THE Court of Appeals has extended for another
three months until Feb. 18, 2009 the freeze order on several
bank accounts and other assets of some 21 individuals involved
in a multi-million investment scam that victimized several known
personalities.
The CA Third Division issued last Oct. 31 a
20-day freeze order on the incorporators of Power Gen Trading
Corp., a company that retails petroleum products, following a
P512.2 million estafa case filed against them by the Department
of Justice at the Manila regional trial court based on the
complaint lodged by the National Bureau of Investigation last
May.
The court threw out appeals filed by some of
the respondents to lift the freeze order and opposing the
Anti-Money Laundering Council’s moves to extend the effectivity
of the said order.
The appellate court also ordered the assets
of Andrew and Analyn de Venecia removed from coverage of the
freeze order after the two were dropped from the list of those
charged before the Manila RTC for lack of evidence.
Those still covered by the freeze order are
Dr. Rudy Enrique Olalia, president of Powergen; his wife Dr.
Lourdes Tiu-Olalia, chief executive officer; and Powergen
officers Atty. Marie Francesca Yuvienco, Katherine Rica
Bautista, Rene Anastacio Olalia; Almer Cabigting, Michael Mojica,
Pamela Joy Bagtas, Glenn Soriano, Janet Alfaro, Alfredo Ramos,
Yolanda Garcia, Vayda Montes, Dr. Gaspar Montes, Allen David,
and Angelo David.
Also charged before the DOJ were Bernard de
Venecia, Antonio Escamilla, Felipe Parena, Ariel Canuto, Raulito
Manglapus Jr., and Jose Vivencio Reyes of German Tech Asia
Pacific Inc., associate of Powergen.
Sought to be frozen by the AMLC were accounts
in the names of incorporators of Powergen, German Tech, and St.
Expeditus Corp. in Banco de Oro-Equitable PCI Bank, BPI, BPI
Family Bank, Hong Kong and Shanghai Banking Corp., Union Bank,
United Coconut Planters’ Bank, Metrobank, GE Money Bank,
Robinson’s Bank, Security Bank, and Rizal Commercial Banking
Corp.
The ALMC also sought the forfeiture of the
luxury vehicles belonging to the Olalias, Alfaro and David.
Those allegedly gypped in the scam include TV
host Korina Sanchez, architect Philip Recto, and former
basketball star Jose Antonio Yturri.
Powergen through the Olalias reportedly
solicited fuel orders from customers like bus companies and
shipping lines are buying on credit. These fuel orders were then
shown to prospective funders/investors who may advance the money
to pay for the fuel orders as a form of investment in view of
the guaranteed promise of a high return, particularly a profit
of 6 to 8 percent of their investment in just 33 days. On
maturity date, these investors would have the option of either
pulling out their entire investment or rolling it over.
Upon agreeing to invest, investors would turn
over their money to Powergen in the form of cash, check or fund
transfer. Interests on their initial investments are paid,
making it appear that the investments are really earning, to
entice investors to invest more. Option to pull out only the
interest and to maintain the principal investment is given to
investors.
The same modus was adopted by German Tech. St. Expeditus was
found to have no business permit, hence its operations were also
illegal. It was also found that these three corporations do not
have sufficient capital to support a fuel trading business.
– Evangeline C. de Vera
