Rep. Reynaldo Umali names 2 executives smuggler’s protectors

A lawmaker on Tuesday pointed to two government officials as “protectors” of an alleged smuggler of imported goods whose operations supposedly robbed the government of P230 million in potential revenues this year.

Speaking at the weekly Ugnayan sa Batasan media forum, Oriental Mindoro Rep. Reynaldo Umali of the Liberal Party named the two officials as Deputy Commissioner Estela Sales of the Bureau of Internal Revenue (BIR) and Deputy Customs Commissioner Gregorio Chavez.

Umali accused Sales and Chavez of protecting one “Boy Valenzuela” who, he alleged, was involved in diverting 1,910 container vans filled with appliances, tires and building materials while the vans were in transit from Manila to Batangas province, their final port of destination.

Umali, who was a deputy customs commissioner for six years during the Arroyo administration, said the people “responsible for the missing container vans could not have been emboldened to do this without their so-called protectors.”

“The people who are supposed to run after them are basically in the loop,” he alleged. “There is a tie that binds them because of the relationships between these high-ranking officials and key players.”

Umali said Sales and Chavez are heads of critical task forces in the government—Sales heads the Run Against Tax Evaders (RATE) and Chavez is executive director of Run After the Smugglers (RATS) program.

Denials

Sales and Chavez both emphatically denied Umali’s allegations and challenged him to go to court if he had any evidence to back his claims.

Customs Commissioner Angelito Alvarez, on the other hand, said his office had recommended the filing of charges against 14 customs officials for the disappearance of 2,000 vans destined for Batangas earlier this year.

Allegations about the diversion of the imported shipment first came out the other day during a hearing of the House of Representatives’ ways and means committee.

Puregold

During that hearing, Ilocos Norte Rep. Rodolfo Fariñas, quoting unnamed but “reliable” sources, accused Valenzuela of delivering the bulk of the missing merchandise to Puregold, a fast-growing retail chain.

Puregold has strongly denied the allegation and said its good name was built purely on the hard work of its officials and employees.

Arroyo appointees

“Presumably, Valenzuela was emboldened to commit with impunity the outright smuggling of at least 1,910 container vans because of his connections with the heads of RATS and RATE. He felt he was protected from the law,” Umali alleged.

Efforts to reach Valenzuela were unavailing. A customs official told the Inquirer that Valenzuela was not officially connected with the bureau and that he had no way of getting in touch with the man.

Umali said Alvarez “is practically running blind” the Bureau of Customs “with the heads of the RATS and RATES protecting smugglers like Boy Valenzuela.”

“He has to cleanse the agency of GMA appointees like Chavez and Sales,” Umali said.

Vulnerable points

Umali said Sales served as finance undersecretary during the Arroyo administration and that it was also during the past administration that he was appointed to his current post.

Umali said it was “not surprising” that RATE and RATS had not been able to prosecute successfully tax dodgers and smugglers because they were led by “protectors.”

Umali claimed that Valenzuela wielded influence in the customs bureau’s operation division, allowing him to identify vulnerable points in the transit of imported goods.

He said that among the bureau’s operations officers he was in touch with was Batangas Collector Juan Tan, who had previously reported the missing cargo. Umali claimed Tan and Sales were close associates.

Umali earlier identified “Boy Valenzuela” as “Elvinario Valenzuela,” a resident of Taguig City, who reportedly owns a Cavite resort and a fleet of luxury cars.

No evidence

Interviewed on the phone, Sales said she was considering filing a libel case against Umali for maligning her “without basis.”

Instead of making “false accusations,” Umali should have filed a case against her if he had evidence, Sales said.

“I have been in public service for a long time, and I have never had any record of wrongdoing,” Sales stressed. “He could not file a case because he has no evidence.”

She added: “He is hiding under legal immunity and maligning people who are working hard in doing public service. Maybe he is the one trying to protect somebody.”

Smear campaign

Chavez told the Inquirer the accusations against him could be part of a “well-funded smear campaign” by people he was going after under the RATS program.

“There is no evidence to support the allegations,” Chavez said. “Why don’t they file a case in court instead of going to the media? They are making the accusations merely to destroy my name. Why are they doing this? Maybe because I have filed cases against people they want to protect.”

Chavez said he did not know any “Boy Valenzuela,” stressing he could not protect someone he did not know.

He also said his position as deputy customs commissioner for assessment and operations coordinating group, besides being head of RATS, involved only policy-making and did not entail interaction with importers.

“The release of importations and transshipments is not under my jurisdiction. How can I give protection to somebody when I don’t have the power to do so, when my position does not have to do with their (importers’) transactions?” Chavez said.

Alvarez vow

Chavez said that as head of RATS, he had been receiving threats through text messages from people he did not know and whom he suspected were involved in a campaign against him and the RATS.

Alvarez, for his part, dismissed suggestions that he resign. “We were the ones who discovered this and we’ve finished our investigation,” Alvarez said.

“We will not allow those who were behind this to get away,” he added.

“We will leave no table unturned and we will get to the bottom of these (controversies),” Alvarez said.