Government loses P50-M via seaport smuggling

The government has lost some P50 million in potential revenues due to alleged mismanagement in the operation of the seaport in La Union province, which is being allegedly controlled by a Chinese businessman closely identified with deposed President Joseph Estrada, according to a ranking member of the House of Representatives.

In a privilege speech, La Union Congressman Manuel Ortega has sought the return of the operational control of Poro Point in San Fernando town to the Philippine Ports Authority (PPA).

Ortega said well-entrenched syndicates frequently used the seaport as a transshipment point in the smuggling operations in the north.

Ortega said the same syndicate has facilitated what he termed as specific instances of rice smuggling in the country using the same route.

He mentioned particular incidents of misdeclaration of rice imports, specifically those that came from Vietnam as early as July of 1999.

"I have strong evidence that technical and outright smuggling in the port of San Fernando have been perpetrated, and continue to be perpetrated, by certain parties, possibly in confederacy with government agencies and officers responsible precisely for the port’s development," said Ortega.

The group of a certain Manny Tan, according to Ortega, took control of the port’s operation during the term of President Estrada. Since then, he said the port’s cargo handling charges have become the highest in the country to the detriment of traditional port users.

Ortega also sought a congressional inquiry into the matter at the soonest possible time and to verify the accusation against Tan and his interlocking agencies.

"Based on the sheer magnitude of revenue losses incurred by the government from these smuggling activities in our port, this constitutes the crime of plunder," the congressman said.

Tan, who is reportedly an importer of chemicals and fertilizer, is also a known associate of Estrada crony Jaime Dichaves.

He reportedly owns the warehouse in Batangas where thousands of tons of rice believed to be smuggled, were confiscated by government agents last year.