DOJ building economic sabotage case vs onion cartel

MANILA, Philippines — The Department of Justice (DOJ) is building a case of economic sabotage against a network of industry players allegedly involved in an onion cartel that has been blamed for a spike in prices last year, Justice Secretary Jesus Crispin Remulla said yesterday.

Speaking to reporters, Remulla said the DOJ has already conducted studies on onion smuggling and is now planning to gather evidence against people identified as part of the cartel.

“We are looking at the minutes now on the congressional hearings and, of course, we will look at our own notes to be able to put together a good case of economic sabotage against those who insist on the creation of a cartel within the country,” he added.

According to the justice chief, the same names that floated during a probe of the House of Representatives are also emerging in the DOJ’s own investigation and that authorities just have to “catch them in the act.”

The House inquiry, led by Marikina Rep. Stella Quimbo, found alleged collusion among industry players to control the price of the commodity – a finding that Remulla echoed.

Meanwhile, Speaker Martin Romualdez made assurances yesterday that the House of Representatives will “fast-track” the passage of the measure that will “tighten the noose against smugglers of onion and other agricultural products.”

“As soon as the start of the second regular session of the 19th Congress (on July 24), we will immediately buckle down to work for the passage of the proposed amendments to the Anti-Agricultural Smuggling Act,” Romualdez said.

The measure is among 20 bills slated for approval by Congress before yearend during the 2nd Legislative-Executive Development Advisory Council (LEDAC) full meeting presided over by Marcos in Malacañang on Wednesday.

“The inclusion of this measure among the LEDAC priority legislation manifests the commitment of Congress to support the President’s drive against unfair business practices that hurt consumers and local farmers alike, but also derail the administration’s efforts to attain food security,” Romualdez said.

“Enactment of this measure will institutionalize and improve mechanisms, as well as provide more stringent penalties that would serve as a strong deterrent against smuggling of agricultural products, including onion,” he added.

Marcos earlier ordered the National Bureau of Investigation and the DOJ to go after smugglers of onion and other agricultural products, based largely on the findings of the probe conducted by the House committee on agriculture and food.

Last May, during a hearing of the House committee on agriculture and food, Quimbo tagged a cartel – operating through a web of companies – as the culprit that manipulated the supply and prices of onion.

Romualdez vowed the House’s full support on Marcos’ directive for a clampdown on price manipulators behind the onion cartel.

“This is a welcome development, a decisive action that manifests the President’s resolve to clamp down on unscrupulous businessmen preying on hapless Filipino consumers and hampering his administration’s efforts to sustain the robust economy,” he said.

It was upon the initiative of Romualdez to call for a congressional probe on onion smuggling after the prices of the agricultural product hit a record high of P700 per kilo in December last year.

“The President’s directive should be enough to deter further supply manipulation of agricultural products and help stabilize prices, especially amid reports that prices of onion are on the rise again,” the Speaker said.

Cavite Rep. Elpidio Barzaga Jr., chairman of the House committee on environment and natural resources, said Marcos’ directive only “shows the Chief Executive’s seriousness in protecting the welfare of the public, especially ordinary people.”

“The President’s order also shows that he had been following our hearings and that he recognizes the huge role it played in helping dismantle the biggest onion cartel in the country to restore the prices of agricultural products to its previous level,” he said.

Rep. Zaldy Co, who heads the powerful House appropriations committee, thanked Marcos for his instructions to conduct an in-depth criminal investigation against smugglers, hoarders and price fixers of agricultural products.

The congressman from Ako Bicol party-list said the President’s order is “timely” in the face of rising prices of commodities like onions.

“The President’s order to investigate and prosecute smugglers, hoarders and price manipulators shows his firm resolve to end serious economic crimes that victimize millions of ordinary Filipinos,” he said. – Delon Porcalla