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Michael Yang (Chinese businessman)

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Michael Yang
杨鸿明
Yang in 2017
Born
Yang Hongming
CitizenshipChinese
OccupationBusinessman
Known forEconomic advisor to President Rodrigo Duterte (2018)

Yang Hongming (Chinese: 杨鸿明),[1] more commonly known as Michael Yang in the Philippines, is a Chinese businessman and is an associate of 16th Philippine President Rodrigo Duterte. Yang was linked in the Pharmally scandal which allegedly overpriced procurement contracts for medical supplies to be used by the Philippine government during the COVID-19 pandemic.[2]

Education

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Yang claimed on his website that he attended Princeton University where he obtained a doctorate degree in business administration.[3] When asked to clarify, Yang said he obtained a "certificate" from Princeton and says that the American university runs a program through its branch in Beijing.[4]

Background

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Business career

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Yang is based in the Philippines for at least 20 years, starting his ventures in the country in Davao City.[5][6] He has been a permanent resident in the country.[7] He also owns the Davao City Los Amigos (DCLA).[8]

He is a member of the Philippine Chinese Chamber of Commerce Labuan, the executive director of the Philippine Chamber of Commerce, the vicechairman of China-Philippines Friendship, and the managing director of Fujian Normal University.[3]

Yang was associated with Pharmally, which was involved in a scandal regarding the procurement of medical supplies for the COVID-19 pandemic.[2]

Political involvement

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During the presidency of Rodrigo Duterte, Yang served as the chief executive's economic advisor at least for the year 2018. This was initially denied by Duterte, as Yang held Chinese citizenship.[9] Rappler investigation through the Freedom of Information, was able to obtain from the Malacanang Records Office of an official documentation contracting Yang as an Economic Adviser.[10] According to presidential legal counsel Salvador Panelo, he was tapped for the role due to his rags to riches background, connections to the Chinese government and knowledge on Chinese culture.[8][11]

According to Duterte, Yang maintains close relations to Chinese ambassador Zhao Jianhua and is part of the Chinese delegation to China.[11][12] Despite his connections, Yang has explicitly denied being a member of the Chinese Communist Party or have influenced Duterte's foreign policy.[13]

Duterte, who is noted for his war on drugs campaign, has cleared Yang of involvement in the illegal drug trade, using Yang's very connection to the Chinese government to dissuade the allegation believing that its officials would not associate with drug lords.[6]

Controversy

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Pharmally scandal

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As the Covid-19 pandemic brought the Philippine economy to a lockdown, the government responded with the readjustment of the national budget under the Bayanihan to Heal as One Act. The act, which was passed by the Congress of the Philippines on March 23, 2020, and signed the following day would allow President Rodrigo Duterte to "reallocate, realign, and reprogram" a budget of almost ₱275 billion ($5.37 billion) to address the pandemic.[14]

Pharmally Pharmaceutical Company was established September 2019 with only a paid-up capital of P625,000.[15]

During the Philippine Senate hearing on the Pharmally scandal in September 2021, Yang was disclosed as the facilitator between Pharmally executives and President Duterte. Yang denied this and explained that he was sought by Pharmally executives and provided assistance to meet President Duterte in Davao.[16] As Yang was a no-show during the said senate hearing, the Senate ordered for his arrest.[17]

Huang Tzu Yen, the President of Pharmally would later disclose that Yang was the financier and guarantor of their company. Yang denied this allegation.[18]

POGO proliferation

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Philippine Offshore Gaming Operator (POGO) business began in 2003, and significantly grew during the administration of President Duterte. POGO mainly operates an online gaming or casino license, targeting overseas players specifically in China. Duterte considered the POGO as a cornerstone of his economic policy, that during the Covid-19 Pandemic he would declare POGOs as "essential services."[19]

Yang's and his associate Lin Wei Xiong operated the Xionwei Technology Co. Ltd. in Bacoor, Cavite in August 2016, or two months into the Duterte presidency.[20][21] Xionwei Technologies came into the news as the company took over the controversial pre-POGO operations of Jack Lam's Jimei International Entertainment which was operating out of Fontana Resort in Clark, Pampanga. Lam fled the Philippines on December 2019, when his company was found out to be employing 1,316 illegal Chinese workers. Philippine Amusement and Gaming Corporation (PAGCOR) revoked Jimei's license in Fontana and Fort Ilocandia, Ilocos Norte. Yang took over Jimei's facilities early 2020.[22]

Yang's and his associate Lin Wei Xiong operated the Xionwei Technology Co. Ltd. in Bacoor, Cavite. Xionwei and another controversial POGO Lucky South 99 came out in the news in 2022 over kidnappings. The Philippine Senate investigated the matter, and the PAGCOR's CEO, Alejandro Tenco, committed to suspend the erring POGOs as well as run after illegal POGOs.[23][24]

In the 2024 Philippine Senate Committee on Women, Children, Family Relations and Gender Equality hearing on the POGO hub in Bamban, Tarlac involving Alice Guo, the Court of Appeals froze the bank account of Yu Zhengcan, jointly held with Yang Hongjiang, Michael Yang's brother. Yu is one of the incorporators of the Hong Sheng Gaming Corporation, the POGO renting in the Baofu Compound, which was incorporated by Alice Guo.[25]

Personal life

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Michael Yang has an older brother named Yang Jianxin, who also goes by the name Antonio Maestrado Lim. The elder Yang is a businessman based in Cagayan de Oro. Also a Chinese citizen, the elder Yang is found to have in possession of Philippine identity documents for himself.[26][27]

References

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  1. ^ Ranada, Pia (October 10, 2018). "LOOK: Michael Yang's calling card bears Malacañang seal". Rappler. Archived from the original on July 15, 2024.
  2. ^ a b Lalu, Gabriel Pabico (May 13, 2024). "Ako Bicol rep wants ex-adviser explain frequent links to anomalies". Philippine Daily Inquirer. Retrieved July 17, 2024.
  3. ^ a b Tordesillas, Ellen (October 8, 2018). "Michael Yang is presidential economic adviser". Vera Files. Retrieved July 17, 2024.
  4. ^ Ramos, Christia Marie (October 28, 2021). "Yang's Princeton degree raises eyebrows among senators". Philippine Daily Inquirer. Retrieved July 17, 2024.
  5. ^ Parrocha, Azer (August 31, 2021). "Michael Yang has been in business in PH for 20 years: PRRD". Philippine News Agency. Retrieved July 17, 2024.
  6. ^ a b "Duterte clears Davao City businessman of drug links". GMA News. October 5, 2018. Retrieved July 17, 2024.
  7. ^ Pazzibugan, Dona Z. (November 26, 2021). "Former Duterte adviser asks SC to stop Senate arrest". Philippine Daily Inquirer. Retrieved July 17, 2024.
  8. ^ a b Lopez, Virgil (November 6, 2018). "Palace admits Chinese trader Michael Yang a consultant for Duterte". GMA News. Retrieved July 17, 2024.
  9. ^ Corrales, Nestor (October 9, 2018). "Duterte denies Chinese businessman is his economic adviser". INQUIRER.net. Retrieved September 20, 2024.
  10. ^ Ranada, Pia (November 5, 2018). "Malacañang contracts show Michael Yang is economic adviser". RAPPLER. Retrieved September 20, 2024.
  11. ^ a b Panti, Llanesca (October 9, 2018). "Duterte denies appointing Davao-based Chinese trader as his envoy". GMA News. Retrieved July 17, 2024.
  12. ^ Sy, Marvin (October 20, 2018). "Leila De Lima: 'Probe Michael Yang'". The Philippine Star. Retrieved July 17, 2024.
  13. ^ Ramos, Christia Marie (November 4, 2021). "Yang denies being Chinese communist agent, influencing Duterte's China policy". Philippine Daily Inquirer. Retrieved July 17, 2024.
  14. ^ Parrocha, Azer (March 22, 2020). "Duterte seeks 'more powers,' urgent measures vs. Covid-19". Philippine News Agency. Retrieved September 21, 2024.
  15. ^ Peralta-Malonzo, Third Anne (September 20, 2021). "TIMELINE: Senate probe into irregularities in Covid-19 funds use". SunStar Publishing Inc. Retrieved September 21, 2024.
  16. ^ Ramos, Christia Marie (September 10, 2021). "Yang denies ties with Pharmally but admits firm sought his 'assistance'". INQUIRER.net. Retrieved September 20, 2024.
  17. ^ Ramos, Christia Marie (September 7, 2021). "Senate orders arrest of ex-Duterte adviser, Pharmally execs; Yang 'apologizes' for absence". INQUIRER.net. Retrieved September 20, 2024.
  18. ^ Perez-Rubio, Bella (September 13, 2021). "Michael Yang, named as Pharmally backer, skips Senate hearing over blood pressure". Philstar.com. Retrieved September 20, 2024.
  19. ^ Palatino, Mong (June 1, 2020). "China's Clandestine Gamble in the Philippines". thediplomat.com. Retrieved September 20, 2024.
  20. ^ Ranada, Pia (September 9, 2021). "Michael Yang, associates expand businesses under Duterte presidency". Rappler. Retrieved September 20, 2024.
  21. ^ Standard, Manila (August 24, 2019). "No Chinese firms running POGOs, PAGCOR claims". Manila Standard. Retrieved September 20, 2024.
  22. ^ "Michael Yang, POGO's secret kingpin: Ex-Duterte adviser revives Jack Lam's Fontana casino into offshore gaming hub - Bilyonaryo Business News". bilyonaryo.com. February 12, 2020. Retrieved September 20, 2024.
  23. ^ "Al Tengco to weed out bad apples: Michael Yang in danger of losing POGO license amid crack down on rogue firms". bilyonaryo.com. September 15, 2022. Retrieved September 20, 2024.
  24. ^ "War for workers: Police tag POGO with alleged ties to ex-Duterte adviser in kidnappings". politiko.com.ph. September 15, 2022. Retrieved September 20, 2024.
  25. ^ Buan, Lian (July 15, 2024). "Tarlac POGO's money trail links to brother of Duterte's Chinese adviser". RAPPLER. Retrieved September 20, 2024.
  26. ^ Manahan, Job (September 20, 2024). "Michael Yang's brother could be trying to flee PH - PAOCC". ABS-CBN News. Retrieved September 24, 2024.
  27. ^ Gallardo, Froilan (September 24, 2024). "Senate to probe Tony Yang's business interests, including a POGO, in Mindanao". Rappler. Retrieved September 24, 2024.