BIR slaps Joseph Calata with P89M tax evasion case

Joseph Calata

Five years after getting banned for life by the Philippine Stock Exchange, self-proclaimed business strategist Joseph Calata is facing tax evasion charges from the Bureau of Internal Revenue.

Last Friday, October 28, the BIR Region 5-Caloocan City accused Agri Phil Corp. and its president, Calata, for “willful failure to pay taxes” amounting to P88.865 million (inclusive of penalties and interest) in 2012.

Agri Phil is the retail arm of Calata Corp. for feeds, agrochemicals, veterinary medicine, fertilizers and seeds.

Calata Corp. was delisted by the PSE in 2017 for insider trading and failing to disclose material information to the public in a timely manner.

The Securities and Exchange Commission upheld in 2019 the PSE’s decision to delist Calata Corp. and impose a lifetime ban on Joseph from holding any position in a listed company.

In the same year, the Court of Appeals affirmed the indictment of eight Calata Corp. shareholders Michael Ilustre Angeles, Carmelo Dela Cruz Bunag, Arnold Ryan Daquis Dellosa, Richie Ramille Isip, Arnold Daquiz Martin, Dennis Philippe Valencia Vistan, Zandro Jose Sigfrido Laki Zulueta, and Gary Lincoln Calixtro Taboso for stock market manipulation.

The SEC accused the eight shareholders of employing illegal market tactics specifically “painting the tap and hype and dump”, to inflate Calata Corp.’s price from its initial public offering price of P7.50 to P23.95 (which plunged to P2.40 after four days) in 2012.

Agri-Phil has the second biggest tax deficiency among 17 firms charged by BIR Caloocan with an aggregate liability of ₱398.13 million.

The other companies and individuals charged were:

* Trendstop Enterprise and its president Isagani M. Anacleto (P96.5 million);
* Whitefeather and its president Odelene San Miguel (P65.6 million);
* Mijac Construction and president Jeffrey A. Contreras (P29.9 million);
* MS Machinery and Metal Fabricator and presidentMelville C. Sy (P26.2 million);
* KG Design and Packaging and its president Karren S. Gutierrez
(P17.8 million);
* Jeffrey So Dela Paz (P9.2 million);
* Shirley Tan Go (P9 million).
* Lota Oliveros Reyes (P8.6 million);
* L.A.H. Construction and its president Anacleto A. Hermogenes (P5.9 million);

* Marick Rickmark and president Danilo A. Balagtas (P5.9 million);

* Jose Garcia Bernabe (P5.7 million);

* Regaladao Caparas Valerio (P5.2 million);

* Constancia C. Cruz (P4.3 million);

* Jenny Vi Santos Saren (P3.6 million);

* Girlie Dela Cruz Ariola (P3.4 million); and

* Leveflex Industrial and its president Willliam Pua (P2.3 million).

BIR Caloocan said the accused tax evaders were served with the complete documents but they failed to either pay or refute the charges which rendered these assessments “final, executory, and demandable.”

The BIR noted that while it issued Warrants of Distraint and/or Levy (WDL) and Garnishment (WG), the respondents “had no properties which may be distrained or levied and no bank accounts which may be garnished.”

“The respondents’ failure and continued refusal to file or pay their long overdue deficiency taxes, despite repeated demands, constitute willful failure to file or pay the taxes due to the government,” said BI Caloocan which filed the cases under the Run After Tax Evaders (RATE) program.

https://bilyonaryo.com/2022/10/30/bir-slaps-joseph-calata-with-p89m-tax-evasion-case/business/