PBBM: MIF IRR revised because of government’s controlling interest

MANILA – No rules were relaxed for the Maharlika Investment Fund (MIF) in favor of newly appointed Maharlika Investment Corp. (MIC) president and chief executive officer Rafael Consing, President Ferdinand R. Marcos Jr. clarified on Saturday.

“Why relaxed? I don’t know where we relaxed anything. Quite the contrary, hinigpitan natin (we tightened it),” Marcos said in a media interview after his participation in the Asia-Pacific Economic Cooperation Summit in San Francisco, California, USA.

Marcos explained that there were changes in terms of the powers of the Advisory Board to make sure that “political forces [will not] interfere with financial decisions of the investment fund.”

He said the amendments were made because of the government’s “controlling interest.”

“And so there were powers, there were authorities that were being still granted to the government side,” Marcos said.

“Well, we hold the controlling interest, we are government. It’s like think of a corporation, ‘yung pinakamalaking kapital (the biggest capital), the one with the largest capital interest is the one that has the most votes. So, that’s what happens. Ganoon lang naman kasimple ‘yan (It’s that simple). It’s not really an unusual arrangement. It’s a perfectly proportional arrangement,” he added.

The revised implementing rules and regulations (IRR) of Republic Act (RA) 11954 or the MIF Act of 2023 introduced several amendments to the provisions on the appointment of the MIC’s Board of Directors.

The new IRR mandates the Advisory Board to submit to the Office of the President the list of nominees to vacant regular and independent director, and PCEO (president and chief executive officer) positions not later than 30 days from the vacancy.

Under the revised IRR, the President “may either accept or reject the recommendation of the Advisory Body” and “may require the Advisory Body to submit additional names of nominees.”

Consing earlier said it was “absolutely wrong” to think that the IRR of RA 11954 were revised to favor him.

He said the changes were made to align the rules with the provisions of the MIF law.