President, VP barred from businesses due to 'greater possibility of abuse' -- ex-Sandiganbayan Justice

Former Sandiganbayan presiding justice Amparo Cabotaje-Tang explained that the President and Vice President are barred from participating in any business while holding public office because of the greater possibility of abuse of power inherent in their respective positions. This was in response to Senator-Judge Panfilo Lacson's question on the 24th day of Vice President Sara Duterte's impeachment trial, asking why the ban on business participation applies only to the President and Vice President and not to governors, mayors, senators, and members of the House of Representatives. "Given the fact that the President and Vice President are the two highest officials of the land, ang sinasabi doon [it’s stated that], there is the greater possibility of abuse in their office," Cabotaje-Tang said. "They have greater powers, as stated by the Supreme Court. That’s why the prohibitions are more stringent for them, and because of the powers that they wield, there is a greater possibility of abuse in their office," she added. Cabotaje-Tang said that Republic Act No. 6713, or the Code of Conduct and Ethical Standards for Public Officials and Employees, also provides prohibitions for other government officials, but affirmed that the restriction is "absolute" for the President and Vice President, as well as their spouses. Article VII, Section 13 of the Constitution states that the President, Vice President, Cabinet members, and their deputies or assistants shall not, during their tenure, directly or indirectly practice any other profession, participate in any business, or be financially interested in any contract with, or in any franchise or special privilege granted by the government or any subdivision, agency, or instrumentality thereof, including government-owned or -controlled corporations or their subsidiaries. Senate impeachment court presiding officer Francis Escudero then asked Tang why the Constitution specifically states that the officials mentioned shall not "participate in any business" rather than "have an interest in any business." "What does that mean? Does it mean they can’t own a business, or that they can’t participate in a business they own—meaning, actively run it?" Escudero asked. Tang, in response, said the term "participate" refers to direct or indirect participation. "Meaning whether ownership in a corporation or participating either as a director or as an officer of the corporation, that is prohibited," she said. Escudero then clarified whether it was Tang’s position that a President or Vice President should divest from any business they own, even a sari-sari store, after taking their oath of office. "Yes, sir. In fact, under the law, there is a need to divest upon assumption of office immediately, and within 30 days," Tang said.