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'Economic sabotage': Marcos orders probe on onion 'cartel'

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MANILA — President Ferdinand Marcos Jr. on Tuesday said he has ordered an investigation into the hoarding, smuggling, and price fixing of onions and other agricultural products, calling such acts &quot;economic sabotage.&quot;<figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=2706143" width="100%"></iframe></figure><div class="iwantbar">Watch more News on <a href="https://www.iwanttfc.com/#!/browse/Genres/News/tag_id_genres/id_news" target="_blank">iWantTFC</a></div>&quot;I have just given instructions to the [Department of Justice] and the [National Bureau of Investigation] to initiate an investigation into the hoarding, smuggling [and] price fixing of agricultural commodities,&quot; said Marcos, the concurrent agriculture secretary, in a video message.He said he based his order on the findings of a House of Representatives investigation earlier this year on the soaring prices of onions, which were allegedly orchestrated by a cartel.<ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/01/10/23/house-inquiry-sought-into-alleged-onion-cartel">House inquiry sought into alleged onion cartel</a></li></ul>Marikina Rep. Stella Quimbo, who led the probe, told Marcos that they had &quot;substantial evidence&quot; pointing to the existence of an onion cartel allegedly operating through the Philippine VIEVA Group of Companies, Inc. (PVGCI).Malacañang, quoting Quimbo, said the firm had engaged in &quot;various activities including farming, importation, local trading, warehousing, and logistics&quot; and was supposedly behind the huge onion price hikes in 2022.The lawmaker also noted that Lilia Lea Cruz, who had earned the monikers &quot;Sibuyas Queen&quot; and &quot;Mrs. Sibuyas&quot; due to her alleged involvement in the onion importation, was a majority PVGCI stockholder. Cruz had appeared in the House hearings and denied being involved in the cartel and the hoarding of onions.<ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/news/02/08/23/mrs-sibuyas-faces-congress-denies-smuggling-onions">&#x27;Mrs. Sibuyas&#x27; faces Congress to deny onion smuggling accusation</a></li>	<li><a href="https://news.abs-cbn.com/news/05/19/23/house-panel-eyes-raps-vs-sibuyas-queen-solon">House panel eyes raps vs &#x27;Sibuyas Queen&#x27; - solon</a></li></ul>&quot;President Marcos emphasized the significance of these findings as sufficient grounds to initiate an investigation, citing the need to address what amounts to economic sabotage,&quot; the Palace added.Marcos also said in his video message that his administration would be &quot;very, very strict&quot; in tracking down the people behind the onion cartel and &quot;making sure that they are brought to justice.&quot;When the House began its probe, the onion inflation was initially attributed to a &quot;perceived shortage of supply.&quot;&quot;However, data from the Department of Agriculture Bureau of Plant Industry revealed only a modest shortage of approximately 7.56 percent in 2022, which could not justify the significant inflation rates reaching 87 percent in December of that year,&quot; Malacañang said.This, along with feedback from cold storage facility owners who said that there was an ample supply of onions last year, led solons to believe that a cartel had been behind the inflation.&quot;The cartel allegedly engaged in price-fixing through manipulation of stocks, leveraging control over cold storage facilities,&quot; the Palace added. Last February, the Philippine Competition Commission said it had been <a href="https://news.abs-cbn.com/business/02/16/23/antitrust-watchdog-probes-possible-onion-cartel">investigating the possible existence</a> of an onion cartel since November 2022.<ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/spotlight/06/27/23/from-sugar-to-sibuyas-agri-issues-in-marcos-jr-admins-1st-year">From sugar to sibuyas: Agriculture issues under Marcos Jr. admin&#x27;s first year</a></li></ul>

Marcos said he based his order on findings of a House probe on the soaring prices of onions, which were allegedly orchestrated by an onion cartel.