Philippine court acquits Nobel Laureate Maria Ressa on last tax evasion case

Maria Ressa 

A PHILIPPINE court on Tuesday acquitted journalist and Nobel Laureate Maria Ressa on her last tax evasion, clearing all her five cases.

The Pasig Regional Trial Court Branch 157 announced the acquittal of Rappler and Ressa, a fierce critic of former President Rodrigo Duterte.

 

In an 18-page decision, the court said the Rappler Holdings Corporation did not act as a dealer in securities when it issued Philippine Depository Receipts to North Base Media, and that the PDR transactions were just in line with the RHC’s purpose as a holding company. 

 

“It is thus not liable to pay VAT on these transactions under Section 105 of the Tax Code,” the court explained. 

 

“WHEREFORE, in view of the foregoing, the accused Rappler Holdings Corporation and Maria A. Ressa are hereby acquitted," the court ruled. Presiding Judge Ana Teresa Tomacruz penned the decision. 

 

Francis Lim, another lawyer for Rappler, told reporters they were thankful the court finallY dismissed the fifth tax evasion case. “Hopefully, that’s the end,” he said.

 

Outside the court, Ressa, 59, told reporters she felt “good” about the court’s decision. “You gotta have faith," Ressa told reporters outside the court after the acquittal.

 

In January, the Court of Tax Appeals First Division acquitted Ressa and RHC of charges on three counts of failing to provide accurate information and one count of tax evasion, totaling P 141 million in taxes, including surcharges and interest.

 

Prior to the tax cases, the Philippine Securities Exchange Commission had ordered Rappler to shut down for allegedly violating constitutional rules on foreign media ownership. Rappler argued that it was fully owned by Filipinos and that the PDRs did not give the investors voting rights or ownership.

 

The website’s legal battles began after Duterte lambasted the news outlet for its critical reporting of his notorious drug war, which killed thousands of Filipinos. The co-founder and CEO of the Rappler news website still faces two more cases, including a cyber libel conviction currently being appealed.

 

Rappler welcomed the court's ruling. “This is a victory not just for Rappler but for everyone who has kept the faith that a free and responsible press empowers communities and strengthens democracy,” Rappler said in a statement.

 

“We share this with our colleagues in the industry who have been besieged by relentless online attacks, unjust arrests and detentions, and red-tagging that have resulted in physical harm. We share this with Filipinos doing business for social good but who, like us, have suffered at the hands of oppressive governments,” the news outlet added.

Carlos Conde, senior researcher of Human Rights Watch, described the acquittal of Rappler and Ressa on tax evasion charges a welcome and long overdue. “The tax evasion cases against Rappler were politically motivated and this verdict vindicates the news organization and its journalists,” Conde said. “Philippine courts should expedite their ruling on the remaining two cases against Rappler. President Marcos should ensure that legal harassment of Maria Ressa and other journalists ends.”

 

In June 2020, Ressa was convicted of cyber libel along with researcher Reynaldo Santos Jr. They are currently out on bail pending their appeal at the Supreme Court. This case stemmed from a May 2012 report that exposed a former chief justice’s alleged links to businessmen, including Wilfredo Keng. The court ruled that Ressa and Santos had maligned Keng’s reputation. (Jeoffrey Maitem)