MANILA, Philippines – The P1.1 billion in cash and other assets deposited at the Banco de Oro (BDO) under the Jose Velarde account cannot be withdrawn by William Gatchalian or the Wellex Group Inc. since these are under levy by the Sandiganbayan Sheriff’s Office.
The assets are also under a freeze order by the Bureau of Internal Revenue (BIR) pending an investigation of the Jose Velarde account.
The BIR is hoping to draw tax payments on these assets due to unpaid taxes by the real owner.
“They cannot touch the assets. These had already been levied by us (Sandiganbayan Sheriff’s Office). We also could not touch these assets because of the Constructive Distraint issued by the BIR,” Sheriff Edgardo Urieta told The STAR in a phone interview.
Urieta’s statement came in the wake of Wellex Group Inc.’s recent pronouncement that they have interests in the Jose Velarde account deposited in BDO.
Urieta said he has finished his report about the Jose Velarde assets at the BDO, which he would submit to the magistrates of the Special Division of the Sandiganbayan this Monday.
“I said in my report that the BIR has not finished with its investigation, and that they have written BDO about their Constructive Distraint (or freeze order) on the assets of the Jose Velarde account. The BIR, since 2001, has frozen the assets. They have not lifted the freeze order since they has not finished their investigation,” Urieta said, detailing what he wrote in his report to the Sandiganbayan justices.
“It’s up to the court of the Sandigan-bayan. But we will continue with the writ of execution against the Velarde assets. I will wait for the court’s order regarding the BIR’s freeze order. If the court says to continue with the forfeiture, I will continue,” Urieta said, when asked what the Sandiganbayan Sheriff’s Office will do regarding Gatchalian’s and Wellex’s alleged plan to retrieve the assets.
Urieta said the Sandiganbayan would be the one to order the Sheriff’s Office on what to do next. He added he still has no idea when the BIR freeze order would be lifted.
He also denied having knowledge about the recent letter made of the Wellex Group to BDO.
“I don’t have a copy of the latest letter sent by Wellex Group to Banco de Oro. I already wrote a report to the justices the other night,” he said.
The forfeiture of the assets is in compliance with a writ of execution issued by the Sandiganbayan Special Division after former President Joseph Estrada was convicted of plunder last Sept. 12 for amassing some P4.1 billion ill-gotten wealth during his presidency.
It is widely believed that Estrada owns the Jose Velarde account, although he denies the allegation.
Urieta has stood firm in implementing the writ of execution on the forfeiture order of the anti-graft court against Estrada’s assets, including that of the Jose Velarde account.
He warned that he would take to court anyone who would try to block the implementation of the order.
He said he hopes that the BIR would eventually lift the freeze order and allow the seizure of the assets.
“The BIR cannot even ascertain the date of their findings. Then we have to fully enforce the writ of execution, for the satisfaction of the court order,” Urieta told The STAR.
“If BDO will not deliver the assets, we will write a letter to the (anti-graft) court,” Urieta said.
Urieta issued the statement after learning that the BIR refused to lift a seven-year-old freeze order on the P1.107 billion cash and stock assets at the BDO under the Jose Velarde account, blocking plans of the Sandiganbayan to forfeit them in favor of the government.