Several senator-judges raised concerns over the financial records of Cale88 Foods Corp., a banana chips company linked to Vice President Sara Duterte and her husband, lawyer Manases “Mans” Carpio, citing possible money laundering red flags and discrepancies between its declared sales, workforce, capital, and bank transactions during impeachment proceedings on Oct. 9.
During the Senate impeachment court hearing, senators questioned how Cale88, which reported only P125,000 in paid-up capital and two employees, was able to generate more than P150 million in sales while recording financial losses and receiving hundreds of millions of pesos in bank deposits.
Senator Joel Villanueva said the company’s records appeared inconsistent, noting that Cale88 declared sales of P150.7 million in 2024 but posted a net loss of P6.13 million.
He also pointed to the company’s General Information Sheets (GIS), which showed no reported employee count in 2023 and 2024 and only two employees in 2025.
“You’re looking at a company with P150 million in sales and P6.13 million in losses, yet it reported only two employees,” Villanueva said.
Villanueva asked Bureau of Internal Revenue (BIR) Chief-of-Staff Anne Loraine Garcia-Marquez how a manufacturing company could sustain such operations with only two workers.
Garcia-Marquez acknowledged the apparent discrepancy, saying a banana chips manufacturing business operating with only two employees would appear unlikely unless its processes were highly automated.
She said documents such as supplier records, invoices, workforce records, and shipping documents would need to be examined to determine whether the reported transactions were supported by actual business activities.
Senator Panfilo Lacson also questioned the company’s financial performance, noting that Cale88 had reported total sales of about P208 million from 2022 to 2025 despite posting a cumulative negative taxable income of around P8 million.
Lacson asked whether such financial results would constitute a red flag from the BIR’s perspective.
Garcia-Marquez responded that tax examiners would need to determine whether the company had overstated expenses or understated sales, adding that the figures could warrant closer scrutiny.
Senator Francis “Kiko” Pangilinan likewise questioned how the company could claim to be engaged in manufacturing while reporting only about P1.2 million in annual salaries and wages.
He noted that the reported payroll translated to roughly P97,000 per month despite the firm’s substantial sales and foreign remittances.
Garcia-Marquez agreed that the figures raised questions that should be addressed through a tax audit.
Meanwhile, Senator Risa Hontiveros highlighted a discrepancy between Cale88’s declared sales and reported bank transactions.
According to Hontiveros, BIR records showed total sales of P208.49 million from 2021 to 2025, while Anti-Money Laundering Council (AMLC) reports reflected approximately P776 million in bank inflows during the same period.
She noted that the AMLC figures covered only transactions reported through covered and suspicious transaction reports, suggesting the possibility of additional inflows beyond those amounts.
Hontiveros also disclosed that one of the company’s foreign remitters, Ukraine-based Arkmen LLC, had allegedly been linked to possible money laundering activities.
Senate President Sherwin Gatchalian similarly questioned why hundreds of millions of pesos in bank inflows did not appear to correspond with the company’s declared revenues and financial statements.
Garcia-Marquez said such inflows could represent loans, donations, or other non-sales transactions but stressed that they should still be properly reflected in audited financial statements.
She confirmed that Cale88 is currently under BIR investigation through a Letter of Authority and said findings of underdeclared sales could lead to deficiency tax assessments or criminal charges if tax evasion is established.
The hearing also examined the transfer of Carpio’s shares in Cale88 to Pikimong Pikimong Philippine Corporation, which reportedly acquired a 95-percent stake in the company despite having only P62,500 in paid-up capital and P59,836 in total assets in 2024.
Pangilinan questioned how a corporation with such limited resources was able to acquire a controlling interest in Cale88, describing the transaction as another cause for concern.
The financial scrutiny formed part of the impeachment proceedings involving Duterte, particularly Article II of the complaint, which alleges unexplained wealth.
During the hearing, veteran forensic accountant and lawyer Alexander Cabrera testified that Duterte and Carpio accumulated an estimated P817.87 million in undeclared assets and unexplained wealth between 2022 and 2025.
Cabrera told the impeachment court that the amount included allegedly undeclared cash, real and personal properties, and income connected to the couple and several corporate entities.
His computation showed annual totals of P190.63 million in 2022, P167.34 million in 2023, P264.22 million in 2024, and P195.69 million in 2025.
Of the total amount, P207.7 million allegedly consisted of undeclared cash, while P143.5 million represented undeclared real and personal properties. Cabrera also identified P111.85 million in allegedly undeclared income attributed to Duterte and Carpio.
The analysis further cited P142.2 million in computed undeclared income linked to Cale88 Foods Corp. and Metro City Chow, as well as P212.63 million connected to GenCorp Industries.
Senator Lito Lapid asked the House prosecution panel what the public should take from the financial evidence presented during the trial.
Responding, House prosecutor and Akbayan Rep. Chel Diokno said the central issue was whether public officials had fully disclosed their assets and finances.
Diokno said the case was grounded on financial and regulatory records obtained from banks, the AMLC, the BIR, and the Securities and Exchange Commission, emphasizing that the impeachment proceedings centered on public trust, accountability, and fitness for public office. ||
