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It’s deputy director general Tereso Panga who will be officer-in-charge of the Philippine Economic Zone Authority, the Department of Trade and Industry said
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DTI upheld Panga’s appointment and refuted Charito Plaza’s claims she is still the PEZA head
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DTI Undersecretary Herminio C. Bagro III said the position of director general was “legally deemed vacant” since June 30
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Bargo said Plaza’s claims that her post was not vacated have no legal basis
The Department of Trade and Industry (DTI) affirmed the appointment of deputy director general Tereso Panga as officer-in-charge of the Philippine Economic Zone Authority (PEZA) and refuted claims of former director general Charito Plaza that she is still legally in charge.
Trade Undersecretary Herminio C. Bagro III, in a letter to Plaza dated August 4, said the position of director general was “legally deemed vacant” since June 30 following the issuance of the Office of the President Memorandum Circular (MC) No. 1.
MC No. 1 declared vacant all government posts held by presidential appointees whose appointments were considered co-terminus with the tenure of former President Rodrigo Duterte.
Bagro was responding to Plaza’s August 2 letter to Trade Secretary and PEZA Board chairman Alfredo Pascual insisting that she “never officially ordered any turnover of my post and have never vacated my position as the director general.”
Plaza on the same day asked Executive Secretary Victor Rodriguez to issue an order “clarifying that my position as Director-General was never vacated pursuant to MC No. 1 and MC No. 3.” She also held a press conference on August 3 explaining her side.
MC No. 3, issued on July 27, amends and supplements MC No.1 and extends the appointment of OICs until December 31.
Plaza claimed in her August 2 letter that Pascual’s interpretation of MC Nos.1 and 3 was “erroneous” and that MC No. 3 does not apply to government instrumentalities exercising corporate powers, according to Bagro.
Plaza also said the position of PEZA director general was never declared vacated by MC No. 1 and that Panga cannot legally designate himself and continue as OIC of PEZA.
Bagro said Plaza also alleged that Pascual was “interfering” in the PEZA leadership problem and requested that he “desist and allow the Executive Secretary to resolve the issue.”
However, Bagro said Plaza’s “conclusions are not supported by the provisions of law and governing circulars.”
He also rejected Plaza’s argument that MC No. 3 does not apply to PEZA as it exempts government-owned or controlled corporations (GOCCs) and government instrumentalities with corporate powers that shall continue to be governed by their respective charters, articles of incorporation and by-laws in relation to Republic Act 10149 (GOCC Governance Act of 2011).
Bagro said Section 4 of RA 10149 explicitly excludes economic zone authorities from its coverage.
He added that under the PEZA Charter, the position of director general has a rank of department undersecretary and should be appointed by the President, which meant Plaza, appointed in 2016 by Duterte, was covered by MC Nos. 1 and 3.
On Plaza’s claim of Pascual’s interference, Bagro said: “With due respect to the former PEZA DG, as chairman of the PEZA Board and under whose department the PEZA is attached, Secretary Pascual was not interfering but was merely exercising his duties and functions in issuing the Department Order to address the controversy occasioned by your actions.”
He added that as an alter-ego of the President, Pascual was “well under his rights to step in and clarify the lines of authority in PEZA, which we reiterate, is an agency attached to the DTI.”
Further, Bagro said Panga, as the most senior career official in PEZA, was under a clear legal obligation to assume the position of OIC by virtue of MC No. 1.
Panga’s appointment as OIC effective July 1 was also affirmed by Pascual through DTI Department Order No. 88-2022 issued on August 2. Panga will hold the position until December 31, or until a director general has been appointed or designated, whichever comes first.
On August 3, Pascual said he stood by his department order.
Plaza, meanwhile, said she will only follow the clarification that will be issued by the Office of the President.
On August 4, the Philippine Economic Zone Authority Employees Association also decried the claims of their former chief. The association said the leadership issue “has been dragging on since last week and has affected the employees of PEZA and the image of the agency.” – Roumina Pablo
