MANILA – Malacañang warned that Davao City Mayor Sebastian “Baste” Duterte’s repeated claim of having no knowledge of transactions involving GenCorp Industries Inc. should not become an excuse that other government officials could invoke when questioned about dealings under their watch.
Palace Press Officer Claire Castro made the remarks after Duterte testified in the impeachment trial of his sister, Vice President Sara Duterte, that he was unaware of her financial interest in GenCorp, which had secured contracts with the Davao City government.
Castro said government leaders should remain informed and vigilant about significant transactions involving offices under their authority, arguing that officials cannot simply remain unaware or indifferent when dealings repeatedly occur.
She cautioned that allowing ignorance to become a routine defense could set a problematic example for other local officials facing questions over government transactions.
During his testimony, Duterte said he would not have allowed GenCorp contracts to proceed had he known about his sister’s interest in the company. He also said the city had awarded 19 contracts to GenCorp.
The Vice President listed GenCorp among her business interests in her 2024 and 2025 Statements of Assets, Liabilities and Net Worth. The transactions have been raised by prosecutors as part of the ongoing impeachment proceedings.
Castro stressed, however, that Malacañang was not determining whether Mayor Duterte had any liability, saying such questions should be resolved through the appropriate processes.
