Sherwin Gatchalian flags GenCorp 'conflict of interest' over Sara Duterte payouts

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Senator-judge and Senate President Sherwin Gatchalian on Wednesday raised a possible conflict of interest after GenCorp Industries Inc. paid Vice President Sara Duterte P2.14…

Senator-judge and Senate President Sherwin Gatchalian on Wednesday raised a possible conflict of interest after GenCorp Industries Inc. paid Vice President Sara Duterte P2.14 million as supposed returns of capital while the company held several contracts with the Davao City government.

Gatchalian raised the issue during his interpellation of lawyer Suzette Balucanag-Punay, the in-house counsel of GenCorp and Metro City Chow Foods Corp., two companies linked to the Vice President, during the 42nd day of Duterte’s impeachment trial.

“Lumalabas ito sa kaha ng GenCorp. Tapos ang GenCorp, sa mga huling hearing, nagbebenta rin po ng pagkain sa Davao LGU (local government unit), 19 contracts between 2022 to 2025,” Gatchalian said.

(This payments came out of GenCorp.’s coffers. GenCorp., as revealed in previous hearings, also sold food to the Davao City government under 19 contracts from 2022 to 2025.)

“Tingin niyo hindi ba ito conflict of interest na ang GenCorp nagbabayad ng investment, loose investment kay Vice President Sara, pero sa kabilang banda, nagbebenta naman siya sa Davao LGU?” he asked.

(Don’t you think this is a conflict of interest, with GenCorp. paying Vice President Sara for her loose investment while also selling food to the Davao City government?)

Duterte’s brother, Sebastian “Baste” Duterte, is the incumbent Davao City mayor. The Vice President also previously served as the city’s mayor.

In response, Punay said the Davao City government contracts were fulfilled by GenCorp.’s Jollibee Bolton branch, the outlet nearest city hall, and not the branch where Duterte had her investment.

She explained that although GenCorp. owns the Bolton branch, Duterte’s "loose investment" was in the Jollibee Times Square branch. Each branch, she added, maintains a separate bank account.

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