Saturday, September 02, 2006

Charo's Husband Answers BIR Charges

Many were surprised when they heard the news that the BIR has charged, no less than ABS-CBN's Charo Santos-Concio, with violation of tax laws.

Below is an excerpt from an Inquirer article on September 2 entitled, BIR charges ABS-CBN exec with tax law violation:

A complaint was filed in the Quezon City prosecutor’s office charging Concio with violating Section 266 of the Tax Reform Act of 1997 for allegedly failing to produce the financial records of Franmar Corp., of which she is president.

The BIR, through lawyers Philip Mayo and Amado Pagarigan, said the ABS-CBN executive failed to present Franmar’s books of accounts and other records for 2004.

But in a statement issued by Franmar, Santos-Concio's husband insists he is the president of the company and not his wife.

Below are the official statements from Franmar and the company's tax consultants:


Franmar Corporation, through its President, Cesar R. Concio, Jr., is surprised that ABS-CBN Executive Vice-President and Channel 2 head Charo-Santos Concio is being charged by the Bureau of Internal Revenue for alleged violation of tax laws by Franmar.

As president, I assume full responsibility for all corporate matters including  tax violation and liabilities of Franmar, if any, ”Cesar R. Concio, Jr. said.

A separate statement will be issued by Franmar tax consultants Pelejo, Priela, Ongkingco, Siton & Co., CPAs regarding the particular complaint of the BIR against Franmar.



STATEMENT FROM Pelejo, Priela, Ongkingco, Siton and Co., CPAs

As tax consultant of Franmar Corporation for the year 2004,  our firm, Pelejo, Priela, Ongkingco, Siton and Co., CPAs (PPrOS) was surprised at the news article that appeared on the September 1, 2006 issue of  the Philippine Daily Inquirer that BIR accused Ms. Charo Santos-Concio of violating tax laws.

Being the engagement partner for Franmar Corporation, I have personal knowledge that the company operates under the presidency of Mr. Cesar Concio, Jr. Â I have always dealt with him on tax and accounting matters and never with Ms. Charo Santos-Concio.

I have not seen the alleged complaint but I am aware that Franmar Corporation availed of the Enhanced Voluntary Assessment Program (EVAP) in December 2005 for their 2004 taxes.

While BIR may be doing its job, there may just be an oversight. Â I am confident that Franmar Corporation would be able to answer at the proper forum whatever charges were filed against the company and its officers.

Pelejo, Priela, Ongkingco, Siton and Co., CPAs