PAL settles long-standing debt to gov't of PHP6 billion


Photo from DOTr


Manila, Philippines- On November 3, the flag carrier Philippine Airlines (PAL) settled its unpaid air navigational charges of Php6 billion to the government.

The said unsettle charges were incurred from 1970’s up to July 30, 2017.

PAL Vice President for Legal Affairs, Atty. Clara De Castro brought the checks to the office of the Civil Aviation Authority of the Philippines or CAAP in Pasay, to finally settle PAL’s financial obligations.

A check with P5,677,887,615 figures was turned over to CAPP Chief Accountant Raul Eusebio, as payment. Meanwhile, another check amounting to PhP258,594,230.33 net of taxes, was handed to Manila International Airport Authority (MIAA) Assistant General Manager for Finance and Administration Arlene Britanico.

These turnovers of checks were witnessed by DOTr Undersecretary for Aviation and Airports Manuel Antonio L. Tamayo, also by Undersecretary for Legal Affairs and Procurement Reinier Paul Yebra, and Assistant Secretary for Communications Leah Quiambao.

The payment was made earlier before its deadline which was set in December of this year.
Sometime in October, PAL has agreed to settle its long-standing debt to the government to “manifest trust and confidence in President Duterte’s administration”.

According to previous reports, Malacanang said that this payment from PAL will be used to build much more needed infrastructure in order to support the economic goals of the Philippines.

"It is a clear reminder that when government prioritizes national interest citizens will cooperate," then Presidential Spokesman Ernesto Abella said in a statement (posted in CNN last October 6).


The Philippine flag carrier Airline company was previously a government-owned and controlled corporation with tax privileges and exemptions until it was privatized sometime in 1992. 

Source: PTV

Post a Comment

0 Comments