Friday, July 18, 2008 Critics told to question subsidy program in court
MALACAÑANG on Thursday advised former budget secretary Benjamin Diokno and other government critics to raise the issue of constitutionality on the use of the incremental value-added tax (VAT) earnings from oil to subsidize the poor to the Supreme Court (SC).
Press Secretary Jesus Dureza said while Diokno and other government critics are entitled to their own views, it would be better if they bring their cause to the proper forum instead of merely relaying them to the media and the public.
"The Supreme Court is the proper forum to determine the constitutionality of the government's subsidy program," he said.
He said that while the public is assured that the government would only implement programs and policies that are within the Constitution and other laws, it could not be avoided that some sector would still question government's actions.
Dureza said, "We could not go on debating on the VAT and the subsidies. The issue should be brought to the courts so that all these questions and speculations would be put to an end."
Asked if the government would make the initiative of bringing the legal questions to court, he said he expects those who oppose or question it to take such initiatives.
"Government must always act in accordance with law. Those who question it are bound to take the necessary steps to overcome that presumption," he added.
President Gloria Macapagal-Arroyo defended the imposition of the expanded VAT on oil which she said is the "most important reform" that her administration has implemented.
According to her, the e-VAT imposition has helped generate additional income for the government and prepare the country to face the rising prices of fuel and rice in the world market.
She said with the excess VAT earnings, the government is able to use the other existing revenues to support agriculture and rice productivity programs and ensure the supply of affordable food items.
Social Welfare Secretary Esperanza Cabral assured that subsidies go to the intended beneficiaries, allaying fear that it not really benefits the poor.
"We are following the law. We have the Commission on Audit which would see what we are doing," she said.
She said corresponding documents on how much have already been disbursed and who benefited from them are available at the Department of Social Welfare and Development. (JMR/Sunnex)
