6 others face probe on noodle scam Former education secretary Jesli Lapus and 6 other officials will undergo preliminary investigation before the Office of the Ombudsman to determine probable cause to charge them with graft in the Sandiganbayan. Lapus and former Bids and Awards Committee (BAC) members are accused of involvement in the allegedly anomalous purchase of instant noodles for public school students in 2007 and 2008. Officials of noodles manufacturer Jeverps Manufacturing Corp. were also named respondents. The contract for the 2007 procurement of the 16,495,718 pieces of 100-gram pack noodles of “Fortified Instant Noodles with Fresh Eggs” amounting to P283,626,515.66 under the “Food For School Program” was awarded to Jeverps. But investigation of the anti- 2 graft agency showed that Jeverps’ license to operate issued on May 21, 1996 was suspended by the Bureau of Food and Drugs on Jan. 24, 2007 for violation of Republic Act 8976, the Food Fortification Law. Investigators found that DepEd did not submit noodle samples to the BFAD for testing and analysis. ECONOMY & BUSINESS Growth of 7.9% in 2Q The economy grew by a surprising 7.9% in the second quarter, hitting a 3-year high and raising expectations that full-year growth could exceed targets. The April to June number was higher than the government’s 5.9- 6.9% forecast for the period. First-quarter growth was also revised to a higher 7.8% from the 7.3% reported last May. The latest numbers brought growth to 7.9% for the first half, the strongest performance on a semestral basis since 1988 and above the government’s full-year estimate of 5-6% -- raised from 2.6-2.6% after the January to March result was released. "Given the stronger-than-expected performance of the industry and service sectors and the robust investment growth in the first 2 quarters, it is likely that full year GDP (gross domestic product) growth in 2010 will be leaning towards the upper end of the 5-6% GDP target, perhaps even higher," according to Socioeconomic Planning Secretary Cayetano W. Paderanga. BIR files P5.5-B tax evasion case vs trader A businessman was charged with tax evasion before the Department of Justice for allegedly using 3 different tax identification numbers (TIN) to defraud the government of some P5.5 billion in taxes. Internal Revenue Commissioner Kim Henares said Macario Gaw Jr. violated the National Internal Revenue Code when he used 3 different TINs in filing his income tax returns in 2007 and 2008. “That shows there was a real intent to mask the activity as capital gains when actually it’s an ordinary asset,” he said. Henares said BIR records show Gaw bought 10 parcels of land in 2007 for P4 billion and sold them for P8 billion, and instead of classifying the sale as an ordinary asset sale, he declared the transaction as capital asset sale and paid lower amount of taxes.
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