Good morning. The government has recovered ₱841.4 million linked to alleged flood-control kickbacks, but that is less than 0.5% of Senator Panfilo Lacson’s estimated losses. We also unpack Marcos’ proposed system-loss reform, a bill raising the tax-free income ceiling, and Filipino researchers using AI to monitor heart function, plus more.
Stay Sharp.
TOP STORIES
₱841 Million Recovered, but Accountability Is Far From Over
The big picture: The DOJ says ₱841.4 million linked to alleged flood-control kickbacks had been recovered and remitted to the Treasury as of June 3.
By the numbers: Four Witness Protection Program participants returned funds: Roberto Bernardo, ₱500 million; Henry Alcantara, ₱181.4 million; Gerard Opulencia, ₱140 million; and contractor Sally Santos, ₱20 million.
Zoom out: Senator Panfilo Lacson estimated that ₱180 billion for flood control had been diverted to ghost projects since 2016. This is an estimate, not a court-established loss.
Where things stand: PCIJ counted at least 45 people facing charges and 43 others under investigation.
Bottom line: The recovery matters, but it represents less than 0.5% of Lacson’s estimate. Restitution also does not, by itself, resolve the scandal.
BUSINESS & INVESTMENT
House Pushes Higher Tax-Free Income Cap
House leaders filed a bill raising the annual tax-exempt income threshold to ₱350,000, following President Marcos’ SONA proposal. The measure aims to ease financial pressure on low and middle-income earners, boost household spending, and stimulate economic growth. If approved, the new tax brackets would take effect on January 1, 2027.
Maxicare Expands Healthcare Access
Maxicare partnered with GSIS and Billease to make healthcare more affordable through loan financing and installment payment options. The initiatives let government employees maximize medical benefits and allow more Filipinos to pay for health plans over time, helping reduce financial barriers to preventive care and medical coverage.
BSP Sees Low Odds of Bigger Rate Hike
BSP Governor Eli Remolona said the chance of a larger 50-basis-point interest rate hike this year remains small despite inflation risks from rising oil prices, peso weakness, and wage hikes. The central bank is refining its outlook ahead of its Aug. 27 policy meeting while expecting economic growth to recover later this year.
PH Expands Anti-Money Laundering Rules
The Anti-Money Laundering Council plans to expand oversight to real estate transactions, virtual asset providers, and online gambling operators while seeking stronger investigative powers. The proposed reforms aim to strengthen the Philippines’ financial safeguards, maintain investor confidence, and help keep the country off the global anti-money laundering gray list ahead of its 2027 review.
ENTERTAINMENT, SPORTS & CULTURE
Madison Beer Says Yes to Justin Herbert
Singer Madison Beer and NFL quarterback Justin Herbert are officially engaged after nearly a year together, sharing romantic proposal photos and exciting fans with their wedding announcement. (Read more)
Alex Eala Stuns Defending Champion Leylah Fernandez
Alex Eala defeated defending champion Leylah Fernandez, 6-2, 7-6(1), reaching the Mubadala DC Open quarterfinals after fighting back from 1-5 down in the dramatic second set on Wednesday.(Read More)
James Reid Calls Issa His ‘Compass’
James Reid revealed he lost ₱150 million in a failed business venture, crediting girlfriend Issa Pressman for helping him recover and guiding him through one of his darkest chapters. (Read More)
PESO MARKETS
Removing System-Loss Charges May Not Make Power Costs Disappear
The big picture: President Marcos wants Congress to stop utilities from passing system-loss charges, including VAT on those charges, to consumers.
Why it matters: Distribution utilities do not earn from system-loss collections. The charges recover electricity lost during delivery, including unavoidable technical losses.
By the numbers: Meralco’s system loss is 5.8%, below the Energy Regulatory Commission’s 6.5% cap. Making utilities absorb the cost could weaken returns and grid reinvestment.
What’s likely: AB Capital sees tighter caps, stronger efficiency incentives or VAT removal as more likely than a blanket ban. Any EPIRA amendment requires approval by both chambers of Congress, the President’s signature and revised ERC rules.
Bottom line: The ERC warns that removing the charge may move the cost elsewhere.
In collaboration with AB Capital Securities. This section is for informational purposes only and does not constitute investment advice. Please conduct your own research or consult a licensed professional before making investment decisions.
TECH
Ateneo Researchers Develop AI Model To Predict Heart Function
Scientists led by Ateneo de Manila University researchers created an AI model that predicts how effectively the heart pumps blood using non-invasive sensors, offering a simpler way to monitor heart health. (Read more)
NASA Space Robot Loses Control During Telescope Mission
A Katalyst Space robot hired by NASA to raise the Neil Gehrels Swift Observatory’s orbit lost control after system failures. Engineers are working to stabilize the spacecraft and continue the mission. (Read more)
US Bans Foreign Humanoid Robot Imports Over Security Risks
The US government banned new humanoid and quadruped robot imports from foreign manufacturers, citing national security concerns. The move affects China, the world’s leading supplier of humanoid robots. (Read more)
Scientists Create Brain-Like Chip for Faster Computing
Researchers from Peking University developed a memristor chip that models brain activity in under 10 milliseconds. The technology may improve medical imaging, artificial intelligence, and complex computer simulations. (Read more)
HEALTH & SCIENCE
Click the headlines to read more of the articles
The Philippines launched its first seaweed bioreactor in Sorsogon to produce healthier planting materials faster. Officials expect higher harvests, stronger exports, and better support for seaweed farmers nationwide.
Fossil discoveries in Pilanduk Cave, Palawan show that tigers roamed the Philippines around 20,000 years ago, providing the earliest evidence of prehistoric tiger presence and ancient human use.
Dutch scientist Henk Jonkers developed self-healing concrete using bacteria that produce limestone to seal cracks. The innovation may reduce repair costs, extend building life, and create more sustainable infrastructure.
Astronomers directly observed a companion star orbiting Betelgeuse, confirming the giant red star is part of a binary system. The discovery may change predictions about its future supernova explosion.
QUICK HITS
👤 Rudolf Philip Jurado confirmed resigning as Sen. Robin Padilla’s chief of staff before Vice President Sara Duterte’s impeachment trial began. (Read more)
🚨 Authorities arrested the primary suspect in SEA Games gold medalist Mervin Guarte’s 2025 killing during a joint operation in Tarlac. (Read more)
⚠️ Woman loses ₱37,000 after fake online modeling offer led to phishing scam, prompting authorities to arrest a suspect. (Read more)
🏦 Former LandBank executive says OVP’s large cash withdrawals were unusual but processed properly and not considered suspicious. (Read more)
🌊 DPWH orders urgent repair of Davao City flood dike, dredging Talomo River after years of delays and incomplete projects. (Read more)
WORLD STORIES
Japan Quake Rescuers Race To Save Trapped Victims
Rescue teams rushed to reach people trapped after a deadly earthquake in Japan. The country’s leader warned that every second matters as operations continue amid destruction.
Record Seaweed Surge Hits Mexico’s Caribbean Coast
Massive amounts of sargassum seaweed are covering Mexico’s Caribbean beaches, threatening tourism and the environment. The buildup has forced closures and caused economic losses for local businesses.
Kenya Probes Deaths Of 15 Elephants In National Park
Officials are investigating the deaths of 15 elephants in Kenya’s Amboseli National Park after several showed signs of paralysis. Tests detected a possible toxic substance as further investigations continue.
ATBP…
📝 Ed Sheeran writes new song ‘Animal’ with KATSEYE after becoming a fan of their music. (Watch more)
📝 MTRCB summons ‘It’s Showtime’ over alleged inappropriate and colorist remarks in episode. (Read more)
📝 ‘Pitik Queen’ expresses gratitude to supporters for making dream possible. (Read more)
📝 Raccoon ‘Jimothy’ lives with rare spine condition also found in dogs. (Read more)
WORTH YOUR TIME
Boost your business efficiency without hiring a full team.
Canva AI (Magic Design) | Design | Uses AI to generate complete social media posts and menus from a single text prompt—perfect for local restaurant and shop owners. (Visit site: canva.com)
Claude AI | Business Assistant | Regarded as one of the best conversational AIs for writing product descriptions in "Taglish" that resonates with local buyers. (Visit site: claude.ai)
Jasper | Marketing | A powerhouse tool for Filipino businesses that need to scale content marketing, blog posts, and ad copy quickly. (Visit site: jasper.ai)
Historybook: The First Bath
Spanish friars were shocked by how often Filipinos bathed—sometimes three times a day in rivers. To the Spanish of the 1500s, this was seen as excessive and almost sinful.
