Mighty Corp. agrees to pay P3-B tax settlement
Mighty Corp. owner Alex Wongchuking. Marianne Bermudez/INQUIRER
Controversial homegrown tobacco firm Mighty Corporation has agreed to pay at least P3 billion as settlement for its excise tax liabilities, Justice Secretary Vitaliano Aguirre II said on Wednesday.
Aguirre said Mighty Corp. President Alex Wongchuking has already sent a letter to President Rodrigo Duterte agreeing to the Chief Executive’s proposed deal of P3-billion payment for the corporation’s tax liabilities.
“They have already sent a letter to the President stating that they are accepting the President’s proposal,” Aguirre said.
However, he said Mighty Corp. asked that they be allowed to pay the P3-billion in tranches with an initial payment of P1-billion.
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.
He added that he also issued an Immigration Lookout Bulletin Order (ILBO) against the board members of the tobacco firm. Aguirre earlier issued ILBO against the Wongchuking siblings Alex and Ceasar.
Earlier this month, the Bureau of Customs and the Bureau of Internal Revenue confiscated 11,044 master cases of Mighty cigarettes worth P215 million in General Santos City and 62,200 master cases valued at P1.98 billion in San Simon, Pampanga.
Last week, BOC seized three more containers carrying Mighty cigarettes in the Port of Cebu and in Tacloban in an operation led by Commissioner Faeldon himself.
Mighty Corp. was able to secure a temporary restraining order from the Manila regional trial court against the raids. In response, the BOC filed an administrative case against Judge Tita Alisuag before the SC.
