Senate court grants summons for Sara Duterte, Mans Carpio bank, tax records
MANILA, Philippines (Updated 6:32 p.m.) — The Senate impeachment court granted the House prosecution's request to subpoena bank, tax and Anti-Money Laundering Council records of Vice President Sara Duterte and her husband, lawyer Manases "Mans" Carpio, rejecting the defense's argument that the request amounted to a fishing expedition.
Presiding officer Francis Escudero said Monday, July 20, that the requested documents passed the twin tests of relevance and definiteness under the Rules of Court because they were "reasonably described, readily identifiable, prima facie relevant, and material to the allegations" under Article II of the Articles of Impeachment.
The ruling came after hours of interpellation on whether the court could compel the production of Duterte and Carpio's financial records as part of the trial on the vice president's alleged unexplained wealth.
Escudero cited the impeachment trial of the late Chief Justice Renato Corona, where the Senate granted a similar request, and noted that the Bank Secrecy Law itself expressly names impeachment as an exception to deposit confidentiality.
The banks were ordered to submit the documents to the impeachment court on July 30.
Limits to subpoena
Escudero said the subpoenas granted by the court would apply only to peso-denominated accounts relevant to Article II.
"Foreign currency deposits are excluded, absent the written consent of the respective depositors," Escudero said, citing the Supreme Court's temporary restraining order on Corona's dollar accounts in 2012.
The impeachment court also limited the use of records from 2007 to 2021. Escudero said these records could not be used to allege new impeachable offenses, which he said would violate Duterte's due process rights under Duterte v. House of Representatives.
Instead, the records may only be used to establish a "factual baseline," or the starting net worth against which Duterte's wealth during her current term may be measured in relation to the unexplained wealth allegation.
Escudero also allowed the subpoena of Carpio's accounts, citing the Family Code. He said that absent a marriage settlement, the couple's assets form a single absolute community of property.
"It is a legal and mathematical impossibility to determine the respondent's true net worth or lawful income without examining the bank accounts of her husband," Escudero said.
AMLC, BIR records
The impeachment court also rejected the defense's argument that Section 8-A of the Anti-Money Laundering Act absolutely bars disclosure of AMLC records.
Escudero said the provision regulates unauthorized leaks by AMLC personnel and "does not and constitutionally cannot nullify" the impeachment court's subpoena powers.
If the Senate cannot be denied AMLC records in aid of legislation, Escudero said, "it most certainly cannot be denied to the Senate sitting as an impeachment court."
Out of "an abundance of caution," however, the AMLC records will first be reviewed privately, or in camera, by Escudero before being turned over to the parties.
The court also granted the prosecution's request for Duterte and Carpio's Bureau of Internal Revenue records covering 2007 to 2021, but with limits.
Escudero said the defense "correctly invoked" Section 71 of the Tax Code, which allows taxpayer records to be opened only under specific exceptions: authorization by the president—in this case Ferdinand Marcos Jr.—a request from a foreign tax authority with presidential approval, or the taxpayer's own waiver.
The subpoena, Escudero said, is "merely a preliminary procedural step" and does not by itself authorize disclosure.
"Without a satisfactory showing of faithful compliance with any of the enumerated exceptions, this court shall not receive any subpoenaed records from the BIR," Escudero ruled, noting that the court had already returned the sealed BIR box on the first day of trial for the same reason.
Escudero said the BIR commissioner may refuse compliance, "very much like what they did to the House." He also cited the Corona impeachment precedent, where the Senate subpoenaed tax records in 2012 but received them only after presidential authorization.
The court rejected the argument that the subpoena usurps the BIR's authority, saying it is "not determining the tax deficiencies or civil liabilities" but "exercising its constitutional mandate to determine public accountability."
Entities excluded
The impeachment court denied subpoenas for two of the 21 listed entities, JTC Group of Companies and Pikimong Pikimong Philippines Corp., after finding that their records did not identify Duterte or Carpio as shareholders.
The "corporate veil may not be pierced on mere suspicion or speculation," the court said.
The ruling gives prosecutors access to a set of financial records they have argued is necessary to pursue the unexplained wealth allegation, while limiting the reach of the subpoenas to accounts, agencies and entities the court found sufficiently connected to Article II.
- Latest
- Trending
