SEC Records Show VP Duterte Remained Company Director While in Office

A SECURITIES and Exchange Commission (SEC) official on Monday testified that Vice-President Sara Duterte-Carpio remained a director of a private company through 2025, three years after taking office, as prosecutors sought to establish that she continued participating in business while serving as the country’s second-highest official. SEC Company Registration and Monitoring Department Director Gerardo F. del Rosario told the Senate impeachment court that corporate filings listed Ms. Duterte as a director of Metro City Chow Foods Corp. from 2018 to 2025. “She was still a member of the board of directors under the GIS (general information sheet) for 2025,” he said. Ms. Duterte assumed office as Vice-President on June 30, 2022. SEC records presented at the trial showed that she remained a director from 2022 through 2025 and retained a 20% stake in the company. The 1987 Constitution prohibits the President, Vice-President, Cabinet members and their deputies or assistants from participating, directly or indirectly, in any business during their tenure. It also bars them from holding a financial interest in government contracts, franchises or special privileges. Defense lawyer Justin Nicol B. Gular objected when House of Representatives private prosecutor Erwin G. Matib questioned Mr. del Rosario about the constitutional prohibition, arguing that the question called for a legal conclusion. Senator and Presiding Judge Francis Joseph “Chiz” G. Escudero allowed the questioning to proceed, saying he wanted to know whether the SEC had flagged the matter. Mr. del Rosario said the SEC does not investigate whether public officials have violated constitutional restrictions on participating in businesses because its investigative authority covers securities violations. “[We investigate] violations of securities, but not yet on whether our officials have performed acts in violation of the Constitution,” he told the court. “I have yet to encounter such an issue in our office.” During questioning by Senate President Sherwin T. Gatchalian, Mr. del Rosario confirmed that corporate records also listed Ms. Duterte as a member of Metro City Chow Foods’ compensation committee. Asked whether this constituted direct participation in the company’s management, Mr. del Rosario said the corporate secretary’s report indicated that it did. He stopped short of determining whether Ms. Duterte had violated the Constitution, saying that question was for the Senate to decide. SEC records showed Ms. Duterte held a 20% stake in Metro City Chow Foods, with subscribed shares worth P50,000. The company reported no dividends from 2018 through 2025. Senator-Judge Erwin T. Tulfo questioned why the SEC had not warned public officials whose corporate filings might raise constitutional issues. “Didn’t you follow up with her to remind her?” he asked. “Or isn’t that your job? Whose job is it to remind that official, ‘Sir, Ma’am, you might have a violation, you have a violation here in what you filed, you might need to divest?’ You don’t do that?” Mr. del Rosario said the SEC had not received directives from the Executive, Legislative or Judicial branches requiring it to report officials with such business ties. “We can really do it if there are directives,” he said. “We can report them.” The Senate impeachment court is hearing the second article of impeachment against Ms. Duterte that includes allegations involving unexplained wealth, statements of assets, liabilities and net worth and continued business interests. Ms. Duterte’s defense has disputed the prosecution’s presentation of the SEC records, accusing it of presenting misleading figures. — KPBG