Prosecution: CALE88 Foods sale involving Carpio was “fake”

THE prosecution on Thursday alleged that the sale of CALE88 Foods Corp., a business entity partly owned by Vice President Sara Duterte’s husband, Atty. Manases Carpio, was “a fake.”

Prosecution counsel Erwin Matib made the statement in the course of direct examination of witness, lawyer Anne Lorraine Garcia Marquez of the Bureau of Internal Revenue on CALE88, which a previous witness has told the Senate impeachment court received a total of P319 million in “inward remittances” from several Chinese companies.

The corporation, 47.5-percent owned by Carpio from 2021, when it was formed, up to 2024, and which is alleged to be engaged in the export business, also received inward remittances from other foreign sources.

Matib asked Marquez if an electronic certificate authorizing registration (ECAR) was obtained or an application for ECAR was pending with the BIR in relation to the supposed sale of CALE88.

The BIR witness answered that there was no such document obtained and no application was pending.

“Ibig sabihin, peke ang sale ng shares ni Atty. Carpio sa Pekemong Pekemong,” Matib concluded.

Defense counsel Kristine Ferrer objected to Matib’s conclusion and corrected the name of the supposed buyer as Pikimong Pikimong.

Impeachment court presiding officer Sen. Francis Escudero sustained the objection.

Marquez explained that the BIR requires ECAR before a sale or transfer of property such as shares of stock or a business entity to ensure the payment of taxes.

She said such sale or transfer cannot be recorded in the books of the concerned corporation or business entity without such registration document from BIR.

She said the corporation code imposes penalties on the corporate secretary if the ECAR requirement was not complied with.

In the course of questioning Marquez, Escudero said he has a particular problem in the case of CALE88.

He recalled that testimony has been presented to the impeachment court by a witness from the Securities and Exchange Commission showing that in 2025, CALE88 was majority owned by Pikimong Pikimong, and that Carpio was no longer a shareholder of the export firm.

Escudero raised a scenario where Pikimong Pikimong has not yet obtained an ECAR and paid the corresponding taxes on Carpio’s supposed sale of his shares, if indeed there was a sale.

Responding to the presiding officer’s question, Marquez said in such a case, it would be the responsibility of CALE88 corporate secretary to report the sale to the BIR, obtain and ECAR and pay the corresponding taxes.

Would the lack of an ECAR and non-payment of taxes invalidate a sale or transfer of property? Escudero asked.

Marquez, who is a lawyer, said the sale would be binding “upon the two parties but not upon a third party.”