DOJ to conduct preliminary probe on Mighty Corp. tax evasion case

The Department of Justice (DOJ) will conduct a preliminary investigation on the P9.564 billion tax evasion complaint filed by the Bureau of Internal Revenue (BIR) against controversial cigarette maker Mighty Corporation and its officials for allegedly using bogus tax stamps on their products to evade the payment of excise tax to the government.

Senior Assistant State Prosecutor Susan Dacanay, chairperson of the DOJ’s Run After Tax Evaders (RATE) Task Force received the complaint filed by the BIR.

Dacanay said the complaints will undergo preliminary investigation to determine if there is probable cause to warrant the filing of the charges before the court.

Named respondents in the case were retired AFP deputy chief of staff Edilberto Adan who is serving as the company’s president; retired judge Oscar Barrientos, executive vice president; Alexander Wong Chu King, vice president for external affairs and assistant corporate secretary; and Ernesto Victa, treasurer.

The complaint came after Justice Secretary Vitaliano Aguirre II met with Finance officials early this week.

READ: BIR files P9.5-billion tax evasion case vs. Mighty Corp.

Aguirre earlier said that Mighty Corporation has agreed to pay P3 billion to settle its excise tax liabilities.

Aguirre also said Mighty Corp. has already sent a letter to the President stating that they are accepting the President’s proposal.

Duterte earlier said he is willing to enter into a compromise with Mighty Corp. if the firm will agree to double the amount of its tax liabilities. The money, the President said, will be used to repair hospitals in Tawi-Tawi, Sulu and Tondo.

Despite the settlement agreement, Aguirre said the government could still pursue the tax evasion cases against Mighty Corp. JE