127 Philippine Government Execs Face Charges for Connection to 'Garlic Cartel'


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Tue. January 13th, 2015 - by Andrew McDaniel

PHILIPPINES – Criminal charges have been filed against 127 government executives in the Philippines, including former Bureau of Plant Industry (BPI) Director Clarito Barron, over allegations of collusion with traders in a ‘garlic cartel’ that caused prices of garlic to skyrocket last year.

From 2010 to 2013, garlic prices rose from $3.69 to $8.94 per kilo and then went even higher in 2014. In July of last year, Justice Secretary Leila De Lima ordered the National Bureau of Investigation (NBI) to investigate the soaring garlic prices.

According to ABS-CBN News, the NBI probe covered all issuances of PQCs (Plant Quarantine Clearances) and SPS-ICs (Sanitary and Phyto-Sanitary Import Clearances) by the BPI from 2010-2014.

BPI, an agency under the Department of Agriculture, issues all of the required PQCs and SPS-ICs for the importation of garlic.

MSN reports that charges were filed against the executives by the Department of Justice (DOJ) and include direct bribery, profiteering and cartel under the Price Act, monopolies and restraint of trade under the Revised Penal Code, use of fictitious names and obstruction of justice were filed against them with the Department of Justice (DOJ).

Aside from Barron, other notable individuals charged include:

  • BPI-Plant Quarantine Service Chief, Luben Marasigan
  • BPI-PQS Officer-in-Charge, Merle Palacpac
  • Lilia Cruz, aka Lea Cruz, head of the Vegetable Importers, Exporters and Vendors Association of the Philippines Inc. (VIEVA Phils.)
  • Chairman of the National Garlic Action Team (NGAT) and National Onion Action Team (NOAT)

According to MSN, Barron denied the allegations, saying the DOJ failed to establish that collusion took place in the garlic trade.

“The results of the investigation of the DOJ-Office of Competition is unfounded as its conclusions are based on weak accusations tainted with politics. It was not properly determined how collusion took place. It was just declared that there was one between traders and officials of the BPI,” Barron said.

He added, “If prices rise, we no longer have control in these. It is the Bureau of Customs that is expected to monitor this.”

The case will now be assigned to a panel of Department of Justice prosecutors who will then set the preliminary investigation.

Stay tuned to AndNowUKnow as we continue to track this developing case.