Probe on tobacco industry should be comprehensive

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CONGRESS and other investigating bodies of the government should conduct their investigation on a wide range and refrain from singling out a particular company  suspected of committing a violation in order to avoid unnecessary damage to corporations which provides employment to the Filipino people.

This was the appeal made by Ako-Bicol party-list Rep. Rodel Batocabe in connection with the ongoing probe in the House of Representatives on “unscrupulous entities” in the cigarette industry.

Batocabe, a member of the House Committee on Ways and Means, in a statement said that investigation should focus on the entire tobaccos industry and not single out one company.

The partylist represtative was referring to the to the allegations of under-declaration of products by local player Mighty Corp. (MC), intended intended to reduce tax payments.


MC manufactures and sells cigarettes retailed at P1 per stick, which categorizes the products under the low-end tier subject to the cheapest sin tax rate.

It is the only Filipino-owned  integrated tobacco producer of popular, low-priced cigarette brands, such as “La Campanilla,” “Magkaibigan,” “Campana Ringing Bell,” which are “totally and truly Filipino.”

“As member of the Ways and Means committee, I believe that any investigation to be conducted should be objective and fair,” Batocabe said.

Although he considers the ongoing probe being conducted by the Committee on Ways and Means headed by Marikina City Rep. Romero Federico “Miro” Quimbo is necessary to protect the tobacco industry and government, the probe should look at the issue on all angles so as not to prejudge and single out anybody.

Kabataan party-list Rep. Terry Ridon, on the other hand said that local companies such as MC should be supported for providing livelihood to millions of Filipinos apart from the fact that it is paying billions in taxes to the government.

“… We will always be in defense of national firms against offensives of foreign firms to force it out of business,” he added,

MC’s legal counsel Miguelito Ocampo denied all allegations against the Filipino cigarette firm and maintained that the company has lower overhead and production costs because it sources its services, management, and materials locally. JEFFERSON ANTIPORDA

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3 Comments

  1. Ronald Dimalanta on

    The investigation isn’t singling out MC, the investigation covered all companies in the tobacco industry and only found discrepancy in MC. And being a Filipino-owned company doesn’t give it an excuse to break the law, instead it should even set an example on how to do business in the Philippines as a Filipino.

  2. Juan Crisostomo on

    How comprehensive do they want the probe to be? Allegedly, the BIR posted a 24 hours watch on PMFTC’s warehouses while posting only an 8 hour watch on Mighty’s. Shouldn’t the probe be directed at the BIR as well?

  3. “MC’s legal counsel Miguelito Ocampo denied all allegations against the Filipino cigarette firm and maintained that the company has lower overhead and production costs because it sources its services, management, and materials locally.” – at 1 peso per stick there’s just no way they can cover production, labor and distribution cost if they source everything locally, and how do they cover Sin Tax and VAT?